The Bitcoin/Ethereum ratio
Although the peak in bitcoin selling may have passed, the crypto market’s risk aversion remains strong.
Bitcoin, the largest and most liquid cryptocurrency, provides a safe haven from the more volatile altcoins.
But since July 2021, the ETH/BTC ratio has fallen to 0.05918, representing a 25 percent loss for the year. Ether’s dollar value has dropped by 55%, while bitcoin’s value has dropped by 30%.
The ratio is used to gauge the mood of bitcoin investors. As the price of ether and other cryptocurrencies rises steadily, it seems that investors are willing to take on further risk by increasing their investment (altcoins). When the price-to-risk ratio drops, it indicates that investors are shifting their funds from ether and other altcoins to bitcoin.
For investors who favor ether and other alternatives to bitcoin, the recent growth in bitcoin’s dominance rate or market capitalization share is evidence. The dominance rate of Bitcoin increased from 41.4% to 47.0% in four weeks, reaching its highest level since October 2021.
As long as investors’ appetite for risk is minimal, Bitcoin may continue to outperform ether and other cryptocurrencies.
ETH/USD is in the red. The Ethereum token’s eight-week losing streak may continue. Ether’s long upper wick suggests a “sell on the rise” attitude. Long upper wicks are formed when buyers push prices up, only to lose control and allow them to fall back.
Crypto Scams
Scams using cryptocurrencies have resulted in losses for the United States that exceed one billion dollars.
Since the beginning of 2021, crypto scams have caused over one billion dollars in losses to over 46,000 people in the United States, according to a study that was released by the Federal Trade Commission of the United States on Friday. Although it had a substantially smaller percentage of victims who lost money compared to investment scams, it was the second most popular kind of con in terms of the number of victims.
According to the contents of the letter, cryptocurrencies and blockchain technologies are plagued by ransomware and scams in addition to money laundering, financial instability, bank runs, and huge carbon emissions from proof of work.
Insider trading at OpenSea
An ex-manager of the largest virtual goods marketplace in the world is being accused of engaging in illegal insider trading on the New York Stock Exchange (NFT).
A defendant is accused of “beginning an age-old conspiracy to conduct insider trading by using his knowledge of sensitive information to buy hundreds of NFTs in advance of their being published on OpenSea’s site,” according to the prosecutors.
After learning of Nate’s misdeeds, we decided to investigate the situation and ultimately asked him to resign from the company. According to one of the managers, “His behavior was in blatant violation of our company’s employee laws and principles,” the company stated to CNET.
The bear market continues
This month’s volatility in the market was due in large part to concerns about declining economic growth expectations and lower-than-anticipated profits from retailers.
S&P 500 futures were almost unchanged for the month, despite a recent rebound in the face of bad news, persistent volatility, and several warnings of an approaching recession.
Some on Wall Street believe that the recovery is a good opportunity to be opportunistic and purchase beaten-down brands that still have great fundamentals, but not every investment bank is urging its customers to go out and buy stocks.
According to a Morgan Stanley research report released on Tuesday, the second half of May’s rise in equities was nothing more than a standard bear market bounce.
“We believe that last week’s performance will ultimately prove to be another bear market rally,” they stated. As is customary during such rallies, “we expect maximum upside in S&P 500 terms about 4250–4300 with Nasdaq and small-caps likely to climb higher on a percentage basis.”
© 2024 Cryptopress. For informational purposes only, not offered as advice of any kind.
