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Ethereum Ecosystem Gains Momentum as Crypto Market Cap Re-ascends $1 Trillion

Lots of action in markets this week as they reacted to the reality of Ethereum’s upcoming Merge. Coins in the ETH ecosystem saw significant gains and Ethereum Classic jumped over 75% as miners considered their options. Finland announced it would donate $48 million in drug seizure money to Ukraine.

Contents




  • The Ethereum ecosystem soars in anticipation of the Merge
  • BYAC offers first glimpse into the Otherside Metaverse
  • The Eurozone’s biggest bank to offer crypto custody
  • Minecraft says “No thanks” to NFTs


Top Market Trends:

  • 21Shares rolled out two new Exchange Traded Products (ETPs); S&P risk-controlled indices for Bitcoin and Ether.
  • Square Enix joined Enjin to create Polkadot-based Final Fantasy NFTs, which will be paired with physical cards and toys, set for release in 2023.
  • BNP Paribas, the Eurozone’s largest bank, is entering the crypto custody space through a partnership with METACO.
  • Minecraft announced that NFTs and blockchain gaming assets directly conflict with their Guidelines and values of creative inclusion.

Movers and Shakers

Top 7-day Gainers:

Top 7-day Losers:

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Technical Summary

Bitcoin Pulse
Bitcoin (BTC) reached a most welcome 5-week high despite the news of Elon Musk selling $930 million in BTC to shore up Tesla’s cash reserves. Analysts debate whether we’ve reached the bottom of the bear market and BTC is looking to reclaim its 200w MA after 5 weekly closes below it.

  • Bitcoin staged a major breakout of the $22.5k resistance level.
  • The descending resistance had been holding since early April.
  • Daily RSI breached 50 and is now following an ascending support line.

Short-term BTC TA

For over a month now, Bitcoin's price has been moving in a channel:

BTC_Short_Term_Technical_AnalysisMonitoring an Ascending Wedge in BTC Short Term

Within this channel, we see a rising wedge. If the markets remain within the wedge and the channel, we could see some crucial price movements early next week.

Long-term BTC TA
Right now, Bitcoin's weekly Candle is trying to push through the 200 MA:

BTC_Long_Term_Technical_AnalysisBitcoin's weekly candle trying to break through the 200 MA

That means price action right now could be fake-bullish. To strengthen the bullish narrative, we should have a weekly candle close above the 200 MA.

Altcoins on the Move
Altcoin markets were hopping this week with a Merge-inspired new interest in Ethereum Classic (ETC), as miners weighed their options with the upcoming switch from Ethereum PoW mining to PoS. Twenty of the top 100 altcoins gained by 20% or more, led by ETC, ETH, sTETH, MATIC, FTM, and AVAX.

  • The Ethereum community and markets responded favorably to Vitalik Buterin’s exciting description of post-Merge developments, which he called “the surge, the verge, the purge, and a splurge” while at this week’s Paris Ethereum Conference.
  • ETH broke out of the $1600 resistance line and now is trying to establish its support level there.
  • ApeCoin rose 22% after BYAC launched demos for their first Otherside Metaverse event.

Altcoin TA

Solana (SOL) is showing solid signs of a Bear Flag having been formed:

Solana_SOL_Technical_AnalysisSolana (SOL) Bear Flag

So the next 24 hours may offer a good shorting opportunity for Solana.

Newsworthy:

  • Luana Pinheiro became the first Latin American athlete to receive her paycheck in Bitcoin.
  • In crypto regs: South Korean officials postponed crypto taxation until 2025 and raided 15 companies linked to Terra. The UK introduced a bill to regulate stablecoins as payments and international regulators met at the MiCa forum to discuss stablecoins and CBDCs.
  • Finland liquidated $48 million in Bitcoin seized in drug-related transactions and plans to donate the proceeds to Ukraine.
  • Coinbase former product manager sued by SEC for insider trading for telling his brother and a friend about coins to be released on Coinbase, netting $1.1 million over a year.

Spotlight on: XRP

The XRP founding team wanted a "less wasteful" solution than Bitcoin and back in 2011, that is exactly what they set out to create. Today, XRP is something quite different and has a lot of controversial baggage to boot. But, one can't deny that XRP has been a top 10 coin by market cap and daily volume for years.

XRP_Ripple_Quadency_Coin_Profile_Price_HistoryXRP Price Evolution

Read our comprehensive XRP Coin Profile

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We Looked Into: A Review of the Leading Bitcoin Narratives

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Quadency is a cryptocurrency portfolio management platform that aggregates digital asset exchanges into one easy-to-use interface for traders and investors of all skill levels. Users access simplified automated bot strategies and a 360 portfolio view with a free account.

Disclaimer: The content of this article is for general market education and commentary and is not intended to serve as financial, investment, or any other type of advice.