In the brutkasten Crypto Weekly we look back on the most important price movements and news from the crypto world every Friday. Incidentally, there is of course no connection between the two events in the title. At least not a well-known one. Could a crazy conspiracy theory be constructed here? We are happy to receive submissions. But now let’s first take a look at …
… the course board:
|Bitcoin||BTC||$ 47,500||+ 4%|
|Ethereum||ETH||$ 3,500||+ 6%|
|Cardano||ADA||$ 2.38||-1 %|
|Binance Coin||BNB||$ 412||-2%|
|XRP||XRP||$ 1.07||– / + 0%|
|Polkadot||DOT||34 dollars||+ 17%|
|Uniswap||UNIVERSITY||25 dollars||+ 12%|
No uniform market trend
First, briefly, on the market development: After several weeks of strong upward movement, the market corrected significantly in the previous week. This week the price movements were comparatively unspectacular – and there was no uniform trend in the market either.
For the two largest crypto currencies Bitcoin (BTC) and Ether (ETH), things have risen in the single-digit percentage range since last Friday. ADA and Binance Coin (BNB) moved little over a 7-day period. In contrast, Polkadot (DOT) and Uniswap (UNI) performed strongly. In contrast, Solana (SOL) recorded clear price losses. Wait – wasn’t there something?
Solana network down for almost 18 hours
The hype surrounding Solana – and the associated development of the SOL token – had recently reached proportions that one could have thought that the project was on the verge of world domination. This week there was a setback: the Solana network unexpectedly went offline on Tuesday – and could only be restarted after about 18 hours.
In an official statement, the Solana Foundation pointed to an unusual increase in transactions up to 400,000 per second. This brought the network to its knees. Anatoly Yakavenko, the CEO of Solana Labs, got something on Twitter more concrete: With an Initial Decentralized Exchange Offering (IDO) of the Decentralized Finance Protocol Raydium, bots would have flooded the network. The IDO was carried out by the decentralized social networking protocol Grape.
For Solana critics, the incident was of course a hit – not least because it once again raised the question of how decentralized the network really is when it can go offline that easily. The fact that the downtime ultimately lasted almost an entire day obviously doesn’t make a good picture either. In view of the Solana hype of the past few weeks, the incident is one thing above all else: A good reminder that we are talking about a project that is still in its infancy – and technical problems in this phase should not come as a complete surprise.
Incidentally, the matter did not have a dramatic effect on the SOL course. Sure, on a 7-day perspective, this is a clear minus of 19 percent. However, this is put into perspective if you look at the performance since mid-August: On August 15, the price was around 45 dollars. Even after this rather weak week, it is 140 – an increase of over 200 percent. In view of the extremely strong run of the past few weeks, a countermovement was to be expected sooner or later – as we recently saw at ADA (Cardano).
Nope, Walmart won’t accept Litecoin payments
The news was strange from the start: Walmart will accept payments in Litecoin in the future, according to a press release published on the GlobalNewsWire portal. That Walmart will accept crypto payments would not in itself be absurd. After all, the company only advertised a position in the crypto sector in August. But why on earth exactly Litecoin? That should make you suspicious. However, the report was quickly picked up by established media – such as Reuters and CNBC, but also by the industry media Decrypt and Coindesk.
As if that weren’t enough, something even more amazing happened: Litecoin official and verified Twitter account retweeted the report. Could it really be fake under the circumstances? The answer: Yes, of course. In any case, the Litecoin price shot up by around 25 percent.
After a short time, the retweet on the Litecoin Twitter account was canceled. And at some point a journalist reached a Walmart spokesman who denied the report. The media mentioned had to correct their reports. GlobalNewsWire took the fake broadcast offline and sent a notice that it was a hoax.
Sure, the fake wasn’t completely obvious either. But apart from the plausibility of the content, there were some indications that not everything could be correct with the report: Walmart CMO William White was given as a query – the given e-mail address was under the domain name “walmart-corp. com “. And that’s not Walmart’s domain. In fact, it wasn’t even registered until mid-August. It should also have been suspicious that Walmart had never broadcast a program on GlobalNewsWire before.
After the denial became known, the rate quickly collapsed again. Clearly, the suspicion is that the matter was less a media-critical satire, but rather someone wanted to push the course according to the motto “pump and dump” in order to then sell. The matter is now under investigation, announced both Walmart and GlobalNewsWire. Whether the matter will also have legal consequences is still completely open at this point in time.
Cardano implemented the Alonzo upgrade
The Cardano saw a long-awaited upgrade this week: The hard fork Alonzo went live on the mainnet on Sunday. This enabled smart contract applications on the Ethereum competitor’s blockchain for the first time. The basis for a new decentralized platform has now been created, which enables numerous decentralized apps (DApp) and decentralized finance applications, Tim Harrison writes in a blog entry. At the same time, the marketing director of IOHK, the company that develops the Cardano blockchain, points out that this is just the beginning and that the real work is just beginning.
The specific date of the upgrade was announced in mid-August and triggered a price rally for the Cardano token ADA, which had meanwhile lifted the price to over $ 3. After the sharp correction on the market as a whole last week, it is now well below it again. The bottom line is that ADA has not moved much this week.
ETH destroyed for the equivalent of more than $ 1 billion
And that brings us from challenger to top dog – Ethereum. Ether has been happily burned since the London upgrade, which went live on the mainnet at the beginning of August. Background: With the implementation of the Ethereum Improvement Proposal (EIP) 1559, the fee structure of Ethereum was changed, as reported. Instead of an auction-based system, there is now a basic fee plus a surcharge if transactions are to be prioritized. And the basic fee no longer goes to the miners, but is destroyed.
Just a week after the upgrade, ethers worth $ 100 million had been withdrawn from circulation. This week the $ 1 billion mark has also been exceeded. According to figures from the Ultrasound.Money website, more than 310.00 ETH in transaction fees have already been destroyed. If you take the current rate as a basis, the ethers are the equivalent of $ 1.1 billion.
Buterin among 100 Most Influential People in the World, according to Time
And because we’re already at Ethereum: Vitalik Buterin was included in Time Magazine’s list of the 100 most influential people in the world. The Ethereum founder is in the category “innovation“And is listed there next to Nvidia CEO Jensen Huang and Tesla boss Elon Musk, both of which could also be assigned to the crypto sector in the broadest sense.
The profile about Buterin in the magazine was written by Reddit co-founder Alexis Ohanian. “One person alone could never have come up with all the possible uses for Ethereum, but it took one person to start it,” Ohanian writes. From that point on, a new world opened up – and new ways of using blockchain technology emerged.
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