News report about cryptocurrency: Week 10 & 11 - 2022
Welcome to Firi's news report! Here we go through the biggest news from and about Bitcoin, Ethereum, Cardano, Litecoin, Ripple and Dai. In addition, we show the latest price developments for bitcoin, ether, ada, litecoin, XRP and dai.
Latest news about Bitcoin
1. No major price development
Bitcoin’s volatility has been very low in recent weeks and the price is still ranging between 324,000 kroner ($ 36,000) and 405,000 kroner ($ 45,000). Apart from some quick "spikes" in the price which are quickly sold off, not much has happened in the last two weeks and at the time of writing the price sits at 396,830 kroner ($ 41,148).
2. Proof-of-work won the first battle
On Monday last week, the European Parliament's Committee on Economic and Monetary Affairs met to vote over the MiCA framework. MiCA is an abbreviation for Markets in Crypto Assets and is a framework that will regulate the crypto market in the EU. Ahead of the vote, there was great concern among all crypto-enthusiasts as the MiCA draft contained a rule that could in fact ban Bitcoin and other proof-of-work blockchains in the EU. Fortunately, this rule was voted down, and it was instead decided that by 2025 the EU will assess whether mining activity related to proof-of-work blockchains is sustainable in accordance with the EU sustainable finance taxonomy.
Due to the concerns about energy consumption, proof-of-work has been under harsh criticism from several regulators and politicians around the world. However, these concerns may seem weak when compared to data. According to a report from Frankfurt School from 2021, the Bitcoin network used 90.86 Terrawatt hours (Tw / H) of energy annually. This corresponds to approximately 0.05% of global consumption. In addition, the network is only responsible for 0.08% of global carbon emissions.
3. 14% of the companies in El Salvador have used bitcoin.
In September 2021, El Salvador made history when they became the first country in the world to make Bitcoin a legal tender. A recent study by the Salvadoran Chamber of Commerce has looked at the use of bitcoin as a means of payment among the country's businesses. 337 companies participated in the survey, where 71% were classified as micro or small companies, 13 as medium-sized companies and 16% as large companies. Of the 337 companies surveyed between January 15 and February 9, 14% had used bitcoin since its introduction. Over 90% indicated that the Bitcoin adoption in the country had had little to no effect on their sales.
Latest news about Ethereum
1. Ether stronger than bitcoin
In the last two weeks, ether has proven to be somewhat stronger than bitcoin. Since the last update two weeks ago, the price has increased by about 13% from 24 935 kroner ($2 585) to 28 000 kroner ($2 903). This may be due to the growing Ethereum 2.0 narrative and the fact that people thus want to position themselves in ETH towards the merge to proof-of-stake.
2. Number of ether held on exchanges decreases
As Ethereum's merge to proof-of-stake approaches, the number of ETH held on various exchanges also decreases. Since the beginning of 2022, 550 000 ETHs, worth 14 billion kroner, have left crypto exchanges. The massive withdrawal has resulted in the number of ether on the exchanges being reduced to 21.72 million ETH, the lowest level seen since 2018. As much as 30% of the withdrawal in 2022 came on Tuesday last week when 180 000 ETH left the exchanges.
Simultaneously with the withdrawals, we see that the number of ETH locked in the ETH2 contract has now increased to over 10 million ETH. To be a validator on Ethereum 2.0, or "Consensus Layer" as it is now called, one must lock 32 ETH in this contract and the recent increase in the number of locked ETH testifies that the owners have strong faith in price increases over the next few years
Latest news about Cardano
1. ADA has risen by 10% in two weeks
After being in free fall for many months, the ADA price has started to level out and seems to have found strong support of 7 kroner ($0.8). Since the last news update two weeks ago, the price has increased by 11% from 7 kroner ($0.8) to 7.7 kroner ($0.89).
2. More than 2 billion kroner locked in DeFi protocols on Cardano
Despite the fact that decentralized finance on the Cardano blockchain is still very young, large amounts of value have already been locked on the various protocols. After the launch of SundaeSwap and the new descendant Minswap, it has become very clear that DeFi on the Cardano blockchain will fight for its spot. At the beginning of 2022, 7 million kroner was locked in protocols on Cardano, but at the time of writing, this number has increased to as much as 2.37 billion kroner. Minswap and SundaeSwap account for the vast majority with 1.51 billion kroner and 935 million kroner, respectively.
Source: Defi Llama
Latest news about Litecoin
1. Highest Litecoin price seen in a month
On the night of Sunday, March 20th, the LTC price hit 1 040 kroner ($119), which is the highest price seen this month. Like the rest of the market, LTC has had several tough weeks and the price has now fallen by over 70% since the peak price of 3 608 kroner ($413) which was set in May 2021
Latest news about Ripple
1. XRP continues to show strength
For the past two months, XRP has been one of the stronger cryptocurrencies and this week is no exception. On January 22, the XRP hit a low of 4.72 kroner ($0.54) and since then the price has risen steadily. At the time of writing, the price is 7.08 kroner ($0.81) and thus the price has increased by 50% since the bottom in January.
Latest news about DAI
1. DAI is stable
Dai continues the fantastic job of being a stablecoin and stays stable at 8.8 kroner ($1).
Cryptocurrency: Top 5 winners
On the list of this week's top 5 winners, we find Ethereum Classic at the top, which in the last 7 days has increased by as much as 52%. Number two on the list is THORchain which was also one of the winners two weeks ago. THORchain has now increased by almost 200% since February 24th.
Screenshot taken from Coingecko
Cryptocurrency: Top 5 losers
In an otherwise relatively green week, Humans.ai is the clear loser and has fallen by 27.8% in the last seven days. Behind Humans.ai we find ECOMI which has fallen by 15.1%, Kadena with 3%, JUNO with 2.4% and Frax Share which fell 1.8%.
Screenshot taken from Coingecko
Total market capitalization for cryptocurrencies
The chart below shows the total market value of all cryptocurrencies added together. The total market capitalization of the crypto market at the time of writing is 16,018,504,460,000 kroner ($1,834 trillion).