The landscape for altcoins appears notably bleak, with most experiencing consistent declines since March and with bitcoin’s dominance escalating, it diminishes the likelihood of a resurgence altcoin run-ups. On June 20, the X account ‘Altcoin Sherpa’ highlighted two prerequisites for an ‘Altcoin Season’ to emerge. Crypto Analyst Altcoin Sherpa Foresees Challenging Times for Altcoins The […]
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TRON DAO Announces HackaTRON Season 6 Qualifiers
PRESS RELEASE. Geneva, Switzerland, June 11, 2024 – With HackaTRON Season 6 coming to a close, the TRON DAO team, alongside HTX DAO, BitTorrent Chain (BTTC), and JustLend DAO hosted a series of innovations that has taken the blockchain landscape by storm. This season, participants redefined the digital landscape across multiple tracks. Web3, DeFi, Artistry, […]
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Bitcoin Enters Dreaded ‘Chop Season’ – What Does This Mean For Price?
Crypto analyst ShardiB recently revealed that Bitcoin has entered ‘chop season.’ This is significant as it could be a while before the flagship crypto finally archives that breakout, which will send it to new all-time highs (ATHs).
How The Chop Season Will Affect Bitcoin’s Price
While revealing that Bitcoin was about to enter the chop season, Shardi B hinted that the season would be filled with more sideways movement for the flagship crypto. The analyst made reference to the fact that BTC has continued to attempt to break out of its current range but has failed on every attempt so far.
The crypto analyst claimed this would continue to be the top coin’s reality for a few more months, heading into the chop season. The analyst suggested it might be best to buy Bitcoin now and “hold and enjoy life for a few months while not getting chopped out.”
Indeed, the flagship crypto has maintained a tepid price movement since the halving event as it continues to consolidate. Bitcoin has also failed to hold ,000 as support every time it has broken above that level for a while now. Crypto expert Michael van de Poppe mentioned that the crypto successfully breaking out of this range is what will kickstart the Bitcoin bull run and send it to new ATHs.
Crypto analyst Rekt Capital also echoed a similar sentiment as he suggested that Bitcoin is one breakout away from entering the parabolic phase of this market cycle. Interestingly, the crypto analyst laid out a narrative where BTC could enter this phase this week, stating that a weekly close above ,000 “would alter the course of history.”
However, that seems unlikely, as Bitcoin is currently on a downward trend, having dropped to as low as ,000 in the last 24 hours. Rekt Capital added that previous cycles indicate that Bitcoin is still several weeks from entering this parabolic phase.
Meanwhile, Arthur Hayes, the co-founder and former CEO of BitMEX, suggested this chop season would last until August while predicting that Bitcoin would continue to range between ,000 and ,000 until then.
Bitcoin Breakout Could Be Closer Than Expected
Crypto analyst Mikybull Crypto suggested in a recent X (formerly Twitter) post that Bitcoin’s breakout could happen sooner than expected. This came following his remarks that Bitcoin has displayed a broadened wedge on the daily chart and that the “breakout is closer than you think.”
He claimed that ,000 is the breakout target for Bitcoin.
Crypto analyst BitQuant also suggested that a breakout is imminent, stating that Bitcoin is about to make a “big move, which could start at any moment.” He claimed that the flagship crypto is following the same pattern as in February and March when it hit its current ATH of ,000. The chart he shared showed that Bitcoin could rise to ,000 when this move happens.
Featured image from Getty Images, chart from TradingView
Altcoin Season Soon? Quant Says This Ethereum Pattern Could Suggest So
A quant has explained how a pattern currently forming in the Ethereum Open Interest could imply the altcoin season is coming “sooner than expected.”
Altcoin Season May Be Approaching Soon Based On Ethereum Pattern
In a CryptoQuant Quicktake post, an analyst has discussed about why an altcoin season may be coming soon for the cryptocurrency sector, based on a trend taking place in a couple of Ethereum and Bitcoin indicators.
The first metric of relevance here is the “Open Interest,” which keeps track of the total amount of derivatives positions related to a given asset currently open on all centralized exchanges.
When the value of this metric goes up, it means the speculators are opening up fresh positions for the coin right now. On the other hand, a decline implies the users are either closing up their positions of their own volition or getting forcibly liquidated by their platform.
Now, here is a chart that shows how the trend in the Open Interest has compared between Bitcoin and Ethereum over the past year:
As displayed in the above graph, the Bitcoin Open Interest has been moving more or less sideways recently, while at the same time, the metric has registered growth for Ethereum.
This would suggest that ETH has been seeing more appetite for derivatives market contracts than the original cryptocurrency recently. One of the driving factors behind this could be the news cycle related to the approval of the spot exchange-traded funds (ETFs) for the asset.
In the same chart, the quant has also attached the data for another indicator: the Estimated Leverage Ratio (ELR). This metric measures the ratio between the Open Interest and the Exchange Reserve for any asset. The latter is naturally the total amount of the coin that’s currently sitting in the wallets of all centralized exchanges.
The ELR basically provides us with information about the amount of leverage that the average user in the derivatives market is opting for right now. From the graph, it’s visible that this ratio has seen a surge for Ethereum recently but has been showing flat action for Bitcoin.
Thus, it would appear that not only has ETH been seeing more speculative interest than BTC recently, but also these users opening contracts are going for higher risk as they are taking on more leverage.
The analyst believes that the fact that Ethereum has overtaken Bitcoin in these indicators could be a potential sign that an altcoin season may be approaching soon.
“If Ethereum’s price continues to consolidate in the current range, it’s very possible that the altcoin season will start sooner than expected,” notes the quant. It now remains to be seen how things play out in the market in the near future, given this shift of trend.
ETH Price
After seeing a slowdown earlier, Ethereum has been back on track in the past couple of days as its price has now climbed back above the ,900 level.
Despite Ethereum ETF Approvals, ‘Altcoin Season’ Remains Far Off
While the U.S. Securities and Exchange Commission (SEC) has approved several spot ethereum exchange-traded fund (ETF) 19b-4 filings, and ether alongside numerous digital assets have experienced double-digit increases over the past week, the much anticipated ‘altcoin season’ has not yet arrived. In fact, according to the Altcoin Season Index, the likelihood of such a season […]
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Season of the Meme Coin: Unconventional Cryptos Dominate 3-Month Gains
Over the past 90 days, bitcoin has appreciated by 23.4%. However, eight other cryptocurrencies have demonstrated significantly larger gains, each recording triple-digit increases over the same period. 90-Day Trends Propel Niche Tokens to New Heights Statistics from the past week show lackluster performances for cryptocurrencies against the U.S. dollar. Yet, over the past 90 days, […]
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EigenLayer Launches Airdrop Season, Allowing Users To Claim 113M EIGEN Tokens
Restaking protocol EigenLayer has unveiled its highly anticipated airdrop season, during which eligible users can claim a portion of the initial EIGEN token supply.
EigenLayer Sets September 2024 Deadline
The protocol’s announcement on Friday revealed that “Season 1” commences with 6.05% of the total supply, which users can claim starting on May 10.
Moreover, “Season 1 phase 2,” set to begin mid-June, will increase the claimable percentage to 6.75%. Season 1 will distribute approximately 113 million EIGEN tokens to participants. EigenLayer has reserved 15% of the initial token supply for the community across all seasons, signaling its commitment to inclusive participation.
EigenLayer has also announced that EIGEN tokens are currently non-transferable. However, the protocol plans to unlock token transfers once new features are launched and “further decentralization” is achieved.
These developments are expected to take place by September 30th, 2024. Until transfer restrictions are removed, core contributors and investors will not receive EIGEN staking rewards, and no inflation will occur.
Record-Breaking Billion In Assets
Since its soft launch in 2023, EigenLayer has reportedly attracted billion in assets, making it a prominent player in the decentralized finance (DeFi) space.
According to Bloomberg, the protocol’s restaking service offers amplified returns by leveraging the process of depositing ETH coins to support the Ethereum blockchain. Eigen Labs, the Seattle-based firm behind EigenLayer, raised approximately 5 million from notable backers, including a16z Crypto.
Investors gain access to EigenDA by staking EIGEN, a performance data availability system supporting Ethereum rollups. The protocol claims this presents an opportunity for users to secure amplified returns.
Additionally, EigenLayer will shortly introduce compatibility with various AVSs (Application-Specific Verification Systems), offering stakers more options.
Nonetheless, virtual private network users and residents of countries such as the US, Canada, and China have been excluded from the airdrop, highlighting the challenges of operating within regulatory frameworks and ensuring compliance. Eigen Foundation’s executive director, Robert Drost, acknowledged the complexities of navigating regulatory guidelines:
It’s not possible to operate in the space without following regulatory guidelines and being responsible, and the challenging part is that there is not a lot of clarity.
Despite these setbacks, EigenLayer’s popularity has positioned it as the second most popular DeFi application, surpassing liquid staking platforms like Lido and Rocket Pool.
While liquid staking provides easier access to staking rewards and leads the DeFi category, it has experienced significant outflows in recent months. DefiLlama data indicates a 27% decline in total value locked in liquid staking protocols since their peak of billion in March. EigenLayer’s restaking service has contributed to the restaking of nearly 4% of all ETH.
The second largest cryptocurrency on the market, Ethereum, is trading at ,890, following Bitcoin’s lead with a 3.8% drop in the past 24 hours.
Featured image from Shutterstock, chart from TradingView.com
Contrary to Crypto Influencer Hype, Data Reveals ‘It is Not Altcoin Season’
Over the past 90 days, while bitcoin has shown steady performance, 19 other cryptocurrencies have outpaced the leading digital asset in terms of price growth. However, the Altcoin Season Index, which measures the performance of these cryptocurrencies against bitcoin, has dropped from 59 to 39 since early April, signaling that an altcoin season is unlikely […]
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TRON DAO Reveals Exciting Updates to Sponsor and Judge List for HackaTRON Season 6
PRESS RELEASE. Geneva, Switzerland, March 28, 2024 – HackaTRON Season 6, co-hosted between TRON DAO, HTX DAO, BitTorrent Chain, and JustLend DAO, introduces an exciting lineup of new sponsors, partners, and judges. Showcasing HackaTRON Sponsors Diamond Sponsors: Ankr: Specializing in decentralized infrastructure services for DApp development, Ankr supports the seamless integration and deployment of blockchain […]
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Dune Integrates the TRON Network and Joins HackaTRON Season 6 as a Partner
PRESS RELEASE. Oslo, Norway, March 27, 2024 – Dune, a web-based platform that allows users to query public blockchain data and create it into interactive live dashboards, has officially integrated the TRON network, a high-performance blockchain known for being the home of Web3. This collaboration marks a significant milestone in increasing coverage of accessible data […]
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