The cryptocurrency market started off in Asia on a cautious note, with Bitcoin hovering around $29,300. The world’s largest crypto by market cap had its rally interrupted amid concerns over the US central bank’s recent decision to hike interest rates by 25 basis points. Despite fluctuations, Bitcoin, ironically, has been seeing some of the lowest volatility rates. According to the CEO of FRNT Financial, Stéphane W Ouellette, these periods of reduced volatility often prelude significant price swings, often in the upper direction. However, this remains purely speculative.
Meanwhile, interest in Ethereum‘s zero-knowledge scaling solution, ZkSync Era, seems to be on the rise, evidenced by an impressive increase in daily active addresses. While there’s substantial speculation regarding a potential airdrop, no official announcement has been made. It highlights how such possibilities can stimulate on-chain activity, taking ZkSync Era’s daily active users from approximately 189,000 to roughly 305,000 since early July.
Noteworthy increases were also observed for OGN (Origin Protocol’s token) and SOL, the native crypto of smart contracts platform Solana. Amid these positive turns, meme-coin DOGE took a near 4% hit after a double-digit rise on the previous Singapore trading day.
This series of events unfolded as Federal Reserve Chairman Jerome Powell reiterated the bank’s openness to further rate hikes, throwing markets and struggling business establishments into uncertainty. Nonetheless, it’s a typical economic tool to keep inflation in check, even if the repercussions might not sit well with everybody.
On a final note, the advent of new legislations aiming to define the conversation around digital asset usage and a potential ‘existential crisis’ facing the Cosmos Blockchain Project – a network designed for interoperability, highlight the continuously evolving crypto landscape. Yet, it is also ironic that despite these murmurings of uncertainty, bitcoin miners are loading up on next-gen mining rigs in anticipation of the next Bitcoin halving.
In conclusion, the crypto market is a dynamic organism operating on a nuanced set of variables. From external factors like economic policy changes and legal frameworks to internal dynamics like token speculation and trend changes, it continually evolves, representing both opportunities and challenges.
Source: Coindesk
