Come every saturday Hodler’s digest helps you keep track of every single important message that happened this week. The best (and worst) quotes, introductory and regulatory highlights, leading coins, predictions, and more – one week on Cointelegraph in one link.
This week’s top stories
Hawkish Fed comments are pushing Bitcoin price and stocks back down
The crypto markets started the week with a jump.
Last Sunday, Elon Musk revealed that Tesla would be ready to accept Bitcoin as a means of payment again – as soon as it could be proven that 50% of the energy used by miners comes from clean, renewable sources.
Traders responded positively to the tweet, and there were tons of green candles. The positive sentiment helped drive Bitcoin higher $ 40,000 for the first time in over a fortnight. Unfortunately, however, it appears that prices above this level have not been sustainable.
Another wave of sell-offs got their ugly heads up days later after Federal Reserve Chairman Jerome Powell hinted that interest rates could rise in 2023 – a year ahead of schedule. Other officials went further, suggesting that the first increase could come in late 2022.
Bitcoin wasn’t the only one suffering from the sell-off. Stocks and gold fell too eat at the narrative that BTC is an uncorrelated asset.
With falling prices up to $ 35,000, there are now fears that a “death cross” could form for Bitcoin. Some traders predict that $ 32,500 could be the next stop before BTC hits the swing low at $ 30,000 again.
World Bank rejects El Salvador’s request for help transitioning to BTC
As determined as the President of El Salvador may be to make Bitcoin legal tender, a number of unfortunate events this week have shown it is harder than it looks.
The World Bank has refused to help the country with its transition, citing “the environmental and transparency deficiencies” associated with the digital asset.
While prominent bitcoiners weren’t happy with the World Bank’s refusal, it can be said that they weren’t surprised either.
One particularly sarcastic post came from Blockstream’s Chief Strategy Officer Samson Mow, who tweeted: “BREAKING: THE WORLD BANK CANNOT HELP EL SALVADOR TO DEAD THE WORLD BANK.” Meow.
Elsewhere, a Salvadoran minister denied reports that the country is examining the possibility of using Bitcoin to pay salaries, such discussions warn that it is “too hasty”.
Economists continue to warn of the potential impact of moving from El Salvador. Steve Hanke no punches drawn when he said that the implementation of this law had the potential to “completely collapse” the already fragile economy of the country.
In a cheerful tone, he said that the politicians who supported President Nayib Bukele’s Bitcoin law were “stupid,” adding: “You won’t pay for your taxi ride with a bitcoin. It is ridiculous. […] 70% of the people in El Salvador don’t even have a bank account. “
Mark Cuban calls for stablecoin regulation after Iron Finance’s “bank run”
Billionaire crypto enthusiast Mark Cuban has called for stablecoins to be regulated after losing money in a dramatic rug pull.
Iron Finance fell victim to a “historic bank run” that detailed the price of the IRON stablecoin. As a result, the value of its native TITAN token almost collapsed 100% over two days – from all-time highs of $ 64.04 to a fraction of a cent.
In an email to Bloomberg, Cuban wrote: “Even though I’ve gotten persistent, it’s really up to me that I’m lazy. The thing about DeFi games is that it’s all about revenue and math and I was too lazy to do the math to get the key metrics. “
Crypto Twitter, already tumbling from Elon Musk’s U-turn, wasn’t a fan of Kuban’s remarks.
Krakens CEO Jesse Powell said a lack of regulation wasn’t the problem, tweeted: “Not doing your own research and making a terrible investment because your time was worth your money is your problem.”
The death of NFTs? CNN, Fox, Mila Kunis (and the U.S. Space Force) don’t believe that
Earlier this month, some critics rang the death bell for non-fungible tokens after a Protos report suggested it Sales had plummeted 90% since the peak in early May. However, things may not be as bad as they seem at first glance.
Don’t forget that for now Sotheby’s is auctioning a rare CryptoPunk to the $ 11.8 million At the beginning of this month … set a new world record in the process. It’s also worth noting that there is no shortage of new NFT announcements.
Here are just a few that have popped up in the past few days. CNN said it is planned symbolize historical moments from the news. That came when Fox, another US media giant, announced it was raising a $ 100 million fund to create NFT content. Sotheby’s has confirmed that it will work auction the source code for the World Wide Web in the form of a digital collector’s item. And in order not to beat, A-Lister Mila Kunis wades into the “very male” crypto room by starting her own NFT project.
Even the much derided US space agency, the Space Force, thinks NFTs are out of this world. His tokens are literally go to the moon – in honor of Neil Armstrong, the first person to step on the lunar surface.
Given that all of these projects have the potential to spark the public’s imagination, it may be unwise to characterize NFTs as a passing fad that is fading.
“I have nothing”: Jailed John McAfee claims his crypto fortune is gone
Still behind bars in Spain while fighting extradition to the United States, antivirus software pioneer John McAfee has told his one million Twitter followers that he has no hidden cryptocurrency.
He wrote: “I wish I had, but it has been dissolved through the many hands of Team McAfee (your conviction is not required) and my remaining assets will all be confiscated. My friends disappeared out of fear of the union. “
And on a defiant note he added: “I have nothing. Still, I have no regrets.”
A Spanish court will decide within a few days whether McAfee will approve the extradition. The businessman is accused of tax evasion and the failure to declare income from paid crypto promotions, advisory activities and profits from his investments.
During a trial earlier this week, he claimed the charges against him were politically motivated – and that if he were flown to the United States, he would die behind bars.
Winner and Loser
At the end of the week, Bitcoin is at $ 35,702.06, Ether at $ 2,228.54 and XRP at $ 0.79. The total market capitalization is $ 1,496,219,684,262.
Among the top 100 cryptocurrencies are the top three altcoin winners of the week quantity, XinFin network and Theta fuel. The three biggest altcoin losers of the week are Kusama, Internet computer and Decreed.
For more information on crypto pricing, be sure to read Market analysis by Cointelegraph.
The most memorable quotes
“[Crypto is] the first really new asset class in around 150 years. “
Ric Edelman, Founder of Edelman Financial Engines
“While [El Salvador’s] The government has asked us for support with Bitcoin, the World Bank cannot support this in view of the environmental and transparency deficiencies. “
“For new investors, it’s best to buy when the market is well below trend. Now is one of those times. “
Dan Morehead, CEO of Pantera Capital
“There is little risk that the #dollar will depreciate in value compared to similarly depreciating currencies, which means that diversifying into stores of value like #Gold and #Bitcoin is simply a prudent move in our view.”
Mike McGlone, Bloomberg Intelligence senior commodity strategist
“Michael Saylor is clearly focused on a long-term investment strategy rather than short-term gains or losses. Jeopardizing corporate debt is risky, but of course it could also result in massive returns. “
Kadan Stadelmann, Komodo Chief Technology Officer
“You won’t pay for your taxi ride with a bitcoin. It is ridiculous. […] 70% of the people in El Salvador don’t even have a bank account. “
Steve Hanke, Economist
“If more people buy cryptocurrency than invest in an exchange ISA, one has to conclude that the world has gone crypto-crazy.”
Laith Khalaf, AJ Bell financial analyst
“From my point of view, it looks like the floor is in.”
Jurrien Timmer, Fidelity Investments Director Global Macro
“While Musk is temporarily causing turmoil in the market, his involvement in crypto could be beneficial in the long term as he attracts new people to crypto, albeit for sometimes wrong reasons.”
Erik Nurm, CoinSwap founder
Forecast of the week
Even Elon Musk can’t save Dogecoin from falling another 60%, the analyst claims
A dreaded “head and shoulders” pattern has surfaced on Dogecoin’s charts – and, according to one analyst, this suggests that the price of the meme coin may fall another 67%.
The pseudonymous trader Tyler Durden claimed in a tweet that a fall on $ 0.05 is “programmed” and adds: “Even Elon cannot save that with his tweets. He tried and each time he just got a different lower high. ” Sip.
With prices falling down now $ 0.30, DOGE is a far cry from the all-time highs of $ 0.73 seen in the first week of May – the climax of a breathtaking 15,000% increased since the beginning of the year.Interest in the joke cryptocurrency is now dropping on several metrics, suggesting that Doge may have had its day.
FUD of the week
Scammers send fake hardware wallets to victims of ledger data breaches
The consequences of Ledger’s major data breach can still be felt almost a year later.
A victim of Reddit claimed he received a fake Ledger Nano X wallet in the mail – wrapped in what appeared to be authentic packaging.
The device was accompanied by a poorly written letter, allegedly from Ledger’s CEO, warning that “You must switch to a new device to stay safe.”
Worse still, they also received a fake manual asking them to enter their private ledger recovery phrase to connect their cryptocurrency wallet to the new hardware.
Crypto fan tokens are a mixed bag for football fans with disabilities
Not everyone is a fan of soccer fan tokens it seems.
Organizations representing football fans in England and Wales have accused teams of “trying to squeeze extra money out of fans” – only to give them a cosmetic say in running clubs.
Fan token value collapsed along with the rest of the crypto market after it peaked in April and May. This volatility, combined with rising game day costs in general, has left some fans feeling like their voice is not being heard.
Sue Watson, Chair of the West Ham United Independent Supporters Association, asked: “Why should you have to pay to have a say in the club?”
This unknown cryptocurrency rose 164.842% in hours, only to crash 99%
over $ 7.65 billion entered the cryptocurrency market in just three hours on Monday via a largely unknown altcoin.
WebDollar (WEBD) rose from $ 0.0003711 to $ 0.6121 in just three hours – a 164.842% increase in market valuation.
Over a period of five minutes, the market capitalization went from $ 1.84 million to $ 1.5 billion. It had fallen back on $ 5.12 million 40 minutes later. And 50 minutes later it rose again with a vengeance – and hit a breathtaking one $ 9.5 billion.
At one point, WebDollar was the 18th largest cryptocurrency in the world by market capitalization, outperforming Stellar, VeChain and Tron.
It shouldn’t last. Two hours after painting $ 9.5 billion, it crashed by more than 99%, whereby his ranking quickly drops to no. 873.
Best Cointelegraph Features
An enrichment for all classes: What you can expect from Bitcoin as legal tender
New technology that lowers the cost of international payments would be “a boon to poor countries that rely on remittances” – but will BTC as legal tender fix that?
Entry into the ranks: Bitcoin’s correlation with gold and stocks is growing
BTC used to be an uncorrelated asset, but that is no longer the case. What can gold and stocks say about the crypto markets?
Bullish all the way? MicroStrategy doubles its Bitcoin bet
MicroStrategy’s latest bond offering targets a yield of 6.25% to 6.5% – well above an average junk bond yield of 4.01%.