Major coins traded mixed on Sunday evening as investors continued to speculate on upcoming regulatory challenges.
What is happening. the long-awaited Ethereum Shanghai update is only a few days away, and it's already making a lot of noise. But despite the expansion, there is no pressure to sell. This is mainly due to the fact that many Ethereum ETH/USD stocks are currently losing money.
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According to a research report published by CryptoQuant in February, a significant portion of the total ETH is subject to losses. The analysis shows that the average ETH holder who shares the digital asset is currently facing a loss of 18% of their total holdings.
At the time of writing, the cryptocurrency's market cap has increased by 0.37% over the past day to $1.19 trillion.
Technology stocks capped a short trading week ahead of the long weekend, lifting the S&P 500 on Thursday. Despite signs of easing in the labor market, the market's S&P 500 ended higher by 0.36%. The Nasdaq Composite , which focuses on technology companies, outperformed the S&P 500 with a gain of 0.76%.
A flaw in the popular decentralized exchange SushiSwap's smart contract led to the illegal withdrawal of nearly $3.3 million from Ethereum. The problem, as analyzed by cryptocurrency analysis firm PeckShield , relates to the contract approval process associated with the latest update that went into effect a few weeks ago.
The analyst notes: “ Bitcoin largely unchanged on farm payrolls report. It looks like crypto traders are gearing up for a long weekend as the consolidation phase continues as Bitcoin remains stuck in a range. It needs a light business number to trigger a market reaction. That's not what happened today. Regardless, Bitcoin still has the potential for a big move in the coming weeks. Option volume is at a record high, interest is growing, and if we get positive developments, that could increase institutional interest.” OANDA's Chief Market Analyst Edward Moya says:
Ben Kazelin, Vice President of Dubai Crypto Exchange MaskEX, said: “Due to the long weekend, the crypto market was flat with marginal fluctuations in BTC and ETH prices. This week, the regulatory pressure on the crypto market from Binance could. shake things up and investors should follow this evolution. they will be watching closely."
“The Ethereum blockchain Shanghai update will continue to create buzz in the market as it is the most anticipated event since the Ethereum merger. BTC may be entering the early stages of a bull run as we approach Bitcoin's May 2024 halving.” "However, this boost will be temporary" but could be significantly eroded if macroeconomic factors worsen.
Cryptocurrency analyst Michael van de Poppe said that Bitcoin BTC/USD is currently consolidating at an important support level and has a chance to rise above $28,500. He predicts that if Bitcoin tests the decisive resistance level between $28,600 and $29,000, it could lead to a significant breakout. "More importantly, confidence is returning to the markets, so you will see more Altcoins emerge."
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