Crypto Market In Decline, Here's Why
Overview:
On April 29, the cryptocurrency market witnessed a downturn, with the total market value dropping by 2.82% to $2.23 trillion. Bitcoin, the largest cryptocurrency by market value, decreased by 1.84% to $61,940, while Ethereum, the second largest, traded around $3,155 after a 3.28% drop.
Reason Behind the Crypto Market Downturn:
The decline in cryptocurrency market valuation follows the Depository Trust Company’s (DTC) decision not to recognize crypto-linked exchange-traded funds (ETFs) as collateral for credit limit facilities. Credit limits are crucial for facilitating the clearing and settlement of transactions, ensuring smooth operations even during temporary liquidity shortages.
As DTC manages the contract process for securities transactions, its decision impacts the liquidity and operational flexibility of financial institutions dealing with crypto-linked ETFs. Market analyst Sakuzi noted that this decision could prompt other major companies to impose similar rules, further impacting crypto markets and complicating the use of crypto as collateral.
What to Expect in the Crypto Market?
The market downturn coincides with outflows from U.S.-based spot Bitcoin ETF funds since April 24, totaling $421.8 million and corresponding to a 4.75% drop in the crypto market value. This trend suggests a cautious approach from investors, reducing their exposure to risk.
Investors' cautious stance is influenced by disappointing U.S. economic performance against stable inflation in Q1 2024. This may lead the U.S. Federal Open Market Committee to consider a higher interest rate policy at its May 1 meeting, causing concern for investors and institutional investors in risky assets like crypto in the near future.
But Solana, Arbitrum, and Milei Moneda show maximum bull run gains
Solana (SOL):
- SOL has experienced significant growth, rising by 1541% since its lowest point in 2023, largely attributed to the surge in Solana memecoins.
- Despite a price correction that briefly saw SOL fall below $130, it has rebounded, with top Solana-based meme coins like WIF and BONK also experiencing substantial gains.
- Analysts predict further upward momentum for SOL, with a potential surge to $435.99 during the upcoming bull run.
Arbitrum (ARB):
- ARB is currently 38% below its price a year ago, partially due to regular token unlocks that have kept its price suppressed.
- However, ARB has gained ground during recent rallies, and analysts suggest it could benefit from the post-Halving bull run.
- With a modest 10% gain in the past week, ARB is predicted to potentially reach $5.38 in the 2024 bull market.
Milei Moneda (MEDA):
- MEDA has gained popularity due to its lucrative presale, with Stage 1 investors already experiencing a 25% profit.
- The presale is currently in Stage 2, offering MEDA at $0.0125, with Stage 2 participants expected to make a 60% profit upon launch.
- Analysts believe MEDA has the potential to become a top meme coin in the upcoming bull run, citing factors such as its relatively small supply and plans for supply burning.
- The project's commitment to security measures like smart contract audits and locked liquidity enhances investor confidence in MEDA.
In conclusion, Solana, Arbitrum, and Milei Moneda are all poised for potential gains in the 2024 bull market, driven by different factors unique to each cryptocurrency. Investors are advised to conduct their own research before making investment decisions.
And Here's 8 Cryptos to Explode in 2024
Introduction:
These coins have potential for significant growth in the cryptocurrency market in 2024, with Bitcoin halving underway and the market approaching another potential all-time high. Traders are presented with substantial buying opportunities, but not all cryptocurrencies are expected to perform equally.
Dogeverse:
- Dogeverse, a leading memetic innovation project, raised over $12 million in its presale.
- It aims to launch on six smart contract-enabled blockchains to unify meme coin communities.
- The project's multichain approach and staking mechanism are expected to bolster its long-term potential.
Near Protocol:
- Near Protocol focuses on interoperability and AI, allowing users to interact with decentralized applications from any blockchain.
- The recent launch of Hot Protocol on Telegram's platform has contributed to its recent strength.
- Plans to hire machine learning engineers indicate the project's commitment to innovation.
Wiener AI:
- Wiener AI combines AI technology with the meme coin sector, offering a unique investment opportunity.
- The project's presale offers significant rewards through staking mechanisms.
- The convergence of AI and meme coins is expected to attract both casual and experienced investors.
Ondo:
- Ondo is a real-world assets protocol connected to traditional finance players, with its governance token, ONDO, already available on exchanges.
- The project aims to improve market efficiency, transparency, and accessibility in the financial sector.
- Milestones like surpassing $200 million total value locked (TVL) and investment from BlackRock contribute to its market interest.
Mega Dice Token:
- Mega Dice, a leading cryptocurrency casino, has launched the Mega Dice token to provide value to existing players and attract new ones.
- The token offers daily rewards, limited edition NFTs, and access to exclusive features.
- The ongoing ICO presents an opportunity for investors to participate in the project's growth.
Kaspa:
- Kaspa is a frontrunner in peer-to-peer transactions, offering unparalleled security, scalability, and decentralization.
- The project's GhostDAG architecture addresses the blockchain trilemma, retaining principles pioneered by Bitcoin.
- Analysts express confidence in the project's potential for significant growth.
99Bitcoins Token:
- 99Bitcoins, a leading crypto media outlet, introduces a Learn-to-Earn platform and a new presale cryptocurrency, 99Bitcoins token.
- Users earn $99BTC as they learn about cryptocurrency, intertwining platform demand with token demand.
- The token's utilities and endorsement by industry experts contribute to its potential success.
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