Why Are Altcoins Struggling More Than Bitcoin and Ethereum? | Weekly News Recap
GM. Everything is down last week. Yes, including Bitcoin and Ethereum. The difference is that the two dominant cryptocurrencies are only down 10% – 15% while the rest are down 40% and above. Why is that?
That, and more news in today’s news recap!
Market Updates 📈
Here are the crypto highlights of the week:
- Bitcoin is down 4.7% vs the previous seven days, now at $63,204.
- The weekly top gainer in the top 200 coins is is NON-PLAYABLE COIN ($0.025), up 36%.
- The weekly top loser is MAGA ($6.91), down 40%
- Noteworthy: Recently launched LayerZero went up to $4.57 but it currently down to $2.82 and continues to decrease.
Feature Story: Why are Altcoins Down More than Bitcoin and Ethereum
Altcoins like SOL, AVAX, APT, and SUI have plummeted 40% to 70% recently, while BTC and ETH are down only 15% from their yearly highs.
What’s the significance: This indicates a severe downturn for smaller cryptocurrencies, impacting investors heavily as major digital assets remain relatively stable.
- The crypto market is consolidating after a significant rise, but this correction is harsher for altcoins, reflecting a broader trend of declining investor confidence in these assets.
By the numbers according to Coindesk,
- SOL and AVAX: Down 40%-50%
- SUI and APT: Down 60%-70%
- BTC and ETH: Down 15%
Why are all the other coins down more than Bitcoin and Ethereum? The publication noted the following factors:
- Continuous token unlocks are dilluting supply.
- Venture funds are selling off their investments.
- There is a lack of fresh capital inflows.
Notably, venture capital funds are under pressure to liquidate holdings due to investor demands and shifting interest towards newer technologies like AI.
What to watch next: Monitor upcoming token unlock schedules and market reactions, as well as the performance of newly launched tokens and airdrop programs.
Also, while crypto is risky, the safest in this risky category of assets remain to be Bitcoin and Ethereum.
Weekly Recap: Local Crypto News 🇵🇭
- DICT wants to bring back transparency and accountability in government using blockchain.
- Blockchain Council of the Philippines welcomes new advisory board, new members, and details plans for the year.
- Coins has now listed 90+ tokens on its platform.
- Tether and Coins.ph co-hosted a workshop for banks and fintechs focused on “Leveraging Stablecoins for Financial Transactions.”
- PDAX unveils limit order feature.
- Ownly progresses on NodeKey NFT contract for “ownchain” launch and prepares to introduce an affiliate program.
- Coinex Charity recaps Blockchain Campus Conference.
- NFT artist Sevi Agregado, Ownly’s Ismael Jerusalem, and XOVOX Labs’ EL Bonuan successfully led an NFT minting workshop with the Rotary Club of Makati.
- Members of the Superteam Philippines attended the Solana Summit APAC in Malaysia.
Educational Corner 🎓
This week, we continued to see trends on Telegram games, and also wrote a short essay about it.
Guide Articles:
- Short primer on Pixelverse.
- Guide for Pirate Nation
- Beginner crypto investors should check out the summary of BitPinas Webcast 51 on portfolio diversification and investment strategies.
How to keep your assets protected:
- 6 Essential Security Tips for Protecting Your Crypto Assets
- How to Protect Your Bitcoin Assets from Fraud
Regulation Watch 📜
Stay informed about the latest regulatory updates from here and around the world and what they mean for you:
- The U.S. SEC refused to lower fines for Ripple in their ongoing dispute.
- Nigeria is dropping tax charges against Binance executives.
- A BIS survey revealed that two-thirds of central banks are developing cryptocurrency regulations.
- Taiwanese crypto firms have formed the Taiwan Virtual Asset Service Provider (TVASP) association.
- Receita Federal, Brazil‘s tax authority, plans to tighten regulations on foreign cryptocurrency exchanges.
- South Korea‘s upcoming law on virtual asset user protection.
- Canada’s Coinbase director highlighted Canadian lawmakers lack engagement with the crypto industry.
- India’s Financial Intelligence Unit ordered Binance to pay $2.25 million.
- Italy is set to enforce stricter crypto regulations.
- The U.S. Commodity Futures Trading Commission is investigating Jump Trading’s involvement in crypto activities.
- A California judge has ruled that a securities lawsuit against Ripple CEO Brad Garlinghouse will proceed to trial.
- The U.S. Treasury Department has flagged that Mexican cartels are increasingly using cryptocurrencies.
Community Spotlight 🔦
Meet Henry Banayat: He is the Director of Business Development at BLINC.
- He has expertise in blockchain solutions, web development, IT education, and various business fields.
- He is also a frequent guest on the webcast and BLINC also sponsors rewards for its viewers.
At the Scene 📍
On the ground activations and more.
- YGG Roadtrip in Bacolod.
- Blockchain Council of the Philippines general meeting.
- Bicol Blockchain Community hosts Sky Mavis.
- Axie Infinity media day.
More Web3 and AI News 💡
Discover the latest in web3 and AI innovation.
- Almost half of airdropped ZKsync tokens are claimed in two hours.
- Polkadot community is backing JAM overhaul.
- Convex Finance token surges 100%.
- HashKey Group plans to list its platform token, HSK, in Q3 of this year.
- Linkedin rival Bondex raised over $10 million.
- Marathon’s Layer-2 chain called Anduro plugs in ‘Portal to Bitcoin’ for Atomic Swaps.
- Arbitrum market cap has grown but ARB token at all-time low.
- TIME is Fox Corporation’s first external publishing partner on its Polygon-based Verify protocol.
- Crypto hedge fund Pantera Capital plans to invest over $200 million into AI-adjacent crypto projects.
- Black founders are creating chatbots like Latimer.AI and ChatBlackGPT to diversify AI perspectives, aiming to counter Eurocentric biases.
Web3 Gaming Section 🎮
The future of web3 is gaming, and here are the latest news.
- Ton blockchain surges above $600 million TVL (total value locked).
- Heroes of Mavia is integrating Mavia token into the gameplay
- XAI adoption propels its TVL to all-time high.
- Maincard.io launched its web3 sports fantasy card game on the TON blockchain mainnet.
- In Q1 2024, 97,000 unique addresses interacted with games on the Tezos blockchain.
- Pixels launches Chapter 2.
- Sky Mavis unveils Layer 2 solution.
- Pirate Nation launches $PIRATE staking.
- Sonic secures $12 million to expand Solana’s gaming ecosystem.
- TZ APAC launches gamified rewards program.
- Injective partnered with DEGA to enter the web3 gaming market.
- Readygg collaborated with Open World Now (OWN) to integrate web3 gaming at their Valencia-based phygital festival.
Last Week on the BitPinas Webcast 📺
We talked with Icesteam Jimenez of IMPACT – Innovative Movement of the Philippine Association of Crypto Traders to discuss tips on how to safeguard crypto assets from malicious threats.
The Webcast 53 is the 4th episode of BitPinas’ Crypto Beginner Guide Series.
Upcoming Event 📅
- Decked Out: Art Reimagined: June 27-29, 2024
- 1st COINMunity AMA IRL: June 29, 2024
- Ethereum Meetup Cebu: July 7, 2024
- BitcoinCash Revolution (Cebu): July 7, 2024
Noteworthy 🌟
Key updates and announcements from around the crypto and blockchain world:
- Tether has launched a new synthetic digital asset called aUSDT, backed by physical gold stored in Switzerland.
- DRiP Haus, the Solana creator platform, plans to launch its mobile app in July for Android and iOS.
- Memecoins destroyed by market downturn.
- Coinbase Advanced will be offering pre-launch token trading.
- Tether debuts new synthetic dollar backed by tokenized gold.
- Ripple CEO Brad Garlinghouse revealed in an interview that Ripple is partnering with about 10 governments worldwide on central bank digital currencies (CBDCs).
- Kraken discloses it was exploited for nearly $3 million in bug that is now fixed.
- Martin Shkreli says he is behind the Donald Trump-linked DJT coin.
- Bernstein anticipates increased institutional adoption of Bitcoin and crypto stocks, with spot Bitcoin ETFs expected to be approved by major financial institutions in late 2024, and predicts Bitcoin could reach $200,000 by 2025, $500,000 by 2029, and $1 million by 2033.
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