Another week, another attempt to break higher finds resistance.
Bitcoin (BTC) entered the week above USD 12,000 only to retreat below that key level as alternative currencies continue to rise and fall.
At the same time, it seems that the well documented problems at Ethereum have reached it faster than the block chain can confirm the trades at this point.
Bitcoin price reaches a 13-month peak at $12,200, settling $22 million in short contracts
Everything that goes up has to come down
This mantra is becoming increasingly popular as Bitcoin Era rises above a key level only to retreat. This time, BTC went above USD 12,000 for the first time this year only to fall to around USD 11,800.
Unlike last week, profit taking wasn’t the only cause, as Chainlink (LINK), which has soared for most of the year, became the latest victim of a sudden drop.
Shortly after passing the USD 20, LINK dropped dramatically by 25% in less than a minute as the subsequent cascade of margin calls linked to various trading strategies gradually filtered through the market and dented overall market sentiment. No one was spared from the carnage, not even the all-powerful digital gold.
3 reasons why Bitcoin’s price fell to $11,600 and why it was not a surprise
Despite this disappointing development, optimists in the cryptosystems should take solace in the fact that Bitcoin is still experiencing higher highs and lower lows, an indicator of rising sentiment. And, some profit reserve after an asset passes pricing milestones is normal, if not expected, and evidence of an orderly and perhaps maturing market.
GMO token soars after Ethereum congestion worsens
A little-known token attached to the GMO network protocol has outperformed almost any other listed asset this year. To date, OMG Coin has risen almost 500% as it joins the growing ranks of projects that are getting rid of ETH’s leadership as the dominant cryptomone currency apart from Bitcoin.
Data show that the total value locked in DeFi is overestimated by $2.83 billion
More and more projects are being seriously considered by individuals and companies alike, as gas tariffs continue to skyrocket and the Ethereum block chain continues to crunch and sizzle under the weight of congestion from the decentralized finance platforms (DeFi) that clog the pipes.
As a reminder, OMG Network can take USDT transactions out of the chain. The idea is to allow USDT deposits and withdrawals on the OMG Network, which will reduce confirmation times, make payments faster and reduce transaction costs with the same level of security as Ethereum.