Home » Crypto Market Rebounds: Bitcoin Reclaims $20K as Ether Breezes Past $1,500

Crypto Market Rebounds: Bitcoin Reclaims $20K as Ether Breezes Past $1,500

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Ethereum’s token was one of the best performing crypto assets on Wednesday, posting double-digit profits in the last 24 hours at press time.

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Ethereum (ETH) Target Closes Above $1,500

The major altcoin followed a decent rally above $1,500 during Tuesday’s late trading session against general fears of falling below the $1,250 support. Observed to be traded. It was up about 14% on the day and up about 18% over the past seven days. The Ether bulls are keen to rise above this mark. This is our first revisit since the post-merger hype waned.

ETH/USD trading chart.Source: Messari

On-chain metrics (long-to-short ratio and 25% delta skew) showed positive signs as early as two weeks ago as many of the traders were opening long positions at the time. Coin Telegraph report.

Bitcoin Rises Again, But Bulls Not Likely To Maintain Momentum

Bitcoin is also trading on the green, surpassing $20,000 for the first time since October 7. At the time, it was on a correction course after meeting resistance at $20,400. The flagship cryptocurrency is heading for resistance above this price level and is currently trading at $20,590. But it’s unlikely Bitcoin will be able to sustain its latest rally, as it already showed weakness when it briefly bounced back earlier today.

Cardano (ADA), Solana (SOL) and Avalanche (AVAX) have also made positive moves over the period, rising 10.92%, 10.03% and 7.91% respectively. Meanwhile, Messari’s data show that the sector’s total market capitalization is on the cusp of over $1 trillion, and has already surpassed its previous peak in October of $975 billion. This broader rally in risky assets, also seen in parallel rallying stock markets, weak dollar General mitigation in the macro environment. In fact, the S&P 500, Dow Jones and Nasdaq Composite have been growing since the beginning of the week, up 4.40%, 4.52% and 4.87% respectively over the past five days.

After more than two weeks of subdued action from macroeconomic shocks and strains, the latest volatility has brought relief and pain to market participants alike.

Midweek rally pushes liquidations to 3-month high

According to Coinglass data, more than 122,524 traders have been liquidated in the last 24 hours, with a total liquidation amounting to $800 million. What highlights this volatility is that short’s liquidation volume exceeded $704 million yesterday, while he had $101 million worth of long orders liquidated over the same period.

Over the past 24 hours, Bitcoin and Ethereum symbols contributed the majority of liquidations of $368.71 million and $357.95 million, respectively.

In other news:

Bitcoin Mining Difficulty Sees Another Upward Adjustment

Bitcoin sees network mining difficulty increase by 3.44% to reach an all-time high of 36.84 trillion and a corresponding average hash rate A figure of 263.63 EH/s. The latest change at block height 760,032 (October 24th) is Double-digit breakthrough It was recorded at the height of the previous (last 2,016 blocks) block earlier this month.

It’s worth noting that Bitcoin miner revenue has been consistently declining since August. Last month, the Bitcoin miner generated $550 million. That’s a significant drop from his $656 million the previous month. According to data from The Block, the miner recorded his $456 million in revenue as of October.

hash rate rating

In contrast, hashrates for public Bitcoin miners are skyrocketing despite low hash prices as public mining companies struggle to stay in business. report Bitcoin mining analyst Jalan Mereld, who assessed the evolution of public miner hashrate share, said the share of public mining companies in the Bitcoin network could swell to 40% by the middle of next year. said.

Mellerud observed that the public hashrate has increased by nearly 300% in the last 12 months, from 15 exahashes per second (EH/s) in October 2021 to 58 EH/s. As these companies introduce more machines in the coming months, that number is expected to grow even further. Earlier this week, sustainable Bitcoin miner Cleanspark revealed that it had surpassed its hashrate milestone this year after surpassing his 5 (EH/s) two months ago. The Nevada-based company has since reset its hashrate target to 5.5 EH/s, which is 10% higher than his.

Meanwhile, private hashrate increased from 134 EH/s to 177 EH/s over the same period. Faced with rising energy rates, a downturn in the bitcoin market, and tough operating conditions, bitcoin miners have resorted to liquidating reserves, raising capital by selling stocks, recovering debt, and even selling some of their assets. We have tried to survive by pursuing aggressive initiatives. float.

BETTING CASE IN THE BITCOIN MINING SECTOR

If the cryptocurrency market recovers, the determination to survive at all costs, including acquiring more mining machines, especially from distressed miners, can be rewarding. Last month, Peter Thiel’s Founders Fund spearheaded his equity round of his $3.7 million seed into Block Green. A green crypto mining solution provider is moving away from the current lending approach by using future bitcoin production as collateral.

Other entities that have launched funds to rescue Bitcoin miners include Binance. introduced Two weeks ago, we raised $500 million to back mining and digital asset infrastructure companies.The exchange’s minor lending projects are: $250 million fund It was announced by Bitmain co-founder Jihan Wu. The move to capitalize on bear markets is not shared by all, as some banks and other traditional financial services providers see it as a risky venture.

Top banking executives, including CEOs of Bank of America, Citigroup and Wells Fargo, have already expressed their distaste for the mining niche. During a congressional hearing before the House Financial Services Committee last month, three executives denied plans to fund the space. Still, mining has great long-term potential, as the performance of the mining sector is largely affected by the current rising price of Bitcoin.

For more information, Investing in Bitcoin guide.

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