Crypto Market Review, August 9
Altcoins lose large chunks of their value in the last 24 hours as the positivity fades from the market
After the surge in positivity yesterday, the cryptocurrency market faced some serious obstacles today as the majority of altcoins and Bitcoin faced a reversal back to the values we saw last week. Unfortunately, smaller altcoins are also taking a hit.
Cardano faces criticism
Following a controversial statement from billionaire Mark Cuban, Cardano lost most of the gains seen in the last two days of market trading as the price of the cryptocurrency plunged back to $0.50.
A few days ago, the billionaire stated that Cardano is not better than Dogecoin and the meme currency may show a greater performance compared to the coin co-founded by Hoskinson when it receives an update that will bring decentralized applications to the network.
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At the same time, Dogecoin did not get a significant boost in the market, but at least it shows better performance compared to ADA when DOGE broke out of the chart pattern that we highlighted earlier.
The positivity surrounding Ethereum is fading
Ethereum was another victim of the market correction, as the second largest cryptocurrency has lost more than $100 of its price in the last 24 hours. The main reason is the lack of fundamental drivers that will help ETH to exit the consolidation area.
The long-term picture for Ethereum still looks good considering the benefits the Merge update will bring, including a massive issuance reduction from 4.3% to 0.4%, which will directly affect the selling pressure in the market.
Earlier on U.Today, we covered how Ethereum is going to face a “Triple Halving” after the implementation of the network upgrade. With the merger, at least three mechanisms will affect the circulating supply in the space: the burning mechanism, coins locked in stack contracts, and the massive decline in issuance.
Events in the crypto industry
The biggest news of the day today was the banning of the infamous coin mixing solution Tornado Cash which was widely used by cryptocurrency scammers and hackers to avoid prosecution for stealing users’ funds.
The website was sanctioned by the US Treasury Department, which added a number of associated cryptocurrency addresses to its blacklist. From this point on, addresses that interact with the solution will be flagged and banned from exchanging funds on legal centralized cryptocurrency exchanges.
As for the effect on the market, a large volume of ETH and other cryptocurrencies will most likely remain within the contract address of Tornado Cash and never see the market, as their realization will be complicated.
