Constricted Bitcoin corridor signals a volatility boom
|Market picture
The crypto market continues to trade in a 0.3% range around the $1.05 trillion capitalisation level. Despite some improvement in risk sentiment, sellers got the upper hand on the approach of the 1.06 trillion level.
The narrow range has also become a hallmark of Bitcoin, which has been walking on a short leash of around $26K for the past eleven days. Such a lull usually ends with a boom in volatility, which is what we should expect this week.
Bitcoin's tera hash profit margin has reached historic lows as the price has fallen, and the network's hash rate has risen as more efficient ASICs went to work. Without a rise in the BTC exchange rate, miners' operations will soon become unprofitable.
News background
Arkham Intelligence says the Robinhood platform holds over $3 billion worth of BTC, making it the third largest Bitcoin holder after Binance (6.4B) and Bitfinex (4.3B).
Due to extreme heat and drought, Laos has imposed temporary restrictions on cryptocurrency mining. These factors have led to an increase in demand for electricity.
Approximately 16 trillion PEPE meme tokens (~$15 million) were illegally withdrawn and sold on various cryptocurrency exchanges. Pepe's remaining developer revealed that three former project team members were behind the theft.
Shibarium, the second-tier solution from meme token creators Shiba Inu (SHIB), resumed withdrawals via the Ethereum Bridge after a prolonged malfunction during the launch.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.