Kategorie: Ethereum News

Whales often make moves that capture the attention of the entire crypto community. One such intriguing manoeuvre unfolded recently when a prominent whale decided to swap Ethereum (ETH) for Maker (MKR), raising questions about their investment strategy and preferences. 

As we delve into this notable shift, we also explore the growing interest among these influential players in DeFi tokens like Borroe.Finance ($ROE).

Maker (MKR) accumulation by a whale

On September 4, an address under the pseudonym “0x3737” held a substantial crypto portfolio valued at over $20.37 million. While this address engages in trades across various cryptocurrencies, what caught the eye of many was their decision to part with Ethereum (ETH) in favour of Maker (MKR). 

A closer examination of the address’s holdings reveals that Ethereum was the cornerstone of their portfolio, representing over 75% of their total assets.

With a whopping 10,000 ETH in their possession, equivalent to approximately $16.3 million at current market rates, this whale had clearly placed a significant bet on Ethereum’s potential. However, the allure of Maker (MKR) proved compelling, with the address holding MKR tokens worth $1.1 million, alongside other assets like Arbitrum (ARB), valued at $2.9 million.

Maker (MKR) stands as the native token of MakerDAO, a decentralized autonomous organization (DAO) pivotal in controlling the creation of DAI, an algorithmic stablecoin native to the Ethereum blockchain. MKR holders play a crucial role in the governance of the DAO, actively participating in decision-making processes that influence the stability and functioning of DAI.

In recent months, Maker (MKR) has experienced a remarkable surge in value, with its price more than doubling since June. This impressive rally saw MKR reach an all-time high of approximately $1,300 in early August, and it currently maintains a trading price above $1,100, marking a 13% increase from its August lows.

Borroe.Finance ($ROE) attracts attention

While the ETH-MKR swap showcases the whale’s strategic investment choices, it also underscores the shifting dynamics within the cryptocurrency market. DeFi tokens, in particular, have garnered increasing interest from whales and retail investors alike. One project that has been gaining recognition in this realm is Borroe.Finance ($ROE).

Borroe.Finance sets itself apart with its innovative approach as an AI-powered funding marketplace. This platform empowers content creators and participants in the Web3 ecosystem to access immediate cash by trading their future earnings. Notably, Borroe.Finance covers a wide spectrum of income streams, including subscriptions, invoices, royalties, and more.

As the cryptocurrency landscape continues to evolve, Borroe.Finance emerges as a promising contender in the DeFi space. Its unique value proposition and ability to cater to diverse financial needs make it an attractive choice for those seeking the best crypto investment opportunities.

Borroe.Finance’s presale

For investors keen on identifying the best crypto investments for long-term gains, Borroe.Finance’s presale offers an enticing proposition. With more than 94 million $ROE tokens already secured and each priced at a mere $0.0150 per token, this presale represents a compelling entry point into the cryptocurrency market.

As the crypto market witnesses intriguing moves by whales and emerging opportunities in the DeFi sector, Borroe.Finance’s presale beckons as an opportunity that should not be overlooked. 

In the quest for the best crypto investments, exploring innovative projects like Borroe.Finance is a step toward securing one’s position in the ever-evolving world of digital assets. For those seeking the best crypto to buy today for long-term gains, Borroe.Finance ($ROE) emerges as one of the top crypto coins to watch and consider. 

Learn more about Borroe.Finance ($ROE), visit Borroe.Finance Presale or Join The Telegram Group or Follow Borroe on Twitter

The post Whale dumps Ethereum (ETH) for Maker (MKR), is this trending DeFi token next? appeared first on CoinJournal.

• The US dollar strengthened following the FOMC September meeting
• The Fed sees the funds rate higher for longer
• Ethereum should hold above $1,400 for the bullish bias to persist

This year had two distinct parts for financial market participants – one characterized by the dollar’s weakness and one dominated by the dollar’s strength. 

The US dollar runs the show both in the traditional and cryptocurrency markets. EUR/USD is the best example of the correlation between the two markets. 

It opened the year at 1.06, rallied to 1.12, where it peaked during the summer, and then gave up its gains. The same dollar cycle may be seen in many cryptocurrencies. 

For example, Ethereum rallied from the start of the trading year, peaked at $2,000, where it met resistance, and then corrected. Therefore, cryptocurrency traders may want to focus on the dollar’s direction in order to position on the right side of the cryptocurrency market. 

The Federal Reserve’s September meeting did not change the dollar’s course

On Wednesday, the United States Federal Reserve released its monetary policy decision. It chose to keep the funds rate unchanged as the latest inflation news is encouraging. 

Market participants wildly expected the decision, so the focus shifted to the press conference. Jerome Powell was hawkish during the conference in the sense that it kept all the options on the table, including further rate hikes. The hawkish part was that he implied that future rate cuts may not be as many as in the past. In other words, interest rates would remain higher for longer. 

Naturally, the dollar rallied. 

Ethereum is trapped in a tight range

Ethereum is one of the most popular cryptocurrencies. Also, it is very liquid compared to other cryptocurrencies. 

Before the rally that started in 2023, Ethereum formed a contracting triangle. The good news is that such triangles appear at the end of complex corrections. 

Ethereum chart by TradingView

It means that if they act as reversal patterns, as is the case here, the new move that follows is part of a different pattern. 

The chart above shows that Ethereum corrected 50% from its highs but remains in a relatively tight range. By tight, one should refer to the historically high volatility in the cryptocurrency market. 

Bulls may want to wait for Ethereum to close above $2,000 before going long. Also, they would want to see Ethereum holding above the $1,400 support area. 

On the other hand, bears may want to see the market dropping below the support area provided by the $1,400 level. A drop to $1,000 might be in the cards on such a move. 

The post Ethereum remains under pressure as the dollar strengthens appeared first on CoinJournal.

• Ethereum price has bounced back in the past two days.

• Franklin Resources became the other company to file for a Bitcoin ETF.

• US published strong consumer inflation numbers.

Ethereum price rose for the second straight day even after the US published strong consumer price index (CPI) data. The price jumped to a high of $1,595, a few points above this week’s low of $1,530. In all, the coin has dropped by more than 25% from the highest level this year.

Bitcoin ETF applications

Ethereum price bounced back after Franklin Templeton became the first big financial services company to file for a spot Bitcoin ETF. The other major Wall Street firms that have done that are Blackrock, Invesco, Ark Invest, and Fidelity.

Analysts believe that these companies have a higher chance of gaining the approval of launching these funds. For one, these companies have put in place strict surveillance clauses to prevent market manipulation.

Most importantly, the Securities and Exchange Commission (SEC) will likely want to avoid another embarrassing court case. Two weeks ago, the regulator suffered a big blow when Grayscale won a major lawsuit in the US.

A Bitcoin ETF is seen as a positive thing for Ethereum, the second-biggest cryptocurrency in the world. For one, if the SEC approves the fund, these companies will come back with an ETF that tracks Ethereum.

This explains why the discount of Grayscale’s Ethereum Trust (ETHE) to NAV has narrowed recently. Ark Invest, the company owned by Cathie Wood, has also already applied for an Ethereum ETF.

US inflation data

Meanwhile, Ethereum price jumped even after the strong US inflation data. According to the statistics agency, the headline inflation jumped to 3.7% in August, the biggest increase in months. Core inflation, which excludes the volatile products fell to 4.3%.

These numbers have an implication for Ethereum and other cryptocurrencies. First, the data mean that the Federal Reserve could deliver another 0.25% interest rate hike next week. In most periods, Ethereum tends to underperform when the Fed is hiking interest rate. Before the inflation numbers, most analysts were expecting the Fed to pause its hikes.

Second, higher inflation rates will lead to better cash returns. Recent data shows that money market funds are yielding over 5.5%. Therefore, we could see an increased move from Ethereum to cash. 

Most importantly, cash is now yielding higher than most Ethereum DeFi products like Aave, Compound, and Maker. As a result, the total value locked (TVL) in Ethereum’s DeFi protocol has dropped by 11% in the past 30 days to $55 billion.

Therefore, I suspect that Ethereum price will likely resume the bearish trend in the coming weeks.

How to buy Ethereum

The post Ethereum (ETH) price: Here’s why the rising US inflation matters appeared first on CoinJournal.