Binance released its highly anticipated proof of reserves (PoR) on Friday, providing blockchain-based evidence for the Bitcoin on its books. However, many in the crypto community question Binance’s approach, and aren’t fully convinced that they have the transparency they’re looking for. The Move to Proof of Reserves As Binance explained in its announcement, the exchange’s transparency system will add multiple tokens and networks within the next two weeks. For now, it solely validates its Bitcoin holdings. The company’s initial audit…
Get the weekly summary of crypto market analysis, news, and forecasts!
This Week’s Summary
- The Crypto Market ends the week at a total market capitalization of $967 billion.
- Bitcoin has dropped by over 6% this week.
- Ethereum lost almost 9% over the past seven days.
- XRP is down by nearly 3% this past week.
- Almost all altcoins are trading in the red, with few exceptions.
- The DeFi sector decreased the total value protocols (TVL) to around $34 billion.
Crypto Trends 22-28 August 2022: Market Analysis and Performance
The crypto market continues its choppy trajectory on a downward spiral. For the second week, most assets are drowning in a bloodbath, leading to a severe drop in market capitalization below $1 trillion. Moreover, the DeFi and Metaverse sectors are losing substantial capital due to massive liquidations across the board.
Bitcoin was close to $21,000 last week but recovered and remained steady above it. Unfortunately, in recent days it dipped to as low as $20,000 and lost all it had gained in August. Several rumors have surrounded the king crypto recently, including news about false BTC trades. Currently, Bitcoin is trading only a handful of dollars above $20k.
Ethereum is not faring any better. The second crypto in command continues to bleed after the market caught on to its overhyped merge announcement. Similar to Bitcoin, Ethereum lost almost all its August gains. At the time of writing, the coin was trading for a little under $1,500.
Altcoins & DeFi
The altcoin sector is struggling to propose any climbers for this week. In fact, only Polygon with a 2% increase and Litecoin with a 1% boost can rejoice at not bleeding.
Meanwhile, most assets are dropping value points by the hour. For example, BNB is down by 6%, XRP and Cardano decreased by 3% each, and Solana lost nearly 11%. Also, Dogecoin and Shiba dropped by almost 7% each. Elsewhere, Polkadot is down by 4% and Avalanche by 12%.
The Metaverse is following the same downtrend as the entire crypto market. All of its assets are bleeding heavily. For instance, Decentraland is down by 7%, Axie Infinity by 2%, and The Sandbox by 8%. Meanwhile, ApeCoin continues to plunge after a terrible week in which it lost over 3% of its value.
Crypto Market Analysis – What’s in the News?
- According to this report, Tether will not freeze Tornado Cash addresses unless mandated.
- Three Arrows co-founder Zhu raises fears of imprisonment.
- Cardano founder Charles Hoskinson announced Vasil hard fork date for September.
- Coinbase would be willing to list a potential Ethereum POW fork.
- Binance will close operations for ETH and ERC-20 tokens during the merge.
Next Week’s Crypto Market Forecast
The crypto market puts an end to a month it will wish to forget as soon as possible. Upcoming events, such as the Vasil hard fork on Cardano and Ethereum’s merge, could overturn this trajectory. Hopefully, the coming months will be memorable for all the right reasons for investors and crypto enthusiasts everywhere.