Per a report from the Cambridge Center for Alternative Finance (CCAF), fossil fuels have been the primary energy source for BTC mining since the start of the year. The CCAF recently updated its Cambridge Bitcoin Electricity Consumption Index (CBECI). Its study claims that 62% of all the energy the leading token has consumed so far consists of coal-based energy. BTC’s Energy-Intensive Mining Bitcoin employs the proof-of-work consensus mechanism to create new tokens and validate transactions on the blockchain. The PoW…
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This Week’s Summary
- The Crypto Market ends the week at a total market capitalization of $1,714 trillion.
- Bitcoin is down by roughly 4% after a disappointing week.
- Ethereum lost almost 6% of its value over the past seven days.
- XRP decreased by nearly 17% this past week.
- Almost all altcoins are trading in the red with almost no exceptions.
- The DeFi sector added over $0.5 billion from the Total Value Locked in protocols, which now stands at $75.66 billion.
Crypto Trends April 25 – May 1, 2022: Market Analysis and Performance
The crypto market continues to bleed heavily for the third week in a row. Most assets are dropping precious gains by the day, and even the market capitalization dropped by $125 billion this week. If it continues in this rhythm, the market will find it hard to recover the $2 trillion level.
Bitcoin had a week full of mixed feelings. On the one hand, it established a new record in mining difficulty. This shows its increasing use and adoption worldwide. Furthermore, The Central African Republic became the second nation to officially recognize BTC as legal tender.
Despite this good news, Bitcoin continued on the downtrend that saw it drop below the $40,000 level last week. Over the past few days, the king coin lost more than $2,000 in value. Currently, it is trading a little above $38,000.
Ethereum also continues to disappoint after losing almost 6% of its value this week. The second crypto in command cannot get a break from the drop that took it far below the $3,000 level. At the moment, Ethereum is trading at around $2,760.
Altcoins & DeFi
Ripple’s XRP is one of the top-10 cryptos by market cap, almost always bleeding heavily with every market dip. This time around, XRP dropped by nearly 17%, trading below the $0.6 level.
Elsewhere, most altcoins are currently trading in the red. For example, Solana dropped by more than 12% over the week. Cardano lost 13%, Dogecoin dropped by 3%, and Avalanche by over 19%.
The Metaverse sees the only asset trading healthily in the green, ApeCoin, with a nearly 6% increase. Meanwhile, the rest of the projects in this sector of the crypto market are bleeding heavily. Decentraland is down by almost 27%, and Axie Infinity dropped by 32%, while The Sandbox lost 25%.
Crypto Market Analysis – What’s in the News?
- The police arrested a South Korean crypto leader for selling military secrets to North Korea.
- 1inch integrates Transak for fiat on-ramp provisioning.
- Trudeau’s challenger Pierre Poilievre promises to ban CBDC in Canada.
Next Week’s Crypto Market Forecast
The crypto market is going through a bad period that even the most optimistic crypto supporters cannot deny. Still, things are not as dire as they seem. If we look beyond the red, dropping values, we see an increase in crypto adoption worldwide. This can only generate a positive turn, which we hope to start as early as next week.