WMA: BTC Hits $46,000, and the $600 Million PolyNetwork Hack Shakes the Market

Get the weekly summary of cryptocurrency market trends, news, and forecasts!

This Week’s Summary

  • The Crypto Market ends the week at a total market capitalization of $1,950 trillion.
  • Bitcoin is up by roughly 5% after another successful weekly run.
  • Ethereum has increased by over 4% over the past seven days.
  • XRP records a spectacular 60% value boost over the week.
  • Dogecoin, Polkadot, and Cardano end the week with significant value boosts.
  • The DeFi sector added almost $1 billion to the total value protocols (TVL).

Crypto Trends 09th – 15th of August 2021: PERFORMANCE & ANALYSIS

Another week of thrills and chills for the cryptocurrency market comes to an end. For the first time since May, the market capitalization topped the $2 billion frontiers on Saturday. However, despite the momentous surge, it didn’t manage to stay there for more than 16 hours. At the moment, it stands at $1,950 trillion, which is still $123 billion more than this time last Sunday.

Bitcoin had the bulls on its side for a third week in a row. Although this week’s value increase is not that mind-boggling (around 4%), the primary cryptocurrency continues to rise. In fact, it hit $46,000 for the first time in three months. Bitcoin is trading at around $46,050 at this moment.

Ethereum had a seesaw movement throughout the week. It didn’t grow too much, but it didn’t lose too much either. Ethereum is trading at around $3,150, the same value that it registered seven days ago.

The biggest surprise of the week comes from Ripple’s XRP, which registered a sensational 60% increase in price to trade well above $1 again. XRP is trading now at around $1.25.

Most of the digital assets have traded in the green throughout the week. For instance, Cardano registered a 45% value boost to now trade at around $2.11. Elsewhere, Polkadot is up by 12%, Dogecoin has increased by 20%, and Binance Coin is up by more than 15%.

The DeFi sector gained roughly $1 billion in total value protocols (TVL), now at nearly $80.52 billion.

Undoubtedly, this week’s main headline was held by the surprise hack attack on PolyNetwork that drained the DeFi protocol of more than $600 million. On Tuesday, a hacker exploited a flaw in the protocol’s smart contracts code to siphon more than half a billion USD. After making the attack public, PolyNetwork pleaded with the hacker to return the money.

As it transpires from recent reports, the hacker did it “for fun,” and by the weekend, it had already returned most of the stolen funds. It seems that the hacker discovered the flaw and wanted to make the protocol developers know about it without telling their support team. In his own words, “Anyone could be the traitor given one billion! I can trust nobody!”

While PolyNetwork recovered most of the funds, the event was spectacular enough to ripple through the market and make a few FUD waves. The overall consensus is that DeFi is still in an experimental phase that will spur more malicious attacks. Unfortunately, not all of them will have the same “peaceful” resolutions. Above all, the need for third-party audits for DeFi protocols is more imperative than ever.

What’s in the News?

  • S. senators disagree on regulating the crypto space and release a cryptocurrency amendment.
  • A new survey shows that over 30% of Canadians are cryptocurrency investors.

Next Week’s Market Forecast

Despite the PolyNetwork somewhat “pacifist” hack, it was a good week for the cryptocurrency market. Bitcoin and most of the altcoins recorded significant value boosts, and the sentiment is once again positive across the board. After all, even XRP seems to benefit from the investors’ trust.

Bitcoin live price
price change

Looking ahead, we can only hope that BTC will top $50k again and drag most of the pursuing altcoins outside their comfort zones.

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