Crypto newsletter: Bearish mood prevails on the crypto market

 

 

For the first part of the week major cryptoscurrencies were consolidating directly below their critical resistance levels,  however, during yesterday's session the prices of major coins dropped sharply.
After the recent halving, some of the most prominent analysts in the industry believed that Bitcoin was on the cusp of a major bullish breakout. However Bitcoin price has failed to break above $ 10,000 and has instead for a brief moment broken below $ 9,000. Declines started on Thursday when a meager 40 BTC was moved from a wallet, not even to an exchange. What rattled the crypto investors about this transfer was the speculation that this long-dormant wallet, since it was created in February 2009, could belong to pseudonymous bitcoin creator Satoshi Nakamoto.

 

 

The launch of Ethereum 2.0 has been a topic of interest among cryptocurrency enthusiasts.  Ethereum 2.0, also called Eth2 or ‘Serenity’, is the next upgrade to the Ethereum blockchain. Ethereum 2.0 will be released in multiple “Phases” starting in June or July 2020 with Phase 0. However the exact date is still unknown. Phase 1 is anticipated in 2021. Phase 2 and beyond are anticipated for 2021 or later. Each phase will improve the functionality and performance of Ethereum in different ways. Ethereum 2.0 will primarily benefit the scalability, throughput, and security of the Ethereum public mainnet. Ethereum 2.0 will not eliminate any of the data history, transaction records, or asset ownership of the Ethereum 1.0 chain. The Beacon Chain – which will be the backbone of Ethereum 2.0 – will be fully functional with the existing 1.0 chain, ensuring continuity.

 

According to CryptoQuant, outflows from mining pools over the past five-sessions have hit 600%. The crypto resource company looked to combine Bitcoin sales from mining pools, and says that data analysis up to 20th May puts this week’s outflow at 7,426 bitcoins, a massive amount. In the period immediately after the halving, miners sold 1,066 bitcoins. Miner revenues have also dropped following block rewards halving, down to 6.25 from 12.5 bitcoins.

 

Officials in China are proposing a regional stablecoin for the East Asia region in order to stimulate trade among countries such as China Japan and Korea. The proposal was first mentioned by Shen Nanpeng, a member of the Chinese people’s Consultative Conference during a national session on Thursday.