Weekly Web3 Research | LUNC Becomes Best Performing Coin Of The Day Despite Major Crash, Overall Market Is Still in A Continuous Downward Trend

Weekly Trend Overview

Across the past week, a majority of the top 100 cryptocurrencies have experienced notable price declines, indicating a continuation of the recent marketwide downtrend. These valuation fluctuations vary from 3.6%-16.2%. Currently, the global crypto market cap stands at $1.04T, a $700 million decrease from the week prior.

(Data Courtesy Of CoinmarketCap)

Crypto Market

🔥 Terra Luna Classic (LUNC) has become the best-performing token of the day after demonstrating remarkable resilience following its decimating crash late last year. As a result, investors have flocked to the asset, which has allowed it to trade at an average of $0.00009534.

🔥 As the Binance.US lawsuit with the SEC intensifies, a reported 10% of its staff were laid off as the “politically motivated regulator” has forced it to operate solely as a cryptocurrency exchange. In line with this, BNB has endured a 9.83% loss across the past week, hinting at a slowdown in the exchange’s momentum.

🔥 The world’s largest asset manager, BlackRock, is reportedly getting closer to filing an application for a BTC ETF in the US. According to an anonymous source, BlackRock will use COIN Custody for the ETF and spot market data to provide a basis for the ETF. As a result, COIN stock has increased by 0.65% across the past day.

Regulatory Policies

🔥 USA: Billionaire Tim Draper has stated that the chair of the US Securities and Exchange Commission (SEC), Gary Gensler, is threatening the US with policies that stifle the development of crypto. Draper has stated crypto regulation should not be under the purview of the SEC.

🔥 Europe: The European Securities and Markets Authority (ESMA) is set to enter the next consultation process for the newly adopted MiCA bill. According to a notice, the three-phase consultation package will be launched and enforced in July 2023.

🔥 Hong Kong: The Hong Kong Monetary Authority (HKMA) has put pressure on HSBC, Standard Chartered, and Bank of China to accept crypto exchanges as clients in a new initiative to foster the growth of crypto in Asia.

Macro Economy

🔥 BlackRock has warned that the global aging population poses a threat to the global economy in the form of a labor shortage due to falling birth rates, expensive care, and high inflation (which affects the latter). However, in spite of this, US inflation has reached a two-year low, and Asian shares are up as a result, which has led analysts to predict Asia will experience higher growth than both the US and Europe by the end of the year.

🔥 where to buy rndr has regained its footing at $25.5k, however, there is a mixed sentiment among investors as the US economy wavers. This is due to the decoupling path of the crypto market and US equities, which intensified as investors drew confidence from encouraging economic indicators, leading to the Nasdaq Composite and S&P 500 rising 1.1% and 1.3% respectively.

Crypto Market Highlights

⭐️Assets from across the DeFi eco have seen tremendous upticks in value, many of which exceed over 1,000% in the past 24 hours. Each of the projects that have endured such an uptick in value has an immensely low market cap and is in the early stages of development. A critical example of this is PumpETH (PETH), a token that conducts swapping tools across multiple chains, yet is in the early stages of development. In spite of this, PETH endured an 8,151,294.05% increase across the past week, with 87,377.54% of that in the last 24 hours alone. However, aside from these individual cases, the DeFi sector has fallen by 9.3% on a weekly scale.

⭐️ Learn more: Everything You Need To Know About DeFi

(Data Courtesy Of CoinGecko)

BTC & ETH Weekly Performance

Bitcoin (BTC)

(Data Courtesy Of TradingView)

As of today, Bitcoin is currently trading in a significant descending channel categorized by lower highs and lows. Currently, Bitcoin is facing resistance near the $26k level, which is disrupting its upward movement toward the upper channel boundary. Providing BTC’s price faces another rejection, it is possible that it will be forced back to the $25k support level. However, there is no strong indication as to the direction of the price momentum as the RSI indicator hovers at around 50%, suggesting there is a critical indecisiveness between buyers and sellers at this key juncture.

In addition, Bitcoin’s price has undergone a corrective face after encountering resistance at the $30k level, which may be due to investors taking advantage of the price soar from the $17k region. Alongside this price rally, there appears to have been a consistent increase in the exchange reserve metric, indicating there has been profit-taking, which has now been replaced by renewed accumulation as a result of the recent correction.

Ether (ETH)

(Data Courtesy Of TradingView)

On the daily timeframe Ethereum’s price has faced rejection from the 50-day MA which is approximately $1,850, leading the price to fall below $1,800. However, ETH is finding support near the 200-day MA at around $1,600. The 200-day MA acts as a strong indicator of the overall price trend and if ETH falls below it it would indicate a continuation of the bearish market sentiment which could push it toward $1,300.

Web3 Project Trend

This week, there have been substantial valuation and volume declines across all of the major asset sectors, which coincides with the waning market sentiment across the majority of the cryptocurrency industry. As a result, the average loss across the major sectors totals around 8%, with very few tokens in any category failing to exhibit any upward price momentum.