Bitcoin has reached its lowest level since late 2020

Bitcoin has fallen to its lowest level since late 2020 due to fears of accelerating inflation in the United States.

Although in the past crypto-assets have not kept pace with traditional assets such as stocks, in recent times the connection between the two has become increasingly closer. So far, the clearest signal that cryptoassets like bitcoin and ether are moving at the same pace as stocks have been issued as inflation concerns have sent stocks and prices falling. cryptoassets.

The reasons for this phenomenon vary, but most of them are due to institutional holders calibrating their risky assets similarly, whether they are tech stocks or bitcoins. US monthly inflation dropped in April from 8.5% to 8.3%, suggesting that price increases were ‘leading the way’, but new highs of 8.6% hit on Friday rocking the stock and crypto markets.

Bitcoin started the week strong, exceeding the $ 31,000 level, but mostly traded around $ 30,000 later in the week. But over the weekend it fell below $ 25,000 on the eToro platform, due to inflation fears.

Also, Ether traded as high as about $ 1,900 before hovering around $ 1,800 next week. However, over the weekend, the price dropped significantly and is now trading around $ 1,300.

The Merge on track as devs announce “difficulty bomb”.

The next Ethereum blockchain “merger” is on track after testing on the Ropsten network is completed. On Friday, developers involved in the blockchain transition announced that they would set up a “difficulty bomb” on the old proof-of-work network to encourage adoption of the new system.

The merger essentially moves the Ethereum blockchain from a proof-of-work (PoW) model to a proof-of-stake (PoS) model. This will encourage cryptocurrency holders to participate in the network, and aims to stay away from the PoW model, as it is a very energy-intensive process.

Miners can continue to operate on PoW, but a difficulty bomb will be introduced after launch to make the mining process more difficult to prevent them from doing so. This results in fewer Ether tokens being produced in the future, and suggests that Ether will eventually become a deflationary cryptocurrency thanks to the PoS model – where holders are essentially incentives to act as savers.

However, there are reservations from developers, with some suggesting that the difficulty pump could slow down the Fusion process. Founder Vitalik Buterin predicted that it would take place in August, or at the latest in October.

Mastercard will launch NFT payments

The global payment network company Mastercard is set to launch direct support for the NFT and Web3 platforms on its cards. The company says it is working to bring customers to market and reduce product barriers through its payment solutions.

With the rapid growth of the NFT and Web3 space, the addition of a key infrastructure component such as Mastercard cannot be underestimated. Access may be one of the key issues when it comes to emerging financial technologies such as NFTs, and the removal of barriers to access is a boon for this space.

A rich and diverse industry has grown out of the emerging NFT market, and despite low prices in recent months, projects, ideas and innovations are still there, at work. When big institutional financial players like Mastercard enter the globe, it’s a good moment. Mastercard already has options when it comes to other cryptoassets, but NFT and Web3 are still working on this.

The company is working with several well -known players, including The Sandbox, which is available on the eToro platform under the SAND token, to allow customers to use Mastercard cards on various platforms to pay for digital products. Mastercard said its partner companies generated approximately $ 25 billion in sales in 2021.

Salesforce has launched its own NFT platform

Cloud software publisher Salesforce is launching its own NFT platform, called NFT Cloud. The company is a global leader in enterprise cloud computing software and has established itself as a leader in cloud computing in recent years, making an NFT platform natural.

The platform will allow the company’s enterprise customers to create and manage their own NFTs and help them create brand engagement and access strategies. This is a classic approach from the company, which consists of offering tools to other companies that unlock new technologies.

While there is already a significant market for NFT platforms and a range of ways to do them, the importance of companies like Salesforce offering these types of tools is that it opens up market to companies may not have sufficient knowledge of in -house technology. create their own product from scratch.

Consumers are clearly asking for NFTs that help them engage with the brands they want. The Salesforce offering is a compelling idea for its business customers.

About eToro
EToro was founded in 2007 with the goal of opening up international markets to everyone who wants to invest simply and clearly. EToro offers individuals the opportunity to invest by giving them access to many financial assets, from stocks to commodities to crypto-assets. The eToro community has over 27 million registered members who share their investment strategies and are free to follow the best of them. The eToro platform allows investors to buy, hold and sell assets, track the performance of their portfolio in real time and easily trade and whenever they want.

Legal Notices
EToro is regulated in Europe by the Cyprus Securities and Exchange Commission and regulated in the UK by the Financial Conduct Authority and the Australian Securities and Investments Commission in Australia.

Leave a Comment