The Bitcoin markets are pulling back after electric car manufacturer Tesla suspended its support for vehicle purchases using BTC.

In a May 13 tweet, Tesla’s CEO Elon Musk noted the company’s concerns regarding the “rapidly increasing use of fossil fuels for Bitcoin mining and transactions, especially coal.”

While Musk predicted that cryptocurrency “has a promising future,” he concluded that the rise of digital assets “cannot come at a great cot to the environment.

However, the firm has not ruled out accepting BTC again in future, with the post noting the firm will resume using Bitcoin “for transactions as soon as mining transitions to more sustainable energy.” Musk added:

“We are also looking at other cryptocurrencies that use

On social media, many within the crypto community have contradicted Musk and Tesla’s assertion regarding the environmental impact of Bitcoin mining, with Twitter use “The Wolf of All Streets” noting that “miners primarily use renewable energy.” 

However while the 3rd Global Cryptoasset Benchmarking Study by the University of Cambridge in October 2020 showed that up to 76% of cryptocurrency mining uses some renewable electricity, it estimated only 39% of the total power consumed by Proof of Work cryptocurrencies was green energy.

As of this writing, BTC has crashed roughly 6% in the past hour, tumbling from $54,800 to roughly $51,600.

Cointelegraph By Samuel Haig

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The cryptocurrency market corrected sharply on May 12 after the hype surrounding dog-themed tokens was deflated when Ethereum co-founder Vitalik Buterin dumped vast amounts of the previously hot Shiba Inu (SHIB), Dogelon Mars (ELON) and Akita Inu (AKITA) on the market and donated the proceeds to charity. 

Data from Cointelegraph Markets and TradingView shows that as meme tokens sold off, Bitcoin (BTC) price continued its recent weakness and declined nearly 8% decline to $53,500 before recovering to $54,700.

BTC/USDT 4-hour chart. Source: TradingView

Ether (ETH) was less affected by the sell-off and actually managed to recover above $4,000 to reclaim its daily losses as users of the network applauded Buterin’s decision to donate his meme coins to various charities. Traders are also hopeful that the decreased trading activity in meme tokens will help push down gas fees on the Ethereum network.

Traders are unsure about what’s next for Bitcoin and Ether

As the trading activity of meme tokens declines, traders may turn their attention back to Bitcoin but there is a certain degree of uncertainty regarding what might happen next.

According to Chad Steinglass, the head of trading at crypto capital markets firm CrossTower, “BTC is actually doing a reasonable job of performing like a store of value” especially when compared to wider financial market developments, including the serious pressures facing growth equities which were “exacerbated by the May 12 CPI print which is being interpreted as a trigger for earlier Fed tightening.”

Steinglass highlighted the fact that Bitcoin’s struggle to escape the trading range it has been in for 3 months may be a symptom of its new role as a store of value and he hypothesized that traders who hold BTC in their investment portfolios may be “selling BTC and especially GBTC in order to raise cash liquidity as they lower their overall leverage.”

Steinglass said:

“Against these headwinds, BTC has been mostly holding its ground. It’s had some quick moves but has seen strong support on any real significant sell-off. Perhaps it really is maturing into a more stable asset, at least for the moment.”

When it comes to Ether, Steinglass indicated that “ETH is in a new regime of price discovery” due to “upcoming changes in the protocol which will both remove inflation and also create incentive to hold tokens for proof of stake,” making it hard to know what a “good new fair value for ETH will be.”

Regarding Ether, Steinglass said:

“We could easily have more room to run, though if there look to be any hiccups in the upgrades that could derail things quickly.”

ETH/USDT 4-hour chart. Source: TradingView

Further insights into Ether’s prospects were provided by David Lifchitz, managing partner and chief investment officer at ExoAlpha, who pointed to Ether’s “torrid run” thus far in 2021 which has seen its price grow more than 455% year-to-date and a 100% rally in just the last three weeks perhaps serving as a “buy the rumor, sell the news setup” ahead of the upcoming July EIP 1559 upgrade.

Lifchitz said:

“If you’ve been in even a few weeks, taking some profit off the table wouldn’t hurt. What hurts in the long term is not missing out on the last move up, but remaining invested when the music stops.”

And as far as Bitcoin is concerned, Lifchitz highlighted concerns regarding the range-bound trading BTC has been stuck in lately.

Lifchitz said that Bitcoin is currently showing:

“No upside (nor downside) catalyst in sight, the risk of remaining fully exposed far outweigh the potential return.”

Financial markets fall due to inflation fears

Equities markets also experienced a sell-off due to fears of rising inflation which has been seen creeping higher across numerous sectors of the economy.

Recent data from the consumer price index indicates that prices have been rising at their fastest pace since April 2007 and some economists cautioned that the metric shows no signs of slowing down for the foreseeable future.

As a result of this pressure, the S&P 500, Dow and NASDAQ all saw significant declines on Wednesday and closed the trading day down 2.14%, 1.99% and 2.67% respectively.

Despite the market downturn, altcoins like AAVE gained 30%, while Polygon (MATIC) and Kusama (KSM) both gained 18%.

Daily cryptocurrency market performance. Source: Coin360

The overall cryptocurrency market cap now stands at $2.414 trillion and Bitcoin’s dominance rate is 42.2%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.

Cointelegraph By Jordan Finneseth

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Bitcoin’s (BTC) recent price action has disappointed most investors, especially when one considers that the total altcoin market capitalization rallied 24% in nine days to reach a $1.35 trillion all-time high on May 9. 

Bitcoin’s 62% accumulated gain in 2021 has BTC traders feeling somewhat frustrated with altcoins and meme coins pumping to new daily highs.

Bitcoin price at Coinbase, USD. Source: TradingView

On May 10, Fidelity, a $3.8 trillion global asset manager, filed for a Bitcoin exchange-traded fund (ETF) request with the United States Securities and Exchange Commission. Fidelity’s Wise Origin Bitcoin (BTC) partnered with the Chicago Board Options Exchange (CBOE), and the SEC’s first response window will close in 44 days.

On May 11, Palantir (PLTR), a $30 billion data analytics company founded by billionaire Peter Thiel, announced that it had started to accept Bitcoin payments. The firm is likely to follow in Tesla (TSLA) and MicroStrategy’s (MSTR) footsteps by adding BTC to its balance sheet, and the firm could have more than $2 billion in cash on hand for investments.

In other news, the proposed Taproot upgrade aims to make complex transactions cheaper, faster and easier to deploy. More importantly, this upgrade would bring some privacy to multisig and time-lock functions.

Taproot activation will only be given the green light if 90% of all mined blocks include an activation signal ahead of August 11.

However, despite all this positive news, BTC’s price action has not taken its usual bullish turn. The most significant immediate hurdle appears to be the lack of a regulatory framework. Joanna Wasick, a partner at law firm BakerHostetler, told Cointelegraph:

“How many people using crypto for payments know exactly what the tax implications are of their payment transactions?”

Retail traders are not demanding excessive leverage for longs

The first evidence that traders are in utter disbelief comes from the extremely modest perpetual funding rate. Futures contracts have an embedded rate that is usually charged every eight hours to ensure no exchange risk imbalances. Even though the buyers’ and sellers’ open interest is matched at all times, their leverage can vary.

When longs are demanding more leverage, they will be the ones paying the fee. Therefore, the current situation can be interpreted as bullish. The opposite holds when shorts are using more leverage, thus causing a negative funding rate.

Bitcoin perpetual futures 8-hour funding rate. Source: Bybt

Take notice of how the current 0.02% rate, equivalent to 1.8% per month, is much smaller than the recent peaks. While professional traders tend to prefer the fixed-month calendar futures, retail dominates perpetual ones, avoiding the expiries’ hassle. Therefore, this data shows that there is a lack of appetite since April 17.

The options skew indicator is on the verge of turning bullish

To better understand how pro traders are positioning themselves, investors should look at the options markets. Call options allow the buyer to acquire Bitcoin at a fixed price on contract expiry. On the other hand, put options provide insurance for buyers and protect against price drops.

Whenever market makers and pro traders are leaning bullish, they will demand a higher premium on call (buy) options, which will cause a negative 25% delta skew indicator.

Bitcoin 30-day options 25% delta skew. Source:

A skew indicator between -10 and +10 is deemed neutral, which has been the case since April 15. This data is evidence of a balanced risk assessment from whales and market makers between downside and upside risk.

In line with today’s price drop, there is little evidence that option traders are bullish. This data also aligns with the BTC perpetual futures markets.

Bitcoin has managed to close above $50,000 in 65 out of the past 66 days, likely creating a ‘comfort zone’ for bulls. Therefore, as long as this support stands, there is still hope that Bitcoin will notch a new record-high.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Cointelegraph By Marcel Pechman

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Ether (ETH) set a second all-time high on May 12 as the largest altcoin continued on its way to what analysts say will be $5,000.

ETH/USD 1-hour candle chart (Bitstamp). Source: TradingviewFunding rates could hold key to ETH resilience

Data from Cointelegraph Markets Pro and TradingView tracked ETH/USD as the pair put in two all-time highs in a single day on Wednesday.

Part of the now notorious “alt season 2.0,” Ether hit $4,350 earlier on the day, only to better its performance hours later and reach $4,380.

Now under 15% away from $5,000, multiple commentators’ forecasts of Ethereum’s native token hitting the landmark price level are in the spotlight. 

Among them is that of Cointelegraph contributor Marcel Pechman, who in an interview last week highlighted data which suggested that a $5,000 ETH was a matter of “if,” not “when.”

Pechman said that funding rates had yet to catch up with price gains, and thus retail investors were waiting on the sidelines at price levels around $3,500. Institutions, however, were more active.

“It tells me that pro traders have been bullish for quite some time — for a couple of weeks — but the retail traders are still waiting for a buy opportunity,” he summarized

Since then, funding rates have increased only modestly, indicating that the market trajectory has even more room to continue. 

As Pechman and Cointelegraph noted, exchange balances of ETH are likewise falling despite the opportunity to realize profits. 

ETH/BTC still needs to double

Part of their resilience may lie in entering trades long ago. Those using Bitcoin (BTC) to buy ETH at any time since mid June 2018 remained in the red at the time of writing — the ETH/BTC pair still had far to go to match its all-time highs.

These were set a year earlier in June 2017 at 0.144 BTC. Wednesday’s USD high corresponded to 1 ETH being worth a comparatively modest 0.077 BTC. 

Ethereum has nonetheless outperformed Bitcoin with its gains throughout the past year, leading to increasing attention from mainstream sources, several of which have begun to school readers on the differences between the two largest cryptocurrencies.

Cointelegraph By William Suberg

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The United States Securities and Exchange Commission, or SEC, has issued an investor warning pointing out risks of mutual funds that have exposure to Bitcoin (BTC) futures.

In an official statement on Tuesday, the SEC strongly encouraged investors to thoroughly consider risks disclosure of a mutual fund on the Bitcoin futures market, stressing that Bitcoin is a “highly speculative investment.” The authority emphasized that investors should take into account the volatility of both Bitcoin and the Bitcoin futures market, as well as the lack of regulation and potential fraud or manipulation in the underlying Bitcoin market.

“As with any fund investment, investors should focus on the level of risk they are taking on, and the level of risk they are comfortable taking on, prior to making an investment,” the SEC wrote.

The regulator noted that the Bitcoin futures market has significantly expanded after the first Bitcoin futures started trading in December 2017, with increased trading volumes and open-interest positions. The SEC further stated that it will closely monitor and assess Bitcoin futures-exposed mutual funds’ compliance with the Investment Company Act and federal securities laws. “Investor protection and assessing the ongoing compliance of these funds is a top priority for the staff,” the authority stated.

Additionally, the SEC will also pay close attention to the impact of mutual funds’ investments in Bitcoin futures on investor protection, capital formation, and the fairness and efficiency of markets.

As part of this, the SEC will also consider whether the Bitcoin futures market could accommodate an exchange traded fund, or ETF. Unlike mutual funds, ETFs “cannot prevent additional investor assets from coming into the ETF if the ETF becomes too large or dominant in the market, or if the liquidity in the market starts to wane,” the SEC said.

The news comes weeks after the SEC delayed its decision on approving the VanEck Bitcoin ETF until June. As previously reported, some industry observers believe that the U.S. could finally see a Bitcoin ETF in 2021 thanks to the Senate’s confirmation of Gary Gensler as SEC chair.

Despite the U.S. government still deciding on whether to approve a Bitcoin ETF, some countries around the world have already approved or launched Bitcoin ETF trading, with 3iQ and CoinShares’ Bitcoin ETF going live on Toronto Stock Exchange last month. Other fund managers like Purpose Investments and Evolve Funds Group previously launched Bitcoin ETFs as well, attracting nearly $1.3 billion and $100 million in assets under management as of mid-April, respectively.

Previously, the Brazilian Securities and Exchange Commission approved two cryptocurrency ETFs in March, including a 100% Bitcoin ETF and the other composed of five cryptocurrencies.

Cointelegraph By Helen Partz

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Crypto adoption among mainstream payment service companies continues to grow, with MoneyGram set to join the list.

In a release issued on Wednesday, the global payment service announced a partnership with crypto exchange and Bitcoin (BTC) ATM operator Coinme Inc., to allow United States customers to withdraw their cryptocurrency holdings for cash across its point-of-sale outlets in the country.

As part of the announcement, MoneyGram also revealed that customers will be able to buy BTC and crypto in an expansion of the existing crypto-to-cash model pioneered by the almost 20,000 cryptocurrency ATMs around the world.

Commenting on the development, MoneyGram CEO Alex Holmes remarked:

“This innovative partnership opens our business to an entirely new customer segment as we are the first to pioneer a crypto-to-cash model by building a bridge with Coinme to connect bitcoin to local fiat currency.”

For MoneyGram, the ability to buy Bitcoin across its brick-and-mortar retail outlets might be a significant development for would-be first-time crypto users daunted by interacting with online cryptocurrency exchanges.

MoneyGram’s announcement also likely offers another indication of the potential for a unified money transmission licensing regime, especially for cryptocurrencies.

Back in September 2020, 48 U.S. states agreed to establish a single regulatory framework for money transmitters — a move with significant implications for 78 fintech businesses like MoneyGram, with an annual turnover above $1 trillion.

MoneyGram debuting physical Bitcoin-buying across its locations in the U.S. is also another example of fintech and payment service firms warming up to cryptocurrencies. From stables like PayPal to Visa and Mastercard, debuting some form of crypto-related feature is becoming a norm across the industry.

Back in March, PayPal began allowing U.S. customers to pay with Bitcoin across millions of online merchants on the platform. In April, PayPal CEO Dan Schulman said the company’s crypto commerce was on course to reach $200 million in volume within a few months.

Cointelegraph By Osato Avan-Nomayo

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The organizer of The Robin Hood Group — which once stole 10% of all circulating ETH from under a black hat hacker’s nose — wants to change the way we think about charity.

A former chemical engineer, Griff Green, 36, traded in his savings for precious metals, which he used to travel the world for years before settling as a Bitcoin missionary in Ecuador. He led a white hat hacker war against the infamous black hat hacker of The DAO, and he organizes cryptocurrency camps at Burning Man to spread the word about crypto — while dressed as Santa and riding a massive metal Doge.

His next big mission, with the blockchain-based charity initiatives Giveth and Commons Stack, is to transform the game of economics into one in which donations transform into investments… investments that can even wind up with the donor making a profit.

DAO master

The morning of June 17, 2016, was a pivotal day in cryptocurrency — it was the day The DAO was hacked. The DAO was arguably the first major decentralized autonomous organization, having raised 14% of all circulating Ether in existence at the time from over 11,000 investors in May 2016. It functioned as an investor-driven venture fund, with tokenholders able to vote on investment proposals.

But a malicious actor found an exploit allowing funds to be progressively drained from The DAO’s accounts. Green quickly organized his white hat hacker collective, The Robin Hood Group, to launch a counteroffensive.


White hat hacker and philanthropist Griff Green. (Pic: Supplied)

One week later, Green would be among the first nine graduates from the University of Nicosia’s Master’s in Digital Currency program. He was hired by, a company developing on Ethereum, as a community manager responsible for organizing and educating The DAO’s community.

Green jumped onto a Slack channel for The DAO’s investors, imploring them not to panic as his team rushed to drain what was left of the project’s holdings before the attackers could. He encouraged users to spam the network as much as possible to slow it down and increase gas fees, making it harder for the real hacker:

“The DAO is being attacked. It has been going on for 3-4 hours, it is draining Ethereum at a rapid rate. This is not a drill… We need to spam the Network so that we can mount a counter attack all the brightest minds in the Ethereum world are in on this.”

At the same time, his team started replicating the hacker’s attacks for itself, draining The DAO’s wallets of ETH before the hacker could take it.

“We had 10% of all Ether in existence.”

“We were taking a huge risk,” Green acknowledges regarding the legality of preemptively stealing tens of millions in Ether so the hacker couldn’t. The Ethereum chain was controversially forked following the hack in order to “turn back time“ to before the hack, but Ethereum Classic emerged as a still-valuable token. This meant that Green and crew effectively held 10% of all ETC with the funds they had stolen.



Legal threats started pouring in, telling the group that the ETC should be distributed, despite the fact that “We were just normal people, we didn’t have a company,” he says looking back. All the members of the group jumped on planes and “flew to Switzerland to figure out legal representation, and it was the first time we all met in person.” Eventually, the funds were returned through a DApp that Green’s team coded.


Disco DogeIf you haven’t ridden around Burning Man on a giant Disco Doge, you haven’t lived.

About a year later in November 2017, the team had similar success rescuing $210 million from the Parity multisig wallet hack. “We wanted to tell everyone, ‘Hey, guess what? We stole all this money, but you can trust us because we already gave back all the money in The DAO,’” Green recalls. But he explains that this was risky for the now-public team because anyone could use Google to find out where they — and thus, the private keys — could be found. That night, Green “slept on a mattress with a baseball bat in front of the door,” fearing someone might come to take the keys by force.

Hacking is not the only way in which Green has put himself at risk in the name of his principles. When the autonomous region of Catalonia attempted to vote for independence from Spain in 2017, Green went to a polling station to act as a human shield to protect the electoral process from “the police, who were beating people to steal the ballots.” This experience convinced Green that decentralized governance on the blockchain can only work efficiently if people are able to run their nodes without relying on centralized internet providers. The result was DAppNode, which helps people around the world set up peer-to-peer infrastructure.


Griff GreenGreen wearing his signature Santa suit while discussing charity initiatives with controversial philanthropist Brock Pierce at Burning Man 2018. (Pic: Elias Ahonen)From engineer to Ecuadorian evangelist

Green was born in Spokane, Washington, where he graduated from high school in the mid-2000s. He was interested in designing planes and rocketships but decided not to pursue mechanical engineering after he realized that much of the industry was oriented toward military applications. Instead, he went into chemical engineering at the University of Washington in 2003.

At the end of his studies in 2006, he interned at biopharmaceutical firm Amgen, where he helped “genetically engineer Chinese hamster ovary cells to produce human proteins,” he recalls, describing a “creepy process” in a laboratory filled with vats of blood. Later, he worked as a research assistant at his alma mater, turning algae into carbon-neutral fuel.

He soon found himself employed as an “organizer of a really weird political movement in Seattle” called “Save Our Sonics“ trying to lobby the local government to keep NBA basketball team the Seattle SuperSonics from relocating to Oklahoma. His efforts ended with disappointment when the mayor “sold the team away anyway with just the stroke of a pen,” just as a judge was about to rule in the team’s favor. This left Green with an “impression of political movements being outmatched and outgunned” by corrupt elites.


An alter to DOGE at Burning Man. (Pic: Elias Ahonen)


In 2007, Green joined SNC-Lavalin, a large construction and engineering firm, as a process engineer where he “had an ethical dilemma” regarding a job requirement to create a structure that sent highly acidic water into the ocean in a country with weak environmental regulations. He “tried to tweak the calculation a little bit” in order to decrease the pollution level and give the ocean ecosystem a break. His suggestions were not accepted, and “Now, there’s a pipe that I designed pumping shit into the ocean, and that really weighs on me,” he says in a somber manner.

When layoffs came around in 2008, he had been putting his paychecks into gold and silver, as he had recently started “feeling like the whole system is a corrupt conspiracy.” He bought a pop-top van that he drove to Burning Man, a counterculture event held each summer in the Nevada desert. Something about the experience inspired him to see the world, and he took off on an adventure that never ended — precious metals in tow.

He traveled around, volunteering in Ecuador and Columbia the first year and India and Southeast Asia the next, always returning “home“ to Burning Man in August. Along the way, he learned about Bitcoin and bought some with $3,000 worth of gold.



In 2013, his BTC “went to $24,000 — I was used to living really cheaply, like $3 per night hostels with cold showers,” he recalls. Green saw potential and became so obsessed with Bitcoin that he told his girlfriend, “You’re great and all, but I like Bitcoin more, and I’m going to Ecuador, and I’m going to be the Andreas Antonopoulos of Ecuador,” referring to a desire to bring cryptocurrency to the country with which he had fallen in love during his travels.

“I became obsessed. My girlfriend got jealous — we literally broke up because she was jealous of Bitcoin.”

In Ecuador, Green went around college campuses, popping into random computer science classes to give presentations about Bitcoin and teach everyone how to set up a wallet, which he would then fund with a small amount, asking each person to find three new people to send a fraction of their coins.

“I’d knock on the classroom door unannounced, and I’d be like, ‘Hey, I want to give everyone in this classroom a little bit of Bitcoin and explain it to them.’ I’d say five times out of seven, they let me in,” Green recalls with a laugh. Soon, however, he saw that Ecuador was moving to ban Bitcoin, so he abandoned his missionary post. “I had to bail,” he recounts.


Griff Green 3Griff Green’s Burning Man camp banner, featuring the Silk Road camel with religious iconography, replacing baby Jesus with a Doge.The giving principle

Green organizes DECENTRAL and DOGECENTRAL, two cryptocurrency-themed camps at Burning Man, which is a radically oriented 10-day festival founded upon 10 principles including radical inclusion, gifting, radical self-reliance and civic responsibility. With the camps, Green aims to “build a bridge between the Burning Man community and the crypto community so there can be an exchange of ideas and culture,” something he feels “can change the world somehow.” The two communities have much in common as socially critical movements but tend toward opposing extremes regarding economic philosophy.

Swayed by his experiences in both political activism and engineering, Green is critical of the “hyper capitalism” that he sees in the cryptocurrency industry. “If all you know is capitalism, then you’re just going to do capitalism better, and I don’t know if that’s necessarily the right thing. But hey, look, there’s this gift economy!” he says, referring to what is known as the “gifting principle“ at Burning Man, where money and any kind of trade or barter is banned.

“The goal is to say, ‘Wow! Look at what economics really is — let’s go a step beyond capitalism and start looking at how we can coordinate value production.’“

Green thinks of economies like games — one can play the game in a capitalist manner to benefit themselves or they can play for the benefit of others. This desire to create an economic environment that rewards people for doing societal good inspired him to start crypto donation platform Giveth in late 2016. “What if we integrate values and culture as part of the economic system?” he ponders.



Giveth currently functions as a “transparent and traceable donation platform” where anyone can trace how their donated funds are spent. “I’d say it’s like an Indiegogo for donations,” Green says. In the coming months, there are plans to release a governance token, to be given out to all donors in accordance with their donations on the platform. These governance tokens could function like something akin to a tax return, where donors receive some money back for making donations.

Commons Stack, a Giveth spinoff that Green co-founded, is creating a “general-purpose framework for nonprofit economies” by allowing donors to effectively invest in charity-related tokens. “If more people also buy that token because they believe that this nonprofit economy is going to create value, then you as an early supporter would actually make money — the same way it works in the stock market,” Green explains. Of course, it is entirely possible that donors will never get all their money back, but Green is confident that that’s OK because “the other option is a 100% loss” of donated funds.

“Every economy is a game. The rules of the game determine your score, and your goal is to get a high score. When you play the ‘American economy game,’ you try to get as much money as you can. But when you play the ‘help orphans game,’ you try to get as much money as you can by helping orphans.”


Cointelegraph By Elias Ahonen

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Ether (ETH), the second most-valued cryptocurrency after Bitcoin (BTC), has hit a major milestone amid the ongoing price rally.

On May 12, Ether price set another historic record, surging to as high as $4,346, according to data from CoinMarketCap. Ether’s market capitalization briefly surpassed $500 billion, reaching nearly $505 billion on Wednesday.

The new milestone marks Ether’s ongoing massive surge after ETH surpassed a $4,000 price mark for the first time in history on May 10. At the time of writing, ETH is trading at $4,317, up more than 6.4% over the past 24 hours and seeing massive gains of about 30% over the past seven days.

Ether market cap 24-hour chart. Source: CoinMarketCap

Following the parabolic surge, Ether is now larger than payment giant Visa or major investment bank JPMorgan in terms of market capitalization. At publishing time, Visa’s market valuation amounts to $481 billion, while JPMorgan’s market cap stands at $488 billion, according to data from financial information website MarketWatch.

Ether is the second cryptocurrency to hit a $500 billion market cap after Bitcoin. Ether took significantly less time to become a half a trillion-dollar asset. Launched in January 2009, Bitcoin took nearly 12 years to reach a $500 billion market capitalization in December 2020 at a price above $27,000. As the first version of an Ethereum cryptocurrency protocol was launched in July 2015, Ether is now five years and 10 months old.

As previously reported by Cointelegraph, Ethereum co-founder Vitalik Buterin became a billionaire after the Ether price rose above $3,000 on May 3. Megan Kaspar, a crypto analyst and co-founder of digital asset investment firm Magnetic, believes that Ether is now on track to hit a price target between $8,000 and $10,000 by late 2021. The analyst previously reportedly predicted that ETH would hit $3,400 when the cryptocurrency was trading about $1,200.

Cointelegraph By Helen Partz

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Bitcoin (BTC) gained 4.3% on May 12 as cryptocurrencies recovered losses despite increasing turmoil on global stock markets.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingviewBTC price reverses upwards

Data from Cointelegraph Markets Pro and Tradingview showed BTC/USD erasing almost all the previous day’s losses on Wednesday to trade above $57,500 at the time of writing.

The move came amid concerns over froth in tech stocks, fueled by problems in Taiwan which saw the country’s equities index post its biggest one-day loss in history. 

Bitcoin and altcoins had sold off with tech stocks more broadly earlier in the week, but the latest macro dip failed to worsen their performance.

Conversely, as has become a hallmark trait of an increasingly asymmetrical market, most major cryptocurrencies bucked the trend and returned to growth.

“BTC is bouncing here and Altcoins are recovering strongly,” popular Twitter commentator Rekt Capital summarized on Tuesday as the United States Federal Reserve buoyed the crypto cause by refusing to suggest that economic inventions could be lessened. 

Previously, concerns had surfaced that Bitcoin could ultimately fall through $50,000 under current conditions, opening up the path to as low as $40,000.

Ethereum all-time highs persist

In a continuation of “alt season 2.0,” meanwhile, Ether (ETH) led gains once again, touching new all-time highs while maintaining support at $4,000. Gas fees, however, remain a headache for traders and Ethereum network users.

ETH/USD 1-hour candle chart (Bitstamp). Source: Tradingview

Other alts also challenged record highs, among them Cardano (ADA), which at the time of writing was just four cents away from all-time highs of $1.83.

Amid continued controversy over meme coins, Dogecoin (DOGE) was flat, while “tribute” coin Shiba Inu (SHIB) lost 23% to fall out of the top twenty cryptocurrencies by market cap. Weekly gains for the coin still stood at nearly 1,500%.

Cointelegraph By William Suberg

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The markets were mixed on May 11 as Bitcoin (BTC) recovered from Monday’s drop to $53,000 by bouncing to $56,862 but the digital asset is still finding resistance at the $57,000 level.

Ether (ETH) also worked its way back above $4,100 but according to Cointelegraph analyst Marcel Pechman, the bullish sentiment for Ether seen in recent weeks has begun to fade as traders question whether new all-time highs will be sustainable in the short term.

Data from Cointelegraph Markets and TradingView shows that Bitcoin bulls defended a late-night sell-off on May 10 that briefly dropped the price of BTC below $54,000 before dip buyers gobbled up sell orders and lifted the price back above $56,000.

BTC/USDT 4-hour chart. Source: TradingView

blue-chipWhile the blue chip cryptocurrencies have been stuck in a sideways market, canine-themed meme coins including Shiba Inu (SHIB) and Dogelon Mars (ELON) have followed Dogecoin’s (DOGE) lead and seen their prices explode for triple-digit gains.

Ethereum bulls take a brief breather

Bitcoin’s range-bound trading between $50,000 and $60,000 in recent weeks can partially be attributed to the rising price of Ether, which has caught the attention of institutional investors looking for exposure to more than just BTC. The growing demand for Ether can clearly be seen in the price action of the ETH/BTC pair.

ETH/BTC 4-hour chart. Source: TradingView

According to David Lifchitz, managing partner and chief investment officer at ExoAlpha, Ether’s recent all-time high was in part due to a “continued rotation away from Bitcoin” which helped push the price of Ether “as high as $4,214 before suddenly puking down to $3,658 (-13% in an hour).”

The downturn in the crypto market coincided with a selloff in the U.S. equity markets that hit the tech-heavy NASDAQ index especially hard. Lifchitz noted that Bitcoin and the other cryptocurrencies were eventually able to “bounce back half of the loss from the high.”

While the sell-off “could be explained by some correlation trades leading to a quick profit-taking in cryptos”, Lifchitz also pointed to the possibility of a more organized selloff where some traders took advantage of frothy market conditions.

Lifchitz said:

“It could also have been an organized selloff as Ethereum was at its ATH after a torrid ride (i.e. ETH was vulnerable to a quick drop) in order to spook the weak hands and shake them off, triggering a cascading selling effect, before buying back ETH on the cheap as shown by the even higher volume to buy right after the selloff.”

Lifchitz highlighted that just:

“Twenty-four hours later, Bitcoin is back in the middle of its twilight zone ($50,000 to $60,000) and Ether is slowly grinding higher above $4K. So all in all, it was just an ordinary day in crypto land.”

Further insight into the market moves over the past week was offered by Ben Lilly, co-founder and analyst at Jarvis Labs, who highlighted an increase in on-chain profit taking over the last week that had “lots of capital turning over throughout altcoins.”

Lilly said:

“As capital made its way from coin to coin, profits were being realized as Bitcoin traded sideways. What we saw on May 10 was the end of this phase.”

Altcoins lead the market higher

The overall altcoin market shook off the bearish moves seen in the larger-cap cryptocurrencies. EOS led the day with a 50% jump which took the price to $13.92  after announced that it had secured $10 billion in funding to launch an EOS-based cryptocurrency exchange named Bullish Global.

Daily cryptocurrency market performance. Source: Coin360 (YFI) managed to break out of the trading range it had been stuck in to put on a 58% rally to a new record high above $80,000, while the price of Revain (REV) exploded 130% to reach a multi-year high at $0.049.

The overall cryptocurrency market cap now stands at $2.474 trillion and Bitcoin’s dominance rate is 42.8%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.

Cointelegraph By Jordan Finneseth

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