Cardano's important milestone

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Bitcoin surges ahead of Trump’s speech at Bitcoin conference in Nashville

Key points:

  • Analysts expect Trump might propose creating a strategic Bitcoin reserve if re-elected.

  • Futures trading data shows significant long positions.

News - Bitcoin has regained much of its recent losses as anticipation builds for former President Donald Trump’s appearance at the Bitcoin Conference in Nashville.

Traders are keenly awaiting Trump's speech, expected to address a potential strategic Bitcoin reserve if he is re-elected.

In a 25 July analyst note, Markus Thielen, CEO of 10xResearch, observed that traders are reluctant to short Bitcoin as they await Trump’s remarks. Thielen suggested that high expectations could lead to a price surge if Trump announces plans for a Bitcoin reserve, potentially causing Bitcoin’s value to jump significantly.

Current futures trading data reveals that positions are overwhelmingly long, with $1.11 billion at risk if Bitcoin’s price dips to $65,000. This market sensitivity underscores the potential impact of Trump’s comments.

At press time, Bitcoin was trading at $67,100, marking a 4.28% increase in the past 24 hours. Thielen highlighted that while the U.S. Treasury holds gold reserves worth $600 billion, it also possesses $15 billion in confiscated Bitcoin. He speculated that Trump might suggest increasing Bitcoin's share of reserves, which could drive significant market movements.

U.S. Senator Elizabeth Warren criticizes foreign crypto mining operations

Key points:

  • Warren specifically criticized the Chinese-owned MineOne facility.

  • She raised concerns about these operations potentially being used for espionage and cyberattacks.

News - Senator Elizabeth Warren has raised new concerns about foreign-owned cryptocurrency mining operations in the U.S., describing them as a significant national security threat.

During a Senate Committee on Banking, Housing, and Urban Affairs hearing on 25 July, Warren criticized these operations for their environmental impact and potential risks to national security.

Warren specifically targeted the Chinese-owned MineOne facility, which was situated near a strategic missile base in Wyoming before being ordered to relocate by President Biden in May.

The senator expressed fears that foreign-owned mining operations could be leveraged for espionage and cyberattacks, potentially targeting U.S. military operations and the energy grid.

She also claimed that these operations often use cryptocurrency to bypass traditional financial systems and Anti-Money Laundering regulations, enabling them to secretly transfer funds.

The Biden administration's April crackdown on the industry reflects ongoing concerns about its impact, particularly with respect to foreign influence.

Cardano gears up for Chang Hard Fork with Node 9.1.0 release

Key points:

  • The latest validator node software is a prerequisite for the hard fork.

  • On-chain governance mechanisms will be introduced, giving ADA holders a voice.

News - The Cardano blockchain is on the cusp of a major milestone with the upcoming Chang hard fork. This significant upgrade is part of the network's transition to the Voltaire era, where governance will be fully decentralized.

The latest validator node software, Node 9.1.0, is now live and paves the way for the hard fork. While 11% of validators have already adopted the new node, the broader ecosystem still requires updates to scripts and tools. Once 70% of validators are upgraded, the Chang hard fork can be activated.

This upgrade marks a pivotal moment for Cardano. It will introduce on-chain governance mechanisms, allowing ADA holders to participate in decision-making through a constitutional committee and delegate representatives. Stake pool operators will also have a new governance role.

The Chang hard fork is divided into two phases. The first, starting later this year, will establish the groundwork for on-chain governance.

The second phase, scheduled for later in 2024, will fully decentralize the network, shifting governance power from Input-Output Hong Kong to the Cardano community.

Celebrity memecoins on Solana crash after their initial hype

Key points:

  • Celebrity meme coins on Solana launched in June have suffered massive price drops.

  • Over two-thirds of these coins have lost more than 90% of their value.

News - Celebrity meme coins launched on the Solana blockchain in June have seen their values plummet as their initial excitement has faded among investors.

The involvement of some celebrities has also come under scrutiny, with questions arising about their motives. Many speculate whether these launches were intended as genuine ventures or simply a quick way for celebrities to capitalize on the crypto hype.

Many celebrities, including rappers Lil Pump and Soulja Boy, launched their own meme coins in June. However, these tokens have experienced dramatic price drops, with over two-thirds losing more than 90% of their value. The remaining coins have also seen significant declines, ranging from 28% to 88%.

This crash follows a surge in new token launches on Solana. The ease of creating tokens through platforms like Pump.fun has contributed to this trend. Pump.fun allows anyone to launch tokens on Solana with minimal effort, leading to a saturation of the market in May with nearly half a million new tokens.

Examples include Iggy Azalea's "Mother" token, which has lost 72% of its value since its peak in June, and Andrew Tate's "Daddy" coin, which has dropped 60%.

Interesting facts

  • With its eco-friendly Proof-of-Stake consensus, Solana can process up to 65,000 transactions per second and offers low transaction fees.

  • In 2021, the Bitcoin community embraced the Bitcoin Zebra as its fresh mascot. The zebra embodies strength, speed, and agility, characteristics closely linked with Bitcoin.

  • Polkadot was founded by Gavin Wood, one of the co-founders of Ethereum. It is a multi-chain platform that enables interoperability between different blockchains.

Top 3 coins of the day

dogwifhat (WIF)

Key points:

  • WIF has been performing better than Shiba Inu and Dogecoin.

  • At press time, long bets were higher than short bets.

What you should know - dogwifhat (WIF) has experienced a volatile period since its all-time high in March. After a sharp decline in June, the memecoin has shown signs of recovery, currently trading at $2.61 with a weekly gain of 9.67%. Bullish sentiment, indicated by an RSI of 60, suggests potential for further upward movement towards the $3.72 resistance. However, support at $2.3 is crucial for maintaining the uptrend. A breakdown below this level could trigger a drop to $1.71. Short-term investors should monitor price action closely for indications of sustained bullish momentum or potential reversal.

XRP

Key points:

  • XRP’s value increased by close to 11% over the last seven days.

  • At press time, it was trading at $0.6004 with buyers in charge.

What you should know - XRP has seen a 25% surge since the start of July, but its momentum has slowed down recently. The coin has been consolidating within a narrow range since mid-July. Currently, XRP is facing increasing sell pressure, which could potentially drive its price down to the support level of $0.4298 - $0.4711 by the end of next week. However, an RSI of 62 suggests some underlying bullishness. Investors can closely monitor price action and volume to gauge the strength of the potential downtrend and identify potential entry points for a rebound.

Avalanche (AVAX)

Key points:

  • AVAX’s OI-Weighted Funding Rate remained negative at press time.

  • The market sentiment has been neutral for the past few days.

What you should know - AVAX has shown relative price stability compared to other major cryptocurrencies over the past two months. However, a recent 32.39% decline from its May peak has raised concerns. Currently trading near its upper Bollinger Band, AVAX's price movement is uncertain. Neutral MACD and signal line readings indicate indecision in the market. While AVAX has demonstrated resilience, the recent price drop warrants close monitoring. Long-term investors should consider potential support levels at $23.78, $22.70 and observe market sentiment for clues about the next price movement.

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