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Revealing Shiba Inu's next move
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US Congress divided over the future of Decentralized Finance in a historic hearing
Key points:
The first-ever Congressional hearing on DeFi revealed a stark divide between Republican and Democratic lawmakers.
Critics raised concerns about the vulnerability of DeFi platforms to hacks and scams.
News - The first-ever Congressional hearing on decentralized finance (DeFi) highlighted a stark divide between Republican and Democratic lawmakers.
While Republicans praised DeFi's potential to disrupt traditional finance and reduce reliance on intermediaries, Democrats expressed concerns about its vulnerability to scams, tax evasion, and other illicit activities.
The detailed discussion - Witnesses from both sides of the debate presented their arguments. DeFi supporters emphasized the technology's potential to promote financial inclusion and provide greater access to financial services. Critics warned of the risks associated with DeFi, including the lack of regulatory oversight and the potential for market manipulation.
The hearing underscored the need for clear regulatory guidelines to address the challenges and opportunities presented by DeFi. While some lawmakers called for a hands-off approach, others advocated for stricter regulations to protect consumers and prevent fraud. As the DeFi industry continues to evolve, the debate over its future is likely to intensify.
Indonesian crypto exchange Indodax hit by $20 Million hack
Key points:
The stolen assets included Ethereum, Polkadot, Tron, Bitcoin, and various ERC-20 tokens.
Indodax temporarily disabled its platform to investigate the incident and ensure the safety of user funds.
News - Indonesian crypto exchange Indodax was recently targeted in a significant security breach that resulted in the loss of over $20 million in digital assets. The unauthorized transactions were detected by blockchain security firm Cyvers across multiple networks.
More about the stolen funds - The stolen funds included a variety of cryptocurrencies, including Ethereum, Polkadot, Tron, Bitcoin, and various ERC-20 tokens.
The exact details of the breach and the potential losses are still under investigation, but experts suspect that the hackers may have gained access to the exchange's systems through compromised private keys or vulnerabilities in security protocols.
The aftermath - In response to the attack, Indodax temporarily disabled its platform to conduct a thorough review and fortify its security measures. While the exchange has assured users that their funds remain safe, the incident has raised concerns about the security of crypto exchanges and the potential risks associated with holding digital assets.
This is not the first time Indodax has faced security challenges. In June 2023, the exchange was targeted by scammers who impersonated Indodax employees on social media to defraud investors.
US election debate ignites crypto volatility as memecoins drop
Key points:
The first presidential debate between Kamala Harris and Donald Trump did not address cryptocurrencies.
This led to disappointment within the crypto community and significant market reactions.
News - The first presidential debate between Vice President Kamala Harris and former President Donald Trump ended without a word on cryptocurrencies, leaving many in the crypto community disillusioned. The omission led to a notable drop in the crypto market, particularly impacting meme coins associated with Trump.
Memecoins take the greatest hit - Following the debate, which centered on issues like the economy and foreign policy, Trump-themed meme coins saw considerable losses. The overall market value of PolitiFi meme coins fell by 8.7%, with MAGA (TRUMP) declining by 10%, MAGA Hat (MAGA) by 22.5%, Doland Tremp (TREMP) by 27.5%, and Super Trump (STRUMP) by 12.3%. In contrast, Kamala Horris (KAMA) rose by 7.3%.
This market shift parallels changes in election odds on platforms such as Polymarket, where Harris’s chances of winning increased by 3%, while Trump’s chances decreased. Both candidates are now closely matched on these betting platforms.
Political analysts have speculated that a Trump victory could drive Bitcoin up to $90,000, while a Harris presidency might lower its value to $40,000. The crypto industry’s substantial election investments have also been overshadowed by the debate’s lack of focus on digital assets.
Shiba Inu’s recent gains trigger profit-taking, possible price correction ahead
Key points:
On-chain data suggests that SHIB holders who bought the token recently are preparing to sell off a significant amount.
The volume of SHIB tokens available for sale on exchanges exceeds the volume of buy orders.
News - Shiba Inu has recently experienced notable price increases, with its value rising from $0.000012 on 6 September to $0.000013 on 10 September. This surge has prompted many investors to lock in profits, a trend not observed in recent times.
Data from IntoTheBlock indicates that short-term SHIB holders are looking to sell over 4 trillion tokens, surpassing the total buy orders on the top 20 exchanges.
On-chain analysis - Currently, the value of these sell orders stands at $52 million, while the buy orders are at $32.50 million. Such a high volume of sell orders compared to buy orders typically suggests potential price consolidation or a decline.
Furthermore, SHIB’s Realized Profit has reached its highest level in over a month, with short-term holders realizing $9.39 million in profits. This profit-taking, combined with the current market dynamics, suggests a possible price downturn.
On-chain data from the In/Out of Money Around Price (IOMAP) indicates resistance for SHIB at $0.000014, with significant support accumulated below this level.
More stories from the crypto ecosystem
Did you know?
Bitcoin's uptime is still in the coveted "four nines" range. In other words, the network has been functional for 99.99% of the time since its creation over 13 years ago.
As of August 2022, published estimates of the total global electricity usage for crypto-assets are between 120 and 240 billion kilowatt-hours per year, a range that exceeds the total annual electricity usage of many individual countries, such as Argentina or Australia.
While cryptocurrencies are currently banned in China, the country has a massive interest in blockchain technology and holds 84% of the world's blockchain patents, as per Statista data.
Top 3 coins of the day
Internet Computer (ICP)
Key points:
Bullish bets increased on ICP with its price appreciating by 21.32% in the past week.
A short-term pullback can’t be ruled out on the token’s daily chart.
What you should know - Internet Computer Protocol is currently witnessing short-term bullish momentum, attempting to break into the resistance zone marked between $10.00 and $11.00. The support level at $6.94 has shown considerable strength, providing a firm base for buyers. The recent price surge suggests an attempt to challenge the overhead resistance, but the RSI indicates the possibility of a short-term pullback as it approaches overbought territory. If ICP manages to sustain above the support zone and break the resistance, we could see a potential continuation towards higher levels. However, a rejection could lead to a consolidation or minor correction before any further upward movement.
Aave (AAVE)
Key points:
AAVE has been defying the broader market trend on the lower timeframe.
Since 19 August 2024, it has increased by almost 46%.
What you should know - AAVE has been demonstrating a strong bullish trend, forming higher highs on the daily chart. The recent surge represents a 46.3% gain from its prior consolidation level near $110 in early August. The upward movement suggests renewed buying interest, potentially driven by positive market sentiment or fundamental developments. The Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover, which could indicate continued momentum to the upside. However, the asset is approaching a critical resistance zone around $160. A break above this level could confirm further upside potential, targeting previous highs or new levels. Conversely, failure to surpass this resistance may lead to a fall below the psychological level of $120.
Optimism (OP)
Key points:
OP increased by 17.18% in the last seven days.
It might be difficult for the bulls to cross the $2 resistance.
What you should know - Optimism is currently facing multiple resistance levels as it attempts a recovery from its recent downtrend. The price remains below critical moving averages (20, 50, 100, and 200 EMA), indicating persistent bearish pressure. The accumulation/distribution indicator shows minimal accumulation, suggesting that buying interest is still subdued. Bulls need to overcome short-term hurdles around the 20 EMA ($1.45) to regain momentum. A successful break above this moving average could signal a potential trend reversal, targeting the next resistance levels at the 50 EMA ($1.72) and 100 EMA ($2.03).
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