Shiba dogs lose their woof

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Shiba Inu declines by over 10% in the last seven days

Key points:

  • The price of the leading meme coin, Shiba Inu, has fallen by double digits in the past seven days.

  • Technical indicators assessed on a 1-day chart confirmed the possibility of a further decline in the coin’s value.

News - SHIB’s value declined by 13% in the last week as the hype surrounding meme coins began to wane. As of this writing, the coin exchanged hands at $0.00002622. 

An assessment of the coin’s price performance on a daily chart showed that SHIB’s value may experience further downside in the short term. 

Brace for more decline - SHIB’s Relative Strength Index (RSI) trended downward to return a value of 46.54. This suggested a steady decline in demand for the altcoin. This RSI value showed that market participants preferred to sell their SHIB holdings rather than accumulate more.

Likewise, the coin’s Chaikin Money Flow (CMF) rested below the zero line. This indicator tracks the flow of money into and out of an asset. When it is negative, it signals an uptick in profit-taking activity. The CMF value of -0.04 noted at the time of writing was a sign of weakness in the market. It signalled a significant liquidity exit from the SHIB market as more traders sold off their coins for profit. 

A spoof token, unrelenting scammers, price decline, and everything that followed the Wormhole airdrop

Key points:

  • Wormhole officially launched its W token on 3rd April.

  • The airdrop soon became a target for scam accounts.

News - On 3 April, cross-chain bridge Wormhole conducted an airdrop, which saw the release of W tokens worth $850 million to nearly 400,000 eligible wallets. However, soon after the airdrop went live, scam accounts targeted it to perpetuate phishing scams. 

The X account of Wormhole founder Robinson Burkey suffered a similar attack. Links to suspected wallet drainers were posted on his account several hours after the airdrop was announced. 

The airdrop - On 3 April, cross-chain bridge Wormhole initiated an airdrop of 617 million of its newly issued governance token, W, to eligible wallets. The tokens distributed during the airdrop event represented 7% of W’s 10 billion total supply. It currently has a circulating supply of 1.8 billion. 

Upon launch, W traded at $1.66 on the Solana-based decentralized exchange (DEX) OpenBook. It currently has a market capitalization of $2.1 billion and a fully diluted valuation of $12 billion.

The scammers - Soon after the airdrop went live, crypto scammers emerged and posted phishing links on X (formerly Twitter). In a post on the platform, on-chain sleuth ZachXBT noted that the Wormhole’s post that announced the airdrop had replies from several accounts with X’s highly coveted gold checkmarks posting phishing scams.

Wormhole founder Robinson Burkey's X account also suffered a hack, as links to suspected wallet drainers emerged from the account hours after the airdrop was concluded.

The spoof token -  Looking to gain from the hype around the airdrop event, opportunistic memecoin developers launched the “Warmhole” token, which immediately became tradeable after Wormhole’s announcement. The token’s market capitalization quickly rose to a peak of $8.3 million in less than six hours, and its value surged by over 80,000% during that period. 

The decline - Two hours after its launch, W’s price fell from the $1.66 high it opened at to trade at a 25% decline. Currently exchanging hands at $1.17, the token’s value dropped by almost 30% in the past 24 hours. 

UNI price decline triggers $15M whale sell-off, technical indicators point to short-term losses

Key points:

  • Uniswap’s price has fallen by over 15% in the last month.

  • The steady decline in the altcoin’s value prompted a major holder to sell its UNI tokens for profit

News -  The fall in UNI’s price in the last 30 days has led a key holder to sell all of its holdings in the last 48 hours, on-chain data has revealed. During that period, more than 1.36 million UNI tokens, valued at around $15 million at current market prices, were sent to cryptocurrency exchange Binance. 

UNI to extend losses in the short term - The fall in UNI’s price over the past 30 days has resulted in a corresponding decline in its daily trading volume. After peaking at $1 billion on 6 March, the token’s daily trading volume has since plummeted by 77%. This decline suggests a significant drop in UNI’s trading activity in the past few weeks. 

A look at the token’s movements on a daily chart revealed that it might witness a further price decline in the short term. 

Also, UNI’s MACD line was below its signal line and crossed below the zero line. The downward intersection of the MACD line with the signal line marked the re-emergence of UNI bears. Token sell-offs have gained momentum since this happened on 13 March.

Kucoin loses market share as outflows continue to spike

Key points:

  • KuCoin’s market share by daily trading volume has cratered by half since the U.S. Department of Justice and Commodity Futures Trading Commission filed charges against it.

  • The daily trading volume on the exchange fell below $600 million on 26 March.

News - Troubled cryptocurrency exchange KuCoin has lost a significant portion of its market share by trading volume in the last week. This decline comes after the U.S. Department of Justice (DOJ) and Commodity Futures Trading Commission (CFTC) filed charges against it. 

The DOJ charged the exchange with violating anti-money laundering laws, while the CFTC filed a separate civil suit claiming that the exchange operated an unregistered futures and swaps operation.

KuCoin loses rep - These charges have resulted in a spike in outflows from the exchange in the last week. On 26 March, when both actions were filed, the daily volume on Kucoin plummeted by 74%. It fell from around $2 billion to $520 million on that day. 

On the same day, outflows from wallets attributed to KuCoin exceeded $600 million, significantly outpacing inflows. 

Since 26 March, users have moved their funds to other centralized exchanges such as Coinbase, Binance, OKX, MEXC, and Gate.io.

Interesting facts

  • Solana’s monthly DEX volume climbed to an all-time high of $60 billion in March. This represented a 172% uptick from the $22 billion recorded in DEX volume in February. The surge in trading volume across DEXes on Solana in March was due to the significant interest in meme coins during that period.

  • Over 15,000 companies worldwide accept Bitcoin as a payment method. Out of these 15,000, over 2000 of these companies are based in the United States.

  • To mine one Bitcoin, you would need 9–13 years of household electricity. This is because the process of creating BTCs to spend or trade consumes around 91 terawatt-hours of electricity annually.

Top 3 coins of the day

Monero (XMR)

Key points:

  • XMR’s value has increased by almost 10% in the last 24 hours.

  • Indicators on a 12-hour chart suggested that buyers can sustain the price rally in the short term.

What you should know - XMR ranks as one of the top gainers in the last 24 hours, with a 6% value rise during that period. On a 12-hour chart, the key indicators assessed showed that short-term sentiment was bullish. For example, buying pressure outpaced XMR distribution among market participants as the coin’s Relative Strength Index (RSI) and Chaikin Money Flow trended upward and rested above their respective centre lines. Readings from the coin’s Elder-ray Index supported the bullish trend, as it returned a positive value of 4.69.

Binance Coin (BNB)

Key points:

  • BNB’s value has gone up by over 40% in the last month.

  • It may experience a decline in value as the general market witnesses a pullback.

What you should know - Currently trading at $582.08, BNB’s price has risen by double digits in the last week. However, the general market decline has impacted the demand for the altcoin, as readings from its Chaikin Money Flow (CMF) showed a spike in liquidity exit from BNB’s spot market. At -0.12, BNB’s CMF showed that most traders have preferred to sell their coins rather than hold or accumulate more. Likewise, the coin’s MACD line remains positioned above its signal line. These trend lines have been set up in this manner since 19 March, as bullish sentiment in the market weakened.

Bitcoin SV (BSV)

Key points:

  • BSV bucks the market trend as it gained a significant value in the last week.

  • However, the month so far has seen a decline in BSV’s open interest.

What you should know - BSV has defied the general market trend to record an uptick in buying pressure in the last week. During this period, the coin’s value has risen by 4%. Its MACD indicator supported the bullish trend, as the MACD line rested above the signal line and has been positioned this way since 27 March. This confirms the potential for a further price rally in the short term. Signalling a gradual rise in demand for BSV, its Relative Strength Index (RSI) was 54.20, and it was in an uptrend, at the time of writing.

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