Bitcoin and Altcoins Plummet Following Do Kwon’s Historic 15-Year Sentence
Bitcoin and top altcoins plummeted today. As a result, they dragged the market deep into negative territory. Notably, the fallout followed significant news. Specifically, Do Kwon, co-founder of Terraform Labs, received a staggering 15-year prison sentence. Indeed, this represents the harshest sentence imposed in crypto history. Meanwhile, Ethereum hit a wall at $3,000. In addition, exchange-traded funds (ETFs) suffered outflows of $19.4 million. Nevertheless, venture capitalists moved cash into less conventional spaces.
Do Kwon’s Sentencing Hits LUNC Hard
Significantly, the sentencing of Do Kwon marks a crucial moment in the crypto saga. Ultimately, his fraudulent activities led to the $40 billion collapse of Terra-Luna. Consequently, analysts predict a further 45% dive in LUNC prices following the sentencing.
While some may see the verdict as closure, it leaves a trail of unease. Particularly, among investors in shaky tokens. Especially LUNC, which has already taken a beating.
Ethereum Struggles for Direction
Currently, Ethereum remains stalled at $3,000. Notably, it’s unable to push above the hoped-for $3,400. This persists despite market expectations. Yesterday, spot ETFs experienced significant outflows. However, BlackRock’s ETHA slightly diverged from the trend. In fact, it actually experienced inflows. In contrast, Grayscale’s ETHE saw $14.4 million exit.
While bulls aim for a wedge breakout, bears are eyeing something different. Specifically, the $2,800 support level. Meanwhile, AI models suggest a mild recovery. In particular, to $3,360 by early December. However, the market sentiment tells a different story. As measured by the Fear & Greed index, it sits at a worrying 29.
Key Ethereum Metrics
Changelly forecasts: Specifically, ETH to reach $3,329 by December 15. Additionally, potentially peaking at $3,874 this month.
Technical levels: Notably, ETH recorded weekly gains over 10%. Nevertheless, the 50-day SMA at $3,510 poses a strong resistance barrier.
Bitcoin Holders Find Reasons to Buy
Bitcoin continues to face deepening challenges. This persists even with the Fed implementing its third rate cut. Moreover, worries over quantum computing have catalyzed something. Specifically, comments from Vanguard, which referred to BTC as a “digital Labubu.”
However, long-term holders have been steadily accumulating. In fact, 75,000 BTC purchased over the last ten days. Furthermore, spot taker cumulative volume delta (CVD) has switched to bullish. Consequently, this indicates renewed interest.
Yet, the price could be poised for a breakout. This occurs amid risks around the $90,000 mark. Particularly, as dormant Silk Road-era wallets stir back to life.
Venture Capital Finds Opportunities
Despite the turmoil in the broader market, venture capital appears undeterred. Notably, Real Finance and LI.FI each raised $29 million. Additionally, TenX secured $22 million. Meanwhile, Hyperliquid Strategies announced something significant. Specifically, a $30 million buyback plan aimed at boosting HYPE stock.
Clearly, this influx of capital is a reminder. Indeed, savvy investors often seek new opportunities. In fact, even in downturns.
Mixed Fortunes for NFTs and Altcoins
The NFT market saw a dip of 15%. In total, it reached $64.9 million in sales. However, Solana bucked the trend. Remarkably, with a 44% surge in volumes.
On the other hand, Polygon stumbled. This followed the Madhugiri hardfork. Subsequently, questions around its valuation have arisen. Particularly, due to declining transaction rates.
XRP is under pressure. Currently, it faces a potential 20% drop. Nevertheless, Ripple achieved something important. Specifically, a conditional bank charter victory alongside Circle.
Shiba Inu saw increased whale activity. This occurred amid reserves depletion. Consequently, this suggests a possible rebound. Yet, Cardano neared $0.50 lows. Meanwhile, HBAR struggled at $0.12.
Progress in Crypto Adoption
Significant developments in regulatory acceptance have emerged. Notably, Ripple and Circle received conditional national bank charters from the OCC. As a result, this bolsters the legitimacy of stablecoins.
Furthermore, the CFTC nominee’s commitment adds weight. Specifically, to branding America as the “Crypto Capital of the World.” This adds to these shifts.
Additionally, YouTube’s incorporation of PayPal’s PYUSD for creator payouts matters. Similarly, JPMorgan’s issuance of $50 million in commercial paper on a public blockchain signals something. Indeed, growing institutional interest.
Meanwhile, World App has introduced important features. Specifically, encrypted chat and in-wallet payments. Consequently, this enhances user experience.
Confidence Shaken by Exploits
In a worrying trend, wire fraud allegations emerged. Specifically, against ’47 Ronin’ director Carl Erik Rinsch. Additionally, Espresso’s co-founder revealed something concerning. Namely, a $30,000 loss due to a bug in a ThirdWeb contract.
Despite turbulence, Zcash saw positive movement. In particular, a 13% rise to $460. Notably, this was driven by dynamic fees. Furthermore, interest from Cypherpunk contributed.
Price Watch: Traders on the Lookout
ETH: Clearly, it must hold $3,000. Otherwise, to stave off a drop to $2,800. However, a breakout towards $3,400 is possible. Specifically, if resistance breaks.
BTC: Evidently, long-term holders suggest a potential bottom. Nevertheless, remain alert to possible quantum threats. Alternatively, a bubble burst.
XRP/SOL: Importantly, watch for cross-chain upgrades. Additionally, significant ETF inflows matter. For instance, $1 billion for XRP. These factors counter triangle breakdowns.
Silver’s record highs: Meanwhile, they coincide with rising treasury yields. In particular, critics like Peter Schiff remain vocal. Specifically, about Fed policies.
Market Outlook
Traders are feeling the jitters. Currently, markets react to the Fed’s cuts. Unfortunately, these have failed to ignite buying enthusiasm. In addition, concerns about banks’ sluggishness are dampening something. Specifically, global economic prospects.
Yet, with venture capital shifting gears, opportunities exist. Similarly, traditional finance cautiously tests the waters. Therefore, there may be hidden opportunities amid the chaos.
Ultimately, be ready. Indeed, volatility is only just ramping up.
Volity: Empowering Your Global Financial Vision
In today’s dynamic financial environment, superior infrastructure creates lasting competitive advantage. Consequently, Volity delivers one comprehensive account for complete international operations. Specifically, you can invest, hold, and pay across borders with confidence and precision. In essence, it’s a cutting-edge financial platform engineered for global excellence.
Notably, Volity combines regulatory mastery with technological innovation. Therefore, these pillars enable professional execution in international markets. Moreover, Volity transforms complex cross-border transactions into effortless experiences. As a result, the platform provides comprehensive financial control with sophistication and security. Ultimately, with Volity, borderless finance becomes powerful, reliable, and accessible for visionary professionals worldwide.
