This morning, guys, I woke up to a market that was as red as the apple that Adam and Eve ate. It was a bloodbath. Bitcoin was down 9.2% in the past 24 hours, ETH was down 8.4%, some altcoins were down as much as 19.3%, and there were articles about liquidations in excess of $500 million. In fact, some crypto pundits have already started pulling up with projections, with at least one analyst saying that we can expect to retest June lows, with ETH trading for around $1,000 and BTC exchanging hands for around $20,000.
In light of this, I guess those miners who sold almost 6,000 Bitcoin in the last fortnight can say they made some profit from the upswing, right? Though profit there is relative depending on your perspective, I guess.
That said, at risk of stating the obvious, I'm guessing that for those who had crept back into trading, encouraged by the market's recent bullish momentum and perhaps even going long on leverages expecting to stay green or with a minimal pull back heading into the Merge on Ethereum, this must be an extremely hard blow, right? Me? Well, remember I told you guys that I was riding the wave with Optimism and then got slapped really hard when prices plunged? I've been a tad bit more cautious since, and so, though I'm in the red too, I'm just focused on keeping my head down and waiting for the next bounce, all right?
Quick question though, do you trade on the weekend?
Crypto Trading on the Weekend
I guess, depending on your perspective, this can be viewed as one of the advantages of trading in crypto markets, right? If you have the belly for it.
Unlike traditional stocks and forex markets, which accommodate trade from Monday through Friday, depending on where you are in the world, crypto markets do not close, so I guess, traders in this market have the added advantage of being able to trade around the clock, right? Thing is though, there's two sides to that coin. In an already volatile market, the risks of trading on the weekend multiply exponentially.
For one thing, there's less liquidity in the market because weekend trading volumes are low. This exposes traders to extreme volatility, crazy price swings, and maybe even a bit more risk for market manipulation too, all right? I'm just saying. And so, like I said, it depends on if you have the belly for it. The way I see it, you're gonna be practicing the art of catching falling knives, and so, at some point, you're bound to bleed.
Cardano's Charles Hoskinson gives testy response to testnet drama
In recent news, it seems as though Cardano founder, Charles Hoskinson is feeling less than genial these days weathering criticism over Cardano's latest testnet drama surrounding the much touted Vasil hardfork.
The Vasil hardfork, named after the late Cardano ambassador and Bulgarian mathematician, Vasil Daboz, was previously scheduled for June 2022. When it comes onstream, it's expected to increase throughput and scalability and improve the development of smart contracts and decentralized apps on the Cardano blockchain.
Now in terms of expectations, if you've invested in ADA, some analysts think that prices can surge on Cardano following the hardfork, pointing to the price action following the Mary hardfork in March 2021 which saw Cardano's price rise from $0.3 to $2.3, and the Alonzo hardfork which saw Cardano reach an all time high of $3 in September last year. It should be noted though that this price action was during a bull market and we're currently in a bearish cycle. Notwithstanding, just as with ETH, one can expect- if successfully executed- that there may be some price action. Which brings us to the controversy around the if.
According to reports, a critical bug was discovered by stake pool operators in the blockchain testnet, Cardano Node 1.35.3. The work of the testnet was then stopped and many participants were critical of the technical malfunction at that stage in the process, some suggesting, it appears, that the upgrade was being rushed. Yes, rushed, seriously.
Hoskinson, however, got the irony this time, and man, he's tired of the drama. So he had time for Twitter today. Pointing out that Cardano was a decentralized blockchain, meaning that the Vasil hardfork could be postponed by the community so that they could go back to testing again, he questioned the benefit to developers who have been waiting on the upgrade for almost a year. And he was like, listen, y'all ain't gonna put this one on me. I'm tired. My words, not his, of course. This is what he said:
Anyways, friends, this is a pretty big deal. While I may have made the tongue-in-cheek comment about rushed, it's important to note that testnets allow developers to test software in an isolated or sandbox environment without exposing the entire blockchain and applications to risk. Issues identified here must be taken very seriously. Moving ahead without taking this into account simply can have catastrophic results. I'm not saying that's the case with Cardano, mind you, I'm saying that this is what it means in general. And in the meantime, ETH developers are out here styling on Cardano, so to speak, and confirming their go live date for The Merge next month. Here's ETH lead developer, Tim Beiko, with a word:
Anyways friends, with all of this taken into account, what do you think is gonna happen with the Vasil hardfork? Do you think there's gonna be another delay? Or do you think there's gonna be a push to upgrade given all the development taking place next door with ETH? It's gonna be interesting either way.
Well, friends, that's it for me today. There's a crypto sale on at the moment so I think I'm just gonna go scout around for some products I've had my eye on, you know what I mean? After all, when you think about it, during the recent uptick, Ethereum did a 100% turn over, and that ain't nothing to sneeze at, right? I'm off for now, and so, until we meet again, please remember to be safe. We'll talk soon.