Bitcoin is down more than 15% over the past seven days as authorities in China halt mining activity one province at a time. Ethereum hasn’t fared much better, plummeting nearly 20% over the same time period.
Continued progress towards a major code change has done little to cushion the second-largest cryptocurrency’s fall. Called Ethereum Improvement Proposal (EIP) 1559, this code change will make transaction fees on Ethereum more predictable for users among other tweaks.
London is now finally ready to hit testnets 🇬🇧🎉
Next week, Ropsten, will upgrade, followed by Goerli & Rinkeby the weeks after.
Read this to find out how to prepare for the upgrade & expect another announcement when a mainnet block is chosen 😄https://t.co/tq0Hq56MxV
— Tim Beiko | timbeiko.eth 🦇🔊 (@TimBeiko) June 18, 2021
On June 18, Tim Heiko, an Ethereum developer and member of the Ethereum Foundation, announced a key hard fork, which includes EIP-1559, would launch on testnets this week.
Still, Ethereum continued its crash. Over the past 24 hours, Ethereum is down more than 8%.
Bitcoin’s latest tumble makes much more sense given the ongoing crackdown in China on miners. Already, five different provinces including Yunnan, Inner Mongolia, Sichuan, Xinjiang, and Qinghai have all ordered that Bitcoin miners halt operations.
The results have been significant given how much influence Chinese miners have over the network. Miners in the country are responsible for over 65% of the network’s hashrate, according to the Cambridge Centre for Alternative Finance. Hashrate is the metric used to measure how much computing power is being used to secure the network.
As a result, the network’s hashrate has fallen roughly 39% from its highs in May, according to BitInfoCharts. At press time, Bitcoin’s hashrate is 104.748.
China’s crypto policies have been the most influential force on the recent Bitcoin price action.
After halting mining activity, a recent notice from China’s third-largest bank, the Agricultural Bank of China, has stirred further selling. Earlier this morning, the bank announced that it would ban its services to anyone making crypto transactions including Bitcoin.
Agricultural Bank of China issued a notice that they will not participate in virtual currency transactions and related activities. Customer accounts participating in such activities will be closed and customer relationships will be terminated. #bitcoin#Cryptocurencypic.twitter.com/vXKNdilmky
Colin Wu, a crypto-journalist in China, speculated that the government ordered the bank to delete the notice because the government would prefer that all banks publish such a notice at the same time for “greater effect.”
“This is just a guess,” said Wu. “Our short-term judgment is a bit pessimistic.”
Amid the confusion, Bitcoin has fallen nearly by 7.2% and is trading hands at just over $33,000.
Disclaimer
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
Kraken has reorganized its staff across multiple departments in recent months as part of a strategic move before its planned initial public offering next year.
A Kraken spokesperson told Decrypt that the company continuously evaluates its workforce to ensure it aligns with its strategic priorities.
“We’re approaching this with discipline and intention, making the difficult decision to eliminate certain roles and consolidate teams where redundancies exist, while continuing to hire in key areas of...
eXch crypto exchange will shut down operations on May 1 following links to the $1.4 billion Bybit hack and an "active transatlantic operation," the team said Thursday.
eXch is a privacy-focused crypto exchange known for operating without typical KYC, or know-your-customer) requirementsThe closure comes amid mounting allegations that eXch was complicit in the $1.4 billion Bybit hack in February, allegedly facilitating money laundered by North Korea's Lazarus hacker ring.
The exchange cited an "ac...
Synthetix protocol’s sUSD stablecoin fell to a new low of $0.66 this week, over 30% below its intended $1 peg, extending a month-long depegging trend that has raised concerns about the protocol’s stability.
“It is worth pointing out that sUSD is not an algo stable, it is a pure crypto collateralised stable,” Synthetix founder Kain Warwick wrote in an April 2 tweet thread. “The peg can and does drift but there are mechanisms to push it back in line... These mechanisms are being transitioned right...