Pundits see ETH scaling down to a relative low of AU $3,600 (US $2,700) over the coming few days
- It is estimated that a sizable 3.3 million ETH will be burned annually after the network makes its highly anticipated transition to a PoS consensus mechanism.
- The Cardano network has seen an influx of 100k new wallet addresses over the last 30 days alone.
- A number of Kucoin-backed firms have come together to launch a Web3 centric developer fund worth approximately US $100M.
Ethereum, the world’s second largest cryptocurrency by total market capitalization, has wiped out its weekly losses after having gained some positive financial momentum over the last 48-hour stretch. At press time, ETH is trading at AU $4,154.
ETH’s value has dipped by a whopping 20% over the last 21-days, hitting a relative low of AU $3,900 (US $2,900) on Apr. 10. Technically speaking, the altcoin’s fundamentals suggest that a larger drop may occur over the coming few days, potentially seeing the asset drop to AU $3,600.
However, there are also those individuals confident of a trend reversal. For example, popular crypto investor Lark Davis noted that with Ethereum’s supply growth to reduce by -2.8% post its upcoming PoS upgrade, approximately 3.3 million ETH will be burned per year, resulting in its value rising in the near-to-mid term.
Davis further noted that by the end of decade, Ethereum’s total circulation pool will dip to under 100 million. “Or put another way, we will burn the equivalent of ALL ETH currently sitting on exchanges,” he opined.
A similar opinion is shared by Seeking Alpha analyst Kennan Mell who believes that Ethereum’s proposed network upgrades will most likely have a positive influence on investors, especially those waiting on the sidelines in order to accrue the asset from a long-term savings perspective.
Cardano adoption skyrockets over the past month
Despite the crypto market being driven by bearish market factors at the moment, blockchain activity on the Cardano (ADA) network seems to be increasing at a rapid rate, with a total of 400 new projects reportedly in the works. Not only that, since May 15, the ecosystem has seen an influx of 100,000 new wallets.
In all, there are now approximately 900 blockchain platforms that are being actively developed on the Cardano network. However, despite these growing numbers, ADAs recent price action has remained relative lacklustre, with the digital currency currently down 20% over the last 14 days.
Firms backed by KuCoin deploy a $100M Web3 developer fund
Prominent digital asset trading platform KuCoin revealed that its VC and NFT wings have just launched a new creator’s fund that will provide financial support for a range of NFT projects operating within the realm of art, sports and GameFi. Additionally, the fund will also provide assistance to projects operating within the domain of Web3.0 development.
Interested in cryptocurrency? Learn more about the basics with our beginner’s guide to Bitcoin, dive deeper by learning about Ethereum and see what blockchain can do with our simple guide to DeFi.
Disclosure: The author owns a range of cryptocurrencies at the time of writing
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