In today’s cryptocurrency market, Bitcoin reached below $47,000 at 07:00 AM UTC before featuring a sudden rise. At the time of writing, it was trading at $47,672 (31 August 11:00 AM UTC) with a 24-hour price change of -1.20%.
Bitcoin held support above the 200-day moving average of about $46,000 even though the uptrend weakened after the 21st.
If it breaks below the 200-day moving average of $ 46,084 and stops falling to the support line of $44,000 or the upper limit of the range of $42,000 from May to July, Bitcoin will likely continue to rise. However, if it reached below $37,500 to $40,000, market sentiment could be negatively affected and investor sentiment may deteriorate again.
Altcoins such as Solana became sought-after purchases after Solana increased by 17% from the previous day.
Ethereum gas bill
Despite the activation of the ‘London’ upgrade, the gas charges of Ethereum remained high due to the increasing use of DeFi and NFTs, taking a serious turn towards the network’s rising fees.
According to data tracker Etherscan, the average unit gwei(Ether denomination) for paying minors reached 100-150 Gwei, which is around 10 times higher than the April 2018 levels.
Ethereum’s Gas fee temporarily reached $ 70 in May this year and at these levels, the use of Dapps provided by companies and blockchain games using NFT will be shunned.
The chronic scalability issue might improve and resolve with future upgrades and PoS migration but the recent hard fork upgrade has not reached a fundamental solution for the Gas charges.
This might threaten the competitiveness of Ethereum as interest in alternative chains such as Cardano (ADA), Binance Smart Chain (BSC), Solana (SOL), Polkadot (DOT) as well as increasing adoption of DeFi have been rising rapidly.
The NFT has increasingly been plagued with gas charges and declining liquidity of digital assets. Hence, layer 2 solutions such as the Polygon network that keeps low fees are being introduced one after the other.
However, the Ethereum ecosystem currently remains unrivaled as many DeFi and NFT based projects are based on its blockchain technology.