Bitcoin
Germany moves 750 Bitcoin (BTC), Altcoins bleed liquidity
Bitcoin, after a brief rise above $62,000 early in the Asian session, retreated to $61,400. The price fell amid significant on-chain activity in the German government’s BTC holdings. According to Lookonchain blockchain detective, the euro zone’s largest economy transferred 750 BTC, valued at more than $46 million, sending 250 BTC to cryptocurrency exchanges Bitstamp and Kraken, an indication that the country may be preparing to sell the tokens. This action, part of a divestment of BTC seized from a privacy website, added to bearish pressures on the market. The government holds more than 45,000 BTC. Ether followed suit with bitcoin, dropping from $3,425 to $3,375 and the CoinDesk 20 Index (CD20) also retreated, losing around 0.14%.
Alternative cryptocurrencies have recently experienced a greater loss of liquidity than bitcoin and ether. For example, the nominal open interest – or dollar value locked in active futures contracts – linked to altcoins has fallen 34% to $12 billion since BTC peaked above $70,000 on June 7. according to Coinalyze data source. This compares to a 13% drop in accumulated open interest in bitcoin and ether futures to $29.3 billion. “This one-way flow quickly turns into a reflection of the downside and exacerbates underperformance relative to large companies. Supply-side liquidity is less incentivized and traders are hesitant to catch a falling knife. Add fewer market makers and a huge increase in coin issuance and you have a very sloppy altcoin market,” said Jeff Dorman, chief investment officer at Arca. he wrote in the weekly note.
The Cardano blockchain has demonstrated its resilience to successfully repelling a distributed denial of service (DDoS) attack aimed at stealing tokens staked on Tuesday. The attack was thwarted without any disruption to network operations. In a DDoS attack, a large number of compromised computers, known as “bots” or “zombies,” flood a target with excessive traffic, causing it to become overloaded and inaccessible. Philip Disarro, founder of Cardano development company Anastasia, said the attack could be stopped by deregistering the participation credentials used by the attacker. The attack was stopped shortly after it was posted. Cardano’s ADA token has remained stable before falling slightly to less than 39 cents, in line with broader market sentiment.