Crypto Market Review September 23
Crypto market remains in the red while Cardano is showing some exceptional performance
Despite the moderate recovery we witnessed in the crypto market just a day ago, most digital assets remained in the red. Bitcoin lost 14% of its value in one week of trading, a figure that experienced cryptocurrency traders do not fear.
Cardano Gains Momentum For Bitcoin
The price performance of one of the most prominent assets in the market against Bitcoin has been more than successful in the past few weeks and even months. The main reason behind this is the upcoming Vasil hard fork and the questionable future of Ethereum that put the PoW mechanism on hold for good.
From a technical point of view, Cardano also shows an outstanding price performance, gaining more than 8% of its value in the past seven days. As of press time, it has breached the upper boundary of the ascending triangle for the third time this month.
The breakout is an important step towards a trend reversal on the ADA. The cryptocurrency has lost more than 60% of its value since ATH and hasn’t had a chance to recover, especially with the market conditions we’ve been experiencing over the past few months.
Cardano is also showing that not only is it rising against Bitcoin, it is also showing a better-than-average performance against the US Dollar despite its strength against a crypto-segment.
Regulators create a toxic environment around the ether
Another important factor is the regular lack of clarity around Ethereum, which has become too similar to security, which is why regulations can affect its investors and cause many problems for projects that want to start working on the network.
If new regulatory policies are released for Ethereum, the value of the asset could begin to decline rapidly, especially due to the lack of network usage we are seeing now, given the poor performance of the DeFi and NFT industries.
Unless building on the network becomes popular again, both the profitability and revenue of Ethereum remain at a very low level, which is why the selling pressure on it has increased significantly in the past few days despite the Merge update.
Bitcoin awaits monetary easing
Despite the relief in the cryptocurrency market, Bitcoin is still in the process of moving through correction cycles after another price hike that began at the September 21 Federal Open Market Committee meeting.
Unfortunately, uncontrollable inflation shows us that the regulator is still on the way to increasing the main price in the country despite the critical conditions in the stock market, which, as we know, dictate the movement of digital assets.
At press time, Bitcoin is trading at $18,900 and still hovering around this year’s low. Another crash could send the first cryptocurrency to the next support level around $16,000.