80,000 Holders No Longer Bitcoin Millionaires due to the Great Crypto Market Crash in 2022

Audy Castañeda
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The crash in cryptocurrency prices has seen the number of Bitcoin millionaires drop by more than 75% since last November.

The cryptocurrency crash has seen the number of Bitcoin millionaires drop by more than 75% since last November. More than 80,000 Bitcoin investors have had their millionaire status revoked due to the market crash, although lower prices have seen an increase in the number of users owning 1 full BTC.

In November, days after Bitcoin hit a new all-time high of around $69,000, a total of 108,886 Bitcoin addresses reported a balance of over $1 million, according to BitInfoCharts data collected by Cointelegraph.

Currently, with the price of Bitcoin struggling to stay above $20,000 unsuccessfully, only 26,284 addresses have a balance greater than $1 million, meaning the number of BTC millionaires has dropped by more than 75 percent. % in the last nine months.

Bull and Bear Markets

Despite the declining net worth of former BTC millionaires, the bear market has seen over 13,000 new “wholecoiners” – i.e. wallets containing one or more BTC – have been added to the market, pushing up the number of total wholecoiners to just over 860,000. This significant increase in the number of wholecoiners suggests that retail investors are hoarding large amounts of BTC as prices plunge.

Adding more credibility to the retail accumulation narrative, more than 250,000 addresses have added 0.1 BTC, or $2,000 at press time, or more to their holdings in the last 20 days, according to data from Glassnode.

Bitcoin and the rest of the digital asset market have been negatively affected by a number of different issues, including increased regulatory scrutiny, sustained geopolitical unrest, rising inflation, and interest rate hikes.

BTC’s Long and Winding Road

Due to the growing uncertainty surrounding the stability of global markets, commentators seem to agree that the price of risky assets like Bitcoin could continue to suffer in the long run.

Twitter user @TXMCtrades posted on June 29 that, “Despite the dreams of decouploors, #Bitcoin is unlikely to grow in a sustained way unless the economy also shows significant improvement, as they are undeniably linked.”

In addition, data from Cointelegraph Markets Pro and TradingView recorded the BTC/USD pair crossing below the $20,000 mark for the first time in nearly a week in Asian trading hours.

The weakness followed range-bound behavior near $21,000, characterizing a market still in tune with global equity moves.

Currently, Bitcoin is changing hands for $20,005, down 1.63% in the last 24 hours and down 37% in the last 30 days, with a total market capitalization of $382 billion, according to data from CoinMarketCap.

By Audy Castaneda

OpenSea Reported an Important User E-mail Data Breach

Jenson Nunez
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OpenSea Reported an Important User E-mail Data Breach

NFT giant OpenSea highlights major user E-mail data breaches and phishing attacks.

OpenSea, the famous non-fungible token (NFT) marketplace that approached a valuation of $13 billion in January this year, alerted users about E-mail phishing after a data breach.

Beware of phishing E-mails, claimed OpenSea after staff at the world’s largest NFT marketplace unveiled that an employee of Customer.io, a network for dealing with E-mail newsletters and campaigns, leaked the E-mail list of OpenSea’s clients to a third party.

Users Must be Careful of Falling Victims to Hackers and Try to Contact them

OpenSea highlighted in the report that malicious actors may try to contact OpenSea customers through E-mails from domains that might look like OpenSea.io, such as OpenSea.org or OpenSea.xyz.

The scale of the security breach seems considerably big. Opensea warned users about the sharing of E-mail with the entity in the past. If users shared their E-mails with the platform, they must assume they fell victim to the leak. The company added that it is working with Customer.io on an investigation and has reported the incident to the authorities.

More than 1.8 million users have made at least one purchase through the Ethereum network on OpenSea, according to data gathered by Dune Analytics and shared by Techcrunch.

Similar Backgrounds

E-mail newsletter management for platforms and customer relationship management (CRM) software appears to be a pain point for crypto businesses as breaches of this data continue to happen with high frequency, says Coindesk.

Phishing scams can discourage users from trying to invest in digital assets ever again. The influence of crypto hacks could impact good opinions about the crypto environment. The impact of crimes linked to the cryptoworld has left deep traces on the community in 2021, with losses registered at $14 billion or more in assets.

The previous year, scammers amassed digital currencies with figures valued at $7.8 billion in 2020. The radical growth in digital assets interest has also attracted the attention of high-scale criminals towards the crypto holdings of users.

Specialists even said that the technical complexity of blockchain and digital assets would bring high-ranked scammers to play a role in the crime chain.

Spear-phishing Attacks May Come in the Form of E-mails or Text Messages

An e-mail or text message from an unknown crypto wallet provider requesting users to update their seed words is the first step to carrying out a Spear-phishing attack. Once users try to access the link to update the password or seed word, they bring the hacker the whole credential and information about the account. Spear phishing scams in crypto can also include the seduction of users to promote juicy promises with fantastic revenues in a short amount of time.

By: Jenson Nuñez

When Paying with Cryptocurrencies, Brazilians Prefer to Use Bitcoin Over All others

Audy Castañeda
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When Paying with Cryptocurrencies, Brazilians Prefer to Use Bitcoin Over All others

Bitcoin is the preferred crypto asset for crypto users, according to research.

The high values ​​that surround Bitcoin make this cryptoactive an important source of investment due to the possibility of a good return, despite the high volatility. However, for most Brazilian users, this currency is also useful as a payment method.

It is worth noting that only El Salvador and the Central African Republic recognize Bitcoin as legal tender. Tonga is considering following what these two countries have done so far.

CoinPayments in Brazil

CoinPayments recently conducted a study on cryptocurrency payment methods in Brazil. Almost three-quarters (77%) of the payment transactions carried out with cryptocurrencies in the country involve Bitcoin. Ethereum, in second place, is far behind, with just over a quarter of the total.

Brazil’s increased interest in this cryptocurrency is explained by two main reasons. The first of these, of course, is tradition: Bitcoin was the first digital currency and, therefore, it is understood that it is synonymous with the sector. In addition, the great appreciation of recent years attracts users and companies to this ecosystem.

So much so that other surveys point to the popularity of Bitcoin among Brazilians. A survey by the Crypto.com exchange house indicates that 59% of the country’s users intend to acquire this asset in 2022. In addition, a study by Sherlock Communications states that almost half (48%) would like it to be the official currency of the country.

CoinPayments Plans in Brazil

“We have seen a great movement of acceptance of Bitcoin in the Brazilian market. More than an investment asset due to the possibility of financial return, it stands out as a form of payment. Especially in the current moment of digital transformation and economic uncertainty of the real”, says Rubens Neistein, Commercial Manager of CoinPayments.

It is a reflection of what is already happening out there. Visa research shows that one in four small or medium-sized businesses want to accept cryptocurrency payments. Pymnts released a report showing that 60% of US cryptocurrency owners were highly interested in using it for purchases.

With an eye on this demand, CoinPayments has a system that allows the company to receive transactions through Bitcoin and more than two thousand cryptocurrencies. It is enough for the organization to have a digital wallet to receive the values. All integration with the financial platform is done through API.

“Thus, the entrepreneur gains greater security in transactions, instant conversion, and savings in transaction fees. The user, in turn, receives in return the agility and efficiency characteristic of the world’s best-known cryptocurrency”, concludes Neistein.

By Audy Castaneda

Ethereum’s $1,000 Price Support Is in Danger as Q2 Draws to a Close

Audy Castañeda
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Ethereum’s $1,000 Price Support Is in Danger as Q2 Draws to a Close

The latest ETH price crash has triggered a bearish continuation setup, with an intermediate downside target 20% lower than current prices.

Ether (ETH), the native token of the Ethereum network, fell on the last day of Q2 2022, trading in sync with riskier assets amid lingering fears of higher inflation and rising interest rates. Besides, it could lead to further declines for the third quarter.

ETH price downside breakout

The price of ETH plummeted almost 5% this June 30, to USD 1,044, after a four-day losing streak. The ETH/USD pair has also broken below its intermediate rising trendline support, which in conjunction with an upward horizontal trendline resistance, constitutes an “ascending triangle” pattern.

Ascending triangles are bearish continuation patterns when they occur after a strong downtrend. Therefore, the breakout of an ascending triangle usually results in the price falling further, usually by as much as the maximum height of the structure.

Ether has been trending inside an ascending triangle since June 13, breaking below the triangle’s lower trend line on June 29 – a move that accompanied a spike in trading volumes, confirming the conviction of traders on a further downtrend.

As a result, ETH’s Q3 downside target, led by the ascending triangle setup, comes in close to $835, almost 20% below the current price.

Exchange Reserves Increase

The bearish technical outlook is also fueled by an upward trend in the number of ETH on exchanges.

Notably, investors have deposited around 1 million Ether tokens across all cryptocurrency trading platforms since May 2022, according to data from CryptoQuant. As the number of ETH increases in exchange wallets, it indicates increasing selling pressure in the Ether market.

Institutional investors have also been limiting their exposure to Ether by withdrawing capital from dedicated investment funds, as noted by CoinShares in its weekly report.

Ether-focused investment products have seen outflows worth $136.9 million in June. So far in 2022, they have processed around $450 million in withdrawals, confirming that traditional investors are very bearish on ETH.

ETH Sharks and Whales Buy the Dip

The silver lining is that Ether’s price decline throughout June has provided some of its wealthiest investors with an opportunity to “buy the dip.”

“Ether shark and whale addresses (holding between 100 and 100,000 ETH) have collectively added 1.1% more to the coin supply in this -39% drop [since June 7],” Santiment noted, a cryptocurrency-focused data analytics platform, adding that, “Historical evidence points to this group of levels having a lot of faith in future price movement.”

Additionally, smaller investors have also shown a similar buying sentiment, with addresses holding at least 0.1, 1 and 10 ETH steadily increasing since the end of last year, data from Coinglass shows.

The price of Ether is down almost 75% so far this year.

By Audy Castaneda

Cryptocurrencies Successful in Latin America Due to Failures in the Traditional Banking Sector, According to Expert

Audy Castañeda
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Cryptocurrencies Successful in Latin America Due to Failures in the Traditional Banking Sector, According to Expert

Banks do not offer the necessary services to serve the population and this drives the growth of cryptocurrencies.

With more than 34 million Brazilians still living without access to formal banking services or with unused bank accounts, the traditional banking sector has been seeking or even preparing to boost financial inclusion as much as possible, according to André Silvestrini, Manager of Business Development for Brazil in the Phemex cryptocurrency trading platform.

Silvestrini describes the situation as an “inevitable” and “logical” conflict of interest from the banks’ perspective.

“Inevitable” and “Logical Conflict of Interest

“The Latin American banking sector has been characterized by market dominance by a few players, high barriers to entry and, in many cases, high costs. And Brazil is no exception: before the advent of the world’s most valuable online bank, for example, Brazil’s five largest banks accounted for more than 70% of the country’s deposits. This led to a situation where the industry was twice as profitable compared to its European or American counterparts, with little incentive to switch. The arrival of fintech can be seen as a way to “trigger the industry”, with cryptocurrencies and decentralized finance (DeFi) wiping them out altogether,” Silvestrini says.

According to the executive, the region’s unbanked population will be among the main beneficiaries.

“A clear indicator is remittance payments; a lifesaver for many families in the region. Last summer, for example, the total volumes of ‘small’ (i.e., less than $1,000) payments transferred via crypto reached nearly $400 million per month. These numbers are a tangible reflection of the impact of cryptocurrencies as an affordable and profitable transfer mechanism, even at the entry level.”

The Brazilian Case

The executive also highlighted that cryptocurrencies are becoming more widespread in Brazil and that this is a trend that reflects broader social and economic changes throughout the region, symbolized by the so-called cryptocurrency generation.

“This is defined by three elements: first, a more flexible alternative lifestyle is becoming predominant; a trend certainly reinforced by the pandemic and subsequent restrictions. Today, 21% of Latin Americans describe themselves as self-employed, and the idea of ​​multiple streams of income and multiple locations (between office and home) is now considered the norm. Second, the incorporation of the Web in all aspects of people’s daily lives; from work and shopping to health and relationships. Finally, a genuine belief in the sharing economy and its benefits for all parties; We are seeing this from the use of shared assets (such as transportation and accommodation) to the use of copy sharing where experts are encouraged to share their knowledge for the benefit of others,” he adds.

André Silvestrini commented on these issues after the Phemex Latin America webinar, which marked the formal launch of the company in the region.

“According to the Central Bank of Brazil, last year, the volume of cryptocurrency trading was already equivalent to a third of the trade carried out on the main Brazilian exchange, B3. That is equivalent to 27% of the value of the entire savings account in Brazil (FIAT), traditionally the most popular investment instrument in the country”, he continues. “And we’re seeing similar levels of acceptance. During the last quarter, for example, we saw a quarterly increase of 87% in Brazilian merchants using the platform, while the volumes of Latin American merchants (in Spanish) increased by 22% during the same period.

“Whether sending money home or mitigating currency risk, Brazil’s crypto generation is increasingly looking beyond what banks offer for their banking needs. This is certainly a new type of financial inclusion, but it is inclusion”, Silvestrini concluded.

By Audy Castaneda

According to the BIS, The Risk of Stagflation is increasing, and Bitcoin will Become the Ultimate Savior

Jenson Nunez
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According to the BIS, The Risk of Stagflation is increasing, and Bitcoin will Become the Ultimate Savior

The crash in bitcoin prices worsens the crisis, says BIS report. Inflation is already above 5% in three-quarters of the world economy.

Restoring low and stable inflation without inflicting damage is the most important goal of global economies; this is a challenge that central banks forgot many decades ago and requires a vast amount of effort.

The Bank for International Settlements (BIS) opened up about the most prominent problems that, according to the entity, the world economy currently faces. This situation is a mix that could trigger a further slowdown, including a possible recession, leading to stagflation.

The organization presented its vision of many economic systems through its Annual Report on the 2022 Economy on June 26.

In the report citing what happened between 2021 and 2022, the BIS reported that, for the first time in the post-World War II era, the world economy goes through an inflationary threat and the danger of recession.

This situation turned out to be an unfavorable global situation that was also predicted by other international entities and to which the World Bank referred earlier this month.

The Inflation Strikes Back

The BIS report focuses its analysis on how a large number of nations have experienced inflation rates rise unusually.

The growing increase in inflation levels is prominent in the United States of America, countries of the European Union, and other regions such as the United Kingdom and Switzerland. In all these areas, they have had to deal with rising interest rates as a way to restrain the pressure.

The BIS study highlights that the current inflationary escalation takes effect in a context of high financial weaknesses. These weaknesses arrived due to the Covid-19 pandemic and later by the armed conflict going on in Ukraine.

According to the entity, achieving a remedy that solves the current issue is harsh because the costs of bringing inflation back under control can be very high.

According to the entity, the global monetary and financial system is going through immense stress, immersed in dealing with the frantic improvements needed by the digital revolution, among other factors that add more problems to the situation.

On the other hand, the crypto environment is also facing hard times. This situation takes effect due to the sharp fall in prices experienced in recent months.

The collapse of Terra and the sudden drop in the value of bitcoin (BTC) became extraordinary events that show that this new environment is not the best option and cannot carry the weight of the global financial system.

This conclusion, which focuses on the weaknesses of the digital assets sector and generates distrust in its capacity, is an idea that constantly appears in the study. The BIS has already highlighted this situation in its report on the international payment system revealed last week.

By: Jenson Nuñez

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