Digest: The Main News On The Cryptocurrency Market (March 22-28)
The week turned out to be eventful. XRP supporters launch the #RelistXRP online movement, US residents can now buy Tesla’s electric car with Bitcoins, and the THETA token has burst into the top 10 cryptocurrencies by market capitalization. The hype around NFT continues to pick up steam with Jack Dorsey’s tweet, hand-drawn Brooklyn Bridge, and PixelPanda on sale. Read more about the crypto market in our weekly review.
XRP supporters launch the #RelistXRP online movement
XRP holders have once again shown their unwillingness to accept the fact that the situation with Ripple remains precarious and continue to try to save the “sinking ship”. To get the attention of cryptocurrency exchanges, an army of XRP fans launched an online movement with the hashtag “RelistXRP”. The main message of this campaign is the return of XRP to trading platforms.
As we know, the US Securities and Exchange Commission (SEC) lawsuit against Ripple was a major blow to the coin. Many cryptocurrency exchanges distanced themselves from XRP at the end of December 2020 – they delisted or suspended trading in the coin until the issue was settled with the SEC. Last week, XRP holders were denied a petition to participate in the lawsuit but did not give up and decided to act through social media.
On Monday, Twitter posts with the hashtag “RelistXRP” were trending in the Netherlands. Users have made over 35,000 tweets with this hashtag and continue to promote their position in the media. The wave was picked up by XRP holders from the US (over 30,000 tweets) and Australia (about 24,000 tweets).
The online movement #RelistXRP pushed the quotes: the coin’s price climbed 16% to $0.58 in 24 hours. As expected, XRP rolled back to $0.54 days later.
NFT Mania: Jack Dorsey’s first tweet, “Brooklyn Bridge”, and PixelPandas
The mainstream called NFT (non-fungible tokens) is gaining tremendous proportions. One can hear about NFT tokens “currently on heavy rotation” the news feed is replenished with new names of stars who decided to tokenize something “very important for society”.
Jack Dorsey, CEO of Twitter, sold his first tweet as NFT on March 22-nd. Hakan Estavi, CEO of Bridge Oracle, and Justin Sun, Tron CEO, clashed at the auction for the unique record. The cost of the lot has grown from $500,000 to $2.9 million. The victory went to Hakan Estavi, who paid 1630 Ether (ETH) for Dorsey’s first tweet. Dorsey donated proceeds from the sale of the NFT token to their charity Give Directly, which helps families in need in Africa.
Selling Brooklyn Bridge Drawn in 5 Minutes? Easy! – thought comedian John Cleese and put his drawing on the NFT OpenSea marketplace. Calling himself “a young, unknown digital artist,” the British actor decided to joke with the success of the American swindler George K. Parker. In the late XIX century, this bright guy sold the real Brooklyn Bridge several times with fake documents. Parker got so excited that he soon “sold” the Statue of Liberty and Madison Square Garden.
Black and white digital scribbles of the Brooklyn Bridge were modestly valued by John Cleese at $69.3 million. Trading on the token began on March 21 at just $100, while at the time of writing the review, the price had risen above $35,000.
If you suddenly want to support wild pandas, check out the PixelPandas page on the NFT OpenSea marketplace. The developers of the project have put up for auction funny images of pandas. In March, one NFT panda was sold for 0.01 ETH and re-listed for $ 1,700. According to the authors of the project, the proceeds from the sale of PixelPandas will go to the World Wildlife Fund.
Theta Network’s token entered the top 10 cryptos by market cap
In the top 10 cryptocurrencies by market capitalization, a reshuffle took place – the Theta Network’s token, THETA, burst into the top of the biggest assets. In general, since the beginning of 2021, THETA has been demonstrating stable growth: in just 2 weeks in January, the token soared by 180%. The exit of Bitcoin Cash (BCH) in early March from the top 10 cryptocurrencies also help of the token.
Over the past 7 days, THETA has been in a strong uptrend. As a result, the token added 70% to the price and reached a new all-time high of $11.8. On March 23, THETA, with a capitalization of $11.5 billion, moved Chainlink (LINK) from 10th place with an indicator of $11.2 billion.
What is behind THETA’s bullish move? According to analysts, the driver for the token was the receipt by Theta Labs of the second patent from the United States for the development of projects for the decentralized transfer of video and data based on the blockchain. Earlier, Theta unveiled a protocol upgrade roadmap that will allow users from all over the world to watch digital content (such as esports) in real-time without being connected to a central server.
Tesla now accepts Bitcoin as payment for electric cars
Tesla electric cars can now be bought for Bitcoins. It was announced on March 24 by Elon Musk on his Twitter page. This option is currently only available to customers from the US, but the company plans to expand the geography of BTC payments by the end of 2021.
It is a completely expected step from Tesla. The first statements about the possibility of adding Bitcoin as payment were made in mid-February. Now, this initiative has received official confirmation. To work with Bitcoins, the company will use internal open-source software.
Elon Musk also noted the Bitcoins received from the sale of electric cars will not be converted into fiat money. This decision once again confirms the hypothesis that Tesla primarily considers Bitcoin as an investment tool.
The new widget of BTC payment can already be seen on the Tesla website in the checkout options. The company focuses on the fact that Bitcoin is still the only digital asset that is accepted as payment for electric cars. Other cryptocurrencies, including flagship forks such as Bitcoin Cash and Bitcoin SV, are not supported by the site’s payment system.
As before, Tesla’s statements acted as a catalyst for the BTC rate: the asset price jumped 2.9% in 24 hours – from $54,056 to $56,500.
Tether’s market cap increase 10x in 12 months
The stablecoin Tether (USDT) is another record holder in the race to build market capitalization. On March 24, a new high was recorded: Tether’s market capitalization reached $40.1 billion, showing a 10-fold increase over the past 12 months.
Tether is in 4th place in the top 10 cryptos in terms of capitalization after Bitcoin (BTC), Ethereum (ETH), and Binance (BNB). Looking at the stablecoin rankings, Tether continues to hold the lead. Stablecoin is 4x the size of USD Coin (USDC), which has a market capitalization of around $10 billion. Today, the USDT dominance index in the stablecoin market is estimated at 67%.
The rapid increase in Tether’s market cap is directly related to the growth in demand for cryptocurrency over the past six months. The total cryptocurrency market capitalization exceeded $1 trillion for the first time in January and reached $1.8 trillion at the beginning of this March. Also, the growth driver for the coin was a positive news background: at the end of February, the conflict between Tether and the Prosecutor General’s Office was settled, which dragged on for almost 2 years and shook the coin’s reputation.
Since the bulk of cryptocurrencies are bought with USDT, analysts are considering the growth of stablecoin capitalization as a bullish signal.
Buterin suggested using NFT for social projects
The “stellar” hysteria around the NFT theme is not quite healthy. Vitalik Buterin, the co-founder of Ethereum, shared his thoughts on this.
He believes that NFT should not be perceived as a casino for rich celebrities. According to Buterin, “unique tokens are not a tool for Elon Musk to add another $1 million to his bank account.” Buterin remembered Tesla’s CEO for a reason since last week the billionaire put up his track for sale in the form of NFT. One of the bidders offered $1 million for an exclusive lot, but soon Musk abandoned this venture and removed the digital asset from the auction.
Buterin has convinced the excitement around NFT should be channeled into a socially significant channel. This technology can bring tremendous benefits if the focus is shifted to charity and funding of public projects. The co-founder of Ethereum proposed two options for the development of the so-called social NFT direction. The first scenario is the creation of a decentralized autonomous organization that will “authorize” certain NFTs. The proceeds from the sale of tokens will be donated to charity.
The second scenario is to involve social media to integrate NFT into user profiles, allowing them to showcase what they have invested their money in. This option will close two points at once: on the one hand, the desire of people to boast of their “achievements” to others (and there is such a thing), on the other hand, to help those who need financial subsidies.