“Bitcoin (BTC/USD), Ethereum (ETH/USD), Dogecoin (DOGE/USD) tank as investors take cover,” wrote Fortune Magazine. The headline soon spawned tens of imitations across media all over the world. It was quite disheartening to some: over the past 24 hours, Bitcoin dropped by almost 7%. Ethereum was faring far better than Bitcoin, yet it outperformed it in the opposite direction as well, dropping by 9.91%. Dogecoin and XRP (XRP/USD) fell by more than 7% today, and Polkadot (DOT/USD) and Uniswap (UNI/USD) – by more than 11%.
Good news for Axie and MANA
Some tokens are benefiting from these unfavourable developments. Axie (AXS), on which the game Axie Infinity is based, increased by 66% over the past five days, having profited from NFT economy in an impressive way. The digital marketplace for the game is based on Ethereum. Since June 22, the price of Axie has increased almost fourfold to a market value of $638 million.
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Buyers are looking elsewhere as the big names continue to drop. Another case in point is the governance token for Decentraland (MANA/USD), a decentralized, user-owned and governed virtual social platform running on the Ethereum blockchain. MANA increased by 23.55% in the last 24 hours. This is largely attributed to the noise around the first decentralized virtual music festival, which is called “TO THE MOON.” Mana has risen by 37.31% over the last week, shooting up 26.97% against BTC and 25.59% against ETH. CryptoGround expects the price of MANA to reach $1.2473 by next year.
In a statement to Forbes, Delta Trade crypto platform CEO Pankaj Balani wrote,
“Bitcoin continues to commerce uneven and although now we have seen an upward bias in the previous few days it can take some work for BTC to interrupt above the $42,000 mark.”
Cause for optimism despite losses
Cryptocurrency exchange Bybit has expressed optimism about the movements of BTC and ETH perpetual swaps on exchanges, suggesting speculators are bullish. The highly anticipated Ethereum development, which introduced EIP 1559, went live on Ropsten testnet on June 24. The expected date of launch on the mainnet is August 4. This development is projected to render Ethereum transaction fees much more predictable and less risky.
On Tuesday, Goldman Sachs commented that at present, it seemed like Ethereum had “the best actual use potential” of all currencies, citing its position in terms of reasonable contract purposes.
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