Daily Digest 8/25
Insight on the biggest news and charts that provide context for whats going on in the market today.
Osprey, which is in competition with GreyScale, has registered with US regulators a private Solana fund for its wealthy clients.
This would make Osprey the first in the US to have a Solana trust / investment vehicle.
Coinbase will be handling the custody services.
GreyScale also has been working since June to get a Solana fund up and running.
Osprey Readies SOL Fund as Solana Attracts Institutional Interest
Both Cardano and Solana have risen to new all time highs in such a short amount of time that it was looking way over bought.
ADA rose to $2.97 or 187% and SOL to $81 or 272% in the last month. The technology behind both is great but even the strongest projects can’t sustain that kind of upward momentum.
Pavel Shkitin, CEO of the cryptocurrency exchange Nominex.io said. “Despite the superiority in both tokens’ technologies, the surge in the past days is somewhat unprecedented, and the current reversal is an expected reaction.”
According to a Santiment report there were 779,880 ETH moved on exchanges on Monday which could have been a signal that whales were looking to take profits in the coming days.
ADA, SOL Lead the Way as Crypto Market Sees Price Pullback
ETH is passing etc in total value transferred on-chain. According to Coin Metrics ETH has done $185B in August while BTC has done $180B.
Total fees paid on ETH for the year is 4 times higher than on BTC.
Using derivatives can also show the swing in market sentiment “How much people are willing to pay for bitcoin or ether one or three months out into the future is a good sense of the market sentiment around where things are going,” said Alexander Blum in an interview with CoinDesk.
From these we can see that even though Bitcoin has more active users that ETH gas fees are still outweighing those on BTC. This can be a good and bad thing though for ETH. The high fees have been an issue brought up about ETH many times in the past year but it is also a testament to the high network usage and demand it continues to gain. It also points out a current weakness that can possibly be attributed to the high gas cost that it requires to create, mint, and trade NFTs.