June analysis: the cryptocurrency circle like a quiet lion under the shock still continues to move forward

June is over, what changes will be brought by the London upgrade in July? We’ll see!

The cryptocurrency circle in June is like a quiet lion, in the process of not being surprised by changes and hidden clues, which can be seen from the Gas fee of Ether, the Gas fee is basically stable at 10 Gwei up and down, and even reached 3 Gwei at the low point, which shows that the fear index in the market is increasing now, people don’t know whether the bull market is still continuing or has entered the bear market phase, some are selling, some are fleeing, some are waiting, and some are continuing to explore.

June analysis: the cryptocurrency circle like a quiet lion under the shock still continues to move forward

And from the news side, there is no bigger news this month than.

1, June 18, Sichuan opened virtual currency mining decommissioning, and fully shut down at 0:00 on June 20, when the average bitcoin network-wide arithmetic dropped about 43% from a high of 181E to 103.17E.

  1. On June 21, a number of banks issued a statement on “Prohibiting the use of our bank services for bitcoin and other virtual currency transactions”.

These two news led directly to the panic of retail investors about the cryptocurrency market and the exodus of miners. However, after the shutdown, Chinese miners need to consider whether to resell miners or to deploy mining overseas at high cost, due to the epidemic, policy and cost reasons, how easy it is for domestic miners to go abroad, and in response to the bitcoin consumption of resources, many places have also started to act on energy consumption and capacity issues. The company is looking for a breakthrough in energy consumption and capacity. Recently, Musk and Michael Saylor led a Bitcoin Mining Council with several major North American bitcoin miners, agreeing to improve transparency in energy use and accelerate sustainability initiatives globally.

At the same time, Terra Pool, Neptune Digital Assets and Link Global also announced the same month that they would launch bitcoin mining pools powered by solar, wind and natural gas in Canada.

If environmental issues have been a resistance to the rollout of bitcoin into the mainstream, these adjustments are playing a part in the sustainability of the bitcoin mining industry and the mainstreaming of bitcoin.

June analysis: the cryptocurrency circle like a quiet lion under the shock still continues to move forward

In terms of the market environment, it has been confirmed that Biki exchanges have announced that they will stop providing OTC, contract and leverage functions to mainland Chinese users from July, and that Firecoin has also shut down its bulk OTC channel and updated its user agreement on June 26 to indicate that it will stop providing contract trading services to mainland Chinese users.

All indications are that they are just the beginning, and the shutdown of OTC and contract functions for centralized exchanges will likely continue, requiring close attention to cryptocurrency-related news.

In the United States, this issue is also being combated in a different way, as several states have added cryptocurrency tax policies and are moving toward legalizing cryptocurrencies by expelling unlicensed exchanges, as evidenced by the USDC’s news release today, “USDC Stable Coin Plans to Expand to Kava, Polkadot, and 8 to 10 Other Blockchains”. In addition to this, several US investment institutions and projects have made more moves than ever this month, which shows that the US has a huge ambition to globalize the US dollar.

According to data provided by crypto analytics platform IntoTheBlock, as of June 29, about 86% of ETH holders are in profit.

June analysis: the cryptocurrency circle like a quiet lion under the shock still continues to move forward

Next, we take a look back at this month’s segments.

From the DeFi segment, on June 5, Uniswap v3 has been deployed to Arbitrum, an Ethernet scale-up network. the drop in Gas fee also brought a cooling-off period for transactions, and the volume of DEX transactions has continued to recede this month. the hotness of the Layer 2 segment did not fully drive everyone, and the number of people on the sidelines was significantly higher, while the previous The “aircoin” craze has receded and everyone is in a funk, as the flashy gains are only fleeting.

This month, Matter Labs evaluated L2 project performance in 4 broad categories and detailed metrics.

Security (Security): online assumptions (e.g. watchtower), mass exit assumptions, regulation (Custody), drawbacks of hot wallet secret keys, vulnerability to cryptocurrency economic attacks, cryptographic principles.

Performance/economics: maximum throughput, efficiency of capital utilization, cost of opening new accounts.

Usability: withdrawal time, time to subjective finality, client-side verifiability of subjective finality, instant transaction confirmation.

Other: smart contracts, EVM bytecode portability, native privacy support.

The applications around the NFT segment are also becoming more and more subdivided, and big IPs are gradually starting to enter the market. The thick-skinned Coin NFT was officially launched on June 24 and simultaneously launched the blind box, subdivided into multiple segments such as art, sports, entertainment, games, collectibles, and public welfare, which has a propulsive effect on the further division of the market and also brings huge traffic to the Coin platform.

A news story to watch is that on June 29, Republic Realm, a digital real estate NFT investment fund, is transforming its recently acquired Decentraland virtual land for $913,000 into a virtual shopping district. The shopping district, named Metajuku, is modeled after Harajuku in Japan, which is known for its street fashion. This will be the first time that the concept of a shopping district will appear in the NFT segment, breaking the previous perception that virtual land only builds pavilions, and it is believed that NFT and Metaverse will be more closely integrated in the future.

In this part of NFT standard, it is possible to form a three-legged situation of ETH, WAX and FLOW in the future, but it also depends on the development of the other two public chains.

The Kusama slot auction that everyone has been waiting for has also officially started on June 15, without any surprise, Acala first network Karura became the first project to shoot the Kusama parallel chain slot, other projects are also making efforts for their own slot auction, however, there is still a long way to go before the boka ecology is really put into use, and the most used by everyone is only the Substrate framework.

This month, there are two hot sectors worthy of our attention, one is meta-universe and the other is Layer 2. In the always choppy coin circle, some projects represented by these two concepts have shown some landing applications and solutions for the existing situation in the blockchain industry, and the first step of the long march has been taken to break the circle and large-scale commercialization.

June analysis: the cryptocurrency circle like a quiet lion under the shock still continues to move forward

From the market reaction, there are now signs of recovery, however, next month is destined to belong to Ether, on June 24, Ropsten, the test network of Ether, activated the London upgrade at block height 10499401, while the main network of Ether is expected to officially open the London upgrade on July 14, containing EIP-3198, EIP-3529, EIP-3541, EIP-3554, EIP-1559 and a total of 5 proposals. EIP-3198, EIP-3529, EIP-3541, EIP-3554, EIP-1559 and a total of 5 proposals.

After the upgrade, the Gas fee of Ethernet may even drop to lower, which is expected to bring great changes to the whole Ethernet ecology and even the secondary market. The low Gas fee along with the gradual rise of the market will trigger more people to try for DeFi and NFT, and the rise of TVL is almost a nail in the coffin. The lowest estimate of the destruction strength of the future Ethernet main network in the market is to destroy 700 ETH per day, that is, burning 250,000 ETH per year, which is not a small change, and it is believed that the ecological construction and segmentation promoted by this It is believed that the ecological construction and the promotion of segmentation will make the development of Ethernet more prosperous, as V God said before, “Ethernet is not only a public chain, but also an ecology.”

June analysis: the cryptocurrency circle like a quiet lion under the shock still continues to move forward

But for the domestic, the continued crackdown will not subside, the negative is still not out, some centralized exchanges are in passive transformation, from the initial exchange business, to now cover Token Fund, mining pool, DEX combined with a number of services, OTC and contract suppression will bring what market effect, we can continue to wait and see

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/june-analysis-the-cryptocurrency-circle-like-a-quiet-lion-under-the-shock-still-continues-to-move-forward/
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