Wednesday, 7 February 2024

Market Summary

Market Summary 7 February 2024

Bitcoin Price: US$43,098.95 (+0.91%)
Ethereum Price: US$ 2,372.64 (+3.08%)

EigenLayer, an Ethereum-based liquid restaking protocol, experienced a remarkable surge of $1 billion in total-value locked (TVL) within just eight hours after temporarily removing its staking cap, aiming to attract organic demand and potentially pave the way for a future without staking caps altogether. This surge propelled EigenLayer’s TVL from approximately $2.5 billion to $3.58 billion as investors redirected their liquid-staked ETH tokens into the protocol. Despite this significant growth, concerns have been raised about EigenLayer’s mechanics, with comparisons drawn to leverage, echoing Ethereum co-founder Vitalik Buterin’s caution about systemic risks associated with increased restaking and overuse of data or price oracles. Meanwhile, Buterin, along with the Ethereum Foundation, explores five potential solutions to reduce Ethereum’s maximum block size, aiming to optimise the blockchain for a “rollup-centric roadmap.” These proposals include adjusting calldata costs, creating separate calldata fee markets, or offering incentives for using calldata, emphasising the need for balanced solutions to maintain network efficiency. In another development, Cathie Wood of ARK Invest notes a trend of investors shifting from gold to Bitcoin following the launch of spot Bitcoin exchange-traded funds, attributing Bitcoin’s appeal to its perceived status as a “risk off asset” during banking sector instability, while acknowledging a recent increase in correlation between Bitcoin and gold, despite Bitcoin’s price correction post-ETF launch.

During the week ending February 2, digital asset investment products experienced a significant turnaround with over $700 million in inflows, reversing the prior week’s outflows, primarily driven by a surge of investors into Bitcoin products in the United States, according to CoinShares. The influx totalled $708 million globally, with U.S.-listed products accounting for $720 million in inflows, largely attributed to Bitcoin products, including newly launched spot Bitcoin ETFs. Despite a slowdown in outflows from the Grayscale Bitcoin Trust, the week saw significant outflows from other issuers, notably offset by inflows into iShares and Fidelity ETFs. Meanwhile, ProShares, a major issuer of futures-based Bitcoin ETFs, sees no threats from spot Bitcoin ETFs’ launch, citing operational and commercial benefits, as evidenced by the efficient trading volumes of its flagship Bitcoin futures ETF, BITO. Additionally, a partnership between Ethereum Name Service (ENS) and domain registrar GoDaddy enables Web3 users to link their .eth domains with traditional URLs at no extra cost, eliminating previous barriers and promoting self-sovereignty over decentralised identities.

The Spanish Ministry of Finance is advancing legislative reforms to enable the seizure of cryptocurrency assets from taxpayers with overdue debts, aiming to enhance control over digital assets and combat tax evasion, as part of broader efforts to regulate cryptocurrencies in Spain. Meanwhile, Federal Reserve Chair Jerome Powell warns of the US’s unsustainable fiscal trajectory, emphasising the need for debt reduction, while the price of Bitcoin reacts to the Federal Reserve’s decision to maintain interest rates. In another development, the Farcaster protocol experiences a remarkable 400% surge in daily active users following the introduction of Frames on its social media application Warpcast, facilitating seamless engagement with external content within the platform, amid a decline in activity for other decentralised social media platforms like


Disclaimer: The following summaries are provided for informational purposes only and are not intended to infringe upon any copyrights. All rights to the original content belong to their respective owners, and the summaries are intended to provide a brief overview of the content. If you are the owner of any of the content summarised here and have concerns about its use, please contact us to discuss the matter further.

Search All Articles

Related Articles


Tuesday, 16 April 2024

Market Summary
Bitcoin Price: US$ 63,453.91 (-3.88%)  Ethereum Price: US$ 3,101.99 (-1.68%) 

Monday, 15 April 2024

Market Summary
Bitcoin Price: US$ 66,012.46 (+1.74%)  Ethereum Price: US$ 3,155.11 (4.93%) 

Friday, 12 April 2024

Market Summary
Bitcoin Price: US$ 70,016.70 (-0.41%)  Ethereum Price: US$ 3,502.52 (-1.22%) 

Thursday, 11 April 2024

Market Summary
Bitcoin Price: US$ 70,307.46 (+1.57%)  Ethereum Price: US$ 3,545.64 (+1.12%)