with the recent decline in bitcoin prices, investors are worried about further decline. The popular cryptocurrency saw a drop of around 3%, leading some to believe that the market is entering a bearish phase.
This latest development has left many wondering about the future of bitcoin and whether it can recover from this setback.
In this update, we’ll take a closer look at the recent decline in bitcoin price and what it could mean for the entire cryptocurrency market.
Binance suspends bitcoin withdrawals for the second time in 12 hours
Binance is at it again temporarily suspended Allowing BTC withdrawals citing a significant backlog of outstanding withdrawal requests.
Earlier on May 7, Binance was forced to temporarily halt bitcoin withdrawals due to an alleged overflow of transactions on the blockchain.
After more than half an hour, evacuation was allowed once again. However, on May 8, Binance again reported that it had temporarily suspended BTC withdrawals due to a large amount of pending transactions.
There are approximately 400,000 transactions waiting for processing in the bitcoin mempool, and at the time of the second Binance withdrawal halving, the number of backlogged transactions in the mempool was approximately 485,000.
The mempool serves as an area where transactions are kept in a “waiting” state before being verified by each blockchain node.
These transactions were worth over $5 billion, and this led Binance to halt BTC withdrawals for the second time in 12 hours.
On the other hand, cryptocurrency exchange OKEx reported that its bitcoin deposit and withdrawal services remained operational despite high transaction fees.
However, a high volume of bitcoin withdrawals put pressure on the BTC/USD price, leading it to slide below the $29,000 mark.
Liechtenstein’s Prime Minister Advocates Bitcoin as a Payment Method for Government Services
In a recent interview, the Prime Minister of Liechtenstein, Daniel Risk, said that he plans to introduce bitcoin payments For its citizens, which can be implemented soon.
He outlined the European microstate’s plans to accept bitcoin payments for government services.
The national currency of Switzerland, the Swiss Franc, will be instantly exchanged for Bitcoins.
The Swiss cities of Zug and Lugano have already adopted a similar strategy for bitcoin payments. Local authorities there have taken steps to legalize bitcoin payments for specific taxes and costs associated with providing public services.
This news helped limit some losses in BTC/USD price.
MicroStrategy has been increasing BTC holdings for 11 consecutive quarters
MicroStrategy, a publicly traded company, is owned by benefited from the rise in bitcoin price over the past few months, to enable it reports Net profit of $461 million in Q1.
Revenue from the software division was also higher than expected. Tax benefits from the company’s BTC holdings contributed to this increase.
MicroStrategy’s share price has risen in the first few months of the year.
On January 1, MSTR shares were valued at approximately $145; As of now, they are valued at around $318, which represents a 120% increase.
The business intelligence firm has been faithful in consolidating its BTC position in recent years, despite the cryptocurrency’s volatile nature and the bear market of the past year.
The quarterly report shows that the company has increased its BTC holdings for the 11th consecutive quarter.
This positive news also helped BTC/USD limit its losses for the day.
Memecoin’s rise in popularity leads to multi-year highs in bitcoin transaction costs
Bitcoin (BTC) transaction fees have risen to a two-year high due to increased trading activity by memecoins such as Paypay.
This week, total fees paid on the bitcoin network increased nearly 400% compared to the end of April, totaling nearly $3.5 million.
Memecoins have gained popularity in the cryptocurrency industry, and the BRC-20 token standard has emerged as the latest development in response to bitcoin.
This standard has been used to create 8,500 unique tokens.
bitcoin price
Bitcoin is currently experiencing a slight bearish trend, trading at $28,978, mostly flat and up 0.10%. The BTC/USD pair is building on its earlier daily gains and heading towards the $30K mark.
On Monday, bitcoin’s bearish trend pushed it below the $28,500 support, with technical indicators such as the RSI and MACD indicating a sustained bearish bias.
BTC failed to surpass the 50-day exponential moving average, which sent it towards the $28,000 support. If there is a break below, it can target $27,700.
Despite the oversold RSI, the broken trend line at $28,350 suggests that the bearish momentum will continue.
Consider a sell position below $28,500 with a target of $27,750. If bitcoin breaks above $28,500, it could target $29,000 or $29,750.
Top 15 Cryptocurrencies to Watch in 2023
The Cryptonews Industry Talk team has compiled a list of the top 15 cryptocurrencies for 2023, each of which shows considerable growth potential in both the short and long term.
Disclaimer: The Industry Talks section features insights by crypto industry players and is not part of the editorial content of 0x0news.com.
Find the best price to buy/sell cryptocurrency