Despite the recent crypto market downturn, Cardano is seeing a surge in purchases worth $2 billion, partly due to the upcoming Vasil hardfork which will improve the blockchain’s scalability. Additionally, Cardano is introducing new tools like an Ethereum Virtual Machine and the Lace wallet which are helping it make moves in the bear market. However, the broader crypto market is down dramatically, with Bitcoin at $22,206 and other coins such as TRON and Monero down on the day. Coinbase is also preparing for a tough financial future, laying off 18% of its workforce as CEO Brian Armstrong signals an economic downturn.
Cardano Becomes the Darling of the Bear Market
Despite the recent crypto market implosion, over $2 billion worth of Cardano has been purchased. This surge in investment is partly due to the upcoming Vasil hardfork, which promises to bring a basket of upgrades to the Cardano network that will vastly improve scalability. This is great news for the cNFT community, which has been dealing with network congestion ever since smart contracts went live last year. Additionally, the whales see Cardano as a bear-market-proof coin and are taking this as an opportunity to buy.
Cardano is making moves in the bear market using new tools like an Ethereum Virtual Machine and a fresh new wallet called Lace. This puts Cardano ahead of other chains and poised for success in the future.
Bitcoin is currently at $22,206, down about 28% on the week. Ethereum is at $1,211, which is also not great. Top losers include TRON down 12%, Monero down 8%, HT down almost 4%, CAKE down 3%, and USDN down 2.5%. It’s been absolutely brutal out here, and there’s a yellow X on the higher daily timeframes, which could indicate that we have some more pain to go.
Coinbase Starts Layoffs
Coinbase, one of the world’s largest exchanges, is sharpening their pencils and cutting 18% of their workforce. This comes after a massive drop in their stock price, which has fallen by more than 80%. The Coinbase NFT marketplace also fell flat on its face. CEO Brian Armstrong stated that the layoffs were necessary to ensure the company’s financial safety during the economic downturn.
Will Coinbase make it through the bear market? It’s likely, but not without looking a lot uglier in the next few months.
Jerome Powell and the Economic Recession
Jerome Powell finds himself between a rock and a recession. Experts are predicting a deep recession, and Powell has signaled that the Fed will raise interest rates by 75 basis points this month. This comes on the heels of inflation numbers breaking records with no end in sight. The overprinting of more than $5 trillion in the past two years has steered the economy away from a hard landing and into striking the side of a mountain. Expect all loans to get more expensive, especially credit card rates, as banks tighten their lending criteria and look to offset their losses by squeezing the middle class. It’s not a good situation.