Bitcoin gradually returns to a reasonable range, and the global wind direction “changes again”
On June 2, Panigirtzoglou, a spokesperson for JPMorgan Chase, stated that the price of Bitcoin may continue to fall in the short term after the worst May in the past decade. Weakening institutional demand may cause the price of Bitcoin to fall below US$30,000. Bitcoin will need to fall to US$26,000 to signal the surrender of retail investors, and then a new round of rise will begin. Bitcoin funds continue to see capital outflows, and gold ETFs continue to see capital inflows, indicating that institutional investors are still undergoing the transition from Bitcoin to traditional gold.
ZB Research Institute believes that in the medium term, the transaction price of bitcoin will be between US $24000 and US $36000, and it will stay at this price for a long time, while the key price of US $145000 will still be the long-term goal of bitcoin.
According to statistics from ZB Research Institute, Ethereum’s adjusted on chain trading volume increased to US $666 billion, up 92.7% from April. The monthly mining revenue reached US $2.35 billion, an increase of 42.4% over April. The transaction costs of Ethereum miners also exceeded $1 billion for the first time in May, up 43.9% from April to $1.03 billion.Ethereum’s on chain trading volume and miners’ income both exceed that of bitcoin.
According to another statistics of ZB Research Institute, the NFT transaction volume on Ethereum in May was US $191.2 million, up 12.13% on April;During the same period, the number of NFT transactions was 77200, down 28.47% from April.
ZB Research Institute believes that in the long run, Ethereum is moving towards a more positive future. The growth of miners’ income and transaction costs on the chain also indicates that the demand for asset value Swap under digital asset trading is still strong, and the data of the centralized exchange can not fully show the real demand in the blockchain. Therefore, the data of the centralized exchange can not fully show the real demand in the blockchain. In the future, there is still a large room for currency price to rise.
On June 2, ZB Research Institute compared the transaction costs of bitcoin and Ethereum, and found that the average price of bitcoin trading is about $7.20, while Ethereum’s average cost is only $4.8. The decline of transaction costs helps drive more people to trade at the level of on chain value swap. At present, the daily transaction volume of bitcoin is $30 billion.
The gradual correction of the global crypto market is also affecting the attitudes of various economies around the world towards digital asset transactions. On June 2, according to ZB Research Institute, the Central Bank of India issued a clarification notice on Monday, pointing out that commercial banks should not quote an invalid ban on encryption banking in April 2018 and refuse to provide services to customers participating in digital asset trading, industry insiders still think this is a positive development.
ZB Research Institute believes that the move of the Bank of India is the beginning of the “wind direction” of the global crypto market transformation.
