Weekly Web3 Research | S-1 Approval of Ethereum Spot ETFs May Have New Trends; Market Experienced a General Decline; Frequent Issues with the ZKsync Airdrop Process

2024-06-14, 05:48

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![](https://gimg2.gateimg.com/image/article/1718343730zb.jpeg)
## Weekly Trend Overview
This week, the overall trend of the crypto market showed a significant downward trend due to fluctuations. Due to factors such as the safety of top exchanges and ZKsync airdrops, the crypto market has shown a ladder-like downward trend since the opening period. There was a certain overall rebound in the closing period near the weekend, but the magnitude was insignificant. The crypto market is still in a continuous adjustment cycle, and there is a lack of clear positive news for the week. Therefore, most mainstream coins are showing a downward trend. The overall market value growth of the crypto market has dropped significantly compared to the same period last week, with a total market value of around $2.43 trillion, a decrease of 2.21% within 24 hours. The market sentiment remains around 58, with a significant decline compared to last week's market, and the magnitude is significant. This week, the trend of key mainstream coins has mainly been continuously downward, with many coins experiencing a weekly decline of over 10%. Overall, the crypto market is likely to be dominated by volatile trends in the near future.

The total crypto market has dropped significantly this week compared to last week. Overall, the market is more affected by news factors, and the fluctuation cycle of the market itself has a relatively low impact. The probability of continuous decline in the future is relatively small. There is expected to be a certain degree of market recovery during the weekend closing period, and we need to wait for the impact of subsequent news factors and market cycle changes.

The top 100 crypto projects have a 1:9 rise and fall ratio within a week, with most coins showing a clear downward trend. The price trend of BTC within a week is mainly downward, with a certain rebound in the closing period near the weekend. However, it still shows a downward trend, with the coin price falling below $67,000 and currently maintaining above $66,600, with a weekly decline of about 5.48%. ETH is currently maintained around $3,482, with a weekly decline of around 8.02%. The highest point for the week is at $3,570 during the opening period.

The overall performance of various coins in the market was poor this week. XMR ranked first, with a 7-day increase of 7.88%. The coin price is currently around $177.

Further ups and downs in the overall crypto market this weekend are possible, and a new round of market fluctuations is expected during the weekend period.

## Crypto Market
🔥 <a href="/id/price/chiliz-chz" target="_blank" class="blog_inner_link">Chiliz</a> Chain, a sports and entertainment blockchain solution, announced that the Dragon8 hard fork will occur on June 17 at 10:00 Central European Summer Time (CEST).

🔥 Bankless co-founder David Hoffman posted on the X platform stating that two <a href="/id/price/uniswap-uni" target="_blank" class="blog_inner_link">Uniswap</a>-based and soon-to-be-launched mainnet projects will introduce some innovative features, namely Sorella Labs and InfinityPools.

🔥 According to DeFiLlama data, the trading volume of DEX on the <a href="/id/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a> chain in the past week was $18.085 billion, ranking first with a 7-day decrease of 50.25%. Secondly, the trading volume of DEX on the <a href="/id/price/solana-sol" target="_blank" class="blog_inner_link">Solana</a> chain in the past week was $10.184 billion, with a 7-day increase of 31.85%; The trading volume of DEX on the BSC chain in the past week was $4.637 billion, with a 7-day increase of 28.55%; The trading volume of DEX on the Base chain in the past week was $3.628 billion, a 7-day decrease of 4.66%; The trading volume of DEX on the Arbitrum chain in the past week was $2.728 billion, with a 7-day reductiona of 25.91%.

🔥 SSV Network announced on social media that the previous round of incentive activities has ended, and over 22,332 validators are eligible to receive 12,936 SSVs, equivalent to approximately $485,000.

🔥 ETF Store President Nate Geraci tweeted that there may be new developments in the S-1 approval process for Ethereum spot ETFs this week.

🔥 According to Evgeny Gaevoy, CEO of digital asset market maker Wintermute, Ethereum leaders must choose between supporting capitalist or socialist economic systems, but not both at the same time.

🔥 RWA tokenization became the best-performing area in May, surpassing the growth of giants such as ETH and BTC.

🔥 According to Ultrasound data, the Ethereum network has destroyed 4,320,697.56 ETHs as of now.

🔥 MetaMask has launched a collection staking service that allows users to stake ETH and receive rewards. The service was initially not offered in the United States or the United Kingdom and is currently only available to a few users.

🔥 LayerZero Labs announced on social media that it has been launched on Sei V2, offering parallel execution and EVM compatibility. Other LayerZero developers on the network can now seamlessly deploy their applications on Sei V2.

🔥 DeFi Technologies Inc. announced that it has adopted <a href="/id/price/bitcoin-btc" target="_blank" class="blog_inner_link">Bitcoin</a> as its primary fiscal reserve asset and has purchased 110 Bitcoins to initiate this strategy.

🔥 The Hong Kong virtual asset spot ETF has been listed for over a month, but no banks have yet been listed. Some issuers have admitted that banks and securities firms are subject to different regulatory bodies, and their distribution in banks still needs to wait for the approval of the corresponding regulatory bodies. Internal evaluations may need to be conducted within banks.

🔥 According to Spot On Chain monitoring, wallets associated with the Ethereum Foundation have been actively selling ETH in the past week.

🔥 The number of cryptocurrency, blockchain, or Web 3.0 plans announced by Fortune 100 companies has increased by 39% in the past 12 months and reached a historic high in the first quarter of 2024.

🔥 Ethereum's most popular wallet, MetaMask, will launch a "collateralized staking" feature this week, which will make participating in blockchain network security cheaper than running a fully verified node. The new feature will allow users to participate in Ethereum staking, a popular crypto investment strategy that involves parking tokens at addresses on the blockchain in exchange for rewards.

🔥 Dune data shows that the total amount of ETH staked on the Ethereum beacon chain has exceeded 33 million, reaching 33,019,764 ETH in the current period. The number of validators is 1,031,868, and the staked ETH accounts for 27.55% of the total ETH supply.

🔥 In response to the phenomenon of Meme coin continuing to dominate the narrative, Ethereum co-founder Vitalik Buterin proposes several directions for expanding and improving the functionality and scope of cryptocurrencies: 1. zk reputation/identity/credentials; 2. P2P cross-border payment (lower fees and rapidly improving user experience within this cycle); 3. Decentralized socializing; 4. Predict the market (actually available within this cycle); 5. Privacy; 6. Enterprise applications implemented through zk validations; 7. Voting with zk+anti censorship.

🔥 The <a href="/id/price/terra-luna-classic-lunc" target="_blank" class="blog_inner_link">Terra Luna Classic</a> community is voting on the revised LUNC destruction tax allocation proposal. This pay-per-job (PPJ) proposal submitted by Genuine Labs developer Frag requires approval from the community and validators to implement the modifications outlined in Proposal 12098, which was approved in April.

🔥 Victory Securities announced that its VictoryX trading application now offers access to stablecoin USDT and USDC. It is the first securities firm in Hong Kong to offer this service, which is now open to professional investors.

🔥 According to the Sapshot governance page, the <a href="/id/price/1inch-1inch" target="_blank" class="blog_inner_link">1inch</a> community has initiated funding for the launch of a crowdsourcing and beta testing platform proposal, which aims to launch beta.1inch.io, a platform aimed at testing Web3 projects, ensuring project quality and skill growth for participants, and rewarding their work.

🔥 Bloomberg ETF analysts say that everyone believes tokenization is important, but it may not be a substitute for ETFs. Bitcoin ETFs will exceed $500 billion in the United States within five years, and may surpass this number globally. People plan to position them as "technology stocks" and "ultimate app stores," which differs completely from Bitcoin's promotion.

🔥 PeckShield monitoring shows that the address marked as Curve founder Michael Egorov has been cleared of approximately 20.2 million CRV tokens on the UwU Lend platform. The executor of this liquidation is the address marked as sifuvision.eth. According to UwU Lend's official tweet, UwU Lend has repaid all bad debts in the wETH market, totaling 481.36 wETHs worth approximately $1,734,042.

🔥 According to Berachain's official announcement, Berachain has been upgraded to Berachain V2 version. This upgrade introduces the BeaconKit framework, significantly improving the architecture and consensus mechanism, and providing a better experience for EVM smart contract development.

🔥 According to The Block, stablecoin issuer Paxos has laid off approximately 20%, or 65 people. Paxos co-founder and CEO Charles 'Chad' Cascarilla stated in an internal email that the company's financial condition is good, with over $500 million on its balance sheet. Layoffs are aimed at concentrating resources more on areas such as tokenization and stablecoins.

🔥 Crypto derivatives trader Gordon Grant said that spot Ethereum ETFs' attractiveness to institutional players will weaken until they can be staked, and many people may wait for the staking to be approved before allocating funds to such funds.

🔥 According to Deribit data, BTC and ETH options with a nominal value of approximately $1.99 billion will expire tomorrow.

🔥 Frequent issues with the ZKsync airdrop process have not met previous user expectations, and there have been issues with mouse traps and witches, which have been resisted by multiple project parties.
## Regulatory & Macro Policies
🔥Former US President Trump stated on social media that he hopes all remaining Bitcoin will be mined in the United States as a new round of attack on President Biden.

🔥 According to The Block, Terraform Labs has settled with the US Securities and Exchange Commission (SEC), agreeing to pay a fine of $4.47 billion to the SEC.

🔥 Following the recent approval of the Ethereum ETF 19b-4 application by the US Securities and Exchange Commission (SEC), South Korean regulators are facing increasing pressure to approve crypto ETFs.
## Crypto Market Highlights  
⭐️ In the past week, the overall crypto market has experienced a significant decline, greatly influenced by news factors. The overall market trend has been declining since the opening, but in reality, it is still due to a lack of overall upward support. In the short term, likely, the subsequent stimulation brought by the listing of ETH spot ETFs will drive the overall recovery of the market.

⭐️ This week, there was a lack of popular mainstream coins in the market, and most of the coins that experienced gains had relatively small increases, indicating an overall downward trend. At present, the coin with the highest weekly price increase in the crypto market is XMR, with a weekly increase of about 6.82%. The current price is around $176. The weekly high point of the coin is $181, which has not been significantly affected by market downturn fluctuations.
![](https://gimg2.gateimg.com/image/article/17183437961.jpeg)
(Data Courtesy Of Coinmarketcap)

## BTC & ETH Weekly Performance

### Bitcoin (BTC)
![](https://gimg2.gateimg.com/image/article/17183438142.jpeg)
(Data Courtesy Of TradingView)

This week, the overall price of BTC fluctuateddownward, with the coin price falling below $67,000 from above $68,000. This week, BTC prices showed a certain degree of decline, influenced by market fluctuations and news factors, resulting in a slight fluctuation in BTC prices. At present, the coin has maintained a continuous fluctuation around $66,600, with a significant decline compared to the opening price. The high point of BTC's weekly price is around $70,150, while the low point is around $66,600.

Analysis suggests that the price changes of BTC this week are greatly affected by the overall downward trend of the market, with frequent fluctuations in the coin price among mainstream coins but still maintaining good price support. It is expected that the coin will continue to experience slight market fluctuations into the weekend, and the upward and downward trends need to be comprehensively judged based on the overall market dynamics and news factors.
### Ether (ETH)
![](https://gimg2.gateimg.com/image/article/17183438283.jpeg)
(Data Courtesy Of TradingView)

ETH's price peak this week was at $3,720, and the weekly price trend is similar to BTC, but the magnitude is relatively flat. Mainly maintaining a continuous fluctuation within the range of $3,400-3,700, the short-term insert coin price even fell below $3,400 at one point. Although there was a round of price recovery near the weekend closing period, it still showed a continuous downward trend afterward. The low point of the coin's weekly price is around $3,380.

Analysis suggests that the ETH coin price has followed the overall market trend this week, with a slower fluctuation in the K-line and a relatively large short-term price decline. At present, the subsequent major market changes of this coin still rely more on the influence of news factors. However, there is a high probability of a certain rebound in the weekend closing period. Considering the cyclical fluctuations of the market, it is expected that there will be a small round of upward momentum.
## Web3 Project Trend
The total market value of the seven project categories has fluctuated this week. Due to changes in market cycles and external news, different tracks have also shown different performances. Currently, there is still a probability of significant changes in the overall market trend, and various sectors may receive clear signals of ups and downs during the weekend.

| Project category  | 7d Change  | Top 3 Gainers  | Comment  |
| ------------ | ------------ | ------------ | ------------ |
| Layer 1 | -8.1% | MAS,HAC,CCD | The Layer 1 track has significantly declined this week, with limited gains in top growth coins and a focus on non-mainstream coins.|
| Layer 2  | -17.5%  |HACD,SKL,CWEB |The overall change of Layer 2 sector this week is mainly a significant decline, with the growth rate of the top coin controlled within the 10% range. |
| DeFi  | -13.4%  | RENBTC,NOIR,HDRN | The DeFi track has also experienced a significant decline, but the growth rate of top growth projects is still considerable, and overall liquidity is still relatively strong.|
| NFT  | 21.9% | MTRM,BWO,VEMP |The NFT market has experienced a significant decline this week, and the overall market remains sluggish. The growth rate of top-growing coins is controlled within a small range.|
| MEME  | -16.8%  | CAT,SOLCAT,OMIKAMI| The MEME coin track has seen a significant decline this week, with the leading growth coin CAT experiencing an exaggerated increase. However, the track's overall market trend is volatile.|
| BRC-20  | -25.8% | GHSY,LFG,OMBI | The BRC-20 sector has experienced a significant decline, and although the top growth coins have seen relatively good gains, the overall market situation in this sector is still sluggish.|
| AI  | -22.0%  | AIMBOT,LILAI,AIUS | The AI track has significantly declined this week, with relatively limited growth in top coins. We still need to wait for the hot topics in the AI-related field to influence us.|

<div class="blog-details-info">
<div>Author:**Charles T.**, Gate.io Researcher
<div>Translator:Joy Z.
<div class="info-tips">\*This article represents only the views of the researcher and does not constitute any investment suggestions.
<div>\*Gate.io reserves all rights to this article. Reposting of the article will be permitted provided Gate.io is referenced. In all cases, legal action will be taken due to copyright infringement.
</div>

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