Kraken Australia CEO talks the August market report and BTC price slump

Sep 8, 2021 | CoinTelegraph News | 0 comments

kraken-australia-ceo-talks-the-august-market-report-and-btc-price-slump

“We always see corrections when we get to all-time highs. I think it’s a natural part of the cycle,” said Kraken Australia CEO Jonathan Miller.

Kraken Australia CEO Jonathan Miller described yesterday’s Bitcoin crash as a natural correction after BTC was “dragged up” by the overheated Ether (ETH) and nonfungible token (NFT) markets.

In its August report, Kraken notes that the supply of Ether on centralized exchanges fell to a three-year low of 12.8% at the start of the month, concluding “the likelihood of supply shock capitulating ETH higher is greater.”

Miller noted that Kraken saw “a massive run-up of trading activity” leading into Ethereum’s highly anticipated London upgrade, adding that demand for Ether has sustained since.

In addition to the hype surrounding Ethereum upgrades and EIP-1559 going live, Miller attributes the recent crypto rallies to the mania surrounding NFTs.

In its report, Kraken noted that the NFT platform saw an explosion of growth during August, with OpenSea’s daily users gaining 289% and trade volume rising 900%, according to a weekly moving average.

“The combination of Bitcoin being […] dragged up a little bit by Ethereum, Ethereum getting super hot because of all the activity on NFTs, I think there’s a bit of a natural curtailment happening,” he said, adding:

“When you’re starting to see Sootheby’s auctions and the numbers going around for NFTs — these are high levels. We always see corrections when we get to all-time highs. I think it’s a natural part of the cycle.”

“Bitcoin’s had a big run-up again from a previous dip. It does this, we know that,” he added.

Related: McDonald’s now accepts Bitcoin, but only in El Salvador

Miller also noted the buzz surrounding El Salvador’s Bitcoin Law taking effect among the “heady factors” contributing to Bitcoin’s recent gains, acknowledging that some investors may have planned to sell on the Salvadoran news:

“The timing of the El Salvador thing, I don’t think you could ignore it […] This is a pivotal turning point in terms of the adoption story for Bitcoin.”

“I saw photos of two on Twitter of people buying McDonald’s and Starbucks in El Salvador with Lightning,” he added.

News Source from CoinTelegraph.com

Related Articles

These 3 NFT Projects Collectively Captured Over $10 Billion in Sales

These 3 NFT Projects Collectively Captured Over $10 Billion in Sales

Non-fungible token (NFT) assets have taken the world by storm in 2021 and three current projects in the NFT universe have seen sales stretch into the billions. Statistics show that the NFT marketplace Opensea, the blockchain NFT game Axie Infinity, and the digital...

FTX will begin to move key operations to Bahamas as part of HQ shift

FTX will begin to move key operations to Bahamas as part of HQ shift

FTX is moving some key operations from its long-standing headquarters in Hong Kong to the Bahamas.  FTX Ltd. CEO and founder Sam Bankman-Fried tweeted today that the firm is in the process of moving its headquarters to the Bahamas from Hong Kong. The exchange's...

Pin It on Pinterest

Share This