Bitcoin price hasn’t changed much, still hovering around $35,400 but hashrates at Chinese mining pools are all down more than 20%

Over the past 24 hours, Bitcoin price has not changed much, remaining active around the $35,400 area. However, BTC wasn’t alone in suffering the sell-off, ETH and the cryptocurrency market also fell.

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BTC/USD 4-hour chart | Source: TraidngView

Bitcoin price did not fluctuate much at the weekend

Bitcoin’s sharp correction towards the $35,400 area caused a series of large-cap cryptocurrencies to plunge, pushing the entire market cap to $1,480 billion. In the last 24 hours, Bitcoin’s lowest trading volume was at $34,554 and the highest was at $36,316.

More than 2 months since the peak of $ 64,000 (on April 14, 2021) Bitcoin is still in a downtrend that has not been able to regain its momentum. The main reason is that countries are tightening regulations on cryptocurrency.

In particular, China – where Bitcoin hashrate accounts for about 75% of the world – is getting tougher on this cryptocurrency. This has caused many cryptocurrency miners in China to be forced to shut down.

According to Documenting Bitcoin, in the last 24 hours, Foundry USA is the only major Bitcoin mining pool that’s increased in hashrate. Meanwhile, Chinese mining pools saw a drop of more than 20%, led by Huobi.pool’s 37% drop. For more information, SlushPool is not close off, and likely even with Foundry USA’s growth.

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Source: Documenting Bitcoin/Twitter

Ether may take longer to regain position than Bitcoin

ETH at one point rallied around 170% higher than BTC between March 28 and May 15. The incredible price surge led ETH to hit an all-time high of $4,380. However, when the crypto market started to plummet, the trend started to reverse and since then, Ether has underperformed BTC by 25%.

Furthermore, according to Glassnode, Ethereum percent addresses still in profit has hit a 5-month low of 90.73%.

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The number of Ethereum addresses in loss has also hit a 5-month high of 5,542 million. Meanwhile, ETH miner revenue has also hit a 3-month low of $1,121 million.

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At press time, ETH is trading at $2,171, recording a 10% drop over the past seven days.

Some might say this is a technical correction after a strong rally. But in reality, ETH does not have any clear bullish momentum yet.

While Ethereum has kept its 80% dominance on net value locked in DeFi applications, Binance Smart Chain (BSC) has reached a 40% market share on DEX exchanges. Intense congestion on the Ethereum network increased average fees to $37 in mid-May. That congestion triggered an exodus of activity to competing networks and PancakeSwap.

The fact that no country is expected to adopt ETH in the near term is also one of the main reasons why Ether will not outperform Bitcoin in the next 12 months. Or at least until there is a better understanding of what the dominance of the Ethereum network over smart contracts will look like.

You can see the Bitcoin and ETH price here.

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