Chart of the Day
Whale Watching. We’re seeing some rare whale activity spotted in the BTC market, with whale SOPR dipping into the negative territory in the first week of July 2021, and no clear indication of upward movement anytime soon. This shows that whales have been transacting BTC at a loss (i.e. current market price < original price) for an extended period of time, which in turn presents a potential buying opportunity.
Undercurrents reveal that there are currently fewer whales in the market in general, but a steady increase of BTC whale holdings beginning in May, followed by a sudden spike in July, indicates strong consolidation amongst existing older whales. While hardly a clear bullish sign, BTC flowing towards stronger hands implies the possibility of new whale entrants in the short term.
Talk of the Town
New Fork on the Block. Will we get Ethereum’s London hard fork in Q3? According to developer Tim Beiko, the answer is a resounding yes. On August 4, 2021 with block 12,965,000, the upcoming fork will introduce the much-debated EIP-1559, where transaction fees will no longer be paid out to miners on the network.
With users having to only pay a base fee that will eventually be burned, a voluntary tipping system will be put into place. Miners can receive additional tips from users and prioritize transactions accordingly. Pending client teams’ approvals, it is likely we’ll be seeing the London fork sooner rather than later.