The BTC price has had a rough week, plummeting about 12% since last Thursday. The world’s leading cryptocurrency endured a savage weekend selloff, but bulls have largely managed to hold steady around the $55K support base for almost a month.
Bitcoin’s market dominance has dropped almost 10% since April 1 to sit at 51% during press time. At the beginning of the year, that figure stood at over 70%.
BTCUSD recovered above the $56K in today’s early sessions, but the bulls struggled to gain momentum. The pair undulated from $54,565 to $57,043 during the European session before settling at its price of $54,125 during press time..
BTCUSD Chart By TradingView
If the flagship crypto fails to clear the $55,500 resistance level, it could correct lower, with the immediate support on the downside sitting near $54K.
ETH Price Hits New Record High
As bitcoin traded in a range below the $57,500 resistance, ETH rallied to a new lifetime high of $2,564 during the European trading session before paring gains.
The largest altcoin by market capitalization has logged gains of over 5% despite a bearish phase sweeping through most of the cryptocurrency market. The uphill move came amid fears from investors that the impending EIP 1559 upgrade might cause a drop in the Ether supply.
“With the upcoming EIP 1559 upgrade, ether will become a deflationary asset. This feature will reduce the coin supply and have a corresponding effect on the price, creating an attraction point for more buyers,” explained Nick Spanos, co-founder of Zap Protocol.
The native cryptocurrency of the Ethereum blockchain stood out against the rest of the top digital assets on the day. BTC continued to consolidate below its recent highs while other altcoins such as XRP, BNB, and ADA suffered from an excruciating knock-on effect.
The second-largest crypto has been on a tear in recent weeks, having gained roughly 35% in April, while BTC has slipped about 8%.
Bitcoin “Incentivizes” Renewable Energy
Bitcoin’s carbon footprint has been a major cause of concern among critics of the emerging technology. However, Twitter CEO Jack Dorsey claims this could change if BTC miners work closely with renewable energy companies.
The Twitter boss, who dedicated $10M toward green bitcoin mining this past December, believes that bitcoin “incentivizes” renewable energy. Dorsey shared his thoughts on the issue in an April 21 tweet, to which Tesla chief Elon Musk replied, “True”.
The tweet comes on the heels of the release of a White Paper from Dorsey’s firm Square inc., entitled “Bitcoin as key to an abundant, clean energy future”.
The paper argues that BTC miners are “unique energy buyers” who are flexible and can pay in crypto, and can be based anywhere with an internet connection.