Bitcoin and Ethereum Prices Plummet Amidst Market Challenges

• The Ethereum Foundation plans to release a financial report soon, addressing community concerns about its spending.
• The foundation spends around $100 million per year and currently holds about $650 million in its main Ethereum wallet.
• The budget strategy is to spend 15% of remaining money each year, providing a financial runway of roughly 10 years.
• Community members have criticized the foundation for unexplained large ether transfers.
• Japan's three major banks are planning a stablecoin trial called "Project Pax" for faster international settlements.
• US spot Bitcoin ETFs saw $211.1 million in net outflows on Thursday, marking the seventh consecutive day of negative flows.

Summary :

The price of Bitcoin and Ethereum has been experiencing significant declines recently. In September, Bitcoin has historically performed poorly, with an average drop of 5% over the past decade. This year, Bitcoin's price has already fallen by more than 8% in the first week of September. Ethereum has also seen a sharp decline, hitting its lowest price in 2024 and falling by 13% over the past week. The weak performance of these cryptocurrencies is attributed to factors such as the U.S. labor market data and investors cashing out of newly-approved Bitcoin exchange-traded funds. Additionally, the Ethereum Foundation has faced criticism for its spending and is set to release a financial report to address community concerns. Despite these challenges, experts believe that short-term market fluctuations should not overshadow the long-term potential of cryptocurrencies.

Sources :

- Decrypt
- Decrypt
- CoinTelegraph
- CoinTelegraph
- Decrypt
- CoinTelegraph
- Decrypt
- Decrypt
- TheBlock
- Coindesk