Bitcoin, Ethereum, Dogecoin Trade Mixed As Shanghai Upgrade Nears: Analyst Says Apex Crypto Could Breakout If This Happens

Major coins traded in the mixed on Sunday evening, as investors continue to anticipate the impending regulatory challenges.

What Happened: The highly anticipated Ethereum Shanghai upgrade is just a few days away, and it’s generating quite the buzz. But despite the rollout, there’s no sign of selling pressure. This is largely due to the fact that a significant amount of staked Ethereum ETH/USD is currently at a loss. 

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According to CryptoQuant’s research report released in February, a significant proportion of ETH that has been staked is currently experiencing losses. The study reveals that the average ETH holder who has staked their digital assets is currently incurring an 18% loss on their staked holdings.

At the time of writing, the global cryptocurrency market capitalization stood at $1.19 trillion, an increase of 0.37% over the last day.  

Tech stocks led the way in propelling the S&P 500 into the green on Thursday, which marked the end of a short trading week before the long weekend. Despite signs of a weakening labor market, the market closed on a high note, with the S&P 500 rising by 0.36%. The Nasdaq Composite, which has a focus on technology companies, outperformed the S&P 500 with a 0.76% gain.

News Highlights: A smart contract flaw within the well-known decentralized exchange SushiSwap has resulted in the illegitimate withdrawal of roughly $3.3 million worth of Ethereum. The issue, as analyzed by the crypto analytics company PeckShield, pertains to the contract approval process, which has been associated with a recent update put into effect a few weeks ago.

Analyst Notes: "Bitcoin was mostly unfazed with nonfarm payroll report. It looks like crypto traders are headed for a long weekend as the consolidation phase remains intact as Bitcoin remains trapped in its range. Bitcoin needed a soft jobs number to trigger a market reaction and that is not what happened today.  Regardless, Bitcoin still has the potential for a big move in the next couple of weeks. Options volumes are at record levels, interest is growing and if we get some positive developments, that could trigger institutional interest," said Edward Moya, senior market analyst at OANDA.

Ben Caselin, Vice President of Dubai-headquartered Crypto Exchange MaskEX, said, "The overall crypto market remained flat due to the long weekend with BTC and ETH witnessing marginal fluctuation in their prices. Regulatory pressure on Binance may shake the crypto market this week and investors will closely watch the developments around the same."
He added, "The Shanghai upgrade of the Ethereum blockchain will keep the market buzzing as it is the most awaited event since the Ethereum merge. BTC may have entered the early bull run phase as we approach the Bitcoin halving which is due in May 2024, but this momentum could be temporarily, but nonetheless significantly disrupted if macroeconomic factors take a turn for the worse."
Michaël van de Poppe, a crypto analyst said, Bitcoin BTC/USD is currently consolidating at a crucial support level, and it has the potential to surge to $28,500. He predicts that if Bitcoin manages to test a crucial resistance level between $28,600 and $29,000, it could lead to a significant breakout. "More importantly; confidence comes back in the markets then, so you'll see more Altcoins starting to break out."

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