Dogecoin Gains 20% Amidst TikTok Pumping Challenge

Dogecoin has surged almost 20% this week, possibly due to a viral TikTok challenge that encourages users to get rich should the coin's price hit $1.

Crypto asset Dogecoin (DOGE) has leapt 18% in 24 hours and almost 20% over the past week. The price action is happening against the backdrop of a viral TikTok challenge that encourages users to pump the coin. 

The most popular video under the hashtag #DogecoinTiktokChallange has amassed nearly half a million views so far. It was posted five days by a user jamezg97, and effectively described what seems to be a pump scheme:

"Let's all get rich! Dogecoin is practically worthless. There are 800 million TikTok users once it hits 1 dollar, you'll have $10,000. Tell everyone you know."

In another video, a user named kindashortidiot says, with a DOGE chart in the background: 

“Everybody, just please listen to me. This is Dogecoin. If you know nothing about investing, it doesn’t really matter. Go put $25 into this and that will be 10,000, okay? And if this reaches $1, you will have made ten grand. Please, just try it out. Go pump it!”

Another popular entry under the hashtag #Dogecoin is addressed to “some smart asses buying Dogecoin on Robinhood” and essentially warns them against investing in DOGE, “literally a monopoly money." 

Cointelegraph reached out to TikTok to ask if this kind of content complies with its guidelines, but received no reply as of press time.

Currently, the asset trades at $0.002758, up almost 18% in 24 hours. It is ranked number 33 by market capitalization at Coinmarketcap.

Elon Musk’s seal of approval 

Dogecoin is a Litecoin (LTC)-based cryptocurrency that was created by a United States-based programmer Billy Markus and directly inspired by the “doge” meme. Despite being introduced as a “joke” cryptocurrency back in 2013, it has since managed to build a sustainable community on Reddit and Twitter.

Its most famous supporter is tech mogul Elon Musk. In April 2019, Musk tweeted that DOGE “might be” his favorite cryptocurrency, and that he finds it to be “pretty cool.” In a joke poll that took place on Twitter around the same time, the crypto community voted Musk as the best CEO candidate for the asset.

Bitcoin Hash Rate Hits Record Average High Defying BTC Price Bears

Seven-day average hash rate passes 123.4 EH/s for the first time as network fundamentals defy bearish price action.

An essential Bitcoin (BTC) metric has hit a new all-time high as miners pledge ever more computing power to securing the network.

Data from various resources including Blockchain confirms that on July 6, Bitcoin’s seven-day average hash rate reached a new peak.

Bitcoin hash rate 7-day average beats March top

The achievement follows several weeks of hash rate growth, with the seven-day average at 123.4 EH/s as of Monday.

The previous record came in early March, just a week before the Coronavirus-induced crash severely disrupted both network and price activity.

Bitcoin 7-day average hash rate 1-year chart

Bitcoin 7-day average hash rate 1-year chart. Source: Blockchain

Hash rate is an estimate of how much computing power miners are devoting to processing Bitcoin transactions. A higher average suggests that miners have more faith in profitability, and their activity in turn strengthens the network.

Cointelegraph regularly reports on hash rate changes, along with Bitcoin mining difficulty, which is also on the rise after around a month of stagnation.

“I expect it to keep going up from here, maybe slightly less than the dark blue post 2016 line, at ~2-3X/yr,” quant analyst PlanB commented on Monday.

BTC price sits at weak 50DMA 

Rising fundamentals currently contrast with the relative lack of support for Bitcoin price bulls. As Cointelegraph reported, only a boost for stock markets saved BTC/USD from a third retest of $9,000 support in as many days.

Highs of $9,370 were short-lived, with the pair settling nearer $9,250 at press time on Tuesday.

Summarizing the situation, Cointelegraph Markets analyst filbfilb highlighted that those levels represent Bitcoin’s 50-day moving average (DMA).

“Bitcoin Failed to reclaim that 9300 level last night.  The 50 DMA is again the test for Bitcoin,  sat at ‘support’ on the 9250 level but the previous 2x times this failed in the exact same situation,” he told subscribers of his Telegram trading channel. 

“S&P 500 futures were down those times too as they are today, so given that I’ve hedged my longs for now.”

Bitcoin has shown strong correlation to the S&P 500, with PlanB this week forecasting BTC hitting $190,000 if the index passes 4,000 points.

Meanwhile, realized volatility is at lows not seen since November 2018 — just before a huge sell-off sent Bitcoin to lows of $3,100.

Neo Founder Says Next-Gen Internet Will Break Up Tech Giants’ Data Silos

The founder of blockchain platform Neo, Hongfei Da, discussed the importance of next-generation internet at Unitize.

Most of today’s internet landscape is controlled by a countable few tech oligarchs such as Facebook, Tencent and Alibaba, according to Hongfei Da, the founder of blockchain platform Neo.

During the Unitize blockchain conference, Hongfei said that these companies have divided the internet into several fragments by creating their own data silos.

He raised concerns about how such companies intentionally use these data silos to impede competition while also abusing user privacy for both commercial and political purposes.

According to Hongfei, laying a new foundation for internet infrastructure that is more user-centric and decentralized is the best way forward for curbing these issues.

Five attributes of the next-gen internet

Explaining the important characteristics of the new internet infrastructure, Hongfei said that it should be modular so that “everyone can build a part of it and then every part can be integrated together to create a bigger application.”

In addition, he said it should be opt-in and promote interoperability. These features would allow people to freely choose the applications they want to use and the rules they want to obey when doing business. 

He emphasized that interoperability is a crucial aspect of the next generation internet that will help internet applications communicate with each other.

Hongfei further said that, in order for free innovation to happen on the new internet, it must remain permissionless and adaptable.

In conclusion, the Neo founder said such an internet will create business opportunities for innovators to build better infrastructure for privacy and governance and create applications for enterprise adoption.

Fund Manager Explains Why Ethereum Rivals Will Significantly Outperform ETH

ethereum altcoin
Ethereum has been the leading smart contract blockchain for years now. The blockchain’s native cryptocurrency, ETH, has a native market capitalization in excess of $25 billion. $25 billion is an order of magnitude higher than the market capitalization of Cardano’s ADA, $2.5 billion. Cardano, of course, is Ethereum’s primary competitor. And $25 billion is two orders of magnitude higher than the value of Zilliqa (ZIL), another competitor. Despite the asset’s dominance, analysts see Ethereum losing market share to competitors in the years ahead. Here’s why, as explained by a fund manager. Why Ethereum Could Lose Market Share Against Competitors A managing partner at BlockTower Capital, Joseph Todaro recently explained why “many little-known Ethereum rivals will significantly outperform ETH” this cycle. He released a multi-part thread on the matter on July 6th to convey this sentiment. The uncomfortable truth: over the next 2 years, many little known ethereum rivals will significantly outperform ETH.  My ETH bags do not change this reality.  Let's kick this off with a thread. 👇 — Joseph Todaro (@JosephTodaro_) July 6, 2020 Todaro said that despite his ETH holdings, he thinks transaction fees will “skyrocket” as Ethereum continues to find product-market fit via DeFi. “Scalability will raise its ugly head once again,” were his exact words. High transaction fees and a limited number of users and transactions is perfect weather for a “dark horse” competitor to emerge. As the investor remarked: “For awhile the dark horse goes unnoticed. It doesn’t yet have its army of shillers who will provide warm feelings of confidence and certainty of success. But they are coming. […] It is time, once again, to look at the neglected and scorned ETH competitors.” Todaro did not name any competitors. Yet, there’s a serious chance a protocol war plays out as projects aim to come out on top of the next bull run. And with ADA strongly outperforming ETH, it may have just begun. Cardano (ADA) vs. Ethereum (ETH) chart from TradingView.com Is ETH Even a Good Investment? Although Todaro seemingly made his comments with the premise that ETH will still do well, some have questioned that sentiment entirely. Exponential Investments’ CIO and VP of Portfolio Management, Steven McClurg and Leah Wald, say that the asset isn’t a viable investment. Like Todaro, they targeted Ethereum’s high gas fees as a potential Achille’s heel for the network and ETH by extension: “The issues inherent in gas costs have created congestion, which is a negative network externality. Congestion on Ethereum has led to poor user experience, especially for traders in this highly volatile environment, as their leveraged positions may be liquidated before they can act.” In a previous analysis, the duo explained that there are multiple other reasons why they prefer Bitcoin over Ethereum. Some of those reasons are as follows: Ethereum’s monetary policy, which may soon be changed by “staking,” is erratic without any proper stability. The network “prioritizes flexibility, compromising on security, speed, and cost.” “The Ethereum network inherently requires a much larger number of on-chain transactions to be useful.” Facing competitors and its own problems, ETH will experience tailwinds in the years ahead. Yet it should not be forgotten that Ethereum will see technical improvements and other shifts that may boost its investment viability and price performance. Featured Image from Shutterstock Price tags: ethusd, ethbtc Charts from TradingView.com Fund Manager Explains Why Ethereum Rivals Will Significantly Outperform ETH

Blockchain-Enabled 'Neon District' RPG Will Launch on Matic Network

Blockade Games’ much-delayed blockchain RPG Neon District has announced a move to Matic Network, following the presumed collapse of the initial choice, Loom.

The much-delayed blockchain role-playing game Neon District will be launching on Ethereum layer-two scaling solution Matic, according to a recent announcement. 

Neon District developer, Blockade Games will also move several of its community games onto the network.

Could we finally be entering the Neon District?

Neon District has been coming “soon” since October 2019, when its imminent launch was delayed by six months

Set in a dystopian future, the game centres around rebels fighting an authoritarian government. Players level up their characters by completing missions, and acquire equipment in the form of non-fungible tokens.

These NFTs will be freely tradable in an online marketplace powered by the Matic network. 

Some eager gamers even bought in-app units and inventory items at a loadout last October, just before the game was delayed. While they have had little option but to hold onto these NFTs since then, Cointelegraph has been told that the assets will be freely tradable within the next two months.

Why Matic?

Neon District was previously slated for release on the Loom network, before the Loom project announced it had “pivoted from blockchain games to enterprise” and went AWOL.

Matic Network is a similarly layer-two scaling solution for the Ethereum blockchain. Backed by major cryptocurrency exchanges Binance and Coinbase, it has been gaining traction in the space, attracting over 50 decentralized apps to its PoS+Plasma sidechain.

Second-layer solutions can offer enhanced performance, while vastly reducing the gas fees for Ethereum transactions. Matic claims that its infrastructure can support 10,000–15,000 transactions per second, and one to two second block times.

Unfortunately, the move to the Matic network will not speed up the arrival of the game itself. While Neon District is planning to “release multiple experiences in Q3 and Q4 2020,” the official Season One will not be available until 2021.