A cryptocurrency that has seen its market capitalization triple since mid-August amid rising address growth is set to keep on rising in the near future as “liquidated shorts often act as rocket fuel to propel values higher.”
According to on-chain analytics firm Santiment, Skale’s market capitalization triple in three months, but trader shorting could now keep prices rising even more, with address activity currently at the highest level in over seven months, and the average traders’ SKL profits rising.
Skale, according to Coinbase, is designed to host an infinite number of secure, decentralized, and high-performing Ethereum-native blockchains. It was developed to tackle the issues of scalability, user experience, and cost that are often associated with decentralized networks , and aims to offer developers an architecture specific to their applications.
The primary initial application of this network is to serve as elastic sidechains for the Ethereum blockchain, hence its reference as an elastic sidechain network. A sidechain is essentially a secondary blockchain linked to a main chain.
In a separate post on the microblogging platform X (formerly known as Twitter), Santiment noted that Ethereum (ETH) has been seeing a “major rise in address activity to start the week,2 to reach its second-highest daily level since mid-September.
The spike in address activity, the firm noted, didn’t coincide with coins moving to cryptocurrency exchanges in what it deemed to be a “promising sign.”
As CryptoGlobe reported, American multinational financial services firm Fidelity Investments has announced its intention to launch an exchange-traded fund (ETF) focused on Ethereum’s ether. This move, revealed in a recent Friday filing, signifies a substantial step in the company’s increasing involvement in the cryptocurrency sector.
This initiative by Fidelity is part of a broader trend among financial giants to integrate cryptocurrencies into their offerings.
Both Fidelity and BlackRock are not only focusing on Ethereum but are also looking to create ETFs for Bitcoin, the largest cryptocurrency by market capitalization. These proposed bitcoin ETFs are also awaiting the SEC’s review and approval.
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