The price of the tokens has more than doubled on some exchanges in the past week in an otherwise little-changed market | Credit: Shutterstock
Key Takeaways
- Inventors rush to capitalize on the hype surrounding CYBER.
- Some investors are paying nearly 2,000% for quick CYBER profits.
- The altcoin experiences a bearish rally while BTC and ETH falter.
CyberConnect’s Web3 social network token CYBER doubled in value over the past week while primary crypto tokens such as Bitcoin and ETH show signs of regression.
The Web3 token experienced a surge in trading volume in the first two days of September, leading it to reach a value of over $15, according to Coinmarketcap .
CYBER Token
The issuer, CyberConnect, describes itself as “web3’s earliest and biggest social network that enables developers to create social applications utilizing ERC-4337/Account Abstraction, empowering users to own their digital identity, content, connections, and interactions.”
The company is capitalizing on the Web3 power vacuum created by the decline of Friend.tech, a Web3 token on Base Layer 2 blockchain that enabled users to trade tokenized ‘shares’ with influencers through its social app.
Friend.tech has experienced a 95% slump since its last peak on August 21st.
CYBER was traded for over $225 million in just 24 hours on September 1st.
Investors rush to put their money into the token’s funding rates, which are payments made over time by traders on perpetual futures markets. The token’s funding rates have soared to as much as 2,190% on Bybit and Bitget and almost 1,500% on Binance.
CyberConnect did not immediately respond to a request for comment.
ETH And BTC Fall Back
An earlier CCN article reported that market activity for two of the flagship tokens in the crypto market experienced a downturn in August of 2023, with expectations of a further regression to occur in September.
Bitcoin’s volume decreased by 6.7%, while Ethereum’s dropped by 5.7% in August. Moreover, August marked the fifth month in which on-chain volumes dropped, now down by 56% compared to the same month last year.
Open interest contract activity for BTC decreased by 14% and corresponding contracts for ETH are also down 18%. Moreover, Trading volumes of BTC monthly futures volume decreased by 5.4% to $603B.
Finally, CME’s open interest in Bitcoin futures decreased by 4.8% to $2.23B (daily average volume down 16.6% to $1.37B) and ETH futures’ monthly volume decreased by 15.5% to $264B.
While these drops are in line with predicted forecasts, the recent announcement by the US Securities and Exchange Commission (SEC) to delay responses to ETF applications filed by Wall Street firms had a negative impact on the valuations of the two Layer 1 tokens.
