Web3, or Web 3.0, is the next generation of internet services characterized by decentralized protocols, blockchain technologies, and Coin/token-based economies. It aims to create a more open, transparent, and user-centric internet. Here’s a closer look at what Web3 entails and why it matters:

Key Features of Web3.

Decentralization

• Blockchain Technology: Web3 uses blockchain to decentralize control, ensuring no single entity owns or controls the network, unlike the centralized platforms dominating Web2.

• Peer-to-Peer Networks: Users interact directly with each other, enhancing privacy and reducing dependency on centralized entities.

Trust and Transparency:

• Smart Contracts: These self-executing contracts have terms directly written into code, automatically enforcing and executing agreements, which reduces the need for intermediaries and enhances trust.

• Immutable Ledgers: Transactions are recorded on the blockchain in an immutable and transparent manner, ensuring data cannot be altered once added.

User Ownership and Control:

• Digital Assets and Coin/Token: Web3 allows the creation and ownership of digital assets and cryptocurrencies, giving users real ownership and control over their digital interactions and transactions.

• Decentralized Identity: Users maintain control over their digital identities, reducing the risks associated with data breaches and identity theft.

Economic Incentives:

• Coin/Token Economies: Cryptocurrencies and tokens incentivize participation and contributions to the ecosystem, rewarding users for their engagement.

• Decentralized Finance (DeFi): Web3 includes a range of d ecentralized financial services, offering alternatives to traditional financial systems and enabling more inclusive financial access.

Why Web3 Matters

Empowerment and Ownership:

• User-Centric: Web3 shifts power from centralized entities to individuals, giving them more control over their data, digital identities, and assets.

• Monetization: Creators and users can directly monetize their contributions without intermediaries, leading to fairer compensation models.

Innovation and Inclusion:

• New Business Models: Web3 fosters new business models like decentralized autonomous organizations (DAOs) and decentralized applications (dApps) that were not possible under Web2.

• Global Access: By removing barriers associated with centralized control, Web3 provides global access to financial services, information, and digital resources.

Enhanced Security and Privacy:

• Data Ownership: Users maintain ownership of their data, reducing the risk of breaches and misuse by third parties.

• Cryptographic Security: The use of cryptographic techniques enhances security, ensuring secure transactions and interactions.
Reduced Intermediary Costs:

• Efficiency: By eliminating intermediaries, Web3 reduces transaction costs and improves efficiency, making processes quicker and more cost-effective.

• Direct Interactions: Users can engage in direct transactions and interactions, streamlining processes and reducing overhead costs.

Challenges and Considerations

• Scalability: Current blockchain technologies face scalability issues that need addressing to handle large-scale applications and user bases.

• Regulation: The regulatory landscape for cryptocurrencies and blockchain is still evolving, posing potential risks and uncertainties.

• Usability: Web3 applications often have a steep learning curve, requiring further development of user-friendly interfaces for mass adoption.

• Security Risks: While blockchain itself is secure, the surrounding ecosystem (such as smart contracts and dApps) can be vulnerable to exploits and hacks.

Conclusion

Web3 represents a transformative shift in how we interact with the internet, promising greater decentralization, security, and user empowerment. Despite the challenges, the potential benefits of a more open, user-centric, and equitable internet make Web3 a critical development in the digital landscape. As the technology matures, it is likely to have profound implications for various aspects of society, from finance and governance to social interaction and digital content creation

Bitcoin stayed firm, gaining roughly a percent to hover stubbornly above 34,000-levels, while Ethereum gained half a percent apiece but remained below $1,800.

On Monday, Bitcoin and other crypto currencies maintained their upward momentum in the new week. All crypto coins participated in the early trades, extending the weekend momentum. The recent crypto rally has been aided by the enthusiasm around regulatory approval of a spot bitcoin exchange-traded fund (ETF) listing.

Bitcoin maintained its strength, gaining roughly 1% and remaining strongly above the 34,000-levels. However, its greatest peer, Ethereum, saw a half-percentage-point increase but remained below the $1,800 mark. The majority of altcoins were trading at a profit.

Bitcoin maintained its position above the $34,000 mark, owing to the current bullish view for the likely approval of Bitcoin Spot ETF applications in the United States.

The ProShares Bitcoin Strategy ETF (BITO) had its second-largest trading week to date, with $1.7 billion in trading volume, while the Grayscale Bitcoin Trust (GBTC) had $800 million, potentially increasing the general market’s favourable attitude. In contrast, Ethereum’s trading value remained above $1,700.

On Monday, the bulk of the main crypto tokens were trading higher. Solana gained roughly 3%, while Chainlink and Polkadot gained 3% each. Polygon, Cardano, and XRP all climbed approximately 2% in early trading. Even dollar-pegged stablecoins increased in value.

The worldwide cryptocurrency market cap was trading much higher, reaching $1.26 trillion after increasing by around 1% in the last 24 hours. However, total trade volumes increased by more than 13% to $27.37 billion.

Bitcoin finished the week with a whopping 15% increase. Throughout the weekend, BTC remained positive while remaining below its local resistance at $35,000. The price is currently hovering around $34,300, with ETH trading slightly above the local support level of $1,765.

It’s worth mentioning that the crypto market will be heavily influenced this week by a number of macro events, including the US FOMC meeting, the monthly announcement of the US unemployment rate, US job vacancies, and the US non-farm Employment Change. These occurrences have the potential to cause volatility in the cryptocurrency market.

On a daily basis, the Bitcoin (BTC) price exhibits not one, but numerous sell signals. To make matters worse, on-chain data reveal widespread profit-taking. While the rise fueled by the probable ETF approval has boosted BTC so far, the lack of it could send the pioneer cryptocurrency lower.

Bitcoin ETF news is critical to the continued rally.

For some years, the approval of a Bitcoin spot Exchange-Traded Fund (ETF) has been a speculative event. However, ETF-related innovations have recently accelerated. After losing a run of crypto lawsuits, the US Securities and Exchange Commission (SEC), which approves or disapproves ETF products, has been on the defensive.

The initial run-up in Bitcoin prices began in mid-October, following the SEC’s dismissal of Grayscale’s lawsuit for transforming the GBTC product into a spot ETF offering, as well as other ETF-related news. However, because there have been no updates, BTC has been trading sideways.

Regardless, the speculative Bitcoin trading frenzy will reach new heights in January 2024, the next critical deadline for the ETF decision. This event will either make or break the cryptocurrency space. However, investors should be prepared for a regression before then, especially given that the Bitcoin price has been emitting multiple sell signals.

Bitcoin’s price may fall soon

Bitcoin’s (BTC) price increased by 30% between October 16 and 24, reaching a local high of $35,280. Because of the tremendous bullish momentum, this move was spectacular. However, since the formation of this swing high, BTC has been trading sideways. The daily candlestick closures have generated an upward slope since October 25, which may appear bullish to the naked eye. A closer examination of the Relative Strength Index (RSI) reveals that it is sliding downward. This deviation is known as bearish divergence, and it frequently results in a pullback or correction.

This is the first major sell signal that investors should be aware of.

In addition to the bearish divergence, the Momentum Reversal Indicator (MRI) has flashed two sell signals. The first sell signal was posted in the shape of a red down arrow following the daily candlestick closure on September 13. The MRI showed another red down arrow nine days later. This indicator predicts one to four down candlesticks.

As a result, investors may see the Bitcoin price fall. The Fair Value Gap (FVG) range, which stretches from $30,248 to $32,832, and its midpoint of $31,540, are important support levels to monitor.