The cryptocurrency market is experiencing volatility: from unprecedented Ethereum activity with fees under $0.01 to Canaan's difficulties on Nasdaq

Against the backdrop of a global revaluation of crypto assets, the crypto community is facing contradictory trends: on one hand, the Ethereum network demonstrates record activity growth with almost penny-sized transaction fees; on the other hand, manufacturers of mining equipment are losing their former influence. Simultaneously, Chinese initiatives in central bank digital currencies are gaining momentum, ushering cross-border payments into a new era.

Ethereum Experiences an Unprecedented Peak in Payment Ecosystem Activity

The Ethereum network continues to impress with user activity data. The average number of transactions over the past seven days approached 2.5 million operations per day — nearly doubling the volume from a year ago. Notably, this activity is achieved with an average fee of about 1 cent in ruble equivalent, and in some cases, fees drop to a few cents of US currency.

This favorable situation resulted from a comprehensive set of improvements. A key role was played by a recent update that significantly optimized the operation of layer 2 solutions (L2), while expanding the capabilities of the main network. Increasing the gas processing limit allowed the system to handle unprecedented volumes without additional cost increases.

It is also worth noting that about 40% of all transactions in the network are stablecoin transfers, indicating a growing interest in using blockchain for everyday payments. This demographic trend, combined with technical improvements, created conditions for record activity accumulation at minimal costs.

Prices of Major Crypto Assets Show Corrective Movement

As of the end of January, Bitcoin is trading around $82.69K, showing a 6.47% decrease over the last day. The minimum for the day was $81.0K, and the maximum was $88.51K. A similar dynamic is observed with Ether, which is trading near $2.72K with a daily decline of 7.99%.

In the top-10 cryptocurrency ranking, almost all assets except stablecoins showed negative dynamics over the previous 24 hours. The best weekly performer was TRON with a 6.96% increase, while Dogecoin lost 9.56% over the same period. In the extended top hundred of the most capitalized tokens, the decline of Celestia by 9.75% in a day was particularly noticeable, while Lighter lost 33.07% of its value over the week.

mBridge Expands Cross-Border Settlements in Digital Currencies

The Chinese platform for cross-border payments based on central bank digital currencies has crossed the psychological threshold of $55 billion in processed transfers. This project unites central banks of China, Hong Kong, Thailand, the United Arab Emirates, and Saudi Arabia.

It is noteworthy that approximately 95% of all transactions within the platform are conducted in digital yuan (e-CNY), reflecting active promotion of this instrument by the Chinese government. The initiative gains geopolitical significance in the context of striving to create alternative routes for international payments less dependent on the dollar system.

Meanwhile, the Bank for International Settlements distanced itself from the project in 2024, citing geopolitical and sanctions risks, shifting focus to other digital currency initiatives.

Canaan Faces Delisting Threat from American Exchange

The manufacturer of specialized cryptographic computing equipment received a warning from Nasdaq. The reason: the company’s stock price remained below $1 for more than 30 consecutive trading days. The company has a 180-day period to restore the price above $1 for at least 10 trading days; otherwise, the securities may be delisted.

Canaan’s significant 63% decline in market capitalization over the past year reflects a broader industry trend. Demand for traditional mining equipment is weakening amid the shift of computational power to more promising areas, including artificial intelligence infrastructure. The company is considering a reverse stock split or requesting an extension, but if unsuccessful, the securities may be transferred to the over-the-counter market.