Bitcoin Price Lingers Near $20000; Ether Extends Slide Before ‘Merge'

Cryptocurrencies were mixed a day after posting sharp losses triggered by hardening expectations of restrictive US monetary policy.

| Updated on: Sep 15 2022, 16:01 IST
This malicious Firefox add-on stole thousands of dollars in cryptocurrency
1/6 A particular malicious add-on for Firefox, that goes by the name Safepal Wallet, has managed to scam users by stealing money from them and managed to live on the Mozilla add-ons store for seven months before getting detected and removed. (Pixabay)
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2/6 Safepal is essentially a cryptocurrency wallet application that is capable of holding more than 10,000 types of assets, including Ethereum, Bitcoin, Litecoin, etc. However, Safepal is an official smartphone app that is available for Apple and Android both. There are no known “authentic” Safepal browser extensions. (BleepingComputer)
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3/6 According to a post shared by a user who goes by the name Cali on the Mozilla Support forum, within a few hours of installing and logging in to the Safepal Wallet extension with their real Safepal credentials, they saw their wallet balance drop to $0 from $4,000.  (Mozilla Support Forum )
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4/6 While investigating Safepal Wallet, BleepingComputer came across the phishing domain used by the add-on and this webpage was also listed as the "support site" link on the fake add-on's home page: WHOIS records indicate the this phishing site was registered in January this year via Namecheap. And BleepingComputer reported that at the time of them filing this report, the webpage is still live and it instructs people to key in their "12-word Backup Phrase in the correct order to pair your SafePal Wallet". (BleepingComputer )
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5/6 Once the recovery phrase is entered and the form is submitted, the page refreshes without any noticeable response and the recovery phrase is sent to the attacker. A stolen recovery phrase can give attackers control over your wallet along with the ability to access and transfer funds. (Pixabay)
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6/6 Five days after Cali publicly reported the incident, a Mozilla spokesperson responded to say that they were investigating the issue and the page for Safepal Wallet has since been removed by Mozilla. The Mozilla add-ons store now has one-star reviews posted by some users that are warning others to not download “Safepal Wallet”. (BleepingComputer )
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Ahead of Ethereum revamp called the Merge, it declines for the third day in a row. Bitcoin also falls, making it a tough day for cryptocurrency holders. (REUTERS)

Cryptocurrencies were mixed a day after posting sharp losses triggered by hardening expectations of restrictive US monetary policy.

Bitcoin price fell about 1.5%to $19,937 as of 4:14 p.m. in New York after a near-10% plunge on Tuesday. Ether, the native token of Ethereum, decline for a third day, dropping about 1% to $1,597. Stocks, bonds and digital tokens plunged Tuesday after rising US inflation data pointed to further large Federal Reserve interest-rate hikes.

The Fed has no alternative but to “pump the brakes, tighten financial conditions, ratchet real yields higher and that's just going to crunch on risky assets,” Charlie McElligott, cross-asset macro strategist at Nomura Securities International Inc., said on Bloomberg Television.

Such macroeconomic factors are currently overshadowing the Ethereum revamp, known as the Merge. But the upgrade to slash the blockchain's energy use is due late Wednesday or Thursday and will come back into the spotlight.

An array of financial services are built atop Ethereum, making it a critical crypto highway, so any snafus in the software shift from a so-called proof-of-work to a proof-of-stake paradigm could ripple across digital assets.

“There's been so much testing that the Merge itself is overwhelmingly likely to be very smooth,” Joseph Lubin, a co-founder of Ethereum, said on Bloomberg Television, drawing a comparison with an overnight iPhone update. Major Ethereum-based services are ready for the upgrade but some smaller ones may need to do more work, he added.

An Ether rally since mid-June, spurred partly by buzz around the Merge, has cooled of late. Both Ether and Bitcoin have more than halved in 2022.

Bitcoin could drop below $18,000 before prices reach a bottom in October, Mark Newton, head of technical strategy at Fundstrat, wrote in a note Tuesday.

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First Published Date: 15 Sep, 16:01 IST
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