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CoinShares: Quantum Threat Only Puts 10,000 Bitcoin at Risk
Digital asset manager CoinShares has downplayed fears that quantum computing could destabilize the Bitcoin market, suggesting that only a small portion of Bitcoins are vulnerable to such a threat. According to Christopher Bendiksen, CoinShares' lead researcher on Bitcoin, a mere 10,230 Bitcoin (BTC) out of 1.63 million are stored in wallets with cryptographic keys exposed to quantum attacks. Bendiksen explained that over 7,000 of these Bitcoins are in wallets containing between 100 and 1,000 BTC, while approximately 3,230 Bitcoins reside in wallets with balances ranging from 1,000 to 10,000 BTC. These Bitcoins, valued at $719.1 million at current market rates, could be compromised by quantum computers, but Bendiksen likened such an attack to a typical market trade. The vast majority, totaling 1.62 million Bitcoin, are held in smaller wallets with less than 100 BTC. Bendiksen asserted that even under the most optimistic technological advancements, it would take a thousand years to crack each of these wallets using quantum computing. The concern stems from quantum algorithms like Shor’s, which could potentially break Bitcoin’s elliptic-curve cryptography, and Grover’s, which might weaken the SHA-256 encryption. Nonetheless, Bendiksen emphasized that these algorithms cannot alter Bitcoin’s fixed supply of 21 million coins or its proof-of-work consensus, which are core aspects of the network. Recent concerns about quantum computing have fueled fear, uncertainty, and doubt (FUD) in the Bitcoin community, with critics cautioning that a breach in cryptography could jeopardize the network that supports $1.4 trillion in assets. The Bitcoins in question are linked to unspent transaction output (UTXO) wallets, many of which trace back to the early days of Bitcoin. This situation has sparked debate within the community about whether to adopt a quantum-resistant hard fork or to continue as is. Prominent figures like Michael Saylor, executive chairman of Strategy, and Adam Back, CEO of Blockstream, argue that concerns over quantum computing are exaggerated and pose no immediate threat to Bitcoin. Bendiksen agrees, noting that breaking Bitcoin’s cryptography would require millions of fault-tolerant qubits, a capability far beyond current technology demonstrated by Google’s quantum computer, Willow. While some, including Charles Edwards of Capriole Investments, view quantum computing as a looming danger, advocating for proactive measures to enhance security, others believe that Bitcoin will remain secure for the foreseeable future. Proposed solutions include adopting post-quantum cryptographic signatures, as suggested by Blockstream researcher Jonas Nick. This ongoing discussion highlights the contrasting views on Bitcoin’s resilience in the face of emerging quantum technologies.
Lyn Alden Predicts Gradual Money Printing by Federal Reserve
The United States Federal Reserve is poised to embark on a new phase of gradual money printing that will gently influence asset prices, without the intensity that some Bitcoin enthusiasts anticipated, according to economist and Bitcoin advocate Lyn Alden. Alden suggests that this approach, while not as aggressive as previous expansions, will still lead to currency debasement over time. In her investment strategy newsletter dated February 8, Alden indicated her expectations align with the Federal Reserve's plans to expand its balance sheet at a pace that matches the growth of total bank assets or the nominal gross domestic product (GDP). She elaborated, 'Overall, I remain inclined to invest in high-quality, scarce assets, while strategically reallocating from overheated markets to those that are underappreciated.' The Federal Reserve's M2 money supply metric continues its gradual expansion, reflecting this ongoing monetary strategy. This comes in the wake of President Donald Trump's nomination of Kevin Warsh for the position of the next Federal Reserve Chairman. Warsh is perceived by market participants as having a more hawkish stance on interest rates compared to other candidates, creating a stir among traders. Interest rate policies significantly impact cryptocurrency prices. Generally, an increase in money supply is seen as positive for asset valuations, whereas tightening through elevated interest rates can result in economic slowdowns and declining prices. Looking ahead to the next Federal Open Market Committee (FOMC) meeting in March, only 19.9% of traders expect a rate cut, a decrease from the 23% who anticipated such a move earlier this week, according to CME Group data. Current Federal Reserve Chairman Jerome Powell has offered varied indications regarding future interest rate decisions, despite having reduced rates on multiple occasions in 2025. He noted, 'Short-term risks to inflation lean upwards, while employment risks are downwards, presenting a challenging environment with no risk-free policy path,' after the December FOMC meeting. Powell's term concludes in May 2025, and Warsh's confirmation by the US Senate remains pending, adding to investor uncertainty around future interest rate directions in 2026. As the financial community keenly observes these developments, the influence on both traditional and digital assets continues to be a topic of significant interest.
Venture Capitalists Debate the Future of Non-Financial Applications in Web3 and Crypto
In a lively online debate, leading venture capitalists are divided over the potential of non-financial applications in the realms of Web3 and crypto. Chris Dixon, a managing partner at a16z crypto, ignited the discussion by suggesting that the challenges facing these applications stem from years of scams, exploitative practices, and unclear regulations. Dixon argues that these issues have hindered the growth of non-financial use cases, which include decentralized social media, digital identity management, and Web3 gaming platforms. Haseeb Quereshi, a managing partner at Dragonfly, countered Dixon’s perspective, stating that the failure of non-financial crypto applications is due to a fundamental lack of interest and market viability. Quereshi contends, "Let's just admit it. They were bad products. They failed the market test. It was not regulatory figures or prominent industry failures that caused these things to fail; it was that no one wanted any of it. Pretending otherwise is coping." Dixon maintains optimism, highlighting that a16z crypto operates with a long-term vision, suggesting that emerging industries take time to develop. He points out that the top crypto applications by fee generation are primarily financial. Nic Carter, founding partner of Castle Island Ventures, emphasized the necessity for venture capitalists to identify market successes within typical fund deployment periods of 2-3 years. This debate comes amidst a significant influx of venture capital into crypto projects in 2025, primarily directed towards tokenized real-world assets (RWAs), which represent traditional assets on blockchain networks. Dragonfly’s investment strategy focuses on financial applications and blockchain infrastructure aimed at facilitating value and risk management within the on-chain financial ecosystem. Their portfolio includes the Agora stablecoin platform, payments infrastructure provider Rain, synthetic dollar issuer Ethena, and the Monad layer-1 blockchain. Meanwhile, a16z’s crypto investments span both financial and diverse Web3 sectors, featuring platforms like Coinbase and Uniswap, alongside initiatives in community building, gaming, and media streaming. Notable projects include Friends With Benefits, a digital identity provider World, and Yield Guild Games, a Web3 gaming platform. As the debate continues, the future of non-financial applications in crypto remains a contentious topic, with differing views on their potential and the timeline for their success.
Global Interest in 'Crypto' Slumps to Near-Yearly Low Amid Market Decline
Amid a significant downturn in the cryptocurrency markets, global Google searches for the term 'crypto' have plummeted, reaching levels not seen since the dramatic Terra-LUNA crash of 2022. This decline in search interest reflects a growing sense of investor caution as the overall market capitalization of cryptocurrencies has fallen from a peak of over $4.2 trillion to approximately $2.4 trillion. According to Google Trends, the worldwide search interest for 'crypto' currently stands at 30 out of 100, where 100 represents peak search interest. The last time such a peak was recorded was in August 2025, coinciding with a surge in market capitalization. Over the past year, the lowest search volume recorded was 24. In the United States, search patterns mirrored global trends, hitting a high of 100 in July before dropping below 37 by January. Interestingly, U.S. search interest rebounded to 56 in early February, despite a low of 32 during the market crash in April 2025, which was exacerbated by tariff policies under President Donald Trump. The cryptocurrency market has seen a sharp decline in trading volume, with figures dropping from a high of over $153 billion on January 14 to around $87.5 billion recently, as reported by CoinMarketCap. Google search data often serves as a barometer for investor sentiment, aligning with other indicators like the Crypto Fear & Greed Index, which dipped to a record low of 5 last Thursday but slightly improved to 8 by Sunday. These numbers still indicate 'extreme fear' among investors. The current sentiment echoes the post-collapse period of the Terra ecosystem in 2022, which unleashed a cascade of liquidations, deepening the bear market. Analytics from Santiment, a market sentiment analysis platform, reveal that investors are eagerly looking for signals indicating a market bottom to strategize their re-entries. "The crowd sentiment is overwhelmingly bearish, with negative commentary peaking since December 1st," noted Santiment in a recent report. As crypto investors navigate this period of uncertainty, many are waiting for signs of a market rebound. This cautious approach is evident in the broader market, where the balance between optimism and skepticism remains delicate.
Is the Bitcoin Bear Market Still Looming? Analysts Predict Potential Low at $50K
Recent analysis of Bitcoin's price movement indicates a persistent bearish trend, reminiscent of the 2022 market downturn, with some experts foreseeing new macro lows. Over the weekend, Bitcoin (BTC) experienced a brief 3% uptick, yet skepticism remains about the sustainability of this rebound. Key insights suggest that if patterns from the 2022 bear market persist, Bitcoin could see further declines. Analysts are closely monitoring moving averages and the cost basis of U.S. spot Bitcoin ETFs, though they acknowledge that a repeat of 2022's conditions is not guaranteed. Despite Bitcoin crossing the $71,000 mark, a 20% rise from Friday’s 15-month low, market volatility continues to stir doubt. Filbfilb, an independent analyst, compared the current price action to that of 2022, pointing out that the market has not yet reached true capitulation. His analysis, alongside a chart on X, showed Bitcoin’s spot price in relation to the 50-week exponential moving average (EMA) set at $95,300. Analysts like Tony Severino and trader BitBull echo these sentiments, suggesting that a real bottom might emerge below the $50,000 threshold, potentially leaving many ETF investors at a loss. Currently, the average buy-in cost for U.S. spot Bitcoin ETFs stands at $82,000 according to Checkonchain. Previous reports from Cointelegraph have highlighted significant bear market indicators, focusing on the 200-week simple and exponential moving averages, which together create a support zone between $58,000 and $68,000. Caleb Franzen from Cubic Analytics noted that Bitcoin is revisiting this crucial support area, drawing parallels to its behavior in May 2022 when it initially rebounded before eventually breaking through this support in June. Franzen emphasizes that while historical patterns offer insights, the market's future trajectory remains uncertain. He stresses that predicting the exact course of Bitcoin’s price is challenging and that investors should remain vigilant. (Note: This article is a summary of market observations and does not offer investment advice. Readers should perform their own research before making financial decisions.)
Block Inc. Considers 10% Workforce Reduction Amid Strategic Revamp
Block Inc., the financial services firm led by Jack Dorsey, may reduce its workforce by as much as 10% as part of a strategic overhaul, according to a Bloomberg report. This restructuring effort comes during annual performance evaluations, where hundreds of employees have been informed that their roles might be at risk. The company, which had nearly 11,000 employees as of November, is looking to streamline operations and enhance efficiency. The restructuring aims to create a more cohesive link between Block's peer-to-peer payments service Cash App and its merchant services platform Square. In addition to these changes, Block is also focusing on expanding its newer ventures, such as the Bitcoin mining division Proto and an artificial intelligence initiative known as Goose. Despite the anticipated layoffs, Block's stock saw a nearly 5% increase last Friday. The company is set to release its quarterly earnings on February 26, with analysts predicting a fourth-quarter profit of $403 million on $6.25 billion in revenue. This follows a third quarter where Block reported a net income of $461.5 million on revenue of $6.11 billion, with gross profit rising by 18% due to significant growth in Cash App and Square. Bitcoin remains a significant revenue source for Block, having generated approximately $1.97 billion in the third quarter, despite a year-over-year decline from $2.4 billion. As of the end of September, Block held 8,780 BTC valued at over $1 billion, although it recorded a $59 million quarterly valuation loss. In a move to enhance its payment solutions, Square, a subsidiary of Block, introduced a Bitcoin payment option for merchants last November. This feature allows sellers to accept BTC directly at checkout through Square's point-of-sale systems, with options for Bitcoin-to-Bitcoin transactions and automatic conversion to fiat currency. This development is part of Square's effort to broaden its payment and wallet services, which are utilized by over four million merchants across eight countries.
ARK Invest Sells $22M in Coinbase Shares, Boosts Investment in Bullish
Cathie Wood's ARK Invest has continued to pare down its stake in Coinbase, selling shares valued at $22 million through three different exchange-traded funds (ETFs). Simultaneously, the investment firm has increased its holdings in the digital asset platform Bullish. In recent trading activity, ARK Invest offloaded 134,472 shares of Coinbase, with the ARK Innovation ETF (ARKK) selling 92,737 shares, the Next Generation Internet ETF (ARKW) parting with 32,790 shares, and the Fintech Innovation ETF (ARKF) reducing by 8,945 shares. This series of transactions marks another step in ARK's gradual reduction of its Coinbase exposure. The move follows an earlier sale by ARK Invest of 119,236 Coinbase shares worth approximately $17.4 million. This was the firm's first sale of Coinbase shares in 2026, ending a hiatus since August 2025. Despite these sales, Coinbase's stock experienced a 13% rise, closing at around $165. Nevertheless, the company's shares remain down 26% year-to-date, according to Google Finance data. On the other hand, ARK Invest is bolstering its position in Bullish by acquiring 393,057 shares valued at $10.7 million. The purchases were spread across ARKK, ARKW, and ARKF, with respective acquisitions of 278,619, 70,655, and 43,783 shares. Bullish's shares closed near $27, up 10% for the day, but the company has seen a 27% decline year-to-date after reporting a significant net loss of $563.6 million in the fourth quarter of 2025. Beyond these crypto market maneuvers, ARK has also adjusted its portfolio by adding shares of Alphabet, Recursion Pharmaceuticals, and Tempus AI, while trimming investments in companies like Roku, The Trade Desk, and PagerDuty. The broader digital asset market's downturn has impacted ARK's ETFs, particularly ARKK, ARKW, and ARKF, as outlined in their latest quarterly report. Coinbase's shares have been notably affected, experiencing a nearly 35% drop from October to year-end, outpacing declines in major cryptocurrencies like Bitcoin (BTC) and Ether (ETH). This sharp decline reflects reduced trading volumes on centralized exchanges following an October market event.
Bitcoin Dip Below $70K Offers New Opportunities for Institutions, Says Bitwise CEO
In a recent interview, Bitwise CEO Hunter Horsley discussed the current state of Bitcoin, emphasizing its drop below $70,000 as a potential opportunity for institutional investors. "Long-time holders may be feeling uncertain, but institutional investors are seeing an opportunity they thought they had missed," Horsley stated during his appearance on CNBC. The decline in Bitcoin's price has coincided with broader market trends, as the cryptocurrency is swept up with other macro assets. Despite the downturn, institutional interest remains robust. Horsley noted that Bitwise, which manages over $15 billion in institutional funds, witnessed more than $100 million in inflows in a single day when Bitcoin was priced around $77,000. Bitcoin's recent decline follows an unusual period marked by both efforts to achieve regulatory clarity and growing interest from institutional players. According to CoinMarketCap, Bitcoin's value has dropped by 22.60% over the past month, trading at $69,635 at the time of the report. Horsley described the current market as one where investors are liquidating assets. "It’s mostly trading in line with other liquid assets," he explained. This trend is reflected in the performance of other commodities as well, such as gold and silver, which have also experienced significant declines from their all-time highs. The interest in Bitcoin extends beyond institutions to retail investors as well. Google Trends data indicates a spike in searches for "Bitcoin," reaching peak interest since October 2024. Meanwhile, BlackRock's Bitcoin exchange-traded fund (ETF) recorded $231.6 million in inflows last Friday, despite experiencing significant outflows earlier in the week. Overall, despite the recent market turbulence, institutional demand for Bitcoin remains strong, presenting what Horsley describes as a fresh opportunity for investors to engage with the cryptocurrency market.
Bithumb Recovers Nearly All Misallocated Bitcoin and Covers Sale Deficit
South Korean cryptocurrency platform Bithumb has successfully resolved a promotional mishap that resulted in certain accounts being credited with surplus Bitcoin. The exchange announced it had recovered 99.7% of the mistakenly distributed BTC on the same day of the incident. To address the 1,788 Bitcoin that were sold by users before the error was rectified, Bithumb utilized its corporate funds, ensuring that user balances remained accurate. Bithumb assured users that its reserves of virtual assets, including Bitcoin, are fully backed by or exceed user deposits. The majority of the erroneously credited Bitcoin was retrieved from user accounts directly, while the funds that had already been sold in the market were compensated using the company's own resources. In response to the incident, Bithumb has introduced a compensation plan. Users who were active on the platform during the glitch will receive 20,000 Korean won (approximately $15) each. Those who sold Bitcoin under unfavorable conditions due to the error will be reimbursed in full, with an additional 10% bonus. Furthermore, the exchange will waive trading fees for all its markets for a week, starting on Monday. The issue arose on Friday when a system malfunction during a promotional event led to an unplanned allocation of Bitcoin, causing significant price volatility as affected users began selling the excess funds. Bithumb swiftly restricted the relevant accounts and stabilized trading within minutes to avert widespread liquidations. The exchange confirmed that the incident was not a result of hacking, and no customer assets were compromised, with all deposits and withdrawals functioning normally. Although the total value of the mishap wasn't disclosed, some users reported receiving approximately 2,000 BTC. This incident highlights ongoing operational challenges faced by centralized cryptocurrency exchanges. For instance, in June, Coinbase improved its systems to significantly reduce account restrictions after user complaints. Similarly, during a market downturn on October 10, Binance experienced technical issues that delayed trade executions, leading to substantial user compensations. The cryptocurrency exchange landscape continues to evolve, with exchanges like Bithumb and others constantly refining their systems to prevent and manage such operational hurdles effectively.
Growing Number of Traders Anticipate Interest Rate Reduction at Upcoming FOMC Meeting
A notable shift in trader expectations has emerged as over 23% now foresee an interest rate reduction at the forthcoming March meeting of the Federal Open Market Committee (FOMC). This change comes amid apprehensions about a potentially hawkish Federal Reserve nominee, Kevin Warsh, who is poised to become the new chair. Data from the Chicago Mercantile Exchange (CME) Group indicates a rise in traders predicting a rate cut, climbing from 18.4% last Friday to the current 23%. These investors anticipate a modest reduction of 25 basis points, with no predictions for a more significant cut of 50 basis points or higher. President Donald Trump nominated Warsh in January to succeed Jerome Powell as Federal Reserve Chairman, whose term concludes in May. Warsh’s nomination has stoked market anxiety, particularly regarding his perceived inclination towards maintaining higher interest rates. Interest rate policies are crucial for crypto asset valuations. Easing liquidity often boosts prices, while tightening liquidity through higher rates can suppress them by limiting financing accessibility. Crypto analyst Nic Puckrin remarked on the market's reaction to Warsh’s nomination, noting a significant dip in precious metal prices as traders digest his monetary policy views. Warsh has expressed concerns over the current size of the central bank's balance sheet, suggesting it is excessively large and hinting at potential reductions. Such actions could usher in a lower-liquidity environment, impacting markets. Thomas Perfumo, a global economist at Kraken, highlighted that Warsh’s nomination presents mixed signals to investors. While some anticipated an expansion of liquidity and credit, Warsh’s potential policies might suggest stabilization instead. This evolving situation continues to be closely monitored by investors as they navigate the implications of a changing leadership at the Federal Reserve.
CFTC Broadens Stablecoin Issuance Criteria to Include National Trust Banks
The Commodity Futures Trading Commission (CFTC) has taken a significant step to include national trust banks in the framework for payment stablecoins. This move comes as part of a revision to a previously issued staff letter, aligning with the GENIUS stablecoin framework regulations. On Friday, the CFTC reissued a staff letter to expand the eligibility criteria for payment stablecoins, now incorporating national trust banks as potential issuers of these fiat-pegged tokens. This update to Staff Letter 25-40, initially released on December 8, 2025, recognizes national trust banks as key financial entities allowed to operate across all 50 US states. Unlike traditional banks, these institutions focus on custodial services, asset management, and acting as executors, rather than offering retail banking services like loans or checking accounts. In clarifying the update, the CFTC's Market Participants Division stated that the original intention was not to exclude national trust banks from issuing payment stablecoins. Consequently, the division has reissued the contents of Letter 25-40 with a broadened definition that now includes these banks. This revision echoes the regulatory environment in the US, especially following President Donald Trump's enactment of the GENIUS stablecoin bill in July 2025. The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act provides a detailed regulatory framework for US dollar-stablecoins, ensuring they are pegged to the dollar securely. In a related development, the Federal Deposit Insurance Corporation (FDIC) introduced a proposal in December 2025, which outlines a plan for commercial banks to issue stablecoins. Under this proposal, banks can issue stablecoins through subsidiaries, subject to FDIC oversight, ensuring compliance with the GENIUS Act. The requirements include policies for redemption, adequate collateral backing the stablecoin with cash deposits and short-term government securities, and a thorough assessment of the bank and its subsidiary's financial health. The GENIUS Act mandates that only overcollateralized stablecoins, backed 1:1 with fiat currency deposits or short-term government securities like US Treasury Bills, are recognized. It explicitly excludes algorithmic stablecoins and synthetic dollars, which rely on software or market strategies to maintain their dollar pegs, from the regulatory framework. This development marks a significant evolution in the US regulatory landscape, setting the stage for stablecoin issuance by a wider range of financial institutions, enhancing the stability and transparency of the US stablecoin market.
Bitcoin Mining Difficulty Sees Steepest Decline Since China's 2021 Ban
In a notable shift for the Bitcoin network, the mining difficulty has decreased by approximately 11.16% in the past 24 hours. This marks the most significant drop in a single adjustment period since the Chinese government enforced its crackdown on cryptocurrency mining in 2021. During that period, the mining difficulty had plummeted by as much as 27%. Data from CoinWarz reveals that the current mining difficulty stands at 125.86 T, which was implemented at block 935,429. The average time for processing a block is currently around 9.47 minutes, falling just shy of the ideal 10-minute interval. Looking ahead, projections suggest an increase in difficulty by about 5.63%, reaching 132.96 T by February 20. The historical backdrop of these events traces back to May 2021, when China imposed a blanket ban on crypto mining, leading to several significant downward adjustments in difficulty. These ranged from 12.6% to 27.9% as recorded by CoinWarz. The crackdown coincided with a broader decline in the crypto market, where Bitcoin's value nosedived by more than 50% from its peak of over $125,000 to fall below $60,000. Additionally, the recent winter storm, known as Fern, significantly impacted the United States, affecting 34 states with extreme weather conditions. This led to extensive power outages and compelled US-based Bitcoin miners to reduce their energy consumption temporarily, thereby affecting their operations and the overall network hashrate. During this time, Foundry USA, the leading mining pool by hashrate, experienced a sharp drop, losing about 60% of its computational power, plunging from nearly 400 EH/s to about 198 EH/s. As the storm subsided, Foundry USA's hashrate rebounded, recovering to over 354 EH/s, maintaining a dominant 29.47% share of the market. However, the total Bitcoin network hashrate fell to its lowest point in four months, influenced by challenging market conditions and a strategic shift by miners towards AI data centers and other high-performance computing opportunities. The evolving landscape of Bitcoin mining continues to be shaped by both natural and regulatory forces, underscoring the dynamic nature of the cryptocurrency industry.
Unraveling Bitcoin's Plunge: Three Hypotheses for BTC's Dip Below $60K
Bitcoin's recent dramatic decline, which saw its value plummet by over 40% in a month, reaching a year-low of $59,930, has sparked intense speculation. Now valued at less than half of its October 2025 peak of approximately $126,200, analysts are exploring potential causes for this downturn. Notably, the involvement of Hong Kong hedge funds and U.S. bank products tied to Bitcoin ETFs are emerging as key factors. ### The Role of Hong Kong Hedge Funds A significant theory posits that the crash was instigated by hedge funds in Hong Kong. These funds reportedly engaged in leveraged bets on Bitcoin's continued ascent, utilizing options linked to Bitcoin ETFs such as BlackRock's IBIT. According to Parker White from DeFi Development Corp., these funds financed their bets by borrowing yen at low interest rates, converting it into other currencies, and investing in volatile assets like cryptocurrency. When Bitcoin's value stalled and borrowing costs rose, these leveraged positions unraveled, forcing a rapid sell-off that further drove down prices. ### Banks and the Impact of Structured Notes Another explanation is provided by Arthur Hayes, former CEO of BitMEX, who suggests that banks, notably Morgan Stanley, might have contributed to the sell-off. These banks, faced with exposure from structured notes linked to Bitcoin ETFs, had to sell Bitcoin to manage risks as prices fell. Such financial products obligate banks to sell underlying assets like Bitcoin when prices drop, exacerbating the decline due to increased selling pressure. ### Miners Shifting Focus Amidst AI Boom A less prominent theory suggests a shift among Bitcoin miners towards AI data centers, driven by rising demand in that sector. Analyst Judge Gibson noted that this transition has led to a significant decrease in Bitcoin's hash rate, ranging between 10% and 40%. This shift is exemplified by companies like Riot Platforms, which recently announced a strategic pivot, selling substantial Bitcoin holdings to invest in data centers. Additionally, the Hash Ribbons indicator, which tracks mining stress, signals potential financial strain for miners if Bitcoin's price continues to fall. ### The Bigger Picture The economic pressures are evident, with the average cost to mine a Bitcoin now estimated at around $58,160, while production expenses hover near $72,700. If Bitcoin's price dips below $60,000, miners could face significant financial challenges. Meanwhile, long-term Bitcoin holders appear cautious, as data reveals that wallets holding substantial amounts of Bitcoin are reducing their holdings, marking a nine-month low in supply control. These insights reflect the complex interplay of market dynamics and strategic decisions that have influenced Bitcoin's recent price trajectory.
Tether Collaborates with Turkey to Seize $544 Million in Crypto from Illegal Betting Operation
Tether has played a pivotal role in assisting Turkish authorities to freeze over half a billion dollars in cryptocurrency linked to an alleged illegal betting and money-laundering network. According to a recent announcement by Istanbul prosecutors, approximately €460 million ($544 million) in assets have been seized from Veysel Sahin, who is accused of running unauthorized betting platforms and laundering their profits. Initially, the identity of the crypto firm involved was undisclosed, but Tether Holdings SA, the issuer of the USDt (USDT) stablecoin, confirmed its involvement. Tether's CEO, Paolo Ardoino, explained to Bloomberg that the company acted in compliance with Turkish law after law enforcement provided the necessary information. This move is part of a larger investigation into underground gambling and payment systems in Turkey, which has already led to the seizure of over $1 billion in assets. Tether has historically assisted global law enforcement in more than 1,800 cases across 62 countries, entailing the freezing of $3.4 billion in USDT associated with alleged criminal activities. Despite these collaborations, USDT has faced scrutiny. Recently, US prosecutors charged a Venezuelan national with laundering $1 billion using USDT, and blockchain analysts have linked significant USDT transactions to activities attempting to evade sanctions. Additionally, analytics firm Elliptic reported that stablecoin issuers, notably Tether and Circle, had blacklisted about 5,700 wallets holding approximately $2.5 billion by the end of 2025, the majority of which involved USDT. In 2025, Tether's USDt saw a remarkable increase, reaching a $187.3 billion market cap, despite the broader crypto market downturn. This growth occurred amidst falling values of competitor stablecoins like Circle's USDC and Ethena's USDe. The use of USDt surged, with monthly active wallets reaching 24.8 million and quarterly transfer volumes hitting $4.4 trillion across 2.2 billion transactions. This highlights USDt's significant role in the stablecoin market, despite ongoing regulatory challenges and investigations.
Bitcoin Poised to Bridge $84K Futures Gap as Resistance Stalls Rally
Bitcoin's recent price dynamics have left market participants divided, with some predicting further declines while others anticipate a move towards an $84,000 target. As the weekend kicked off, Bitcoin (BTC) struggled to maintain its position above the $69,000 mark, signaling potential challenges ahead. Key Observations: Bitcoin has faced resistance at the $69,000 level, prompting traders to speculate on deeper lows. Analysts suggest that the recent uptick was merely a temporary "relief rally." Two gaps in the CME futures market offer potential upside targets for Bitcoin's price. Trading data from platforms like TradingView indicated a significant drop in BTC's price, losing over $4,000 from its daily opening value. The 2021 all-time high of $69,000 is increasingly acting as a resistance point, causing traders to exercise caution. Keith Alan, co-founder of Material Indicators, emphasized the uncertainty in the market, advising traders to focus on preserving their capital. He noted that there is no substantial evidence supporting a sustained recovery, despite recent price movements suggesting otherwise. Further insights from analyst Rekt Capital outlined the historical patterns of Bitcoin's price behavior. He noted that Bitcoin often experiences a relief rally post-halving year peaks before entering a bearish phase, a trend that has persisted across four consecutive cycles. Despite these bearish sentiments, some traders remain hopeful due to the potential "gap" in the CME Group’s Bitcoin futures market. This gap, coupled with another at $84,000, has captured the interest of those anticipating a broader market rebound. Crypto analyst Michaël van de Poppe is optimistic about a short-term recovery, predicting a correction followed by a move towards the CME gap and a potential surge to over $75,000. Samson Mow, CEO of Bitcoin adoption firm JAN3, highlighted the importance of these futures gaps in market analysis. He questioned the ability of large corporations to incorporate Bitcoin at its current lows, suggesting that the market could soon see significant changes. These developments come amid broader market conditions, with traders closely monitoring Bitcoin's ability to overcome resistance and capitalize on futures opportunities.
Vietnam Introduces 0.1% Tax on Cryptocurrency Transactions: Report
Vietnam is set to implement a taxation system for cryptocurrency transactions, aligning them with stock trades, as outlined in a new proposal by the Ministry of Finance. The proposed tax framework suggests a 0.1% personal income tax on crypto transfers executed through licensed providers, reported The Hanoi Times. This levy mirrors the tax currently applicable to stock transactions in Vietnam. The draft policy, open for public consultation, proposes that while crypto transfers and trades are exempt from value-added tax, a turnover-based tax will apply regardless of the investor's residency status upon executing a transfer. In contrast, businesses operating within Vietnam would face a different tax structure. Institutional investors profiting from crypto transfers would incur a 20% corporate income tax, calculated after deducting purchase costs and related expenses. The policy draft also introduces a formal definition of crypto assets, identifying them as digital assets utilizing cryptographic or similar technologies for their issuance, storage, and transfer verification. Additionally, the proposal sets stringent requirements for digital asset exchange operators. Companies aiming to establish such platforms would need a minimum charter capital of 10 trillion Vietnamese dong (approximately $408 million), surpassing the capital requirements for commercial banks and many other sectors. Foreign ownership is permitted but limited to 49% of an exchange’s equity. This initiative follows Vietnam's significant status, ranking fourth globally in cryptocurrency adoption, according to Chainalysis. The proposed regulations coincide with Vietnam's ongoing five-year pilot for a regulated crypto asset market, launched in September 2025. Despite the initiative, as of October 6, 2025, no companies had applied to join the pilot, attributed to high capital demands and stringent eligibility requirements. In a related development, last month, Vietnam began accepting applications for licenses to operate digital asset trading platforms, marking a step forward in its pilot program for a regulated crypto market. The State Securities Commission of Vietnam (SSC) announced that applications for these administrative procedures would be accepted starting January 20, 2026, as part of efforts to integrate cryptocurrency into a formal regulatory framework.
$231.6 Million Flows into IBIT After Tumultuous Week for Bitcoin ETF
BlackRock's Bitcoin ETF experienced significant inflows of $231.6 million on Friday, following a challenging period marked by substantial outflows and a volatile week for Bitcoin. This marks the 11th instance of net inflows for the iShares Bitcoin Trust ETF (IBIT) in 2026. Earlier in the week, IBIT faced $548.7 million in outflows on Wednesday and Thursday, as market sentiment soured and Bitcoin's price temporarily dipped to $60,000, according to Farside data. The broader market saw inflows of $330.7 million across nine U.S.-based spot Bitcoin ETFs after experiencing three days of outflows totaling $1.25 billion. Crypto investors and Bitcoin holders closely monitor ETF flows as indicators of market sentiment and potential price movements. At the time of writing, Bitcoin is trading at $69,820, representing a 24.30% decline over the past month, as per CoinMarketCap. Significantly, on Thursday, IBIT achieved a daily volume record, with $10 billion worth of shares exchanged, despite experiencing a 13% drop, its second-largest decline since its inception. The fund's largest daily price drop was 15% on May 8, 2024. Nevertheless, IBIT rebounded on Friday with a 9.92% increase, ending at $39.68, according to Google Finance. ETF analyst James Seyffart highlighted that Bitcoin ETF holders are enduring their most significant losses since the U.S. products were introduced in January 2024, with paper losses around 42% as Bitcoin remains below $73,000. Despite recent outflows, these figures are still dwarfed by the inflows seen during the market's peak. Prior to the downturn in October, net inflows for spot Bitcoin ETFs stood at approximately $62.11 billion but have since decreased to around $55 billion.
Erebor Secures First US Bank Charter Under Trump's Second Term, Focus on Crypto
In a significant development, Erebor, a crypto-focused startup, has been granted the first new national bank charter in the United States during President Donald Trump’s second term, according to the Wall Street Journal. This approval by the Office of the Comptroller of the Currency (OCC) marks a milestone, allowing Erebor Bank to operate on a national scale. The bank, which launched with a robust $635 million in capital, aims to fill the void left by the 2023 collapse of Silicon Valley Bank by catering to startups, venture-backed firms, and high-net-worth individuals. Erebor has garnered substantial backing from notable tech investors such as Andreessen Horowitz, Founders Fund, Lux Capital, 8VC, and Elad Gil. Oculus co-founder Palmer Luckey, instrumental in establishing the project, will contribute as a board member without engaging in daily operations. Erebor is carving a niche as a specialist lender to cutting-edge sectors, including defense technology, robotics, and advanced manufacturing. The bank's prospective clientele features companies innovating in areas such as AI-driven factories, aerospace research, and pharmaceutical production in low-gravity conditions. Luckey has described Erebor as akin to a 'farmers’ bank for tech', emphasizing the traditional banking sector's lack of expertise in evaluating unconventional startup assets. Erebor's approach includes incorporating blockchain-based payment systems to facilitate continuous settlement, a feature that diverges from the typical business-hour-bound transactions of the US banking system. The Federal Deposit Insurance Corporation (FDIC) has already provided deposit insurance approval for Erebor, bolstering its credibility. The bank's strategy involves offering credit secured by cryptocurrency holdings or private securities, alongside financing for high-performance AI chip acquisitions. In an impressive leap, Erebor's valuation soared to $4 billion following a $350 million funding round led by Lux Capital, doubling from a previous valuation of $2 billion. This approval follows Erebor's preliminary conditional approval from the OCC in October, and subsequent deposit insurance green light from the FDIC. The bank's innovative approach and crypto integration signal a transformative period in the banking landscape, particularly for emerging technologies and industries.
Bitcoin Climbs to $71.5K Post-Sell-Off, Yet Derivatives Indicators Stay Cautious
Bitcoin has impressively bounced back to over $71,000 following a significant sell-off, yet data from derivatives markets indicate that professional traders remain wary about the rally's longevity. Despite the rebound, there are lingering questions about whether the downturn has truly ended. Key Observations: Bitcoin's derivatives market reflects caution, with the options skew reaching 20%, as traders brace for potential further fund liquidations. Although Bitcoin has recouped some losses from its recent decline, it still lags behind the performance of gold and tech stocks, hindered by a lack of demand for leverage. Since hitting a low of $60,150 on Friday, Bitcoin (BTC) has risen by 17%. However, metrics from derivatives suggest traders are hesitant, with a restrained appetite for prices above $70,000. Concerns linger over the liquidation of $1.8 billion in leveraged bullish futures contracts within five days, raising fears of significant hedge fund or market maker failures. The recent dip contrasts with the October 2025 market crash, which saw record liquidations of $4.65 billion in Bitcoin futures. The current downturn has been characterized by three weeks of consistent downward pressure, despite bulls increasing their positions in the $70,000 to $90,000 range. This has led to a rise in aggregate futures open interest, despite liquidations due to margin shortfalls. On major exchanges, the aggregate open interest in Bitcoin futures was 527,850 BTC as of Friday, remaining stable from the previous week. The notional value of these contracts fell to $35.8 billion from $44.3 billion, mirroring a 21% Bitcoin price drop over a week. This data suggests bulls are still adding positions despite the downward trend. To gauge whether whales and market makers are turning optimistic, one can examine the BTC futures basis rate, which compares futures prices to spot prices. Typically, a 5% to 10% annualized premium is expected under neutral circumstances to account for longer settlement periods. However, the BTC futures basis rate dipped to 2% on Friday, its lowest in over a year, reflecting a lack of demand for bullish leverage. In the options market, traders' lack of confidence in Bitcoin is evident. A high demand for put (sell) options signals bearish sentiment, pushing the skew metric above 6%. Conversely, when traders fear missing out, they prefer call (buy) options, causing the skew to turn negative. On Friday, the BTC options skew reached 20%, a level rarely sustained and indicative of market panic. For context, the skew was at 11% on November 21, 2025, after a 28% price drop from $111,177 to $80,620. With no clear catalyst driving the current downturn, fear and uncertainty have intensified. Speculation persists that a major market entity may have collapsed, contributing to a lack of market confidence and suggesting a high likelihood of further price declines. As a result, sustained bullish momentum seems unlikely while Bitcoin derivatives metrics continue to signal extreme fear. This analysis is intended for informational purposes only. Investors and traders should conduct their own research before making investment decisions, as all investments involve risk.
Market Turmoil Challenges Crypto Balance Sheets and Operations
The recent downturn in the cryptocurrency market is sending shockwaves through balance sheets, exchange-traded funds (ETFs), and mining operations, illustrating how the volatility of digital currencies can impact financial and operational strategies. The latest sell-off in cryptocurrencies like Ether (ETH) is affecting companies with significant holdings, resulting in substantial paper losses, while Bitcoin (BTC) ETFs are presenting a harsh reality for new investors unaccustomed to such volatility. At the same time, severe weather conditions are highlighting the dependency of mining operations on stable power supply, with some former crypto mining infrastructures finding new life in artificial intelligence applications. This week, the Crypto Biz newsletter explores the expanding paper losses at BitMine Immersion Technologies, the challenges faced by BlackRock Bitcoin ETF investors, and the influence of a U.S. winter storm on the production capabilities of public miners. **BitMine's Growing Paper Losses** At BitMine Immersion Technologies, chaired by Tom Lee, the dip in Ether's value below $2,200 has led to increasing paper losses, exceeding $7 billion. This development underscores the vulnerabilities inherent in balance sheets reliant on volatile cryptocurrency assets. BitMine holds around $9.1 billion in Ether, including a recent acquisition of 40,302 ETH, leaving it vulnerable to further market fluctuations. Despite the paper losses not impacting the company's bottom line unless the assets are sold, they highlight potential risks in crypto treasury strategies during market downturns. Lee defends the strategy, stating that unrealized losses are a natural risk for companies investing in ETH. **BlackRock Bitcoin ETF Investors Face Challenges** As Bitcoin's price plummeted below $80,000, investors in BlackRock’s iShares Bitcoin Trust (IBIT) have seen their returns turn negative. The ongoing price decline, which has pushed Bitcoin below $75,000, has further pressured returns. Despite being one of BlackRock's most successful ETF launches, with rapid growth to $70 billion in assets, this situation serves as a stark lesson in Bitcoin's inherent volatility. **Impact of U.S. Winter Storm on Bitcoin Production** A severe winter storm that hit the United States in late January forced Bitcoin miners to significantly reduce their production, revealing the mining sector's sensitivity to energy grid disruptions during extreme weather. According to CryptoQuant, the daily output from public miners was typically 70 to 90 BTC before dropping to 30 to 40 BTC at the peak of the storm. This sudden drop was due to miners shutting down operations to avoid putting additional strain on local power grids. Production levels began to rebound as weather conditions improved, showcasing both the adaptability of miners and the volatility of grid-dependent operations. **Crypto Infrastructure Transition to AI** CoreWeave’s transformation from a crypto mining operation to an AI infrastructure provider exemplifies how hardware initially used for crypto mining is being repurposed for the AI industry. The shift, triggered by Ethereum's move from proof-of-work to proof-of-stake, prompted CoreWeave to pivot towards AI and high-performance computing. This transition, underscored by Nvidia's $2 billion equity investment in CoreWeave, serves as a model for other crypto miners seeking diversification, such as HIVE Digital and Hut 8. This evolution highlights how infrastructure originally designed for cryptocurrency is now crucial for AI data centers.
Crypto.com's Kris Marszalek Unveils New AI Agents for Simplified Financial Operations
Kris Marszalek, the co-founder and CEO of Crypto.com, has introduced a groundbreaking AI platform called ai.com, which is set to launch autonomous AI agents aimed at retail consumers. This innovative technology promises to streamline crypto trading and other financial tasks for everyday users. The AI agents are designed to perform a variety of functions, including stock trading, workflow automation, and basic tasks like updating calendars and managing social media profiles. According to the company's announcement, user data will remain secure through encryption keys unique to each individual, and users can set specific parameters to control what the AI agent is permitted to do. Interest in AI agents has surged over the past year. A survey conducted by investment research firm McKinsey revealed that 23% of organizations are expanding their use of AI agents. This increasing adoption is largely due to the technology's potential to automate complex processes, such as crypto trading strategies and wallet management, thereby lowering the entry barrier for newcomers to blockchain and on-chain transactions. Jonathan Farnell, CEO of the crypto exchange Freedx, highlights that agentic AI can simplify the intricate aspects of cryptocurrency, such as selecting appropriate blockchain networks and token protocols. Reeve Collins, co-founder of Tether, notes that these AI agents can optimize arbitrage and yield-bearing opportunities by choosing the most efficient and cost-effective execution paths. "Integrating AI will eliminate all the complexity in this space," Collins stated, emphasizing that autonomous AI agents will enable users to manage larger and more diverse portfolios with ease. As AI agents continue to gain traction, they are poised to redefine how users interact with cryptocurrencies and financial technologies, making them more accessible and less intimidating for everyone.
Bithumb Rectifies Mistaken Bitcoin Credits After Promotional Event Glitch
Bithumb, a prominent cryptocurrency exchange in South Korea, recently addressed an internal error that resulted in unusual Bitcoin allocations to user accounts during a promotional event. This glitch led to temporary price fluctuations on the platform. In a statement released on Friday, Bithumb clarified that the price irregularities were caused by some users selling the mistakenly credited Bitcoin. The exchange acted swiftly by imposing restrictions on these accounts, stabilizing the market within minutes and averting potential cascading liquidations. Bithumb emphasized that the incident was not related to any security breach or hacking attempt, and assured that no customer assets were compromised. Additionally, the platform confirmed that all trading, deposit, and withdrawal functions are currently operating smoothly. The company has committed to safeguarding customer funds and will provide transparent updates on measures to avert similar mistakes in the future. Although Bithumb did not reveal the specific amount involved in the error, some users on social media platform X alleged that around 2,000 Bitcoin (BTC) were erroneously credited, though this claim remains unverified. This incident follows Bithumb's January announcement of identifying approximately $200 million in dormant assets across 2.6 million inactive accounts as part of a recovery initiative. As per CoinGecko, Bithumb holds a trust score of 7 out of 10 and reported a 24-hour trading volume of approximately $2.2 billion at the time of reporting. The event highlights ongoing operational issues faced by centralized cryptocurrency exchanges, which have been under scrutiny due to disruptions during both routine and high-stress market conditions. In a related development, Coinbase acknowledged in June that it had significantly reduced unnecessary account restrictions by improving its machine-learning models and internal systems. This was in response to prolonged user grievances about account access during volatile market periods. Similarly, during a major market downturn on October 10, Binance encountered complaints from users who faced technical difficulties while attempting to manage their positions amidst peak volatility. Although Binance maintained that its core systems were functioning and attributed the issues to broader market dynamics, it compensated affected users with approximately $728 million. These incidents underscore the challenges centralized exchanges face in maintaining operational integrity and user trust during market fluctuations.
Bitcoin Slides to $60K as TRM Labs Joins the Crypto Unicorn Club
Bitcoin's value took a tumble toward the $60,000 mark as the crypto derivatives market experienced significant liquidations totaling $2.56 billion, marking the tenth-largest daily liquidation in history. This downturn comes amid rising investor concerns over potential stagnation in US liquidity, following the nomination of Kevin Warsh by President Trump to lead the Federal Reserve. Warsh, a former Fed governor, is anticipated to maintain the trajectory of interest rate cuts, which may stabilize rather than enhance market liquidity, according to economist Thomas Perfumo from Kraken. Data from Farside Investors indicated that Bitcoin ETFs faced three successive days of outflows, with $431 million withdrawn on Thursday. Bitcoin's price briefly dipped to $60,074 on Friday before rebounding to over $64,930. In positive news, TRM Labs, a blockchain intelligence platform, has reached unicorn status after completing a Series C funding round that raised $70 million, valuing the company at $1 billion. The funding round attracted major investors, including Blockchain Capital, Goldman Sachs, and Bessemer Venture Partners. TRM Labs aims to enhance public and private institutions' capabilities to combat cybercrime with AI technology. Meanwhile, Avalanche, a blockchain network, is experiencing an upswing in institutional adoption. The total value of tokenized real-world assets (RWAs) on Avalanche has surged 68.6% in the fourth quarter of 2025, driven by initiatives such as BlackRock's $500 million USD Institutional Digital Liquidity Fund. Additionally, Fortune 500 fintech FIS partnered with Avalanche-based Intain to tokenize loans, adding to the network's growing total value locked (TVL). Solana-based Jupiter secured a $35 million strategic investment from ParaFi Capital, marking its first outside funding. The deal involved purchasing tokens at market prices, with a lockup period to ensure long-term alignment. This investment comes as Jupiter expands its offerings, including a new stablecoin, JupUSD. In other developments, Aave Labs announced it is phasing out its Avara brand to focus on decentralized finance (DeFi) innovations. This move involves winding down the Family crypto wallet and reducing involvement in the Lens protocol. Aave's efforts are now concentrated on its core lending platform, aiming to make DeFi accessible to a wider audience. However, not all news is positive. Step Finance, a DeFi portfolio tracker on Solana, suffered a security breach compromising several treasury wallets and resulting in the loss of approximately $27.2 million in Solana. The incident, still under investigation, has caused a significant drop in the value of Step Finance's native token. Overall, the DeFi market faced challenges this week, with most major cryptocurrencies recording losses. The privacy-focused token Zcash saw a 35% decline, while the Story token dropped by 34%. Despite these setbacks, the market continues to evolve, with ongoing developments signaling both opportunities and risks in the dynamic crypto landscape.
Cryptocurrency Price Forecast: BTC, ETH, BNB, XRP, SOL, DOGE, ADA, BCH, HYPE, XMR Analysis
Bitcoin and various altcoins experienced a significant rebound, recovering from the severe downturn observed earlier this week. This raises the question of whether the surge is a precursor to a lasting recovery or merely a temporary spike. Notably, Bitcoin surged past the $69,000 mark after dropping to $60,000, indicating robust buying interest at reduced prices. Despite the bounce, sentiment remains fragile with the Crypto Fear & Greed Index plummeting to 9, its lowest since June 2022. Experienced trader Peter Brandt has highlighted that the recent decline seems to be driven by campaign selling rather than retail liquidation, making it challenging to predict its conclusion. On a more optimistic note, analyst Subu Trade pointed out that Bitcoin's relative strength index (RSI) on the weekly chart has dipped below 30, an occurrence that historically led to an average 23.34% gain within a month. **Bitcoin (BTC) Analysis** Bitcoin's price closed below the critical level of $74,508, reaching down to $60,000. The RSI has plunged into oversold territory, suggesting that the selling may be excessive, paving the way for a potential relief rally. Resistance is anticipated at $74,508, and a successful breach could propel Bitcoin towards the 20-day EMA at $80,899. **Ethereum (ETH) Analysis** Ethereum dropped beneath $2,111, touching a low of $1,750. A recovery attempt is underway, although resistance at $2,111 is expected. A failure to surpass this level could lead to a further decline with $1,537 as the next support. Conversely, breaking above $2,111 could indicate weakening bearish control, possibly driving the price to $2,569. **Binance Coin (BNB) Analysis** BNB fell below $730, reaching $570, with its RSI in oversold territory. A lackluster rebound may lead to further declines, possibly down to $500. For a reversal, the price needs to climb back above $730, targeting the 20-day EMA at $798. **XRP Analysis** XRP dipped below its descending channel pattern but quickly rebounded, aiming for the 20-day EMA at $1.71. A move above this could lead to a surge towards the downtrend line. Failure to sustain may see the price sink below support. **Solana (SOL) Analysis** SOL extended its decline below $95, hitting a low of $67.50. The RSI suggests a short-term recovery. A breach above $95 could see the price rally to $110, while failure increases the risk of falling below $67.50. **Dogecoin (DOGE) Analysis** Dogecoin fell below $0.10, with attempts to recover from $0.08. Resistance is expected at the 20-day EMA of $0.11, and a failure to rise above this may result in a slide to $0.07. **Cardano (ADA) Analysis** Cardano fell beneath its descending channel, with buying interest at lower levels. The price above the support line could propel it to $0.32, but failure to hold could drive it down to $0.20 and possibly $0.15. **Bitcoin Cash (BCH) Analysis** Bitcoin Cash slipped below $443 but rebounded, indicating strong buying. A sustained price above $443 could lead to a test of the 20-day EMA, while a drop below $443 suggests further declines to $380. **Hyperliquid (HYPE) Analysis** HYPE faces resistance at $35.50 but remains supported by an upsloping 20-day EMA. A rise above $35.50 could lead to gains towards $44, while a drop below the EMA suggests consolidation between $35.50 and $20.82. **Monero (XMR) Analysis** Monero broke below $360, with a relief rally facing resistance at the $361 level. A rise above this could lead to $388 and potentially $432, whereas a failure to rise suggests further declines possible to $231.
Samson Mow Analyzes Bitcoin's Recent Decline and Potential Recovery
In a recent video interview with Cointelegraph, renowned Bitcoin expert Samson Mow delves into the recent downturn in Bitcoin's value, exploring the fears surrounding quantum computing and identifying potential triggers for the cryptocurrency's rebound. Mow provides insights into the factors influencing Bitcoin's sharp decline, including the rally in precious metals like gold and silver, as well as forced liquidations in the crypto market. He also examines the long-standing thesis that Bitcoin's value should rise due to the devaluation of fiat currencies, questioning whether this narrative holds true. Despite Bitcoin's strong fundamentals, its status as the most liquid global asset, coupled with its continuous trading availability, makes it vulnerable to market shocks that other traditional assets might withstand better, at least in the short term, according to Mow. The conversation further explores the current market dynamics, particularly the relationship between Bitcoin and precious metals. Mow argues that the recent surge in gold and silver could lead to a shift in capital towards Bitcoin, setting the stage for its next potential upswing. For those looking to understand the intricacies of Bitcoin's recent price movements and future prospects, the full interview provides a comprehensive overview and is available on Cointelegraph's YouTube channel.
China Prohibits Issuance of Stablecoins and Real-World Asset Tokens by Both Domestic and Foreign Entities
In a significant move, the People's Bank of China (PBOC), along with seven other regulatory bodies, has announced a ban on the issuance of Renminbi-pegged stablecoins and tokenized real-world assets (RWAs) without prior approval. This decision impacts both domestic and international entities aiming to issue such digital assets. The joint statement, which also includes endorsements from the Ministry of Industry and Information Technology and the China Securities Regulatory Commission, underscores the government's stance on regulating the digital currency landscape. According to a translation of the announcement, "Stablecoins pegged to fiat currencies mimic some functions of fiat money in circulation and use. No entity or individual, whether domestic or international, is permitted to issue RMB-linked stablecoins without necessary authorization from relevant departments." Winston Ma, an adjunct professor at New York University Law School and former Managing Director of China's sovereign wealth fund, highlighted that the ban covers both onshore and offshore versions of the Renminbi. Ma explained that the CNH, the offshore Renminbi, is designed to offer flexibility in foreign exchange markets while maintaining currency controls. This directive is part of China's ongoing efforts to keep speculative cryptocurrencies outside its formal financial system while promoting the use of the digital yuan, the country's central bank digital currency (CBDC). Recently, the Chinese government approved commercial banks to offer interest to clients using the digital yuan, further incentivizing its adoption. Earlier discussions in August 2025 had suggested a potential shift in policy, with reports indicating that China might allow private companies to issue yuan-pegged stablecoins. However, by September of that year, the government instructed issuers to pause such activities. In a related development, January 2026 saw the PBOC authorizing commercial banks to pay interest on digital yuan wallets, enhancing the appeal of the CBDC among investors. This latest move reflects China's strategic focus on its CBDC, reinforcing its commitment to maintaining control over digital currency issuance and usage within its borders.
Galaxy Digital Initiates $200M Class A Share Buyback Plan
Galaxy Digital Inc. (Nasdaq: GLXY) has announced a strategic move to repurchase up to $200 million of its Class A common stock over the coming year. This decision comes at a time when Galaxy's shares, along with other crypto-related stocks, have experienced a downturn in line with Bitcoin's price decline. The buyback, as detailed by the company, allows for acquisition of shares either through open market operations or private negotiations, in compliance with Rule 10b5-1 trading plans and relevant securities regulations. However, Galaxy is not obligated to repurchase the entire amount and retains the flexibility to pause or stop the program if necessary. Spanning a 12-month period, the buyback scheme, if executed on the Toronto Stock Exchange, requires regulatory consent under a standard issuer bid, whereas purchases on Nasdaq will be limited to 5% of Galaxy’s outstanding shares at the program’s inception. Galaxy, which is publicly listed on both the Nasdaq and the Toronto Stock Exchange, is engaged in various digital asset services, including trading, asset management, staking, custody, and data center operations. The company has not specified how much of the $200 million allocation it plans to utilize nor the timeline for commencing these buybacks. Founder and CEO Mike Novogratz expressed confidence in the company’s strong financial position, asserting that Galaxy’s robust balance sheet and investments provide the agility needed to repurchase shares when they believe the stock is undervalued. This announcement follows closely after Galaxy reported a significant net loss of $482 million for the fourth quarter of 2025 and a $241 million loss for the full year, attributing the losses to declining digital asset values and approximately $160 million in one-time expenditures. At the time of reporting, Galaxy's stock had risen by about 17% over the past 24 hours, yet remained approximately 25% lower for the month, as per Yahoo Finance data. The broader crypto market has seen a decline, with Bitcoin's price dropping from over $97,000 in January to approximately $60,300 recently. This downturn has impacted other crypto stocks, such as Coinbase Global (COIN) and Circle Internet Group (CRCL), which have seen declines of about 36% and 34% respectively over the past month. Similarly, MicroStrategy (MSTR), which holds the largest public Bitcoin reserve with 713,502 BTC, has experienced a near 68% drop over six months. The company recently reported a staggering $12.4 billion net loss for Q4 2025. Bitcoin mining firms like MARA Holdings (MARA) and IREN Limited (IREN) have also been affected, with MARA down 27% and IREN down 8% over the past month. This initiative by Galaxy reflects a strategic maneuver to potentially capitalize on current market conditions and enhance shareholder value amidst a challenging period for crypto-related equities.
Strategy Faces $12.4B Q4 Loss Amid Bitcoin's Decline, Shares Plunge 17%
Strategy, a company known for its significant Bitcoin investments, reported a substantial net loss of $12.4 billion in the fourth quarter of 2025. This downturn was largely attributed to Bitcoin's 22% price drop during the same period. Bitcoin (BTC) had surged to a high of $126,000 in early October but saw a steep decline by December 31, falling below $88,500. As of now, Bitcoin's value has decreased 30% this year, standing at $64,500, which is below Strategy’s average purchase price of $76,052 per Bitcoin. Despite the financial setback, Strategy reported an increase in revenues, up 1.9% year-on-year to $123 million, thanks in part to the growth of its business intelligence division. However, the recent downturn in Bitcoin's price led to a 17% drop in Strategy’s share value, closing at $107 on Thursday, as indicated by data from Google Finance. The decline in Bitcoin's value pushed it to a low of $62,500 on Thursday, impacting Strategy's holdings of 713,502 Bitcoins and resulting in a 17.5% decrease in their value. Financial Resilience Despite Losses Andrew Kang, Strategy’s chief financial officer, reassured stakeholders by stating that the company’s financial structure remains robust and more resilient than ever. He highlighted that Strategy has fortified its position with a substantial Bitcoin reserve and a shift towards Digital Credit, aligning with its long-term Bitcoin-focused strategy. The firm strengthened its liquidity by increasing its cash reserves to $2.25 billion in the fourth quarter, which is sufficient to cover 30 months of dividend distributions. This move underscores Strategy's financial stability, even amidst a challenging market environment. Additionally, Strategy faces no significant debt maturities until 2027, reducing the pressure to sell Bitcoin to cover debts in the near future. Chief Executive Officer Phong Le addressed investors, maintaining confidence in the company’s financial health and its strategic approach to Bitcoin. "I’m not worried, we’re not worried, and no, we’re not having issues," Le assured. He emphasized that the enterprise value remains above its $45 billion Bitcoin reserve, and the company’s convertible debt accounts for only about 13% net leverage, which is lower than most firms in the S&P 500. This report comes amidst broader geopolitical discussions about cryptocurrency, with notable statements from US Treasury Secretary Bessent regarding Bitcoin’s future. Meanwhile, the company’s strategy and financial resilience continue to be closely watched by investors and market analysts alike.
Can Bitcoin Hit $90K by March? Insights from BTC Options Market
Bitcoin's recent dip below $63,000 has stirred considerable concern among investors, largely due to disappointing U.S. economic figures, a faltering stock market, and apprehension over the AI sector's investment bubble. The pressing question remains: Is a climb back to $90,000 feasible by March? Market analysis reveals that Bitcoin (BTC) tumbled to its lowest value since November 2024, marking a 30% decline from its peak attempt of $90,500 on January 28. This downturn has left traders wary of any immediate bullish trends, exacerbated by weak U.S. employment data and heightened worries about the extensive capital poured into artificial intelligence. Options market data paints a cautious picture, with traders attributing merely a 6% probability to Bitcoin reaching $90,000 by March. On the Deribit exchange, call options to purchase Bitcoin at $90,000 on March 27 were valued at $522, reflecting investor skepticism about a significant rally. According to the Black-Scholes model, these options signal less than a 6% chance of Bitcoin hitting the $90,000 mark by late March. In contrast, options to sell Bitcoin at $50,000, priced at $1,380, suggest a 20% likelihood of a more pronounced downturn. The market's current risk aversion is also driven by emerging threats from quantum computing and fears of forced liquidations by firms that have acquired Bitcoin reserves through debt and equity. Notably, Christopher Wood of Jefferies removed Bitcoin from his model portfolio due to concerns over quantum computers potentially compromising private keys. Public companies holding Bitcoin, like MicroStrategy, have seen their enterprise values dip below their cost basis, raising alarms about potential sell-offs to manage debt. Similarly, Japan’s Metaplanet faces valuation challenges that could prompt selling to mitigate financial obligations. External market factors play a role in heightening risk aversion. For instance, silver experienced a drastic 36% weekly drop after reaching a high in late January. Bitcoin's 27% weekly decline mirrors losses in major listed companies such as Thomson Reuters, PayPal, and Robinhood. The economic backdrop also includes a surge in layoffs, with U.S. companies announcing over 108,000 job cuts in January, marking the highest since 2009. This comes as firms like Google anticipate significant capital expenditures in the coming years, and Qualcomm issues warnings on growth due to supply chain shifts toward high-bandwidth memory production. Amidst these challenges, traders are apprehensive about the timeline for AI investments to yield returns, hindered by competition and production constraints like energy limits and memory chip shortages. The drop of Bitcoin to $62,300 underscores investor uncertainty regarding economic growth and employment prospects, casting doubt on a quick recovery to $90,000. In this volatile landscape, investors are urged to exercise caution, conduct thorough research, and stay informed about market dynamics.
EU tokenization companies push for DLT pilot changes amid US momentum
Written by Nate Kostar,Staff WriterReviewed by Sam Bourgi,Staff WriterEU tokenization companies push for DLT pilot changes amid US momentum3 hours agoEuropean tokenization companies urged EU lawmakers to quickly amend the DLT Pilot Regime, warning that current limits risk pushing onchain markets to the US. Listen0:00News Cointelegraph in your social feed Follow our Subscribe on A group of European tokenization operators has urged EU policymakers to swiftly amend the bloc’s DLT Pilot Regime, warning that current asset limits, volume caps and time-limited licenses are preventing regulated onchain markets from scaling as the United States advances toward industrial-scale tokenization and near-instant settlement.In a joint letter coordinated ahead of an upcoming parliamentary debate, tokenization and market infrastructure companies Securitize, 21X, Boerse Stuttgart Group, Lise, OpenBrick, STX and Axiology called for targeted changes to the DLT Pilot Regime, the EU’s regulatory sandbox for tokenized securities markets.The companies said the EU’s broader Market Integration and Supervision Package sets the right long-term direction, but warned that existing constraints are already limiting the growth of regulated tokenized products in Europe. Pointing to the United States as a key contrast, they wrote:Without timely action on the DLT Pilot Regime, the EU risks losing market relevance. The structural inertia of this package delays effective application until at least 2030 — creating not a temporary setback, but a critical strategic vulnerability.They added that “global liquidity will not wait” if Europe remains constrained, warning it could migrate permanently to US markets as onchain settlement infrastructure matures.Rather than calling for deregulation, the companies proposed a narrow technical “quick fix” that would keep existing investor protections intact. The changes would expand the scope of eligible assets, raise current issuance caps and remove the six-year limit on pilot licenses to allow regulated operators to scale products already live in other jurisdictions.The group said the adjustments could be adopted quickly through a standalone technical update without reopening the EU’s broader market-structure reforms. It warned that prolonged delays risk weakening the euro’s competitiveness in global capital markets as settlement and issuance activity shifts toward faster, fully digital market infrastructure. The value of global tokenized real-world assets. Source: RWA.xyzRelated: Gemini announces exit from UK, EU, Australia, slashes workforceUS regulators and exchanges advance tokenization frameworkThe US has taken regulatory steps toward tokenization by clarifying how tokenized securities can be issued, custodied and settled within existing market infrastructure.On Dec. 11, 2025, the Securities and Exchange Commission (SEC) Trading and Markets Division outlined how broker-dealers can custody tokenized stocks and bonds under existing customer protection rules, signaling that blockchain-based securities will be governed within the traditional regulatory framework rather than treated as a new asset class.The SEC issued a no-action letter on the same day to a subsidiary of Depository Trust & Clearing Corporation, clearing the way for a new securities market tokenization service. DTCC said its Depository Trust Company unit has been authorized to launch a service that tokenizes real-world assets already held in DTC custody. On Jan. 28, the SEC issued guidance clarifying how it views tokenized securities, splitting them into two categories: those tokenized by issuers and those tokenized by unaffiliated third parties, a move aimed at giving companies a clearer regulatory footing as tokenization activity expands.Alongside clearer US regulatory guidance, Nasdaq and the New York Stock Exchange have begun exploring tokenization within traditional market infrastructure.In November 2025, Nasdaq said securing SEC approval for its September proposal to list tokenized stocks was a top priority, noting that the exchange was responding to public comments and regulator questions as the review process continued.On Jan. 17, the NYSE said it is developing a platform to trade tokenized stocks and exchange-traded funds, pending regulatory approval, that would support 24/7 trading and near-instant settlement using blockchain-based post-trade systems.Magazine: 6 weirdest devices people have used to mine Bitcoin and cryptoCointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently. Read our Editorial Policy https://cointelegraph.com/editorial-policy#NYSE#Europe#Nasdaq#United States#European Union#Regulation#Tokenization#RWA Tokenization
Gemini Withdraws from UK, EU, and Australia, Cuts Workforce by 25%
Gemini, the US-based cryptocurrency exchange established in 2015, has announced its decision to withdraw from the United Kingdom, European Union, and Australian markets, while reducing its workforce by 25%. This strategic shift is intended to enhance its focus on expanding within the United States, where it sees greater opportunities due to robust capital markets. The company attributed its retreat to several factors, including advancements in artificial intelligence that have significantly increased engineering efficiency and the challenging business environments faced in the UK, EU, and Australia. "These regions have presented difficulties for various reasons, leading to an unsustainable level of organizational complexity that inflates costs and hampers progress," the announcement stated. "We lack the demand in these areas to justify our presence, especially when the US offers the world's most substantial capital markets." Instead, Gemini plans to concentrate resources on its US operations, particularly on its prediction market platform, Gemini Predictions, launched in December 2025. This decision emerges amidst a tough period for the cryptocurrency sector, marked by declining digital asset prices since a market downturn began in October and delays in the anticipated US crypto market regulation known as the CLARITY Act. The announcement also emphasized Gemini's growing interest in prediction markets, claiming they will play an increasingly prominent role in its business model. The firm believes prediction markets could rival today's capital markets in scale. Since its launch, Gemini Predictions has attracted over 10,000 users and facilitated $24 million in trading volume. The prediction market sector gained momentum during the third quarter of 2024, coinciding with the US presidential election, which saw a remarkable 565.4% increase in trading volume quarter-over-quarter, reaching approximately $3.1 billion. Data from Dune Analytics indicates that from September 2024 to February 2026, daily trading volumes ranged from $277 million to $550 million. Currently, the prediction market is dominated by platforms such as Polymarket and Kalshi, with Polymarket holding more than 37% of the 24-hour trading volume and Kalshi securing over 26%, according to Dune's data.
Bitcoin Dips Below $64K Amid Unprecedented Selling Pressure: Searching for the Bottom
Bitcoin has recently plunged to new lows under $64,000, as market selling reached unprecedented levels, sparking concerns among analysts about the potential for further declines. Over the past four days, Bitcoin (BTC) has decreased by 13%, dropping from $79,300 to $63,844. Currently, it trades below the $69,000 mark, the peak of the 2021 bull market, which many investors view as a critical support level. This decline coincides with a notable fall in futures activity, as BTC's open interest has decreased by over $10 billion in the past week. Analysts are now closely observing long-term technical zones and on-chain indicators that might indicate a significant turning point for Bitcoin. The $69,000 level is particularly important as it marked the 2021 bull market high. Historical patterns suggest that previous cycle tops often act as support during bear markets. For instance, Bitcoin found a bottom near the 2017 high of $19,600 before briefly dipping to around $16,000 in November 2022. This current drop below $69,000 may adhere to this historical pattern, although past cycles also show that prices can fall below previous highs before eventually stabilizing. André Dragosch, Bitwise's European Head of Research, noted that a significant portion of recent transactions took place between $58,000 and $69,000. This range also aligns with the 200-week moving average near $58,000, reinforcing it as a significant demand zone. Meanwhile, crypto analyst 'exitpump' highlighted visible buyer interest with large BTC bids on order books between $68,000 and $65,000. Market analyst Subu Trade pointed out that Bitcoin's weekly relative strength index (RSI) has fallen below 30, a level reached only four times before, typically followed by an average 16% price rally over the next four days. Another analyst, MorenoDV, observed that the adjusted net unrealized profit/loss (aNUPL) has turned negative for the first time since 2023, indicating that the average holder is now experiencing a loss. Past occurrences of similar conditions in 2018–2019, 2020, and 2022–2023 have led to price recoveries for Bitcoin. While a relief rally may not materialize immediately, MorenoDV remarked on the rapid deterioration of sentiment, which is occurring faster than in previous cycles. This swift change suggests a sharp sentiment reset rather than a gradual decline, potentially shortening the capitulation phase.
Tether Invests $100 Million in Anchorage Digital to Strengthen Partnership
In a move to deepen its collaboration with Anchorage Digital, Tether has announced a substantial $100 million equity investment in the federally regulated crypto bank. This strategic investment underscores the existing partnership between Tether, the prominent stablecoin issuer, and Anchorage Digital, which is exploring significant capital raising in anticipation of a potential IPO. The announcement, made by Tether on Thursday, highlights the strengthening ties between the two companies. Anchorage Digital, known for issuing the USAt stablecoin, which is pegged to the dollar, operates within the U.S. federal payment framework established under the GENIUS Act in July 2025. Founded in 2017 in San Francisco, Anchorage Digital Bank holds the distinction of being the first federally chartered digital asset bank in the United States, offering a range of services including custody, settlement, staking, and stablecoin issuance to institutional clients. The funding was facilitated through Tether Investments, an El Salvador-based arm of the company. This move comes as Anchorage Digital is reportedly seeking to raise between $200 million and $400 million ahead of a potential stock market debut next year. Tether, the issuer behind the leading stablecoin USDt (USDT), boasts a market capitalization of approximately $185 billion, commanding around 60% of the overall stablecoin market. Recent data from DefiLlama corroborates these figures. This investment follows Tether's recent financial disclosures, where it reported over $10 billion in net profit for 2025 and excess reserves of $6.3 billion. These results illustrate Tether's formidable financial position, enabling it to pursue various acquisitions and investments. Tether's CEO, Paolo Ardoino, revealed in July that the company had already invested in over 120 firms using its profits, with plans for further expansion. In line with this strategy, Tether made a notable investment in Ledn, a Bitcoin-backed consumer loan platform, and considered a significant investment in German robotics company Neura. Furthermore, in December, Tether spearheaded an $8 million investment round in Speed, a Bitcoin payments company focused on facilitating enterprise stablecoin transactions via the Lightning Network. Tether has also been bolstering its Bitcoin reserves, with recent additions bringing its holdings to over 96,000 BTC. Although Tether remains a privately held entity, its substantial Bitcoin holdings would position it as the second-largest corporate Bitcoin holder if publicly listed, according to BitcoinTreasuries.NET data.
Indicators Suggest Bitcoin May Be Approaching 'Full Capitulation'
Bitcoin's price activity has recently raised alarms among traders and analysts, hinting at a possible capitulation phase. As Bitcoin's value dipped below $69,000, marking its lowest point since early November 2024, several market indicators suggest that a bottom might be forming. This conclusion stems from factors such as intense market fear, aggressive selling by short-term investors, and an oversold Relative Strength Index (RSI). **Short-Term Holder Sell-Off Intensifies** Data from CryptoQuant reveals a significant movement of Bitcoin from short-term holders—those who have possessed the asset for under 155 days. Within the last 24 hours, these holders have offloaded nearly 60,000 BTC, valued at approximately $4.2 billion, to exchanges at a loss. This movement marks the largest exchange inflow of the year, further escalating the selling pressure. According to CryptoQuant analyst Darkfost, this scenario represents a "full capitulation," with no profitable Bitcoin being moved by long-term holders. Glassnode's analysis supports this view, highlighting a surge in realized losses with a seven-day moving average surpassing $1.26 billion daily. Such spikes often correlate with high levels of fear and seller fatigue, indicating that the intense selling pressure might soon diminish. Additionally, Glassnode notes that the Bitcoin capitulation metric has recently experienced its second-largest increase in two years, typically associated with increased volatility and market repositioning. **Fear Index and Potential Market Bottom** The Crypto Fear & Greed Index, which gauges overall market sentiment, has dropped to a score of 12, reflecting "extreme fear." This level was last observed in July, a period that preceded a notable price bottom and subsequent rally. Historical data suggests that such extreme fear levels often precede market rebounds, despite initial short-term weakness. Analyst Davie Satoshi remarked on social media that these conditions present a buying opportunity, arguing that past patterns show potential for gains following extreme fear. Santiment, a crypto sentiment analysis platform, echoed this sentiment, noting widespread bearishness towards Bitcoin, which could set the stage for a short-term recovery if skepticism persists. **RSI Indicates Potential Seller Burnout** According to CoinGlass, Bitcoin's RSI is signaling oversold conditions across multiple time frames, with particularly low readings on the 12-hour, daily, and four-hour charts. The RSI currently stands at 18, 20, and 23, respectively, on these time frames. TradingView data further indicates that the weekly RSI has dropped to 29, its lowest since the 2022 bear market. CryptoXLARGE pointed out that Bitcoin is now experiencing its most oversold state since the FTX incident, reflecting a peak in investor panic. Historically, such levels of fear have marked opportunities for buyers. Analyst HodlFM supports this view, noting that while the RSI alone isn't a precise timing tool, it historically favors buyers when the risk/reward ratio is skewed towards potential gains. Overall, while the current sentiment and market conditions suggest potential for a bottom, investors are advised to conduct thorough research and remain cautious, given the inherent risks of trading and investing.
Aster's Layer-1 Blockchain Testnet Launches with Mainnet Expected in Early 2026
Aster, the decentralized exchange (DEX) known for its perpetual futures trading, has announced the activation of its layer-1 blockchain testnet, with plans to launch the mainnet in the first quarter of 2026. This news comes following Aster's rebranding in 2025, when it pivoted to focus on perpetual futures, a move that aligned with the burgeoning market interest as trading volumes soared into the trillions of dollars. The newly operational testnet is set to pave the way for several features promised in Aster's roadmap for Q1 2026, including fiat currency on-ramps, the release of Aster's code for developers, and the deployment of the layer-1 mainnet. Aster's strategic focus for 2026 will be on enhancing its infrastructure, expanding token utility, and fostering its community and ecosystem. Aster's transition to a dedicated layer-1 blockchain aligns with a broader trend among Web3 projects, which are increasingly moving to tailor-made blockchains. This shift allows them to support higher transaction volumes without relying on multi-purpose chains like Ethereum or Solana, which cater to a diverse array of applications. The year 2025 marked a significant period for perpetual DEXs, with Aster emerging as a direct competitor to Hyperliquid, another major player that also operates on its own application-specific layer-1 network. The growing popularity of perpetual futures contracts, which differ from traditional futures by lacking an expiration date, was evident as cumulative trading volumes in this sector nearly tripled from $4 trillion to over $12 trillion throughout the year. DefiLlama reports indicate that approximately $7.9 trillion of this trading volume was generated in 2025 alone, with monthly figures consistently hitting the $1 trillion mark in the last quarter of the year. This surge highlights the increasing interest and demand for crypto derivatives, as more financial transactions migrate onto blockchain platforms. Aster's strategic developments and the overall momentum in the perpetual DEX market underscore the ongoing evolution and expansion of the crypto derivatives landscape, as stakeholders continue to seek innovative solutions and opportunities in digital finance.
Ether Drops Below $2,000 Amidst Holder Uncertainty
Ether's recent price dip below $2,000 is challenging the confidence of its holders as selling pressure increases among smaller investors, while larger players continue to accumulate. As of Thursday, Ether fell to a yearly low of $1,927, marking a significant 60% drop from its peak value of $4,950. Analysts suggest this downturn is a critical test for Ether holders, with on-chain and exchange inflow data hinting at the onset of a bear market. Despite the heightened selling activity, the impact of large holders' buying efforts on Ether's ability to regain the $2,000 threshold remains uncertain. Key observations include: - Investors holding between 100 and 10,000 ETH have reduced their positions, indicating a capitulation phase. - Larger investors, those with over 10,000 ETH, have been increasing their holdings, absorbing the selling pressure. - Ether is currently trading below the realized price across all investor groups, and rising exchange inflows suggest continued downside risk. Over the past five months, the distribution of Ether across different wallet sizes has shifted noticeably. Data indicates which types of investors are holding firm and which are selling as prices return to levels seen in May 2025. According to CryptoQuant, on August 18, 2025, wallets holding 100 to 1,000 ETH accounted for 9.79 million ETH, while those with 1,000 to 10,000 ETH held 14.51 million. Larger wallets, holding between 10,000 and 100,000 ETH, controlled 17.18 million, and the largest wallets held 2.75 million ETH. As of Wednesday, the balances for the 100 to 1,000 and 1,000 to 10,000 cohorts decreased to 8.32 million ETH and 12.26 million ETH, respectively. However, wallets in the 10,000 to 100,000 range rose to 19.77 million ETH, and the largest wallets increased their holdings to 3.68 million ETH, suggesting that whales and major investors are accumulating, while smaller and mid-sized holders are selling amidst the current price decline. Furthermore, Ether is trading below the realized price for all cohorts, which indicates the average cost basis when each group last transacted their ETH. The realized prices span from $2,120 for the largest holders to $2,690 for those with 100–1,000 ETH. Notably, Ether closed below the collective realized price of $2,630 on Saturday, a level associated with stress-induced selling. Exchange data adds to the pressure on Ether's price. Inflows to Binance surged to about 1.63 million ETH on Wednesday, the highest daily total since 2022. This influx might indicate preparations for selling or rebalancing, and such spikes during weak price periods heighten concerns. Market data further reflects this trend. According to crypto analyst PelinayPA, Ether's taker buy/sell ratio on Binance is around 0.94, below the neutral point of 1. Both the 30-day and 50-day averages remain under 1, indicating that selling pressure is predominant and not just a temporary phase. PelinayPA suggests this might signal the start of a more prolonged bear market for Ether, with challenging price conditions expected to persist.
Kyle Samani Departs Multicoin to Pursue New Tech Ventures
Kyle Samani, co-founder of the crypto investment firm Multicoin Capital, announced his decision to step down as managing partner after a decade in the industry. Reflecting on his departure as a "bittersweet moment," Samani expressed his eagerness to take some time to delve into emerging technologies, specifically artificial intelligence and robotics. Despite his new ventures, Samani remains optimistic about the transformative impact of cryptocurrency on the financial sector, stating, "I am more confident than ever that crypto is going to fundamentally rewire the circuitry of finance." Samani highlighted the potential of the Clarity Act to catalyze unprecedented adoption in the crypto space. He continues to express strong support for Solana, a project he remains personally invested in, while also planning to back Multicoin's portfolio companies. Interestingly, a deleted social media post suggests a shift in Samani's perspective, where he expressed doubt in the web3 vision and the overall allure of crypto. Known for his critiques of both Bitcoin and Ethereum, Samani's initial venture into the crypto domain began with Ethereum in 2016, driven by the promise of permissionless finance and smart contracts. However, disillusionment with Ethereum's scaling solutions led him to champion Solana, which became a key focus for Multicoin's investment strategy. Under Samani's leadership, Multicoin has grown significantly, managing $5.9 billion in assets by 2025, establishing itself as a leading entity in the crypto investment landscape. In a collaborative letter with co-founder Tushar Jain, Samani outlined his intentions to explore other technological domains such as AI, longevity, and robotics. Multicoin maintains its strong belief in crypto's potential, viewing the current period as a pivotal moment for regulatory clarity and mainstream adoption. The firm remains committed to driving innovation within global financial and capital markets.
Bitcoin ETF Outflows Reach $2.9 Billion as BTC Hits New Low for 2026
Bitcoin's market turbulence continues as it faces substantial ETF outflows and price declines. Over the past 12 days, Bitcoin exchange-traded funds have seen outflows totaling $2.9 billion, coinciding with a drop in Bitcoin's price to under $73,000. This decline aligns with a broader market downturn, notably in tech stocks, and follows a temporary rebound to $79,500. The cryptocurrency's struggle is mirrored in the tech sector, with the Nasdaq Index experiencing a fall due to AMD's weak sales forecast and unexpected U.S. employment data. The fear among traders is exacerbated by these ETF outflows, as they signal a reduction in risk asset exposure. Since January 16, Bitcoin ETFs listed in the U.S. have been losing an average of $243 million daily, closely linked to Bitcoin's rejection at the $98,000 mark on January 14. This period also saw a 26% correction and $3.25 billion in liquidations of leveraged long BTC futures positions. Leverage exceeding four times has been largely eradicated unless additional margin was deposited. Contributing to this volatility was a massive $19 billion liquidation event on October 10, 2025, reportedly due to a technical glitch at Binance. This malfunction led to delays and incorrect data, compelling the exchange to compensate users with over $283 million. Haseeb Qureshi of Dragonfly noted that Binance's failure to fill liquidations impacted market makers, though he believes the market will eventually stabilize. Qureshi highlighted that current cryptocurrency liquidation mechanisms lack the self-stabilizing features found in traditional finance, such as circuit breakers. Despite a history of challenges, the market has historically bounced back. Options markets reflect professional traders' skepticism about Bitcoin's current bottom at $72,100. The BTC options delta skew reached 13%, indicating increased demand for protective puts and a lack of confidence among bulls. Concerns about the tech sector's competitiveness, especially with Google and AMD's advances in AI chips, contribute to this sentiment. Adding to market unease are rumors regarding a $9 billion Bitcoin sale by a Galaxy Digital client linked to quantum computing threats, which were subsequently denied by Galaxy's Alex Thorn. Additionally, Binance's temporary withdrawal halt fueled speculation about its solvency, although on-chain metrics show stable Bitcoin deposits at the exchange. With macroeconomic uncertainties persisting, many traders have opted to exit the crypto market, casting doubt on whether Bitcoin ETF outflows will continue to affect its price negatively. As the situation evolves, market participants remain cautious about future developments.
CME Group CEO Terry Duffy Discusses Potential Launch of In-House Token
CME Group, a prominent derivatives exchange based in Chicago, is considering the introduction of its own digital token. This move is part of a broader exploration of how tokenized assets can serve as collateral within financial markets. CEO Terry Duffy shared these insights during a recent earnings call. Duffy revealed that CME is evaluating various forms of margin, including the concept of tokenized cash and a unique CME-issued token, which could be integrated into a decentralized network for industry use. "We are not just looking at tokenized cash," Duffy noted. "We are exploring initiatives with our own coin that could potentially be utilized by other industry participants on a decentralized platform." He highlighted that tokens issued by a "systemically important financial institution" might provide more security to market participants compared to those issued by smaller banks. Duffy also referenced a collaboration between CME and Google, initiated in March. This partnership involves piloting blockchain-based infrastructures for wholesale payments and asset tokenization using Google's Universal Ledger. The proposed CME token, however, would be a distinct project, with specifics on its operation yet to be disclosed. CME Group is renowned for running futures and options markets across various sectors, including rates, equities, commodities, and cryptocurrencies. In January, the exchange announced plans to broaden its regulated crypto offerings by introducing futures contracts linked to Cardano (ADA), Chainlink (LINK), and Stellar (XLM). Additionally, CME has teamed up with Nasdaq to consolidate their crypto index offerings under the Nasdaq-CME Crypto Index. In line with its expansion plans, CME intends to launch 24/7 trading for cryptocurrency futures and options by early 2026, pending regulatory clearance. The consideration of a proprietary token by CME aligns with a wider trend among traditional financial institutions towards blockchain-based token exploration. In July, Bank of America signaled its interest in stablecoins to enhance its payment systems, with CEO Brian Moynihan viewing them as a tool for facilitating US dollar and euro transactions globally. JPMorgan has already launched its JPM Coin, a blockchain-based token representing US dollar deposits, available for institutional clients to facilitate on-chain transactions and settlements via Coinbase's Base blockchain. Meanwhile, Fidelity Investments is set to introduce a US dollar-backed stablecoin named the Fidelity Digital Dollar (FIDD), extending its digital asset ventures after receiving preliminary approval to operate a national trust bank. As US banks advance their stablecoin and token projects, they face ongoing debates concerning yield-bearing stablecoins, which are a source of contention within the crypto industry under the CLARITY Act being discussed in Congress. Following the enactment of the GENIUS Act in July 2025, the stablecoin market has seen substantial growth, with its market capitalization reaching approximately $305.8 billion, up from around $260 billion at the time of the law's passage, as per DefiLlama data.
Telegram's Pavel Durov Criticizes Spain's Online Age Verification Plans
Telegram co-founder Pavel Durov has voiced strong objections to Spain's new proposal for online age verification, arguing that it paves the way for a surveillance state under the guise of child protection. Speaking on Wednesday, Durov claimed that the legislation would lead to increased government censorship, invasion of privacy through user de-anonymization, and widespread surveillance. The initiative, announced by Spain's Prime Minister Pedro Sánchez, aims to implement age verification measures similar to those in other European countries like the United Kingdom. During his address at the World Government Summit in Dubai, Sánchez emphasized the need to 'take back control' of social media to safeguard children, a sentiment that has spurred significant backlash from privacy advocates and digital rights defenders. Critics argue that these policies are more about governmental control over online discourse than child protection. One critic, identified as Campari, suggested that the government intends to suppress exposure of its corruption through these measures. Elon Musk also joined the chorus of dissent, mocking Sánchez's approach. Journalist Taylor Lorenz dismissed the child protection rationale, urging global resistance against age-verification legislation. Meanwhile, Concordium's CEO Boris Bohrer-Bilowitzki highlighted the inefficacy of current age-verification techniques, noting that they often drive users to employ VPNs to bypass restrictions. He suggested adopting blockchain technology to verify identity securely without compromising user privacy. The debate continues as privacy advocates and technologists seek solutions that balance child safety with the preservation of internet freedoms.
Bitcoin Open Interest Drops by $55 Billion in a Month: Implications for BTC's Future Price
In recent weeks, Bitcoin futures traders have significantly pulled back, leading to a $55 billion decline in open interest as Bitcoin struggles to maintain its value above $70,000. This downturn coincides with increasing Bitcoin inflows to exchanges and ongoing discussions among analysts about the potential causes and future implications for Bitcoin's price. Over the past 30 days, approximately 744,000 BTC in open interest has been withdrawn from major exchanges, translating to a substantial $55 billion at current market prices. The cumulative volume delta (CVD) for BTC futures has decreased by $40 billion over the past six months, with crypto exchange reserves seeing an uptick of 34,000 BTC since mid-January, suggesting a heightened near-term supply risk. Data from CryptoQuant indicates a significant contraction in Bitcoin's 30-day open interest across exchanges, pointing to widespread position closures. On Binance, net open interest dropped by 276,869 BTC over the past month. Bybit experienced the largest reduction of 330,828 BTC, while OKX saw a decrease of 136,732 BTC on a single day. This widespread closing of positions aligns with Bitcoin's dip below $75,000, suggesting that the market is undergoing a deleveraging phase. Onchain analyst Boris highlighted that market sell orders continue to dominate, particularly on Binance, where derivatives CVD is nearing -$38 billion over the past half-year. Meanwhile, Bybit's CVD stabilized near $100 million following a sharp liquidation in December, and on HTX, CVD settled at -$200 million as Bitcoin's price consolidates near $74,000. In January, Bitcoin inflows to exchanges surged to approximately 756,000 BTC, driven primarily by Binance and Coinbase. Since early February, inflows have surpassed 137,000 BTC, indicating traders are repositioning rather than exiting the market entirely. On the supply side, analyst Axel Adler Jr. noted that exchange reserves increased to 2.752 million BTC from 2.718 million BTC since January 19. He cautioned that if reserve growth surpasses 2.76 million BTC, selling pressure could intensify. Adler suggested that a significant market capitulation has yet to occur, potentially taking place at lower price levels. Market analyst Scient believes that Bitcoin is unlikely to establish a durable bottom in a short timeframe. Instead, a stable market bottom may require two to three months of consolidation around major support zones. Whether this consolidation will occur in the high $60,000s or the low $50,000s remains uncertain. Bitcoin trader Mark Cullen anticipates potential downside toward $50,000 within a broader macroeconomic context. However, he expects a short-term rebound between $89,000 and $86,000 after Bitcoin dipped below $74,000 earlier this week.
Treasury Secretary Bessent Clarifies US Stance on Bitcoin Bailouts
United States Treasury Secretary Scott Bessent addressed Congress on Wednesday, emphasizing that the US government will not intervene to rescue Bitcoin (BTC) in the event of a market downturn. During his testimony, Representative Brad Sherman of California, known for his critical stance on cryptocurrencies, questioned Bessent about the government's authority over Bitcoin. Sherman inquired if the Treasury Department or the Federal Open Market Committee could potentially bail out Bitcoin. Bessent responded by clarifying his limitations, stating, "I am Secretary of the Treasury. I do not have the authority to do that, and as chair of the Financial Stability Oversight Council (FSOC), I do not have that authority." Further into the discussion, Sherman jestingly referenced "Trump Coin," a nod to memecoins associated with former President Donald Trump, questioning whether private banks might be directed to purchase such assets. Bessent firmly stated that he would not instruct private banks to acquire more BTC or any related cryptocurrencies. The US government's handling of Bitcoin has been a topic of discussion, especially after Trump initiated a strategic reserve for the cryptocurrency through an executive order in March 2025. Despite retaining over $15 billion worth of Bitcoin from asset seizures, the order has faced criticism from some in the Bitcoin community for not being comprehensive enough. The executive order mandates that the US can expand its Bitcoin reserves only through asset forfeiture or budget-neutral strategies. These budget-neutral methods, which do not add to the federal budget, include converting existing reserve assets like petroleum or precious metals into Bitcoin. This approach indicates that the government will not participate in open market purchases of Bitcoin, as some Bitcoin proponents had anticipated. In August 2025, Bessent revealed the Treasury Department's interest in acquiring BTC through budget-neutral strategies, revising earlier remarks. This move by the US government to potentially increase its BTC holdings could elevate the demand for the digital currency and influence other countries to consider establishing their Bitcoin reserves. Bitcoin advocate Samson Mow has suggested that such steps by the US could prompt other nations to preemptively secure their Bitcoin reserves. This update from Bessent highlights the cautious yet strategic approach the US is taking regarding its Bitcoin reserves, balancing between legal constraints and market dynamics.
Crypto Market Predictions: Analyzing BTC, ETH, BNB, and More
Authored by Rakesh Upadhyay, Insights by Ray Salmond. Bitcoin's price recently touched a 15-month low at $72,169, prompting some analysts to forecast a potential dip to its realized price of around $56,000 in the near future. But could a rebound be on the horizon before the weekend? Here's a detailed analysis of key cryptocurrencies. **Bitcoin (BTC)** Bitcoin faces significant bearish pressure as its price struggles beneath the $74,508 mark. Recent attempts to spark a recovery were thwarted by sellers, driving the price below $72,169. According to Galaxy Digital's Alex Thorn, Bitcoin might drop further to its realized price of $56,000 due to insufficient market catalysts. However, some analysts, like Bitwise's Matt Hougan, remain optimistic, predicting a market resurgence soon. Historical patterns suggest a prolonged recovery period, as BTC usually stays below the 100-week simple moving average for extensive durations unless disrupted by extraordinary events like the 2020 COVID crash. **Ethereum (ETH)** Ethereum's price found support at $2,111, though the weak bounce indicates limited buying interest. If sellers push ETH below this level, it might fall to $1,750. However, the oversold RSI hints at a potential relief rally, which could drive the price to $2,467 and potentially to the 20-day EMA at $2,712. A strong move above this could signal a shift in market sentiment. **Binance Coin (BNB)** BNB struggles to regain momentum as it trades below $790, with a drop below $730 looming. A decline past this point could lead to further losses, targeting $700 and then $645. Bulls need to push BNB above $790 to avert a downtrend and possibly aim for $839. **XRP** XRP's inability to stabilize above $1.61 reflects ongoing bearish dominance. A breach below the descending channel's support could see XRP revisit its October 2025 low of $1.25. Conversely, a move above $1.79 could keep the price within the channel temporarily. **Solana (SOL)** Solana's failure to break past $107 resulted in renewed selling, dragging it below $95. A close below this threshold may trigger further declines toward $79. However, a rebound above $107 might suggest a bear trap, with potential gains to $117. **Dogecoin (DOGE)** Dogecoin attempts a recovery, but lackluster momentum suggests persistent bearish pressure. A fall below $0.10 could spark a downturn to $0.08. A rise past the moving averages, however, could negate the bearish trend and propel DOGE to $0.16. **Cardano (ADA)** Cardano's attempt to rebound lacks vigor, with resistance at $0.33. A decline from this level may lead ADA towards $0.20. A breakthrough above the 20-day EMA would be needed for any significant upward movement. **Bitcoin Cash (BCH)** Bitcoin Cash faces resistance at $535, with bears actively selling at higher levels. A dip below $497 could see BCH falling to $467 and $443. Overcoming $544 is crucial for any bullish momentum towards $604. **Hyperliquid (HYPE)** Hyperliquid's attempt to breach $35.50 met with selling pressure. A sustained move above this could propel HYPE to $44. Alternatively, a decline below the 20-day EMA may result in continued range-bound trading. **Monero (XMR)** Monero seeks support at $360, but any rally is likely to face selling at $412 and $461. A drop below $360 risks further declines to $320. A rally above $500 would indicate market optimism. The market remains volatile, and although some indicators point to potential recoveries for certain cryptocurrencies, the overarching sentiment remains cautious, with many assets facing sustained resistance from bearish trends.
Bitnomial Introduces US-Regulated Tezos Futures, Expanding Retail Access to XTZ
The Chicago-based cryptocurrency exchange Bitnomial has made history by launching futures contracts linked to Tezos's XTZ token, creating the first opportunity for this digital asset to be traded on a US Commodity Futures Trading Commission-regulated platform. This significant development allows both institutional and retail investors to engage with the price dynamics of XTZ using either cryptocurrency or US dollars as collateral. The announcement, made on Wednesday, highlights how these futures contracts enable participants to hedge risks or speculate on price changes without actually holding the underlying asset. The introduction of regulated futures markets is often seen as essential for attracting broader institutional interest in the United States. These markets provide standardized price discovery and regulatory oversight under the CFTC, paving the way for potential spot exchange-traded funds (ETFs). Michael Dunn, president of Bitnomial, emphasized the importance of these markets, noting, "A CFTC-regulated futures market with six months of trading history meets a crucial requirement under the SEC's listing standards for spot ETFs." Bitnomial is reportedly exploring new tokens for potential derivatives markets aimed at both US institutional and retail clients, though specific assets have not been disclosed. Previously, the exchange has offered US-regulated futures for various assets, including Cardano (ADA), XRP (XRP), and Aptos (APT), positioning itself as a key player in the crypto derivatives space beyond the dominant Bitcoin (BTC) and Ether (ETH). Despite its successes, Bitnomial has faced regulatory challenges, particularly with the listing of altcoin futures. In 2024, the exchange attempted to self-certify XRP futures with the CFTC, but encountered resistance from the Securities and Exchange Commission (SEC), which argued that the contracts needed to be registered as securities exchanges. After a legal tussle with the SEC that was later dropped, Bitnomial launched XRP futures in March, reflecting the evolving regulatory landscape around cryptocurrency. Tezos, known for its innovative blockchain technology, launched its mainnet in June 2018 following a successful initial coin offering in 2017 that raised approximately $232 million in Bitcoin and Ether. As one of the early adopters of proof-of-stake and formal on-chain governance, Tezos allows token holders to vote on protocol upgrades, facilitating network evolution without hard forks. During the NFT boom of 2021-2022, Tezos gained traction as a cost-effective and energy-efficient alternative to Ethereum for minting and trading non-fungible tokens. This attracted entities like Ubisoft and various artists, who were looking for lower transaction costs. Tezos also established prominent sports partnerships, including with Red Bull Racing and McLaren Racing, and was reportedly involved in a significant sponsorship deal with Manchester United. Tezos's native token, XTZ, reached an all-time high of $9.12 in October 2021 but has since declined by about 95%, trading around $0.46. Recently, on January 25, Tezos implemented the Tallinn protocol upgrade, reducing base-layer block times to six seconds, marking its 20th on-chain upgrade. This development reflects Bitnomial's ongoing efforts to expand the scope of US-regulated crypto derivatives, offering new opportunities for traders and investors.
Bitcoin Hits 15-Month Low Under $73K Amid $800M Crypto Liquidations
Bitcoin's value has plummeted to levels not seen since November 2024, as the cryptocurrency market faces a tumultuous period with over $800 million in liquidations. The drop below $73,000 marks a new 15-month low, intensifying concerns among traders and investors. Following a second dip below $73,000 after the opening of Wall Street, Bitcoin continued its downward trajectory. Data from TradingView indicated that the digital currency's price slipped below $72,500 on Bitstamp, surpassing the previous day’s lows. Across the broader market, macroeconomic assets, including precious metals, faltered. Gold, unable to maintain support at $5,000, and U.S. stocks opened in negative territory. Notably, silver experienced a dramatic decline, losing nearly $9 per ounce in just three hours, with gold prices dropping by $220 per ounce in the same timeframe. QCP Capital, in its latest market update, noted the persistent volatility in the cryptocurrency space. The company highlighted that the temporary avoidance of a U.S. government shutdown has eased some immediate market pressures. However, fiscal uncertainties loom, with homeland security funding only assured until February 13. Bitcoin traders remain cautious, bracing for possible further declines. With the $50,000 mark emerging as a potential target, market sentiment appears tense. Analyst Roman expressed concern over a potential drop towards $50,000, especially if Bitcoin closes below $74,000. High trading volumes during downturns suggest ongoing bear market conditions. Trader CJ also anticipated a further price reduction, eyeing the range between $59,000 and $65,000 as significant areas of interest, depending on whether a relief bounce occurs first. Previously, Cointelegraph identified the 200-week exponential moving average, near $68,000, as a potential support level. CoinGlass data revealed that long positions are being liquidated as prices fall, with total 24-hour crypto liquidations exceeding $800 million. As the market grapples with these challenges, traders and investors are urged to proceed with caution and conduct thorough research before making any decisions.
Negative ETH Funding Rate Challenged by US Economic Factors
Crypto enthusiasts typically consider negative funding rates as a green light for buying, but the current volatility in US earnings reports might obscure this signal's value for Ethereum investors this week. **Market Dynamics** Ethereum's value took a sharp dive, dropping 28% within a week to settle at $2,110. This decline prompted investors to pull back from riskier assets, leading to a significant blow to leveraged trading positions. Concurrently, the tech-centric Nasdaq Index dipped by 1.4%, as concerns grew over potentially inflated market valuations heavily dependent on the AI sector. Sentiment further declined after Nvidia CEO Jensen Huang dismissed rumors of a $100 billion investment in OpenAI. Following disappointing quarterly earnings from fintech leader PayPal, investors prepared for more market volatility. Meanwhile, gold and silver surged by 6% and 9% respectively, reflecting doubts about the US Federal Reserve's capacity to avert a recession. **Funding Rate Shift** On Tuesday, the annualized funding rate for ETH perpetual futures turned negative, revealing that sellers are now paying to maintain their positions. This unusual development highlights a significant lack of confidence among buyers. The debate is now centered on whether this intense market fear offers a strategic entry point, as ETH has underperformed the broader crypto market by 10% over the past month. **Comparative Market Performance** While Ether's value decreased to $2,110, forcing the liquidation of over $2 billion in bullish leveraged futures, other major cryptocurrencies experienced less severe corrections. Bitcoin fell by 17%, Binance Coin by 14%, and Tron by 4%. This disparity has heightened concerns about Ethereum's potential for further decline, with market sentiment turning increasingly bearish. **ETF and DEX Activity** Ether's price was further pressured by $447 million in net outflows from US-listed Ethereum spot ETFs over five days, signaling waning institutional demand. Despite this, companies like Bitmine Immersion, Sharplink, and The Ether Machine continue to accumulate. Traders remain cautious about potential sell-offs from the $14.4 billion held in these ETFs. Interest in decentralized applications has also diminished, causing a notable drop in ETH demand. Trading volumes on Ethereum decentralized exchanges plummeted to $52.8 billion in January from $98.9 billion in October 2025, marking a 47% decrease. This decline reduces the incentives for holding ETH, as high demand for blockchain processing typically activates the network's burn mechanism, reducing the total ETH supply. **Community and Developer Movements** Addresses linked to Ethereum co-founder Vitalik Buterin sold around $2.3 million in ETH, after allocating $45 million for donations to privacy technologies, open hardware, and secure software. Buterin has announced plans to deploy a total of 16,384 ETH from his holdings over the coming years. Overall, the current absence of demand for bullish ETH perpetual futures suggests no imminent reversal, as on-chain metrics continue to weaken and market sentiment remains cautious amidst ongoing macroeconomic uncertainties.
Nevada Sues Coinbase Over Alleged Illegal Sports Betting Operations
Nevada's regulatory body has initiated legal proceedings against Coinbase, alleging unauthorized betting activities linked to sports events. The Nevada Gaming Control Board has filed a civil suit against Coinbase Financial Markets, accusing the company of operating unlicensed sports event wagers. The lawsuit was lodged on Monday in the First Judicial District Court in Carson City, Nevada. The authorities are seeking a temporary restraining order and a preliminary injunction to halt Coinbase's operations related to a derivatives exchange and prediction market for sports betting. "Our commitment to maintaining a robust gaming industry and safeguarding Nevada's citizens is paramount," stated Mike Dreitzer, Chair of the Nevada Gaming Control Board, in a statement issued Tuesday. "This action underscores our dedication to this responsibility." This legal move follows closely on the heels of Coinbase's announcement about launching prediction markets across all 50 states in collaboration with Kalshi. Though Kalshi is regulated by the U.S. Commodity Futures Trading Commission at the federal level, state regulators like those in Nevada can still pose challenges. In a similar vein, a Nevada court recently issued a temporary restraining order against Polymarket, restricting the platform from offering event-based contracts to Nevada residents. The presiding judge cited potential "immediate" and "irreparable" harm to regulatory oversight without proper licensing. These cases involving Coinbase and Polymarket might test the CFTC's jurisdiction over platforms like Kalshi and Polymarket, especially in the absence of explicit legislative guidance. Cointelegraph reached out to a Coinbase representative for comment but has not yet received a response.
Credit Market Stress Could Signal New Bitcoin Accumulation Phase: Insights
Amid rising volatility and recent plunges in Bitcoin's value, the timing of the next accumulation phase may be influenced by current credit market stress, according to recent data. On Tuesday, Bitcoin’s price dipped below $73,000, highlighting the challenges posed by unstable US economic conditions. Tension is mounting in the credit markets, even as US debt and borrowing expenses remain high, potentially impacting Bitcoin's trajectory in the months ahead. Key Insights: - The ICE BofA US Corporate Option-Adjusted Spread is currently at 0.75, the lowest it has been since 1998. - US national debt has climbed to $38.5 trillion, while the 10-year Treasury yield stands at 4.28%. - Although Bitcoin whale inflows to exchanges have increased, the rate of on-chain profit-taking shows signs of slowing down. The ICE BofA Corporate Option-Adjusted Spread serves as a crucial indicator of macroeconomic health. This metric assesses the additional yield that investors require for holding corporate bonds over US Treasuries. Typically, wider spreads indicate stress in credit markets. Presently, these spreads are compressed, which suggests an underestimation of risk amid current economic pressures. With US debt at $38.5 trillion and the 10-year Treasury yield rebounding to 4.28%, financial conditions remain stringent. Historically, Bitcoin has reached local bottoms several months after credit spreads start to widen, as observed in 2018, 2020, and 2022. Joao Wedson, founder of Alphractal, anticipates that if liquidity continues to tighten and credit spreads increase, Bitcoin could enter an accumulation phase before broader market stress becomes apparent. In recent days, short-term Bitcoin selling has surged. Crypto analyst Amr Taha reports significant Bitcoin transfers to Binance by both whales and mid-term holders. Notably, wallets with over 1,000 BTC moved about 5,000 BTC on Monday, paralleling a similar movement seen last December. Additionally, holders from the six- to 12-month age group transferred another 5,000 BTC, marking the most substantial inflow from this demographic since early 2024. Despite this, overall selling pressure is diminishing. Data from CryptoQuant indicates a drop in the spent output profit ratio (SOPR) toward 1, the lowest in a year, as Bitcoin touched a year-to-date low of $73,900 on Tuesday. Historical trends suggest Bitcoin bottoms typically occur three to six months after credit spreads begin to widen. Rising Treasury yields may further strain credit markets, potentially pushing spreads to the 1.5%–2% range by April, opening a possible accumulation period past July 2026 and into the year's second half, as long-term seller fatigue sets in.
Tian Ruixiang Seeks Major Bitcoin Acquisition in Equity Agreement
Tian Ruixiang Holdings Ltd, a company listed on Nasdaq under the ticker TIRX, has announced plans for a significant acquisition involving Bitcoin. The company has entered into a strategic deal where an undisclosed investor will provide 15,000 Bitcoin in exchange for equity in Tian Ruixiang. With Bitcoin priced around $75,000 at the time, this contribution is valued at approximately $1.1 billion. This deal is not just about Bitcoin. It also includes a strategic partnership aimed at advancing initiatives in artificial intelligence and cryptocurrency. As part of this collaboration, an innovation lab will be established to develop AI-driven trading and risk management solutions, alongside blockchain infrastructure and decentralized applications, with a focus on layer-2 networks, DeFi, and NFTs. The identity of the investor remains a mystery, described only as a global player with significant experience in digital assets and technology markets. Details regarding the transaction's timing, custody, and settlement procedures have not been disclosed. Since its founding in 2010, Tian Ruixiang has operated primarily as an insurance brokerage in China, offering property and casualty insurance services. Following this announcement, the company's stock saw a dramatic 190% increase in early trading, boosting its market capitalization to around $9.5 million, which remains significantly lower than the value implied by the Bitcoin transaction. If this acquisition is completed, Tian Ruixiang would ascend to become one of the top holders of Bitcoin among publicly traded companies, ranking eighth worldwide. For context, U.S.-based Coinbase holds 14,548 Bitcoin, while Riot Platforms, a mining company, holds 18,005 BTC, according to BitcoinTreasuries.NET. This development follows Tian Ruixiang's earlier disclosure on January 30, indicating advanced discussions to acquire a Hong Kong-based insurance brokerage specializing in AI and crypto-enabled wealth management. The landscape for Bitcoin treasury companies is challenging, with nearly 200 publicly traded firms holding an aggregate of about 1,135,671 BTC facing recent market downturns. Strategy, which began its Bitcoin acquisition in August 2020, reports an average purchase price of $76,052 per Bitcoin, currently below market value. Similarly, Twenty One Capital, founded by Jack Mallers, holds 43,514 Bitcoin with an average acquisition cost of $87,280 each. While Bitcoin treasuries initially captured Wall Street's attention, their valuations have suffered amid broader market declines. Altan Tutar, co-founder and CEO of MoreMarkets, predicted that many digital asset treasury companies might not survive beyond 2026, particularly those focused on altcoins. Ryan Chow, co-founder of Solv Protocol, echoed this sentiment, suggesting that many will struggle in future downturns.
Trump Set to Approve Legislation to Conclude Partial U.S. Government Shutdown
In a narrow decision, the U.S. House of Representatives passed a significant funding bill on Tuesday, aiming to end a recent four-day partial government shutdown. The bill, which passed with a vote of 217 to 214, proposes a funding package totaling approximately $1.2 trillion to maintain government operations until the end of September. Although some Democrats opposed certain elements related to immigration enforcement, enough support was garnered to move the legislation forward. U.S. President Donald Trump is anticipated to sign the bill, contingent on no alterations being made to the original Senate proposal. Notably, the legislation offers the Department of Homeland Security only two weeks of funding, setting the stage for further negotiations concerning Immigration and Customs Enforcement (ICE) and Border Patrol policies. This brief shutdown was considerably shorter than the 43-day halt in operations back in 2025, which had stalled legislative progress on digital asset market structures among other initiatives. Interestingly, Bitcoin (BTC) experienced a slight increase of about 2%, reaching $74,620, following news of the House's approval. The shutdown's conclusion could also pave the way for the U.S. Bureau of Labor Statistics to release its January jobs report, initially expected to be published on Friday. This report holds the potential to influence U.S. macroeconomic strategies and market conditions by providing crucial unemployment data. Meanwhile, the Senate continues to deliberate on substantial market structure legislation. The Senate Agriculture Committee recently passed a digital asset market framework bill, marking a pivotal moment for the crypto and banking sectors. However, no amendments proposed by Democrats were adopted. The Senate Banking Committee, tasked with addressing the U.S. Securities and Exchange Commission's concerns, delayed its markup after Coinbase CEO Brian Armstrong expressed opposition to the bill in its current form. Ongoing discussions among lawmakers are reported, though no new date has been set for the markup. This legislative activity reflects the ongoing complex dialogue surrounding the regulation of digital assets.
Bitcoin Dips Below $73,000 Amid US Stock Market Volatility: Analyst Views as Normal
Bitcoin's value took a dive below $73,000 on Tuesday, aligning with a significant sell-off in US stock markets, driven by investor unease over upcoming corporate earnings. The cryptocurrency hit a fresh low for 2026 at $72,945, unable to maintain the $80,000 support level. This year, Bitcoin is down 15%, with its value nearly 45% lower than its peak of $126,267, prompting concerns about the potential end of its bull cycle. The turbulence in the stock market is believed to be affecting the crypto sector. Investors are questioning the sustainability of costs linked to AI infrastructure and the high valuations in the tech sector since the end of the fourth quarter of 2025. There's a growing fear that revenues might not meet expectations, affecting major stocks like the Magnificent 7, S&P 500, DOW, and NASDAQ, which saw declines ranging from 0.70% to 1.77%. Notably, NVIDIA and Microsoft shares fell by 3.4% and 2.7%, respectively, with Amazon also experiencing a 2.7% drop. Over 100 companies within the S&P 500 are poised to release their earnings this week, adding to the market's volatility. This situation could be an early indication of broader investor anxiety or a preview of the market's reaction to forthcoming earnings reports. In the crypto landscape, leveraged positions are being liquidated, intensifying the sell-off. Bitcoin saw $127.25 million in long positions forcibly closed, while Ethereum experienced $159.1 million in similar liquidations. Despite some analysts viewing Bitcoin's current price as a bargain, buying from both retail and institutional investors has not significantly curbed the decline. Joe Burnett, Vice President of Bitcoin Strategy at Strive, suggests that Bitcoin's present price action remains within historical volatility norms at $74,000, indicating that the 45% drawdown is typical of an asset in a rapidly monetizing state. If selling persists, data from TRDR.io indicates that bids are accumulating between $71,800 and $63,000, though the decision of traders to buy within this range remains uncertain. The broader economic and stock market outcomes are likely to continue influencing Bitcoin's price trajectory.
Galaxy Digital Posts $482 Million Loss in Q4 2025 Amid Crypto Market Challenges
Galaxy Digital, a leading firm in digital assets and AI infrastructure, revealed substantial financial setbacks in 2025. The company reported a net loss of $241 million for the year, with a staggering $482 million deficit in the fourth quarter alone. This downturn was attributed primarily to declining digital asset prices and approximately $160 million in one-time expenses. In a detailed financial statement released on Tuesday, Galaxy Digital explained that the significant losses in Q4 2025 were largely due to the depreciation of cryptocurrency values during the period. Bitcoin (BTC), a key market indicator, saw its price fall by roughly 20% in the fourth quarter. Michael Novogratz, Galaxy Digital's CEO, addressed investors during a shareholder update call on Tuesday. He remarked on the ongoing bear market affecting major cryptocurrencies like Bitcoin, Ethereum, and Solana. Novogratz noted, "We’re likely at the lower end of the Bitcoin price range. Anyone who has been involved in crypto for over five years knows that enduring tough times is part of this industry's nature. Often, when conditions seem dire, it's a moment to focus, prepare, and consider investing." Despite these setbacks, Galaxy Digital reported an adjusted gross profit of $426 million for the full year of 2025. The company concluded the year with $2.6 billion in cash and stablecoins. Additionally, it managed $12 billion in total platform assets and received $2 billion in net inflows for its asset management division. In a strategic move announced in August, Galaxy Digital is advancing its plans to establish an artificial intelligence data center in Texas. They secured approval from the Electric Reliability Council of Texas in January for an additional 830 megawatts of power capacity, increasing the facility's total approved capacity to over 1.6 gigawatts. On the Nasdaq, Galaxy's shares (GLXY) experienced a 15% drop, trading at $22.48 as of Tuesday. Meanwhile, other companies in the cryptocurrency sector reported financial gains in the same quarter. SoFi Technologies, a fintech enterprise enabling cryptocurrency transactions, disclosed a fourth-quarter revenue of $1 billion. Securitize Holdings, a tokenization firm, saw its revenues surge by over 840% through September 2025, amid plans for an initial public offering. Galaxy Digital's financial challenges underscore the volatility inherent in the digital asset market, yet their ongoing infrastructure investments signal a commitment to long-term growth and innovation.
VistaShares Debuts Treasury ETF with Bitcoin Options Exposure
VistaShares has introduced BTYB, a new exchange-traded fund (ETF) now trading on the New York Stock Exchange. This actively managed ETF predominantly invests in U.S. Treasury securities while employing options strategies to offer investors exposure to Bitcoin price movements along with generating weekly income. The announcement made on Tuesday reveals that about 80% of the fund's portfolio consists of U.S. Treasury assets, with the remaining 20% providing Bitcoin exposure through a synthetic covered call approach. Specifically, BTYB utilizes call options on BlackRock’s iShares Bitcoin Trust (IBIT) to achieve its Bitcoin-linked exposure. A synthetic covered call strategy involves using derivatives to simulate Bitcoin price exposure and selling call options to earn income, rather than directly holding Bitcoin. This method allows BTYB to offer increased income potential through options premiums, albeit with limited upside potential, as it does not track the spot price of Bitcoin. VistaShares, known for its actively managed funds that leverage options strategies and thematic investments, aims for the ETF to yield about twice the return of five-year Treasuries. However, these distributions are subject to change based on market conditions and interest rates. The launch of BTYB reflects a broader trend among ETF issuers in the U.S., who are venturing beyond single-asset crypto products. This expansion includes ETFs that combine Bitcoin with other assets or crypto baskets, showcasing innovative approaches in the sector. In recent developments, the U.S. Securities and Exchange Commission approved two spot crypto index ETFs. These include Hashdex’s Nasdaq Crypto Index US ETF and Franklin Templeton’s Franklin Crypto Index ETF, both incorporating spot Bitcoin and Ether and tracking associated crypto index benchmarks. Furthermore, Bitwise Asset Management recently launched the Bitwise Proficio Currency Debasement ETF, which includes Bitcoin, precious metals, and mining equities, aiming to counteract fiat currency devaluation. ETFs that cover a wider array of cryptocurrencies are gaining popularity. For instance, Hashdex has expanded its Crypto Index US ETF to include XRP, Solana, and Stellar, alongside Bitcoin and Ether. Meanwhile, 21Shares has introduced two U.S.-regulated cryptocurrency index ETFs, which track FTSE Russell indexes and encompass a range of large-cap digital assets. These developments highlight the evolving landscape of crypto-related ETFs, as issuers continue to innovate and diversify their offerings in response to market demands.
Spain Plans to Restrict Social Media Access for Under-16s, Following UK Lead
Spain is set to introduce significant changes to social media regulations, as announced by Prime Minister Pedro Sánchez. Starting next week, the country plans to prohibit children under 16 from accessing social media platforms. This move echoes recent discussions in the UK about implementing similar age restrictions. During his speech at the World Governments Summit in Dubai, Sánchez emphasized the need for platforms to establish effective age-verification systems. The aim is to shield minors from what he described as the "digital Wild West," which exposes them to potential harm such as addiction, abuse, and manipulation. To enforce these measures, Sánchez indicated that platform executives could face criminal charges if they fail to remove illegal or harmful content. "Our children are navigating a space they were never meant to explore alone," Sánchez stated. "We have a duty to protect them from the dangers of the digital age." The upcoming regulations are part of a broader initiative to combat disinformation on social media. This includes probing into the operations of platforms like Elon Musk's Grok, Instagram, and TikTok for their role in algorithmic manipulation and the spread of misinformation. This announcement closely follows the UK Prime Minister Keir Starmer's willingness to consider a similar ban on social media for minors. Additionally, Australia has already enacted laws requiring platforms to restrict access for those under 16. In the context of cryptocurrency, Spain is navigating the transition to the Markets in Crypto Assets (MiCA) framework, which was adopted by the European Union in 2023. This regulatory framework mandates that crypto companies comply with new standards by June 30, 2024, or cease their operations in the EU. Spain's national securities regulator has provided guidance on authorizations and compliance for crypto firms as part of this transition.
ISM Manufacturing Index Hits 40-Month Peak: Potential Upside for Bitcoin, Say Experts
Recent data reveals the Institute for Supply Management's (ISM) Manufacturing Purchasing Managers' Index (PMI) has soared to its highest point since August 2022, sparking optimism among cryptocurrency analysts regarding Bitcoin's future. As Bitcoin currently trades at $78,000, the PMI reached a score of 52.6 in January, surpassing the anticipated 48.5 and breaking a 26-month streak of economic contraction, according to ISM's report on Monday. The PMI is a crucial indicator for investors and the Federal Reserve, reflecting economic vitality, inflationary pressures, and guiding monetary policy decisions. Scores above 50 suggest economic expansion, while those below indicate contraction. The last time the index exceeded 52.6 was in August 2022. Bitcoin analysts are optimistic that this robust ISM reading could signal a recovery for Bitcoin, which recently hit a 10-month low of $75,442. Historical trends show a correlation between the manufacturing index's fluctuations and Bitcoin's price movements from mid-2020 through 2023. Joe Burnett, Vice President of Bitcoin Strategy at Strive, noted how past increases in the manufacturing index in 2013, 2016, and 2020 have often coincided with Bitcoin rallies. Plan C, a pseudonymous Bitcoin analyst, advised investors to broaden their perspective beyond the traditional 4-year halving mindset to include macroeconomic cycles, to fully capitalize on Bitcoin's potential bull market. However, Benjamin Cowen, founder and CEO of Into The Cryptoverse, cautioned that Bitcoin doesn't always align with the manufacturing index, stating, "Bitcoin is not the economy." He highlighted instances where the ISM index was stagnant or declining while Bitcoin surged to its $126,080 peak. Bitcoin's future remains uncertain, with its price having fluctuated significantly since the October 10 market upheaval that saw over $19 billion in leveraged crypto positions wiped out. Despite its current dip of nearly 38% from its October high, projections for Bitcoin's trajectory in 2026 vary widely. Dragonfly, a crypto venture capital firm, predicts Bitcoin could surpass $150,000 by the end of 2026. Meanwhile, Fundstrat's Tom Lee suggests Bitcoin may see further declines before rebounding to new highs. Conversely, Galaxy Digital refrained from making a specific prediction, citing the unpredictable nature of the market, with estimates ranging from $50,000 to $250,000. As the market navigates these complexities, the potential influence of economic indicators like the ISM PMI on Bitcoin remains a subject of considerable interest among investors.
Bitcoin's Value Plummets Amid Capital Outflows, Signaling a 'Fire-Sale': Bitwise Report
Bitcoin has recently shown signs of being significantly undervalued as substantial capital outflows accompany its sharp decline below $75,000. Historical data now suggests a potential for a 10% rebound in the near term. On Monday, Bitcoin's price dropped to a year-to-date low of $74,555, reflecting a 40% decrease from its peak. This downturn was paralleled by $1.3 billion in net outflows from global Bitcoin exchange-traded products (ETPs) over the past week. The decline was marked by a strong bearish sentiment and low valuation metrics, yet analysts hint at a possible asymmetric trade opportunity on the horizon. Key insights include Bitcoin's two-year rolling Market-Value-to-Realized-Value (MVRV) z-score, which has hit a historic low, indicating extreme undervaluation. Last week, global Bitcoin ETPs experienced $1.35 billion in net outflows, primarily driven by $1.49 billion from US spot exchange-traded funds (ETFs). Bitcoin’s daily Relative Strength Index (RSI) fell into the 20 to 25 range, a zone that has historically been followed by a 10% rebound since August 2023. Bitwise's Weekly Crypto Market Compass report highlights the 'fire-sale' valuations for Bitcoin, with its MVRV z-score reaching unprecedented lows. This metric assesses how much Bitcoin’s market value diverges from the total cost basis of investors, adjusted for historical volatility. Additionally, Bitwise’s Cryptoasset Sentiment Index fell to levels last observed during the October 2023 market crash, with only 2 out of 15 indicators remaining above their short-term trends. The capital outflows underscore the bearish sentiment, with global crypto ETPs recording $1.73 billion in net outflows last week, following $1.81 billion the previous week. Notably, Bitcoin products accounted for $1.35 billion of this, with significant withdrawals from the Grayscale Bitcoin Trust and the iShares Bitcoin Trust, amounting to $119 million and $947 million, respectively. Bitcoin seems poised for a short-term recovery after reaching a local low near $74,500. The daily RSI dropped into the 20 to 25 range, a pattern that has historically preceded a 10% price rebound since August 2023, with the exception of June 2024. Current data supports the possibility of a rebound, with the spot cumulative volume delta (CVD) on Binance and Coinbase turning positive as Bitcoin prices climbed toward $79,300. This increase in spot CVD indicates net aggressive buying, while stable open interest and negative aggregated funding rates suggest the movement is driven by spot demand rather than leveraged longs, lowering immediate liquidation risks. Last week, Bitcoin long liquidations amounted to over $1.8 billion, aligning with the view that liquidity is now skewed towards the upside. Over $3 billion in cumulative short positions are at risk of liquidation if prices near $85,000. Crypto trader 'exitpump' noted a bullish spot CVD divergence across major exchanges, reinforcing this setup.
White House Engages with Crypto and Banking Leaders on Stablecoin Discussions
In a significant development, officials from the White House met with representatives from the cryptocurrency and banking sectors to deliberate on the role of stablecoins within a proposed market structure bill currently being reviewed in the Senate. This meeting occurred shortly after the Senate Banking Committee delayed a markup of the CLARITY Act, underscoring ongoing collaborative efforts to refine the legislation. The Digital Chamber, a leading crypto advocacy group, disclosed that its CEO, Cody Carbone, along with other key figures, participated in this meeting at the White House. The focus was on the Digital Asset Market Clarity (CLARITY) Act, which had its markup postponed by the Senate Banking Committee earlier in the year. Key topics under discussion included the regulation of tokenized equities, decentralized finance, ethical guidelines for officials investing in cryptocurrencies, and the management of stablecoin incentives. Cody Carbone expressed optimism following the meeting, stating, "Today's discussions at the White House are a crucial step towards resolving one of the main obstacles hindering progress on market structure legislation. We are hopeful that as we delve deeper into policy specifics, a fair competitive environment for digital assets in the U.S. can be established." Patrick Witt, a White House advisor on cryptocurrency, described the meeting as "constructive" and "focused on solutions," expressing confidence in reaching a resolution soon. Attendees included members from the Crypto Council for Innovation, the American Bankers Association, and the Blockchain Association. This meeting coincided with a partial U.S. government shutdown, now in its third day, due to a legislative deadlock over a funding bill. The impasse is partly due to disputes over immigration enforcement policies, a point of contention for many Democrats following recent actions by Immigration and Customs Enforcement (ICE) and Border Patrol in various U.S. cities. Progress on market structure continues in the Senate, where the Agriculture Committee recently passed its version of the bill without Democratic support, citing concerns over elected officials holding digital assets. The Senate Banking Committee and the Agriculture Committee will need to reconcile their respective bills before the full Senate can conduct a floor vote. This ongoing dialogue reflects a broader commitment to developing a clear regulatory framework for digital assets in the United States, aiming to balance innovation with investor protection.
Why Bitcoin's $75K Could Mark the 2026 Price Floor: Four Key Reasons
Recent data suggests Bitcoin's price may have hit its lowest point for 2026, settling around $75,000. Despite a drop to $74,680 due to futures market liquidations, the cryptocurrency shows signs of stability. Here are four reasons why Bitcoin might maintain this price point. Bitcoin's decline to $74,680 followed the liquidation of $1.8 billion in leveraged bullish positions since a market downturn the previous Thursday. Investors have shifted to cash and short-term government bonds, particularly after a sharp decline in silver prices. This cautious approach was reinforced by concerns about tech sector valuations. Despite fears of further declines, especially as gold strengthens as a secure asset, four indicators suggest that Bitcoin could hold steady above $75,000 through 2026. Macroeconomic risks have decreased, and market analysts may be exaggerating the impact of recent Bitcoin outflows and derivatives. On the financial front, the yield on US 2-year Treasuries held at 3.54% on Monday, showing stability. A significant increase in demand for US government securities would have likely driven yields below 3.45%, as seen during the 2025 US government funding shutdown. Meanwhile, the S&P 500 index remained just 0.4% shy of its peak, reflecting optimism about resolving the latest US government partial shutdown. In the tech sector, anxiety around AI investments has lessened. Oracle's announcement of plans to raise $50 billion in debt and equity during 2026 has reassured investors, following concerns about its aggressive AI expansion. This has contributed to maintaining resilience in Bitcoin derivatives markets. Despite a 40.8% drop from its October 2025 peak, Bitcoin derivatives indicate that professional traders are not overly bearish. The Bitcoin futures annualized premium was at 3%, suggesting moderate demand for bullish positions. Typically, this figure ranges from 5% to 10% under normal conditions. Furthermore, BTC derivatives markets remain stable, with total futures open interest at $40 billion, a 10% decrease over the past month. Concerns arose as spot Bitcoin ETFs saw $3.2 billion in net outflows since January 16. However, this amount is less than 3% of the ETF's total assets under management. Speculation affected Strategy (MSTR US) shares, which traded below net asset value, but the company reassured investors with $1.44 billion in cash reserves announced in December 2025, enough to meet its financial obligations. While Bitcoin's price may face pressure as traders seek reasons for the recent sell-off, several indicators support the belief that the $75,000 level could hold firm.
Wrench Attacks Surge 75% in 2025, Inflicting $41 Million in Losses: CertiK Report
Physical assaults on cryptocurrency holders, known as "wrench attacks," have risen sharply by 75% in 2025, leading to significant financial losses. Blockchain security firm CertiK has highlighted this alarming trend, noting that these attacks have become a major threat within the crypto ecosystem. CertiK's recent report reveals that there were 72 verified physical attacks on crypto users worldwide in 2025. This represents a substantial increase from the previous year, 2024. The report emphasizes that these incidents are no longer rare, as the frequency of physical assaults and kidnappings has surged. The report further explains that beyond the financial damage, the psychological and reputational impacts are causing notable shifts in behavior within the industry. Many crypto founders and wealthy individuals are opting for greater anonymity and considering relocating to mitigate these risks. According to CertiK, the financial toll of these attacks in 2025 amounted to $40.9 million. However, the actual figure could be higher due to factors such as under-reporting, discreet settlements, and untraceable ransom payments. France emerged as the country with the highest number of recorded incidents, with 19 attacks, while Europe accounted for about 40% of the global total. Among the most notorious cases in 2025 was the kidnapping of Ledger co-founder David Balland and his wife, Amandine, in January, along with an Italian crypto enthusiast who was reportedly kidnapped and tortured in New York City in May. Alena Vranova, founder of SatoshiLabs, remarked in August that such incidents occur weekly worldwide, with crypto holders facing kidnapping, torture, and sometimes worse outcomes. She noted instances where people were targeted for as little as $6,000 or as much as $50,000 in cryptocurrency. In response to this growing threat, experts suggest developing "panic wallets," which could provide emergency assistance, erase balances under duress, or deploy decoy transactions to protect users. Additionally, it is advised that crypto holders refrain from publicly discussing their wealth or holdings to reduce risk exposure.
ParaFi Capital Commits $35 Million to Solana's Jupiter Platform
ParaFi Capital has made a strategic investment of $35 million in Jupiter, a prominent Solana-based trading and liquidity protocol. This marks the first instance of Jupiter accepting external capital, following years of self-sustained, profitable growth. The investment was executed through market-priced token purchases, with no discounts, and extended lockup periods, fully settled in Jupiter's JupUSD stablecoin. This financial boost arrives as Jupiter reports over $1 trillion in trading volume within the past year and its expansion into areas like perpetuals, lending, and stablecoins. As part of the deal, ParaFi Capital also received warrants to purchase additional tokens at premium prices, underscoring a commitment to long-term collaboration. Jupiter's recent innovations include a beta version of an onchain prediction market launched in partnership with Kalshi and the introduction of JupUSD, a Solana-native stablecoin developed with Ethena Labs. CoinGecko data indicates that Jupiter's native token, JUP, has risen by approximately 9% in the last day. The move aligns with a broader trend of venture capital investments in decentralized protocols. Notably, in October, a16z Crypto invested $50 million in Jito, another Solana-based protocol, while Babylon raised $15 million for its Bitcoin-native staking and lending platform. These investments reflect the growing interest in decentralized finance and related sectors. Beyond finance, decentralized platforms in other domains are also attracting attention. For instance, Bio Protocol secured $6.9 million for its AI-native biomedical research framework, and Humanity Protocol raised $20 million to advance its blockchain-based identity system. This influx of capital highlights the burgeoning interest in decentralized technologies, with venture firms eager to support innovation across the blockchain ecosystem.