4 key Bitcoin metrics suggest $80K BTC price is a discount
Bitcoin (BTC) price dropped from $87,241 to $81,331 between March 28 and March 31, erasing gains from the previous 17 days. The 6.8% correction liquidated $230 million in bullish BTC futures positions and largely followed the declining momentum in the US stock market, as the S&P 500 futures fell to their lowest levels since March 14.Despite struggling to hold above $82,000 on March 31, four key indicators point to strong investor confidence and potential signs of Bitcoin decoupling from traditional markets in the near future.S&P 500 index futures (left) vs. Bitcoin/USD (right). Source: TradingView / CointelegraphTraders fear the global trade war’s impact on economic growth, especially after the March 26 announcement of a 25% US tariff on foreign-made vehicles. According to Yahoo News, Goldman Sachs strategists cut the firm’s year-end S&P 500 target for the second time, lowering it from 6,200 to 5,700. Similarly, Barclays analysts reduced their forecast from 6,600 to 5,900.Regardless of the reasons behind investors’ heightened risk perception, gold surged to a record high above $3,100 on March 31. The $21 trillion asset is widely considered the ultimate hedge, especially when traders prioritize alternatives over cash. Meanwhile, the US dollar has weakened against a basket of foreign currencies, with the DXY index dropping to 104.10 from 107.60 in February.Bitcoin metrics show strength, while long-term investors are unfazedBitcoin’s narratives of being “digital gold” and an “uncorrelated asset” are being questioned, despite a 36% gain over 6 months while the S&P 500 index fell 3.5% during the same period. Several Bitcoin metrics continued to show strength, indicating that long-term investors remain unfazed by the temporary correlation as central banks pivot to expansionist measures to prevent an economic crisis.Bitcoin's mining hashrate, which measures the computing power behind the network’s block validation mechanism, reached an all-time high. Bitcoin mining estimated 7-day average hashrate, TH/s. Source: Blockchain.comThe 7-day hashrate reached a peak of 856.2 million terahashes per second on March 28, up from 798.8 million in February. Hence, there are no signs of panic selling from miners, as shown by the flow of known entities to exchanges.In the past, BTC price downturns were associated with periods of FUD regarding the “death spiral,” where miners were forced to sell when becoming unprofitable. Additionally, the 7-day average of net transfers from miners to exchanges on March 30 stood at BTC 125, according to Glassnode data, much lower than the BTC 450 mined per day. Bitcoin 7-day average net transfer volume from/to miners, BTC. Source: GlassnodeBitcoin miner MARA Holdings filed a prospectus on March 28 to sell up to $2 billion in stocks to expand its BTC reserves and for “general corporate purposes.” This move follows GameStop (GME), the US-listed videogame company, which filed a $1.3 billion convertible debt offering plan on March 26 while updating its reserve investment strategy to include potential Bitcoin and stablecoin acquisitions.Related: Trump sons back new Bitcoin mining venture with Hut 8Crypto exchange reserves dropCryptocurrency exchanges’ reserves dropped to their lowest levels in over 6 years on March 30, reaching BTC 2.64 million, according to Glassnode data. The reduced number of coins available for immediate trading typically indicates that investors are more inclined to hold, which is particularly significant as Bitcoin’s price declined 5.1% in 7 days. Lastly, near-zero net outflows in US spot Bitcoin exchange-traded funds (ETFs) between March 27 and March 28 signal confidence from institutional investors.In short, Bitcoin investors remain confident due to the record-high mining hashrate, corporate adoption, and 6-year low exchange reserves, which signal long-term holding.This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
VC Roundup: 8-figure funding deals suggest crypto bull market far from over
Venture capital funding continued to pour into the blockchain and cryptocurrency industry in March, even as market commentators sensationalized the end of the bull market amid Bitcoin’s 30% retracement. VC flows are considered a vital sign for the blockchain industry, with higher deal activity indicative of strong investor appetite and growing innovation in the space. As Cointelegraph reported, blockchain startups raised a combined $1.1 billion in February alone, with projects spanning decentralized finance, decentralized physical infrastructure networks and payments attracting the lion’s share of capital flows. Despite fear and trepidation in the crypto market, February was a strong month for blockchain VC. Source: The TIEEarly signs suggest that March was arguably a stronger month for crypto VC deals, as evidenced by the growing size of the investment rounds and the number of investors participating. Eight deals are featured in this month’s VC Roundup — and seven of them were valued in the eight-figure range. Related: VC Roundup: Investors continue to back DePIN, Web3 gaming, layer-1 RWAsAcross Protocol raises $41M via token saleAcross Protocol, an Ethereum crosschain interoperability platform, raised $41 million in a token sale that was led by San Francisco-based venture firm Paradigm. Coinbase Ventures, Bain Capital Crypto and Multicoin Capital also participated in the token sale round.Across Protocol is expanding Ethereum layer-2 connectivity through so-called “intents,” an architecture approach that decouples asset transfers and message verification.Across Protocol (ACX) price chart. Source: CoinMarketCap“The urgent tasks — moving assets and fulfilling the intent — are carried out immediately by a relayer [...] while the time-consuming message verification is done afterward,” wrote Aiden Park, an engineer and technical writer, in an explanatory note on intents. “This approach enables Across to send messages cheaply, quickly, and securely, setting it apart from other message-passing protocols,” he said.Related: Greedy L2s are the reason ETH is a ‘completely dead’ investment: VCRibbit Capital leads $23.6M Crossmint raiseEnterprise Web3 company Crossmint has closed a $23.6 million funding round to scale its onchain onboarding technology, which is designed to help companies and AI agents embrace Web3 without needing blockchain expertise. The funding round was led by San Francisco-based venture firm Ribbit Capital. According to Crossmint co-founder Rodri Fernandez, the platform provides low-code APIs for a variety of blockchain functions, including wallets, stablecoins, tokenization and credentials. The announcement also claimed that more than 40,000 companies and developers are now using Crossmint across more than 40 blockchains. Financial app Abound gets backing from Near Foundation, Circle VenturesNew York-based remittance app Abound has closed a $14 million funding round led by Near Foundation, with participation from Circle Ventures. The Abound app has been designed to bridge the remittance gap between India and its vast diaspora of citizens in the United States. The app claims to have processed more than $150 million in remittances.Abound was developed by the Times of India Group, a Mumbai-based media company. Although it’s not entirely clear how blockchain technology and digital assets factor into Abound’s service offerings, if at all, participation from Near and Circle Ventures suggests that blockchain-focused companies are increasingly focused on cross-border payments and remittance services. Source: Near ProtocolChronicle closes seed roundChronicle, an Ethereum Oracle and tokenization infrastructure provider, raised $12 million in seed funding led by Strobe Ventures, formerly known as BlockTower Venture Capital. Additional investors included Galaxy Vision Hill, Brevan Howard Digital, Tioga Capital, Fenbushi Capital, Gnosis Ventures, 6th Man Ventures and several angel investors. Chronicle connects protocol developers to real-time data feeds, which are essential for DeFi and real-world asset (RWA) tokenization ecosystems. The company cited growing institutional interest in RWA tokenization as one of the reasons for its early success in raising capital.Related: Tokenized real estate trading platform launches on PolygonDeFi-yielding stablecoin Level debuts with $2.6M in fundingIn March, blockchain developer Peregrin Exploration debuted the Level USD stablecoin with $2.6 million in backing from Dragonfly Capital, Polychain, Flowdesk and others. Level USD is a yield-bearing stablecoin that issues digital dollars collateralized by restaked stablecoins. The stablecoin’s market capitalization has grown significantly since its launch, reaching $116 million at the time of writing. Level USD is integrated with several DeFi protocols, including Pendle, LayerZero and Specta. It can also be used as collateral on noncustodial lending platform Morpho.Demand for dollar-backed digital tokens has surged over the past two years, with the total stablecoin market approaching $230 billion. Source: RWA.xyzRelated: VC Roundup: Bitcoin RWA, BNB incubator, Web3 gaming secure fundingHalliday raises $20M for Agentic Workflow ProtocolNo-code blockchain developer Halliday has closed a $20 million Series A funding round to scale its Agentic Workflow Protocol (AWP) — an AI tool that helps developers build DeFi applications without the need to write smart contracts. The funding round was led by a16z Crypto, with additional participation from SV Angel, the Avalanche Blizzard Fund, Credibly Neutral, Alt Layer and other angel investors. Through AWP, blockchain companies can “build applications in hours, not years,” Halliday said in its announcement. Halliday’s programming model handles all the technical aspects of blockchain development and execution, which can theoretically enable companies to scale their products faster. AI-driven Validation Cloud closes $15M Series AValidation Cloud, a company at the intersection of artificial intelligence and blockchain infrastructure, has closed a $15 million Series A investment round backed by True Global Ventures. Additional investors include Cadenza, Blockchain Founders Fund, Bloccelerate and others. The funding will be used to expand Validation Cloud’s Web3 infrastructure solutions, including staking, node API and data offerings. Validation Cloud provides access to blockchain data and offers node and staking solutions to institutions. Its technology is used by Hedera, Aptos, Stellar, EigenLayer, Polygon and others. Skytale Digital debuts $20M Polkadot Ecosystem FundBlockchain investment firm Skytale Digital has launched the Polkadot Ecosystem Fund, earmarking $20 million to further develop the so-called “network of networks.” The fund combines financial support, technical expertise and mentorship to help Web3 developers expand their product offerings in the Polkadot ecosystem. Specifically, the fund is targeting decentralized applications and critical infrastructure projects. Source: Cryptking.ethPolkadot is the 20th largest blockchain network, with a total market capitalization of around $7.3 billion, according to CoinMarketCap. Related: Crypto Biz: GameStop takes the orange pill
Bitcoin whale accumulation trend mirrors 2020-era bullish activity after BTC price bounces off $81K
Bitcoin (BTC) price dipped below its ascending channel pattern over the weekend, dropping to $81,222 on March 31. The top cryptocurrency is set to register its worst quarterly return since 2018, but a group of whale entities are mirroring a 2020-era bull run signal. Bitcoin 1-day chart. Source: Cointelegraph/TradingViewIn a recent quick take post, onchain analyst Mignolet explained that “market-leading” whale addresses holding between 1,000 to 10,000 BTC exhibited a high correlation with Bitcoin price. The analyst said that these entities are resilient to market volatility and show accumulation behavior, mirroring patterns of the 2020 bull cycle.Bitcoin whale accumulation analysis. Source: CryptoQuantIn the current bull market, this distinct pattern emerged three times and is marked by Bitcoin whales’ rapid BTC accumulation, even as retail investors doubted a positive directional bias. These periods were riddled with bearish market sentiment and preceded substantial price surges, suggesting that whales were positioning themselves ahead of the recovery. While BTC currently exhibited a price decline, the analyst said, “There are no signs yet that the market-leading whales are exiting.”As shown in the chart above, “Pattern No. 3” witnessed a similar rate of accumulation, but BTC price remained sideways. Related: Bitcoin trader issues’ overbought' warning as BTC price eyes $84KCan Bitcoin flip $84,000 after the CME gap?As the New York trading session started on March 31, BTC rallied to close the CME futures gap that formed over the weekend. The CME gap highlights the difference between the closing price of the BTC futures on Friday and the opening price on Sunday evening. Bitcoin CME gap analysis. Source: Cointelegraph/TradingViewWhile Bitcoin started this week out on a bullish tip, there are a handful of US economic events that could have an impact on the price. April. 1, JOLTS Job Openings: A metric reflecting labor market demand; a decline might signal weakness.April 2, US tariff rollout: termed “Liberation Day,” with 20% and larger tariffs coming on for up to 25 countries. April 4, Non-farm payrolls (NFP), Unemployment rate and Federal Reserve Chair Jerome Powell’s speech.Bitcoin 4-hour chart. Source: Cointelegraph/TradingViewBTC’s immediate point of interest is to flip the $84,000 level into support for a bullish continuation. Reclaiming $84,000 could push BTC prices above the 50-day exponential moving average, which might bolster a short-term rally to the supply zone between $86,700 and $88,700. On the contrary, prolonged consolidation under $84,000 strengthens its resistance characteristics, which might eventually lead to further corrections to downside liquidity areas in the $78,200 to $76,560 zone. Related: Bitcoin’s ‘digital gold’ claim challenged as traders move into bonds and gold hits new highsThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
‘Dire consequences’ if Musk accesses SEC — US lawmaker
The top Democrat on the US House Financial Services Committee issued a warning after reports suggested that Tesla CEO Elon Musk’s “government efficiency” team would be given access to data and systems at the Securities and Exchange Commission (SEC).In a March 31 notice, Representative Maxine Waters reiterated a warning from a letter she sent to acting SEC Chair Mark Uyeda in February in response to the Musk-led Department of Government Efficiency’s reported access to sensitive SEC information. DOGE is an advisory body to US President Donald Trump rather than an official department established by Congress. According to the California lawmaker, giving Musk such access would have “dire consequences” for US investors and present conflicts of interest.“[...] as a result of this takeover, the agency is at greater risk of data breaches and market disruptions, both of which could result in investors, including retirees, losing their hard-earning savings,” said Waters, adding: “Not only that, Musk, who has been the subject of repeated SEC enforcement actions for breaking securities laws and regulations, can benefit his own businesses and harm his competitors by using his access to confidential business information and his influence over the agency’s operations.”Waters’ warning followed multiple reports suggesting that Musk’s DOGE team contacted the SEC and would be given access to the commission’s systems and data. Since joining the Trump administration as a “special government employee,” Musk has spearheaded efforts to fire staff at multiple government agencies, including the US Agency for International Development (USAID) and the watchdog Consumer Financial Protection Bureau (CFPB). Many of DOGE’s actions face lawsuits in federal court from parties alleging the group’s actions were illegal or unconstitutional.Related: Can the law keep up with Musk and DOGE?As one of the major US financial regulators, the SEC is responsible for oversight and regulation of many aspects of the cryptocurrency industry, including whether many tokens qualify as securities. Under Uyeda and US President Donald Trump, the commission has dropped several lawsuits alleging violations of securities laws against crypto firms since January.‘Cost-cutting’ strategy at SEC?It’s unclear whether the DOGE team intends to “purge” the SEC of employees Musk considers not loyal to the Trump administration, as has been implied in some lawsuits involving firings at other government agencies. Cointelegraph contacted acting chair Uyeda and SEC Commissioner Caroline Crenshaw for comment but did not receive a response by the time of publication.DOGE’s reported infiltration of the SEC comes as the US Senate Banking Committee is expected to vote on whether to advance the nomination of Paul Atkins, Trump’s pick to chair the agency. At his March 27 confirmation hearing, Atkins said he would “definitely” be willing to work with DOGE if confirmed. Democratic lawmakers at the hearing questioned Atkins’ potential conflicts of interest with the crypto industry.Magazine: SEC’s U-turn on crypto leaves key questions unanswered
Bitcoin (BTC) fell 4.29% last week, but the bulls started a recovery by pushing the price back above $83,500 on March 31. However, traders are likely to remain on edge until April 2, when new US trade tariffs are set to kick in. The event could trigger a sharp, knee-jerk reaction on either side of the market.Traders remain cautious in the near term, but a minor positive is that lower levels are attracting buyers. Cryptocurrency exchange-traded products (ETPs) witnessed modest inflows of $226 million last week, CoinShares reported on March 31. Daily cryptocurrency market performance. Source: Coin360Strategy took advantage of the pullback in Bitcoin by adding 22,048 Bitcoin for $1.92 billion at an average price of $86,969. After the latest purchase, the company holds 528,185 Bitcoin bought for roughly $35.63 billion.Could Bitcoin break above the stiff overhead resistance, pulling select altcoins higher? Let’s analyze the charts to find out.S&P 500 Index price analysisThe S&P 500 Index (SPX) broke above the 20-day exponential moving average (5,706) on March 24, but that proved to be a bull trap.SPX daily chart. Source: Cointelegraph/TradingViewThe price turned down sharply on March 26 and broke below the 5,600 support. Both moving averages are sloping down, and the relative strength index (RSI) is in the negative territory, indicating an advantage to sellers. There is solid support at 5,500, but if the level breaks down, the index could tumble to 5,400 and subsequently to 5,100.This negative view will be invalidated if the price turns up from the current level and breaks above 5,800. Such a move suggests that the index may have bottomed out in the near term.US Dollar Index price analysisThe US Dollar Index (DXY) has been trading below the 20-day EMA (104.46), indicating that the sentiment remains negative.DXY daily chart. Source: Cointelegraph/TradingViewThe bears will try to sink the index to 103.37, which is a critical level to watch out for. Buyers are expected to defend the 103.37 level with all their might because if they fail in their endeavor, the index could plunge to 101.Contrarily, a break and close above the 20-day EMA suggests that the bulls are trying to make a comeback. The index may rise to 105.42 and then to the 50-day simple moving average (106.09).Bitcoin price analysisBitcoin remains under pressure as bears are trying to sink the price to the critical support at $80,000. A minor positive in favor of the bulls is that they are attempting to arrest the decline at $81,100.BTC/USDT daily chart. Source: Cointelegraph/TradingViewThe bulls will try to push the price to the resistance line, which is likely to attract strong selling by the bears. If the price turns down from the resistance line, the likelihood of a break below $80,000 increases. The BTC/USDT pair could slump to $76,606 and eventually to $73,777.On the contrary, a break and close above the resistance line suggests that the bears are losing their grip. The pair could pick up momentum above $89,000 and rally toward $95,000.Ether price analysisEther (ETH) has reached the vital support at $1,754, from where the bulls are trying to start a relief rally.ETH/USDT daily chart. Source: Cointelegraph/TradingViewThe bears will try to halt the recovery attempt at the 20-day EMA ($1,980). If the price turns down sharply from the 20-day EMA, it increases the possibility of a break below $1,754. That could sink the ETH/USDT pair to $1,550.The first sign of strength will be a break and close above the breakdown level of $2,111. The pair will then complete a bullish double-bottom pattern, which has a target objective of $2,468.XRP price analysisXRP (XRP) has dropped to the critical $2 support, which is likely to attract solid buying by the bulls. XRP/USDT daily chart. Source: Cointelegraph/TradingViewAny bounce is expected to face selling at the moving averages. If the price turns down from the moving averages, it heightens the risk of a break below $2. If that happens, the XRP/USDT pair will complete a bearish head-and-shoulders pattern. There is minor support at $1.77, but if the level gets taken out, the pair could collapse to $1.27.Time is running out for the bulls. If they want to prevent the downside, they will have to quickly drive the price above the moving averages. The pair may then travel to the resistance line.BNB price analysisBNB’s (BNB) narrow range resolved to the downside with a break and close below the moving averages on March 29.BNB/USDT daily chart. Source: Cointelegraph/TradingViewThe BNB/USDT pair has support at the 38.2% Fibonacci retracement level of $591 and then at the 50% retracement level of $575. If the price rebounds off the support, the bulls will try to propel the pair above the moving averages and the $644 resistance. If they manage to do that, the pair could rally to $686.Contrarily, a break and close below $575 could sink the pair to the 61.8% retracement level of $559. A deeper pullback is likely to delay the next leg of the up move.Solana price analysisSolana (SOL) is finding support near $120, indicating that the buyers are fiercely defending the level.SOL/USDT daily chart. Source: Cointelegraph/TradingViewThe first sign of strength will be a break and close above the 20-day EMA ($133). That opens the doors for a rise to the 50-day SMA ($148), which may again act as a stiff resistance. However, if buyers pierce the resistance, the SOL/USDT pair could rally to $180.If sellers want to strengthen their position, they will have to pull the price below the $120 to $110 support zone. If they manage to do that, the pair could start the next leg of the downtrend toward $80.Related: XRP bulls in ‘denial’ as price trend mirrors previous 75-90% crashesDogecoin price analysisDogecoin (DOGE) is trying to take support at the $0.16 support, but a weak bounce suggests a lack of demand from the bulls.DOGE/USDT daily chart. Source: Cointelegraph/TradingViewThe DOGE/USDT pair could skid to $0.14, where the buyers are expected to step in. Any bounce-off of $0.14 is expected to face selling at the moving averages. If the price turns down from the moving averages, it increases the possibility of a break below $0.14. If that happens, the pair could plummet to $0.10.Buyers will have to push and maintain the price above $0.20 to suggest that the pair may have formed a floor at $0.14. The pair may then ascend to $0.24.Cardano price analysisCardano (ADA) has slipped to the uptrend line, which is an important near-term support to watch out for.ADA/USDT daily chart. Source: Cointelegraph/TradingViewThe downsloping 20-day EMA ($0.71) and the RSI in the negative territory signal a slight advantage to the bears. A close below the uptrend line could start a downward move toward $0.50.On the other hand, a bounce off the uptrend line could push the ADA/USDT pair toward the moving averages. Buyers will be back in control after they propel and maintain the price above the 50-day SMA ($0.75).Toncoin price analysisToncoin (TON) is getting squeezed between the 20-day EMA ($3.63) and the overhead resistance at $4.14.TON/USDT daily chart. Source: Cointelegraph/TradingViewThe upsloping 20-day EMA and the RSI in the positive territory suggest the path of least resistance is to the upside. If buyers drive the price above $4.14, the TON/USDT pair is likely to pick up momentum and climb to $5 and later to $5.65.This positive view will be invalidated in the near term if the price turns down from the overhead resistance and breaks below the 50-day SMA ($3.46). That could sink the pair to $3.30 and later to $2.81.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Bitcoin could reduce dominance of US dollar — BlackRock
The US dollar could lose its status as the world’s reserve currency to Bitcoin or other digital assets if the United States does not get its debt under control, according to BlackRock CEO Larry Fink.Fink wrote in his Annual Chairman’s Letter to Investors that “decentralized finance is an extraordinary innovation” that makes “markets faster, cheaper, and more transparent.” But “that same innovation could undermine America’s economic advantage if investors begin seeing Bitcoin as a safer bet than the dollar.”According to Trading Economics, the US debt equaled 122.3% of the country’s gross domestic product in 2023. That is a considerably higher percentage than the 105% observed in 2018. Moody’s Ratings retains the US’s AAA credit rating but has downgraded its outlook to negative, indicating a possible future rating downgrade.The US’s Joint Economic Committee wrote that as of March 5, the country’s gross national debt was $36.2 trillion, growing $1.8 trillion, or roughly $4.9 billion per day, over the past year and $12.8 trillion in the past five years. The Bipartisan Policy Center warned this month that the US could default on its debt as early as July 2025.Bitcoin (BTC) has been branded as a safe haven for investors who are looking to avoid the perils of fiat currency, including inflation. Some believe that the end of the debt ceiling suspension could lead to a Bitcoin price boom. Others think, as Fink has stated, that the dangers of the national debt could increase Bitcoin adoption.Related: Bitcoin reserve won’t solve US debt crisis: Think tank co-founderIn 2025, cryptocurrency has gained prominence as an asset class due to adoption by countries such as the US and companies like Strategy. However, some argue that stablecoins could, in fact, increase the dominance of the US dollar.Fink: Tokenization is democratizationIn the letter, Fink says that “tokenization is democratization” with the technological innovation “enabling instant buying, selling, and transferring without cumbersome paperwork or waiting periods.”If every asset ends up being tokenized, Fink said, “it will revolutionize investing. Markets wouldn’t need to close. Transactions that currently take days would clear in seconds. And billions of dollars currently immobilized by settlement delays could be reinvested immediately back into the economy, generating more growth.”Related: Centralization and the dark side of asset tokenization — MEXC execTokenization democratizes access, shareholder voting, and yield, Fink wrote. According to RWA.xyz, the tokenized real-world assets market amounts to $19.6 billion. There are currently around 93,000 asset holders, with 174 issuers. Industry projections indicate that the market could reach $4 trillion to $30 trillion by 2030.BlackRock’s own BUIDL real-world tokenized asset fund is currently the largest such fund available for trading, with Tether Gold and Franklin Templeton’s BENJI funds coming in second and third place, respectively.Magazine: Tokenizing music royalties as NFTs could help the next Taylor Swift
XRP funding rate flips negative — Will smart traders flip long or short?
On March 19, Ripple CEO Brad Garlinghouse announced that the company had been cleared by the US Securities and Exchange Commission regarding an alleged $1.3 billion unregistered securities offering. Following the news, XRP (XRP) surged to $2.59, but the gains gradually faded as the cryptocurrency experienced a 22% correction, dropping to $2.02 by March 31.Investors worry that a deeper price correction is imminent, as XRP is trading 39% below its all-time high of $3.40 from Jan. 16. Additionally, XRP perpetual futures (inverse swaps) indicate strong demand for leveraged bearish bets. Demand for bearish bets increased amid XRP’s declineThe funding rate turns positive when longs (buyers) seek more leverage and negative when demand for shorts (sellers) dominates. In neutral markets, it typically fluctuates between 0.1% and 0.3% per seven days to offset exchange risks and capital costs. Conversely, negative funding rates are considered strong bearish signals.XRP futures 8-hour funding rate. Source: Laevitas.chCurrently, the XRP funding rate stands at -0.14% per eight hours, translating to a 0.3% weekly cost. This indicates that bearish traders are paying for leverage, reflecting weak investor confidence in XRP. However, traders should also assess XRP margin demand to determine whether the bearish sentiment extends beyond futures markets.Unlike derivative contracts, which always require both a buyer and a seller, margin markets let traders borrow stablecoins to buy spot XRP. Likewise, bearish traders can borrow XRP to open short positions, anticipating a price drop.XRP margin long-to-short ratio at OKX. Source: OKXThe XRP long-to-short margin ratio at OKX stands at 2x in favor of longs (buyers), near its lowest level in over six months. Historically, extreme confidence has pushed this metric above 40x, while readings below 5x favoring longs are typically seen as bearish signals.President Trump boosted XRP awareness, paving the way for future price gainsBoth XRP derivatives and margin markets signal bearish momentum, even as the cryptocurrency gains mainstream media attention. Notably, on March 2, US President Donald Trump mentioned XRP, along with Solana (SOL) and Cardano (ADA), as potential candidates for the country’s digital asset strategic reserves.Google search trends for XRP and BTC. Source: GoogleTrends / CointelegraphFor a brief period, Google search trends for XRP outpaced those of BTC between March 2 and March 3. A similar spike occurred on March 19 following Ripple CEO Garlinghouse’s comments on the anticipated SEC ruling. As the third-largest cryptocurrency by market capitalization (excluding stablecoins), XRP benefits from its early adoption and high liquidity.Related: Is XRP price around $2 an opportunity or the bull market's end? Analysts weigh inInteractive Brokers, a global traditional finance brokerage, announced on March 26 its expansion of cryptocurrency offerings to include SOL, ADA, XRP, and Dogecoin (DOGE). Since 2021, the platform has supported trading in Bitcoin (BTC), Ether (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) pairs.The wider adoption by traditional intermediaries, combined with rising Google search trends, further reinforces XRP’s position as a leading altcoin. It also sets the stage for increased inflows once macroeconomic conditions improve and retail investors actively seek altcoins with strong marketing appeal as alternatives to traditional finance, such as Ripple.This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Trump’s focus on cartels highlights new risks for digital assets
Opinion by: Genny Ngai and Will Roth of Morrison Cohen LLPSince taking office, the Trump administration has designated several drug and violent cartels as Foreign Terrorist Organizations (FTOs) and Specially Designated Global Terrorists (SDGTs). US President Donald Trump has also called for the “total elimination” of these cartels and the like. These executive directives are not good developments for the cryptocurrency industry. On their face, these mandates appear focused only on criminal cartels. Make no mistake: These executive actions will cause unforeseen collateral damage to the digital asset community. Crypto actors, including software developers and investors, may very well get caught in the crosshairs of aggressive anti-terrorism prosecutions and follow-on civil lawsuits.Increased threat of criminal anti-terrorism investigations The biggest threat stemming from Trump’s executive order on cartels is the Department of Justice (DOJ). Almost immediately after President Trump called for the designation of cartels as terrorists, the DOJ issued a memo directing federal prosecutors to use “the most serious and broad charges,” including anti-terrorism charges, against cartels and transnational criminal organizations.This is a new and serious development for prosecutors. Now that cartels are designated as terrorist organizations, prosecutors can go beyond the traditional drug and money-laundering statutes and rely on criminal anti-terrorism statutes like 18 U.S.C. § 2339B — the material-support statute — to investigate cartels and anyone who they believe “knowingly provides material support or resources” to the designated cartels. Why should the crypto industry be concerned with these developments? Because “material support or resources” is not just limited to providing physical weapons to terrorists. “Material support or resources” is broadly defined as “any property, tangible or intangible, or service.” Anyone who knowingly provides anything of value to a designated cartel could now conceivably violate § 2339B. Even though cryptocurrency platforms are not financial institutions and never take custody of users’ assets, aggressive prosecutors may take the hardline view that software developers who design crypto platforms — and those who fund these protocols — are providing “material support or resources” to terrorists and launch harmful investigations against them.This is not some abstract possibility. The government has already demonstrated a willingness to take this aggressive position against the crypto industry. For example, the DOJ indicted the developers of the blockchain-based software protocol Tornado Cash on money laundering and sanction charges and accused them of operating a large-scale money laundering operation that laundered at least $1 billion in criminal proceeds for cybercriminals, including a sanctioned North Korean hacking group.Recent: Crypto crime in 2024 likely exceeded $51B, far higher than reported: ChainalysisMoreover, the government already believes that cartels use cryptocurrency to launder drug proceeds and has brought numerous cases charging individuals for laundering drug proceeds through cryptocurrency on behalf of Mexican and Colombian drug cartels. TRM Labs, a blockchain intelligence company that helps detect crypto crime, has even identified how the Sinaloa drug cartel — a recently designated FTO/SDGT — has used cryptocurrency platforms to launder drug proceeds.The digital asset community faces real risks here. Putting aside the reputational damage and costs that come from defending criminal anti-terrorism investigations, violations of § 2339B impose a statutory maximum term of imprisonment of 20 years (or life if a death occurred) and monetary penalties. Anti-terrorism statutes also have extraterritorial reach, so crypto companies outside the US are not immune to investigation or prosecution.Civil anti-terrorism lawsuits will escalate The designation of cartels as FTOs/SDGTs will also increase the rate at which crypto companies will be sued under the Anti-Terrorism Act (ATA). Under the ATA, private citizens, or their representatives, can sue terrorists for their injuries, and anyone “who aids and abets, by knowingly providing substantial assistance, or who conspires with the person who committed such an act of international terrorism.” Aggressive plaintiffs’ counsel have already relied on the ATA to sue cryptocurrency companies in court. After Binance and its founder pled guilty to criminal charges in late 2023, US victims of the Oct. 7 Hamas attack in Israel sued Binance and its founder under the ATA, alleging that the defendants knowingly provided a “mechanism for Hamas and other terrorist groups to raise funds and transact illicit business in support of terrorist activities” and that Binance processed nearly $60 million in crypto transactions for these terrorists. The defendants filed a motion to dismiss the complaint, which was granted in part and denied in part. For now, the district court permits the Ranaan plaintiffs to proceed against Binance with their aiding-and-abetting theory. Crypto companies should expect to see more ATA lawsuits now that drug cartels are on the official terrorist list. Vigilance is key Crypto companies may think that Trump’s war against cartels has nothing to do with them. The reality is, however, that the effects of this war will be widespread, and crypto companies may be unwittingly drawn into the crossfire. Now is not the time for the digital asset community to relax internal compliance measures. With anti-terrorism statutes in play, crypto companies must ensure that transactions with all FTOs/SDGTs are identified and blocked, monitor for new terrorist designations, and understand areas of new geographical risks.Opinion by: Genny Ngai and Will Roth of Morrison Cohen LLP. This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Bitcoin’s ‘digital gold’ claim challenged as traders move into bonds and gold hits new highs
April 2 is shaping up to be a pivotal moment in global trade policy. US President Donald Trump has dubbed it “Liberation Day,” in reference to when new tariffs—exceeding 20%—will hit imports from over 25 countries. According to The Wall Street Journal, the administration is also weighing “broader and higher tariffs” beyond this initial wave, meaning that April 2nd is unlikely to be the end of economic uncertainty.Markets reacted negatively over the past week, with the S&P 500 dropping 3.5%, while the Nasdaq 100 slid 5%, underscoring investor anxiety. At the same time, gold surged 4%, reaching a record high above $3,150 per ounce. The yield on the 10-year Treasury dropped to 4.2%, even as recent inflation data showed an uptick in some of the core components. The markets’ is a classic sign of a risk-off environment—one that often precedes economic contraction.Throughout the volatility, Bitcoin (BTC) dropped 6%—relatively modest compared to its historical volatility, but this does not make it a reliable hedge just yet, although its growing role as a reserve asset suggests this could shift over time.Bonds and gold lead the flight to safety.In periods of macroeconomic and geopolitical instability, investors typically seek yield-bearing and historically stable assets. Both US government bonds’ decreasing yield and gold prices’ increase signal an increasing demand for these types of assets.Gold is having a standout moment. Over the past two months, gold funds have attracted more than $12 billion in net inflows, according to Bloomberg—marking the largest surge of capital into the asset since 2020.Gold funds monthly inflows. Source: BloombergSince the beginning of the year, gold prices have been up nearly +17%, while the S&P 500 has been down 5%. This shows a precarious state of the economy, further confirmed by a sharp drop in the US consumer sentiment, which has fallen around 20 points to reach levels not seen since 2008. In March, just 37.4% of Americans expected stock prices to rise over the next year—down nearly 10 points from February and 20 points below the peak in November 2024.As The Kobeissi Letter put it, “An economic slowdown has clearly begun.”Bitcoin: digital gold or tech proxy?A Matrixport chart shows that BlackRock’s spot Bitcoin ETF (IBIT) is now 70% correlated with the Nasdaq 100—a level reached only twice before. This suggests that macro forces are still shaping Bitcoin's short-term moves, much like tech stocks.IBIT BTC ETF vs Nasdaq - 30-day correlation. Source: MatrixportThe ETF data supports this trend. After a strong week of inflows, spot Bitcoin ETFs saw a net outflow of $93 million on March 28, according to CoinGlass. The total Bitcoin ETP assets under management have dropped to $114.5 billion, the lowest in 2025.The numbers show that Bitcoin is still perceived more as a speculative tech proxy and is yet to enter a new phase of market behavior. However, some signs of this potential transition are already apparent.Related: Worst Q1 for BTC price since 2018: 5 things to know in Bitcoin this weekBitcoin is on the path to becoming a reserve assetBeneath the volatility, a structural shift is underway. Companies are increasingly using Bitcoin and its ETFs to diversify their balance sheets.According to Tipranks, 80.8% of BlackRock’s IBIT shares are owned by public companies and individual investors. Furthermore, in Feb. 2025, BlackRock incorporated a 1% to 2% allocation of IBIT into its target allocation portfolios, reflecting growing institutional adoption.Data from BitcoinTreasuries shows that publicly listed companies currently hold 665,618 BTC, and private firms hold 424,130 BTC. Together, that’s 1,089,748 BTC—roughly 5.5% of the total supply (excluding lost coins). These figures underscore the growing acceptance of Bitcoin as a treasury reserve asset. What’s more, some experts predict that holding BTC in corporate treasury will become a standard practice by the end of the decade. Elliot Chun, a partner at the crypto-focused M&A firm Architect Partners, said in a March 28 blog post:“I anticipate that by 2030, a quarter of the S&P 500 will have BTC somewhere on their balance sheets as a long-term asset.”The character of any asset is defined by the attitude of those who own it. As more corporations adopt Bitcoin for treasury diversification—and as sovereign entities begin experimenting with Bitcoin reserves—the cryptocurrency's profile is shifting. The US Strategic Bitcoin Reserve, as imperfect as it is, contributes to this trend.It’s too early to call Bitcoin a full-fledged hedge. Its price is still primarily driven by short-term speculation. But the transition is underway. As adoption grows across countries, companies, and individuals, Bitcoin’s volatility will likely decrease, and its utility as a partial hedge will increase.For now, the safe haven label may be aspirational. But if current trends continue, it might not be for long.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
‘Contrary to popular belief,’ regulation isn’t slowing tokenization — Prometheum CEO
The market for tokenized real-world assets (RWAs) is growing by the day, but contrary to belief, the biggest hurdle to broader adoption isn’t regulation, but a lack of dedicated secondary markets for buying and selling tokenized securities, according to Prometheum founder and co-CEO Aaron Kaplan. In an interview with Cointelegraph, Kaplan drew attention to ARK Invest CEO Cathie Wood’s recent appearance at the Digital Asset Summit in New York, where she said that a lack of regulatory clarity is preventing her company from tokenizing its funds.“Contrary to popular belief, however, the hurdle isn’t ambiguous regulation,” said Kaplan, who noted that the US Securities and Exchange Commission’s (SEC) special purpose broker-dealer framework and Alternative Trading System (ATS) licensing “already provide a regulated pathway for issuing blockchain-native funds that offer efficiency advantages over traditional issuances.”“The real bottleneck lies in the limited market infrastructure for delivering tokenized securities trading to a broad investor base,” he said.Excluding stablecoins, the value of tokenized RWAs has increased by nearly 8% to $19.5 billion over the past 30 days, according to industry data. Private credit and US Treasury debt remain the two largest use cases. The value of tokenized RWAs has grown rapidly over the past year. Source: RWA.xyz“These assets currently sit on a handful of blockchains, but there is still no fully public secondary market where institutional and retail investors can buy, sell, and trade them, as they do with traditional securities on Nasdaq or through a brokerage account like Fidelity,” said Kaplan, who identified two general approaches for building out these platforms. The first is building tokenized securities markets using decentralized finance (DeFi) frameworks, much like what Ondo Finance, Ethena Labs and Securitize are doing.Related: Ethena Labs, Securitize launch blockchain for DeFi and tokenized assetsThe second approach involves integrating tokenization protocols into existing brokerage platforms that operate under SEC-registered entities and are subject to federal securities laws. “Legacy crypto and fintech platforms are already accustomed to facilitating cryptocurrency trading, so you would expect them to seek to broaden their offerings to include tokenized securities,” said Kaplan.While many in the latter camp do not operate digitally, they “won’t cede market share without a fight,” said Kaplan. “Many are already investing in their own tokenization initiatives, or partnering with fintech and crypto firms, to remain competitive.”“What’s at stake is the next wave of users onboarding into the digital asset space [...] The question is then, will the brokerage industry enter the digital asset space, or will crypto platforms build the next gen markets for investors to buy and sell digital securities?” As a digital asset trading and custody firm, Prometheum is attempting to bridge the infrastructure gap by building a full-service digital asset securities marketplace. The company claims that securities traded on Prometheum have reduced fees, faster settlement times and increased efficiency.Related: CME Group taps Google Cloud for pilot asset tokenization programInvestors want ‘digital native’ versions of assets they’ve always knownPerhaps the biggest demand driver for tokenized assets among traditional investors is that they want to access “digital native versions of all assets, in addition to crypto tokens, through a single ecosystem they are comfortably using [...] to meet a range of financial goals,” said Kaplan.One area where tokenization appears to be gaining traction is in real estate. As Cointelegraph recently reported, luxury and commercial properties are being tokenized all over North America and secondary markets are being established to enable the trading of tokenized shares. A 2024 report by Boston Consulting Group (BCG) called tokenization a “game-changing blockchain use case in financial services” due to its scalability and near-instant transactions. According to BCG managing director and senior partner Sean Park, tokenization could boost investors’ annual returns by roughly $100 billion while increasing the revenue streams of financial institutions. Tokenized RWAs as an investable asset class reached an “inflection point” in 2023. Source: Boston Consulting GroupThe potential of tokenization has even been flagged by the World Economic Forum in a recent article published by Digital Asset co-founder and CEO Yuvan Rooz. In the article, Rooz showed that roughly 10% of the $230 trillion global securities market is eligible for use as collateral. “Tokenization, which improves collateral mobility and capital efficiency, could unlock this untapped capital and optimize intraday liquidity so that funds can be accessed and moved within the same trading day to meet payment and settlement obligations,” said Rooz.Magazine: Block by block: Blockchain technology is transforming the real estate market
