Despite the fact that the cryptocurrency realm extends far beyond Bitcoin, however, the king coin’s lesser-known fork coins, as well as other altcoins, have continued to mimic its price actions. Furthermore, these coins have exhibited mixed signals as the bearishness continued to weigh in the market.
Bitcoin SV:
The contentious fork coin, Bitcoin SV [BSV] has been engulfed in controversies for a long time. From being delisted from major crypto exchanges last year to anonymous miners allegedly controlling over 55% of the network’s hash rate, controversies keep courting it. As investors were eyeing the upcoming block reward halving, the coin’s price has been sending mixed signals.
At press time, BSV was trading at a price of $154.38 after a minor decline of 0.64%. Additionally, it registered a market cap of $2.83 billion and a 24-hour trading volume of $1.721 billion.
MACD: MACD indicator was bullish for BSV’s near future with the signal line hovering below.
Chaikin Money Flow: The CMF, on the other hand, was in the bearish zone.
Resistance: $251.93, $314.5
Support: $81.64
Bitcoin Diamond:
The late-2017 hard fork of the king coin, BCD has posted huge gains at the start of 2020 failing miserably to do so in the previous year. However, this uptrend was short-lived as market indicators exhibited an uncertain future for the coin.
At press time, Bitcoin Diamond changed hands at $0.442 after a drop of 2.68% over the last 24-hours as it held a market cap of $82.50 million and a 24-hour trading volume of $11.39 million.
Parabolic SAR: The dotted markers below the BCD candles indicated a bullish signal.
Awesome Oscillator: The red closing bars, however, suggested a bearish trend for the fork coin.
Resistance: $0.647, $0.847
Support: $0.305
VeChain:
In a bid to bolster the adoption of VET, VeChain Foundation announced the listing of its native token on the South Korean crypto exchange UpBit. Developments on its technical side have failed to recuperate the price of the coin significantly even as slight hints of revival seemed to be on the cards.
VET, at press time, was priced at $0.0029 with a market cap of $161.1 million. Additionally, the crypto recorded a trading volume of $79.32 million after a minor decline of 1.39% over the past 24-hours.
Klinger Oscillator: KO was bullish for VET token with the leading line hovering above the signal line.
Relative Strength Index [RSI]: The RSI appeared to be heading towards the 50-median neutral zone. This was indicative of a potential revival in interest among the investors in the VET market.
Monacoin and Bitcoin Diamond are leading the way with respect to their relative performance against the likes of IOTA. With over 50% in gains over the last 90 days for both MONA and BCD, IOTA doesn’t even come close since its price change was recorded to be -11%.
Source TradingView
IOTA Perhaps, the aforementioned poor performance of IOTA was due to the attack on the Trinity wallet, an attack which resulted in the theft of 8.55 Ti in IOTA tokens from a total of 50 user accounts. However, since then, the coordinator has been rebooted.
IOTA, however, is higher in terms of market cap [$412 million] and ranking [24], when compared to BCD and MONA, despite the fact that the performances aren’t at par. With the formation of an ascending triangle and the MACD indicating a bullish crossover, hopefully, the token will register some profits.
Monacoin Monacoin is the 53rd largest crypto on CoinMarketCap with a market cap of $79 million and a 24-hour trading volume of $3.6 million. At press time, the price was $1.21 and the token was struggling to firmly breach the 200-DMA, a level which was acting as a resistance. The 50-DMA [light blue] was heading close, indicating further bearish pressure. The scenario, at press time, seemed bearish, with a confluence of resistance.
Bitcoin Diamond Bitcoin Diamond, a fork of Bitcoin, has been performing considerably better, especially as it started rising after the recent collapse. At press time, BCD was trading at $0.482 with a market cap of $89 million.
Stuck between $0.518 and $0.409, the coin was trying to be bullish. The RSI indicator also showed that it was struggling to reach the overbought zone. Over the next week, the price might try to breach $0.518 and head higher.
There have been a number of Bitcoin forks over the years. But how many? The total is staggering, with over 50 forks on record.
What Is a Bitcoin Fork? A Bitcoin fork is a cryptocurrency that split away from Bitcoin at a certain block height. Transaction histories are shared up until the time of the fork, with the new coin then splitting off onto its own blockchain.
There are two kinds of forks: soft forks and hard forks. A soft fork is backwards compatible, meaning it is a software update that is compatible with earlier versions of the blockchain. A hard fork is not backward compatible. Any blocks following a hard fork need to follow the new rules to be considered valid.
The Bitcoin network itself has undergone a number of soft forks, with software updates including preventing duplicate identification hashes and introducing lock times for individual transaction outputs.
Namecoin, created in 2011, was the first fork of the Bitcoin software. Bitcoin XT and Bitcoin Classic (BXC) were earlier forks of the Bitcoin network reference client, released in 2015 and 2016, respectively.
Most cryptocurrency projects that are well-known off-shoots of Bitcoin often followed contentious debates around the direction of the code. Bitcoin Cash was the first high-profile hard fork of Bitcoin and was created in mid-2017. It is regarded as a contentious fork, meaning it occurred because there were competing visions about the future development of the network.
A List of Bitcoin Forks Most hard forks of Bitcoin occurred between late 2017 and early 2018. The period was remarkable because it coincided with the ICO frenzy. The rate at which new tokens were created made it difficult to keep up with the changes.
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Bitcoin saw its first four hard forks on the same day of Aug. 1, 2017.
The Bitcoin Cash Fork Bitcoin Cash (BCH) came into existence at block height 478,559. It was a divisive and contentious split, led by those who believed in increased block sizes. The new protocol increased block sizes to 8MB. Technically, Bitcoin Clashic and Bytether were created a block before it. Following at block height 498,888 on the same day, Oil BTC was created.
The Bitcoin Gold Fork Bitcoin Gold (BTG) was the next high-profile project to fork from Bitcoin. The coin split away at block height 491,407 on Oct. 10, 2017. The aim of Bitcoin Gold was to create a new version of Bitcoin that would “democratize” mining by changing Bitcoin’s proof-of-work algorithm.
The next month, Bitcore (BTX) and Bitcoin Diamond (BCD) were created. Bitcoin Diamond was designed to build a network more resistant to attacks and to enhance network capacity.
December 2017 Bitcoin Hard Forks In the month of December of 2017, almost 20 new coins were created through hard forks from Bitcoin:
Bitcoin Silver (BTSI) Bitcoin Nano (BTN) BitcoinX (BCX) Super Bitcoin (SBTC) Bitcoin Hot (BTH) UnitedBitcoin (UB) Bitcoin World (BTW) Bitcoin Stake (BTCS) Lightning Bitcoin (LBTC) Bitcoin Faith (BTF) Bitcoin New (BTN) Bitcoin Top (BTT) Bitcoin File (BIFI) Bitcoin God (GOD) Quantum Bitcoin (QBTC) Bitcoin SegWit2X x11 (B2X) Bitcoin Uranium (BUM) BitcoinBoy (BCB) Bitcoin Ore (BCO) Many of these late 2017 coins are no longer in circulation and some were considered a scam at the time of their creation. However, projects like Super Bitcoin remain trading on 12 active markets.
Bitcoin Forks of Early 2018 As the heat cooled on crypto markets in the beginning of 2018, forks continued. In the first few months of the 2018 bear market:
Bitcoin All (BTA) Bitcoin Private (BTCP) Bitcoin Pizza (BPA) Bitcoin Rhodium (BTR) Bitcoin Smart (BCS) BitVote (BTV) Bitcoin Interest (BCI) Bitcoin Atom (BCA) Bitcoin Lite (BTCL) were created. Bitcoin Private was forked from ZClassic and Bitcoin. It supports zk-SNARKs, masking the details of the sender and recipient of a transaction.
This list is not exhaustive. As Bitcoin is open source code, any developer can fork it and create a new cryptocurrency. According to research from BitMEX, there were a total of 44 forks in the mid-2017 to early-2018 period. Only Bitcoin Cash, Bitcoin Diamond, Bitcoin Gold, and Bitcoin Private saw significant trading volume.
Forks of Forks A number of Bitcoin forks have undergone another subsequent fork. The highest profile of these was Bitcoin SV (Satoshi’s Vision). BSV forked from BCH at the end of 2018, creating listings of BCHABC and BCHSV, Both sides battled in the hash wars to determine which coin would dominate.
The Bitcoin Cash split was also over the issue of block size, with the SV team favoring even larger blocks. Bitcoin SV claims to be the closest Bitcoin-named blockchain to Satoshi’s “original vision” of peer-to-peer electronic cash, or so its creators claim.
Bitcoin has forked a number of times. Sometimes it has arisen from genuine ideological or technological differences. Other times, it has been rather uncontentious, with a group of developers seeking the marketing power of the Bitcoin name.
Which Forks are Worth Claiming? All told, there have likely been over 50 Bitcoin forks. More could still be created over time. Today, there is a total of nine Bitcoin forks that see any trading volume at all. The forks worth claiming, at current prices:
Bitcoin Cash (BCH): $219 Bitcoin SV (BSV): $166 Bitcoin Gold (BTG): $7.2 Bitcoin HD (BHD): $5.1 Bitcoin Rhodium (XRC): $4.1 Of those, only Bitcoin Cash, Bitcoin SV, Bitcoin Gold, and Bitcoin Diamond see significant trading volume.
Disclosure: This article was edited by Paul de Havilland. For more information on how we create and review content, see our Editorial Policy.
The advent of Bitcoin, Ethereum, and other cryptocurrencies has introduced unprecedented ways to distribute new assets, creating complex tax situations. Here’s how to account for forks and airdrops, and a few strategies to minimize taxes.
There is little precedent when it comes to taxes around forks and airdrops.
“In the traditional world, nobody airdrops anything. The dollar doesn’t fork every Tuesday,” said Alon Muroch, CEO of crypto accounting platform Blox, in an interview with Crypto Briefing.
Ruling from other regulatory agencies adds to the complexity. By the letter of the law, many cryptocurrencies are not considered money, or commodities, but instead securities—investments that represent a contract between a buyer and an enterprise.
“You should start with the assumption that you’re starting with a securities offering,” said SEC Chairman Jay Clayton. Failing this assumption, or misinterpreting the rule of tax law, has led to “a majority of companies filing incorrectly,” LukkaTax’s co-CEO, Robert Materazzi, told Crypto Briefing, who claims that most portfolio apps that link to a tax service are doing so incorrectly.
FinCEN has issued its own guidelines around money transmitter rules for cryptocurrency, treating crypto like cash for anti-money laundering purposes. Meanwhile, the Commodities Future Trading Commission treats Bitcoin as a commodity. The U.S. Internal Revenue Service treats it as property. Ethereum falls somewhere in the middle.
Between the regulators, it’s one confusing mess of three and four-letter acronyms giving mixed messages.
What Is a Blockchain Fork? A fork is a software change that creates two separate versions of the same blockchain. Most often, forks are used to introduce upgrades, where the old version of a blockchain is replaced by the new one as soon as the fork is executed.
Occasionally, however, forks are used to settle disagreements over technical features, like the block size debate that lead to Bitcoin Cash. Other times, it’s about governing philosophy, like in Ethereum Classic. Yet other times it’s about taking advantage of a brand name, like Bitcoin Diamond. They’re an integral part of what makes a decentralized blockchain, well, a blockchain.
Forks happen all the time. Since inception, Bitcoin alone has had over 50 forks.
To make matters worse, holders often aren’t aware that a fork has even taken place and many coins go unclaimed. Nevertheless, the IRS views forks as taxable events.
Understanding Token Airdrops Airdrops are another situation where money falls out of thin air. In an airdrop, coins are “carpet bombed” to thousands, or even hundreds of thousands of cryptocurrency addresses as part of marketing campaigns, said Muroch.
One example of a massive airdrop was the one executed by Stellar, a cryptocurrency created by XRP co-founder Jed McCaleb. In September of last year, the Stellar Foundation announced it would airdrop 2 billion XLM, worth over $120 million at the time. An unprecedented sum.
Again, like forks, the owner of a cryptocurrency address that benefits from an airdrop is often unaware of the windfall. Many times they do not even consent to receiving an airdrop.
“You’re not always aware that you receive assets from a fork. You can couple that with airdrops, not just forks,” said Muroch. “All those holders had taxable events because someone in the marketing department decided to use that as a marketing tool.”
Tax Implications of Forks and Airdrops Consent aside, the IRS has voiced its position on forks and airdrops. “The receipt or transfer of virtual currency for free, including from an airdrop or following a hard fork,” needs to be reported for tax purposes, says the IRS.
The power to collect taxes from these events, even crypto, come from broad powers given to the government over a century ago. “The Congress shall have power to lay and collect taxes on incomes, from whatever source derived,” reads the 16th amendment.
The IRS has offered some clarity concerning the confusion. In October 2019, the agency issued a ruling on the issue.
Crypto holders recognize income when they “exercise dominion and control over the cryptocurrency” received through a fork or an airdrop, according to the rules. That is, when a holder gains the ability to transfer or sell the cryptocurrency.
Wendy Walker, a tax withholding and reporting expert at Sovos, a tax reporting software company, reaffirmed this position in a conversation with Crypto Briefing. Forks are treated as “ordinary income,” and the specific amount of tax liability would depend on the valuation scheme the taxpayer is using, she said.
By default, coins are valued using the FIFO, or “first in first out,” method of accounting, where the oldest units of cryptocurrency are used to determine the cost basis, said Jim Calvin, a tax partner at Deloitte.
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Though there are other valuation methods that may produce less tax liability, like LIFO or average cost, and these are viable so long as they are consistently applied. If this all seems confusing, an example might help illustrate the tax implications.
Using the Bitcoin Cash Fork as an Example Bitcoin Cash split from the Bitcoin network on Aug. 1, 2017, to settle a disagreement over the block size, which essentially determines the upper limit to how many transactions can be processed by the Bitcoin network in a roughly a 10 minute interval.
Those who held their private keys prior to the chain-split received a number of BCH equal to the number of BTC they held.
Bitcoin was trading at $2,800 the day of the fork. Immediately after the split, Bitcoin Cash opened on exchanges at $290. A taxpayer who had received BCH would recognize $290 in income, which would also determine the cost-basis of the BCH.
Later the next day, if the taxpayer sold their Bitcoin Cash when it was trading at $380, they would recognize capital gains of $90:
$380 - $290 = $90 Hypothetically, if the price of Bitcoin dropped as a result of the fork, it might be possible to offset some of the income from the fork, but the rules around this are unclear.
Tron’s Ethereum Airdrop as an Example Another example to demonstrate the recognition of income is when Tron airdropped 30 million TRX to Ethereum holders. Announced April 2018, Ethereum addresses with a balance of one or more ETH received between 10 and 100 TRX.
TRX was trading at $0.5 on the day of the airdrop, April 20, 2018. Assuming an address received 50 TRX, the Ethereum holder would recognize income of $25 on that day ($0.5 x 50).
To illustrate the impact of FIFO, if those coins were received over a series of days (from the 20th to the 22nd, for example), then the following accounting would take place:
April 20: 50 TRX at $0.5 each ($25) April 21: 50 TRX at $0.6 each ($30) April 22: 50 TRX at $0.7 each ($35) In all, the account holder received $90 worth of TRX, and would recognize this sum as revenue. Hypothetically, if they sold 60 TRX at $0.7, they would recognize gains from the oldest batches of coins first under FIFO.
The April 20 batch as the “first in” would get sold first, for reporting purposes. The 50 TRX with a cost basis of $0.5 each and sold for $0.7 each would register a gain of $10:
(50 x $0.7) - (50 x $0.5) = $10 Then, it would take 10 TRX from the batch from April 21, which were obtained at $0.6 each:
(10 x $0.7) - (10 * $0.6) = $1 In total, the taxpayer would recognize capital gains of $11, in addition to the $90 of income from the three batches of airdrops.
In some circumstances, especially for those who trade often, it can be advantageous to use the LIFO method which takes the newest coins first, allowing some of the coins held for more of the year to get preferential long-term capital gains treatment.
Issues Raised by Airdrops Airdrops are an issue for holders of Ethereum and other smart contract blockchains. Even if the owner of the address did not consent to receiving the tokens they would still incur tax liability. Oftentimes, Ethereum holders receive hundreds of unsolicited tokens at no fault of their own.
Looking at Vitalik Buterin’s wallet address as an example, he has received over a hundred unsolicited airdrop coins worth thousands of dollars.
Vitalik Buterin’s main wallet address on Etherscan If the rules are to be followed by the book, each and every one of these airdrops would be recognized as revenue on the date of receipt. Further complicating the issue is that many of these coins are not traded on reputable exchanges, meaning their prices are unreliable.
In the end, this results in an accounting headache and an unwanted tax liability for holders of Ethereum, Tron, EOS, and other smart contract coins.
IRS Ramps Up Crypto Enforcement These tax agencies mean business. Regulators are well aware of cryptocurrency’s role in aiding tax evasion and money laundering. Those who think they can get away without paying taxes are at risk of an audit, along with steep penalties.
Transactions on the Bitcoin blockchain are public, for the most part. It’s only a matter of time before the IRS is able to trace these transactions back to taxpayers, Walker told Crypto Briefing.
More alarming is that more than 50% of CPAs expect that at least half of their clients will be audited for back taxes on their crypto holdings, according to a joint report by Blox and Sovos. Reputable exchanges report activity from crypto traders to the IRS. Coinbase, Kraken, Binance.US, and Gemini all disclose this information to tax agencies, making evasion difficult.
In June of last year, the IRS mass mailed targeted letters to taxpayers suspected of “misreporting” cryptocurrency transactions. British tax authority HM Revenue & Customs has issued similar warnings.
“Cryptoassets like Bitcoin have attracted a lot of interest from people who are new to investing and have probably never filed a tax return in their life. It’s really important for investors to start doing the maths now so they know how much profit they’ve made and the tax due,” said Iqbal Gandham, UK managing director of eToro.
These authorities are serious, and it’s likely they’ll continue to crackdown on those intentionally and unintentionally underpaying on their taxes.
Caveats and Strategies Around Cryptocurrency Income Recognition There are, however, some caveats. Exchanges don’t always immediately recognize forks as tradable assets, and many do not register airdrops at all. This can be used to the taxpayer’s advantage.
Coinbase, for example, did not offer support for BCH for a full four months after the fork. As a result, holders wouldn’t recognize income until they could “exercise control” over the asset. That is, until they could transfer and trade it.
So, for those trading on Coinbase, income wouldn’t be recognized until that date, when Bitcoin Cash was worth over $2,500 per coin (instead of $290 per coin).
This fact can be used as a tool to reduce tax liability. By storing coins on an exchange, a holder can avoid getting bombarded by airdrops, which would normally trigger taxable events.
To take advantage of this, an investor could store coins on an exchange and wait until their income drops to claim those coins (supposing they waited until they could offset their gains by selling some coins at a loss, or expected less income in a coming tax year).
How to Report Forks and Airdrops on Your Taxes In sum, here’s how to report forks, airdrops, and capital gains on a tax return. The following exercise uses the Bitcoin Cash fork and Tron airdrop from the earlier examples. The entire process requires four different IRS forms.
These include the following: the 8949: Sales and Other Disposition of Capital Assets, the Schedule 1: Additional Income and Adjustments to Income, the 1040, Schedule D: Capital Gains and Losses, and the 1040: Individual Income Tax Return.
Assuming the taxpayer received 1.0 Bitcoin Cash from the fork and 50 Tron from the airdrop in the earlier example, first fill out the Schedule 1 as follows:
($290 x 1 BCH) + (50 TRX x $0.5) = $315 Then, for the capital gains associated with the sale of the Bitcoin Cash, itemize each sale and report it on form 8949. For those who trade regularly attaching a spreadsheet can greatly speed-up the process.
(Sale price: $380) - (Price at fork: $290) = $90 gain The sum of these cryptocurrency sales are then reported on Form 1040, Schedule D. Finally, input these figures on the 1040 form with all other sources of income:
(Capital Gains: $90) + (Fork and Airdrop Income: $315) = $405 total income Between the fork, the capital gain, and the airdrop, this taxpayer would have $405 in additional total income.
At first glance, it may seem that reporting tens and sometimes hundreds of cryptocurrency transactions would be daunting. It is, without the aid of spreadsheets or software.
But, with enough diligence, it’s possible to report these transactions yourself. Beyond that, those who plan in advance can even reduce how much they owe, allowing them to keep more of their hard-fought gains.
For more information on proper filing, refer to official guidance from the IRS and their frequently asked questions guide.
The information presented here does not represent tax advice. Please consult with a professional before making decisions about your taxes.
Disclosure: This article was edited by Mitchell Moos. For more information on how we create and review content, see our Editorial Policy.
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On-chain data shows the Bitcoin long-term holders, or so-called “diamond hands,” have transferred a total of 669,000 BTC over the past month.
Bitcoin Long-Term Holders Have Sold Big In Past 30 Days As explained by CryptoQuant Netherlands community manager Maartunn in a post on X, the Bitcoin network has observed multiple transactions involving a large amount of dormant coins.
Transfers involving old coins are attributed to the “long-term holder” (LTH) cohort. The LTHs refer to the BTC investors who have been holding onto their coins since more than 155 days ago.
Statistically, the longer an investor holds onto their coins, the less likely they become to sell or transfer the tokens at any point. As such, the LTHs are considered the more resolute part of the market.
These HODLers don’t easily sell due to this strong conviction and swiftly ride past both periods of downtrends and uptrends. The short-term holders (STHs), who make up for the rest of the sector, are the ones who make panic moves during such periods.
As the LTHs don’t often sell, the times that they do participate in distribution can be all the more note-worthy. One way to track whether these holders are selling or not is through their 30-day “net position change,” which is a metric that keeps track of the net amount exiting or entering the cohort.
Below is the chart shared by Maartunn that reveals the trend in this Bitcoin indicator over the history of the cryptocurrency:
The value of the metric appears to have been highly negative in recent days | Source: CryptoQuant As displayed in the above graph, the 30-day net position change of the Bitcoin LTHs has assumed a deep red value recently. In the past month, these HODLers have removed 669,000 BTC from their wallets.
Something to keep in mind is that when it comes to accumulation, the net position change has a delay attached to it. This is because the LTH supply only increases 155 days after the purchase has been made, since the newly bought coins have to first mature enough to be a part of this age group.
In the case of distribution, though, the same is obviously not true, since any coins that get transferred on the blockchain have their age reset back to zero instantly.
The recent negative net position spike for the LTHs is quite big. To put things into perspective, the BTC amount that these diamond hands have transacted with this spike is equal to around $44.7 billion in the US Dollar, a staggering value.
It would seem that the latest events of the cryptocurrency, which have included a brand new all-time high (ATH) and a crash, have forced even these diamond hands to break their streak.
From the chart, it’s visible that the LTHs have sold big when new Bitcoin ATHs have been set in the past bull rallies as well. Interestingly, though, the peak of these spikes has only coincided with a price top partway through each run, and not the actual cycle peak.
In BTC-scale, the negative 30-day net position spike from the LTHs has been smaller this time than both that observed during the 2017 and 2021 bull runs. This is only the case so far, however, as it’s unclear whether the peak LTH net distribution has ended or not.
BTC Price Bitcoin has been making another attempt at recovery during the past few days as its price has now surged back towards the $67,000 level.
Looks like the price of the asset is trying to make recovery | Source: BTCUSD on TradingView Featured image from Vasilis Chatzopoulos on Unsplash.com, CryptoQuant.com, chart from TradingView.com
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On-chain data shows Bitcoin HODLers are still able to sell at a profit while the weak hands are going through a major capitulation event.
Bitcoin Diamond Hands Still Comfortably Selling At A Profit As pointed out by CryptoQuant Head of Research Julio Moreno in a new post on X, the BTC short-term holders have capitulated during this latest downturn in the market.
The “short-term holders” (STHs) make up for one of the two main divisions of the Bitcoin userbase done on the basis of holding time, with the other group being called the “long-term holders” (LTHs).
The cutoff between the two groups is 155 days, with investors who have been holding since less than this time falling into the STHs and those with more qualifying as LTHs.
Statistically, the longer an investor holds onto their coins, the less likely they become to sell or transfer them at any point. As such, the STHs represent the weak-minded side of the market, while the LTHs include the HODLers.
During the latest crash, both of these cohorts have shown a reaction, but this reaction has been very different between the two. To showcase this difference, Moreno has made use of the “Spent Output Profit Ratio” (SOPR) indicator.
The SOPR basically tells us about whether a given group is selling Bitcoin at a profit or loss right now. The metric being above 1 implies members of the group are realizing profits, while it being under suggests loss-taking is the dominant mode of selling.
Now, here is a chart that shows the recent trend in the Bitcoin SOPR for the STH and LTH cohorts:
The difference between the behavior of the STHs and LTHs | Source: @jjcmoreno on X As displayed in the graph, the Bitcoin STH SOPR has been mostly at levels under 1 during the latest drawdown in the price, implying that these investors have been selling at a loss.
At its worst, the indicator had even fallen under the 0.8 mark, suggesting that the cohort had been taking a loss of more than 20%. Clearly, these fickle-minded hands were thrown into quite a panic by the crash.
While the STHs have been capitulating, the LTHs are still participating in net profit-taking, as the SOPR for them has remained strong above the 1 level. The indicator even reached a notable level during the rebound BTC saw following its lows, suggesting that these diamond hands had sold for significant gains.
Some STHs, too, had managed to take profits in this recovery, but as is visible in the chart, the metric had only slightly breached the 1 mark and that too just briefly, meaning that the profit realization hadn’t been anything significant and had lasted for only a moment.
BTC Price At the time of writing, Bitcoin is trading at around $55,000, down more than 17% over the past week.
Looks like the price of the coin has been sliding down recently | Source: BTCUSD on TradingView Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com
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Data shows the Bitcoin diamond hands have continued to sit tight recently as almost a third of the supply hasn’t been moved in five years.
Bitcoin Has A Notable Part Of Its Supply Dormant Since Over Five Years In a new post on X, the market intelligence platform IntoTheBlock has discussed about how the most dormant BTC supply has been looking like recently. The supply in question is the one made up of the Unspent Transaction Outputs (UTXOs) that have aged past the five-year mark.
In other words, this supply includes the coins of the investors who have been holding onto them since more than five years ago, without having sold or moved them from their wallets.
The investors who have coins aged more than 155 days are popularly known as the “long-term holders” (LTHs), so this five-year old supply would represent the holdings of the especially aged LTHs.
Statistically, the longer an investor holds onto their coins, the less likely they become to sell said coins at any point. As such, the LTHs are considered to be the resolute side of the market. The LTHs dormant since more than five years ago would then, of course, be the diamond hands among diamond hands.
Something to note, though, is the fact that not all of this supply would actually be an indication of HODLing. The reason behind this is simple: the older the tokens become, the more likely they get to have become lost, whether by simply having their existence forgotten or by having their keys become inaccessible.
Thus, as the supply in question is over 5+ years old, a part of it is probable to in fact never make it back into circulation. That said, the rest of it would have attained the age through sheer conviction.
Below is a chart that shows the trend in the percentage of the Bitcoin supply that’s in this age bracket over the history of the cryptocurrency.
Looks like the value of the metric has been going down in recent days | Source: IntoTheBlock on X As is visible in the above graph, the Bitcoin 5+ year LTH supply registered a decrease earlier in the year as some old investors woke up to collect their rally profits, but this decline was only slight, and since then, the indicator has been moving sideways.
At present, the metric’s value stands at 30.7%, which means almost a third of the cryptocurrency’s entire supply in circulation hasn’t been moved in more than five years.
For perspective, the five-year cutoff puts the earliest possible buying point for these coins back in August 2019. Thus, these investors have survived at least the COVID-19 crash, the 2021 bull market, the 2022 bear market, and now, the rally that first began in 2023.
Given this resilience, it’s unlikely most of these investors would sell their Bitcoin under anything, but very special circumstances.
BTC Price Bitcoin has seen a plunge of almost 4% over the last 24 hours, which has taken its price to $58,100.
The price of the coin appears to have plunged recently | Source: BTCUSD on TradingView Featured image from Dall-E, IntoTheBlock.com, chart from TradingView.com
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A notable diamond hand investor recently sold 199 Bitcoin ($13.55 million) for a profit, according to data from Lookonchain. This transaction marks another significant move for the investor, who has made a series of profitable sales over the years.
Bitcoin Investor Pulls $44M Profit After Strategic Sales Over 5 Years He pulled out 801 Bitcoin ($8.25 million) from HTX exchange five years ago when Bitcoin was only at $10,297. Since then, the individual has gradually been offloading parts of their holdings and within the last month they have disposed of 500 Bitcoin worth $32.13 million.
At the moment, the investor owns 301 BTCs, which is equal to $20.42 million. The accumulative revenues from such transactions have now risen to about $44.28 million, further demonstrating their performance in terms of good holding gains and timed exit gains.
Diamond Hand Investor’s Volatility Management Leads to Huge $BTC Profits This ‘diamond hand’ strategy is based on the investor’s confidence in Bitcoin’s fundamentals, while they are at the same time making good money out of short-term price movements. The fact that the investor has been selling considerable proportions of it especially when Bitcoin prices had skyrocketed in the months prior to the writing of this paper, affirms the investor’s volatility management, and portfolio health.
Stories like this, from Lookonchain, show how Bitcoin attracts both retail and institutional investors, and may result in large gains for those who could afford to wait out the cycles.
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Umair Younas is a cryptocurrency-related content writer linked with this work since 2019. Here, at Blockchainreporter, he serves as a news and article writer. He is a crypto, blockchain, NFTs, DeFi, and FinTech enthusiast. He has strong command over writing authentic reviews about brokers and exchanges and he has collaborated with our education team to write educational content as well. He has a dream to raise awareness among people about digital currencies. His works are well-researched and brimmed with information hence they provide fresh insights. Stay tuned to his posts if you want to stay up-to-date with the crypto-verse.
With Bitcoin (BTC) finally staying strong above $100,000, some traders might be already interested in taking profits from this crypto rally. Recent on-chain data analysis by CryptoQuant community author shows that long-term holders of digital gold are not in this cohort.
Bitcoin (BTC) long-term holders are not selling; bullish?Long-term holders of Bitcoin (BTC), i.e., on-chain accounts that purchased BTC at least seven years ago, are not sending their holdings to exchanges yet. Such analysis was shared today, Feb. 1, 2025, by pseudonymous crypto researcher who goes by Crypto SunMoon, a featured CryptoQuant community author.
According to him, during the 2017-2021 crypto rally, long-term holders started selling their riches right before the bullish phase ended. For now, we are nowhere near this stage yet, data says.
As demonstrated by the researcher, the latest major inflows to centralized exchanges driven by long-term holders were registered in late Q1, 2024. However, they were not as impressive as those that accompanied the previous BTC all-time high in November 2021.
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In some of the largest altcoins, similar processes are dominating on-chain supply. For instance, over 70% of both Ethereum (ETH) and Litecoin (LTC) owners have been holding their riches for 12 months minimum.
As such, various groups of long-term holders are demonstrating confidence in the crypto rally, while the selling pressure comes mainly from "paper hands."
USDT, USDC metrics look optimistic for Bitcoin (BTC) bullsWhile Bitcoin (BTC) inflows to exchanges look pale, major stablecoins, including USDT and USDC, are revealing the opposite trend. In the last three months, USDT supply on CEXes jumped by 40% and reached an all-time high over $43 billion.
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The aggregated supply of stablecoins is also growing at an increased pace. Since early November 2024, it increased from $160 billion to $224 billion, as per CoinGecko data.
While USDT remains the largest stablecoin, USDC is the fastest-growing one. Combined, their capitalization upsurges are also treated as a sign of a prolonged bull market for Bitcoin (BTC) and major altcoins.
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Bitcoin has spent the last five days trading within a relatively narrow range between $106,229 and $111,807, following its recent all-time high of $111,814. Despite the increase in selling pressure from miners after the all-time high, the price of Bitcoin has managed to hold above $108,000, with on-chain data showing Bitcoin diamond hands absorbing all the selling pressure.
Long-Term Holders Accumulating With Minimal Spending According to data from the on-chain analytics platform CryptoQuant, the Long-Term Holder (LTH) Spending Binary Indicator has fallen to its lowest level since September 2024. This interesting trend was initially noted on the social media platform X by crypto analyst Alex Adler Jr.
The 15-day moving average of this metric, as shown in the chart by CryptoQuant, has dropped to the minimal spending zone. Notably, this zone has consistently preceded a more bullish move in the Bitcoin price.
Source: Axel Adler Jr on X In parallel, long-term holder supply has risen by approximately 300,000 BTC over the past 20 days. This marks a deviation from the trend of declines in the long-term holder supply since 2024. At the time of writing, 14.6 million BTC, representing about 74% of the total current circulating supply of BTC, is in addresses classified as long-term holders.
This pattern suggests that so-called “diamond hands”, i.e., investors with a strong conviction who hold through volatility, are not only refraining from selling with Bitcoin’s recent new peak, but are actively accumulating. The chart below shows the correlation between minimal LTH spending and rising price action, a behavior that also aligned with phases of Bitcoin’s uptrend in 2019, late 2020, and late 2024.
Why It’s Bullish For The Market The significant uptick in long-term holder supply, combined with minimal selling activity, reveals a hidden strength in the market. The current behavior of long-term investors also indicates their confidence in Bitcoin’s valuation at current levels, despite the recent price surge. Many of these long-term holders are in substantial profit, yet still choose to hold. This is unlike short-term holders, who have collectively realized over $11.6 billion in profits over the past month alone.
Drawing a parallel with historical data, the current decline in long-term holder (LTH) spending mirrors a similar pattern observed in September 2024. At that time, the LTH Indicator was in the minimal zone, and the long-term holder supply was also increasing steadily.
What followed was a remarkable 96% surge in Bitcoin’s price, rising from approximately $54,000 to peaks around $106,000 in December and January. If the market were to follow a similar trajectory from the current price level, a comparable 96% rally would see Bitcoin rise to a new peak near $212,000.
At the time of writing, Bitcoin is trading at $109,000.
BTC trading at $108,723 on the 1D chart | Source: BTCUSDT on Tradingview.com Featured image from Getty Images, chart from Tradingview.com
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After days of testing a resistance zone at $106,000, Bitcoin has finally broken above the $107,000 mark to confirm a strong bullish momentum that has been building since early June. The breakout, which has seen Bitcoin reclaim $110,000 briefly in the past 24 hours, follows several failed attempts to close above this pivotal level.
Technical analysis of the Bitcoin price indicates that the breakout above $107,000 has given bulls back control. Particularly, technical analysis from crypto analyst Michaël van de Poppe suggests that Bitcoin’s price will accelerate for the rest of the week.
$106,500 Confirms Strength, Analyst Eye Accelerated Move Over the past few days, Bitcoin’s price structure has been forming a rounded base with higher lows, gradually coiling under a support turned resistance. Now that the breakout has occurred, bulls seem to be back in control.
According to Michaël van de Poppe, a widely-followed crypto analyst on the social media platform X, the decisive moment came after Bitcoin cleared the $106,500 resistance, a level he previously mentioned he’s looking at. In his post, he noted that as long as Bitcoin maintains support above this zone, momentum will continue to shift in favor of buyers. Specifically, he pointed out that day traders are likely to pile in with new long positions, while short sellers are either closing their positions or getting squeezed out entirely. Both of these actions will continue to generate buying pressure, at least in the short term.
Source: Michael Van De Poppe on X This shift in market structure has already begun to play out. As the chart below shows, the previous resistance zone around $107,000, which was a strong support during the earlier ATH moves in May, has now flipped. This zone had repeatedly rejected price advances, acting as a price ceiling since May 30. Now, with the breakout confirmed and volume increasing, the analyst expects a swift rally toward $108,900 and beyond for the rest of the week.
Bulls Prepare For New Bitcoin All-Time High The timing of this breakout also coincides with the start of the trading week, which Van de Poppe describes as a great start to the week and a continued upside for the remainder of the week. More often than not in this cycle, Bitcoin has exhibited sentiment surges early in the week that persisted throughout the week. If Bitcoin can consolidate above the $107,000 to $108,000 range without falling back into the previous structure, it could enter a new price zone as soon as the $111,000 barrier is breached.
With increasing interest due to ETF inflows, it could serve as the launchpad for Bitcoin’s next major leg up, carrying it toward new all-time highs before the end of June. At the time of writing, Bitcoin is trading at $109,455, having recently reached an intraday high of $110,237. The leading cryptocurrency is currently only about 2.5% away from setting a new all-time high.
BTC trading at $109,609 on the 1D chart | Source: BTCUSDT on Tradingview.com Featured image from Getty Images, chart from Tradingview.com
Spot Bitcoin (BTC) Exchange-Traded Funds (ETFs) have shown strength amid the crypto market’s correction and the flagship crypto’s latest performance. Some experts have praised investors’ resilience, suggesting that the “real story” is not in the recent outflows.
ETFs Investors Hold Strong Despite Market Downturn On Thursday, Nate Geraci, co-founder of the ETF Institute, affirmed that Bitcoin ETF investors have “largely displayed diamond hands” during the recent crypto market downturn.
The flagship crypto has seen a 48.2% correction from its October 6, 2025, all-time high (ATH), recording five consecutive months of strong bleeding after the October 10 market crash.
Since then, spot BTC ETFs have seen about $6.5 billion in outflows, the expert observed, which he considers a “drop in the bucket” compared to the $55 billion in cumulative total net inflows that the category has seen since launching in January 2024.
It’s worth noting that crypto-based investment products have seen five weeks of outflows this year, with Bitcoin having the weakest sentiment among major assets amid the negative market sentiment of the past month.
According to SoSoValue data, BTC funds have recorded $3.81 billion in net outflows since January 23, starting the week with $203.82 million in outflows on Monday.
However, Geraci highlighted potential renewed demand for the investment products as the category sees a three-day streak of consistent inflows. Notably, Bitcoin ETFs have seen over $1 billion in inflows over the past three days, setting the stage for their potential biggest week since mid-January.
The ETF expert emphasized that 50% drawdowns “are a walk in the park for long-time BTC investors,” but observed that newer ETF investors also appear unfazed by the current market conditions.
“Not first time btc has experienced 50% decline & likely won’t be the last. ETF investors clearly aren’t panicking, though. Apparently buying the dip,” he wrote on X.
Bitcoin ETFs Strength Is The ‘Real Story’ Bloomberg Intelligence Senior ETF Analyst Eric Balchunas backed Geraci’s comment, praising the remarkable performance of spot Bitcoin ETFs over the past two years.
“As an ETF watcher, you know just how absurd this strength amid a 50% drawdown,” Balchunas stated. “This is the real story, vs focusing on the $6b that came out, which most stories do.”
“Further, the narrative that crypto is ‘paying the price’ for getting financialized is absurd. $55b in net new cash in two years is the opposite of paying the price,” he added on X.
In a recent interview, the senior analyst observed that the amount of Bitcoin held by ETFs is only down around 6% despite the market pullback. He noted that these types of corrections happen to every asset, including bonds and stocks, before recovering.
Stocks have the same thing. Every time stocks go down, I remind myself and then other people that stocks have a 100% perfect record of coming back to hit all-time highs from a downturn. So, why would I worry that much, right?
Balchunas affirmed that these assets can have “really horrible streaks, but then when they come back around, the flows come back.” He concluded that the price volatility and the negative market sentiment are “the cost of the holy grail returns that most people have gotten.”
Bitcoin trades at $65,366 in the one-week chart. Source: BTCUSDT on TradingView Featured Image from Unsplash.com, Chart from TradingView.com
The head of a $230 billion Singaporean investment fund is the latest high-profile public figure to have their likeness used to promote Bitcoin Pro – an investment scam making the rounds on Facebook.
Ho Ching, who has served as Temasek’s CEO since 2004, warned her more than 57,000 followers on Monday:
“Just to alert everyone that there have been some more fat frogs jumping in the streets! […] The scams masquerading as breathless news from Straits Times, Channel News Asia, etc, have resurfaced and are making the rounds again, using my name and making up fake breathtaking quotes from me and others.”
Fake Ad of Bitcoin Investment Scam The ad bears the “as seen on” logos of several legitimate and reputable media outlets, including The New Paper, The Business Times, Today, The Independent Singapore, and Singapore Business Review.
In a “special report” titled “Ho Ching Latest Investment Has Experts in Awe and Big Banks Terrified,” the ad makes several false and sensationalist claims attributed to Ho, including details of a supposed call between Ho and the head of a major bank in which they beg her “stop divulging money-making secrets.”
Ho encouraged her followers to report the ad and cautioned them against getting conned into “get rich quick schemes” like Bitcoin Pro.
A spokesperson for Temasek said:
“These are not new scams – they’ve been around a long time and have targeted many high profile individuals, not just Ho Ching.
“At the end of the day, people need to be aware before committing to anything they see online endorsed by anyone with a public profile.”
Bitcoin Pro By Any Other Name Still a Scam Bitcoin Pro appears to be the latest iteration of the Bitcoin Revolution scam. Similar scams have appeared recently under names like Bitcoin Looper and Bitcoin Evolution.
You may also like: Mining Profits Dry Up Across Bitcoin, DOGE, LTC, and BCH Saylor Should Stop Buying Bitcoin, Says CryptoQuant Strengthening Dollar and OG Selling Pressure Keep Bitcoin Bears in Control Regardless of the name, all of these scams have several things in common:
They advertise their scam on Facebook using ads that feature fake “news articles” about some famous celebrity or other public figure making sick amounts of money using their program. Like most high-yield investment plans (HYIPs) they promise dizzying profits in a matter of days, weeks, or months. They are practically clones of each other, using the same verbiage and making the same outlandish claims. Ho isn’t the first high-profile Singaporean to be unwittingly caught up in this scam. Earlier this year, former Prime Minister Goh Chok Tong had his likeness used to promote the scam, prompting the Monetary Authority of Singapore (MAS) to issue an official warning about the scam.
Bitcoin Scam Ads on Facebook are Hard to Kill Although Facebook removes the ads when they become aware of them, policing the Bitcoin scam ads appears to be akin to a game of whack-a-mole – no sooner do they take one down than another one (or more) pops up in its place.
A spokesperson for the social media giant cited the technical savviness of the scammers as one of the chief reasons it is so difficult to prevent the ads from being published. He explained that they “use sophisticated cloaking technology to mask content so that it shows different versions to our ad review systems than it does to people.”
“We encourage our community to report ads they believe are misleading as this information helps us improve our automated detection systems to counter cloaking tactics and make us better,” the spokesperson added.
The head of a $230 billion Singaporean investment fund is the latest high-profile public figure to have their likeness used to promote Bitcoin Pro – an investment scam making the rounds on Facebook.
Ho Ching, who has served as Temasek’s CEO since 2004, warned her more than 57,000 followers on Monday:
“Just to alert everyone that there have been some more fat frogs jumping in the streets! […] The scams masquerading as breathless news from Straits Times, Channel News Asia, etc, have resurfaced and are making the rounds again, using my name and making up fake breathtaking quotes from me and others.”
Fake Ad of Bitcoin Investment Scam The ad bears the “as seen on” logos of several legitimate and reputable media outlets, including The New Paper, The Business Times, Today, The Independent Singapore, and Singapore Business Review.
In a “special report” titled “Ho Ching Latest Investment Has Experts in Awe and Big Banks Terrified,” the ad makes several false and sensationalist claims attributed to Ho, including details of a supposed call between Ho and the head of a major bank in which they beg her “stop divulging money-making secrets.”
Ho encouraged her followers to report the ad and cautioned them against getting conned into “get rich quick schemes” like Bitcoin Pro.
A spokesperson for Temasek said:
“These are not new scams – they’ve been around a long time and have targeted many high profile individuals, not just Ho Ching.
“At the end of the day, people need to be aware before committing to anything they see online endorsed by anyone with a public profile.”
Bitcoin Pro By Any Other Name Still a Scam Bitcoin Pro appears to be the latest iteration of the Bitcoin Revolution scam. Similar scams have appeared recently under names like Bitcoin Looper and Bitcoin Evolution.
You may also like: Mining Profits Dry Up Across Bitcoin, DOGE, LTC, and BCH Saylor Should Stop Buying Bitcoin, Says CryptoQuant Strengthening Dollar and OG Selling Pressure Keep Bitcoin Bears in Control Regardless of the name, all of these scams have several things in common:
They advertise their scam on Facebook using ads that feature fake “news articles” about some famous celebrity or other public figure making sick amounts of money using their program. Like most high-yield investment plans (HYIPs) they promise dizzying profits in a matter of days, weeks, or months. They are practically clones of each other, using the same verbiage and making the same outlandish claims. Ho isn’t the first high-profile Singaporean to be unwittingly caught up in this scam. Earlier this year, former Prime Minister Goh Chok Tong had his likeness used to promote the scam, prompting the Monetary Authority of Singapore (MAS) to issue an official warning about the scam.
Bitcoin Scam Ads on Facebook are Hard to Kill Although Facebook removes the ads when they become aware of them, policing the Bitcoin scam ads appears to be akin to a game of whack-a-mole – no sooner do they take one down than another one (or more) pops up in its place.
A spokesperson for the social media giant cited the technical savviness of the scammers as one of the chief reasons it is so difficult to prevent the ads from being published. He explained that they “use sophisticated cloaking technology to mask content so that it shows different versions to our ad review systems than it does to people.”
“We encourage our community to report ads they believe are misleading as this information helps us improve our automated detection systems to counter cloaking tactics and make us better,” the spokesperson added.
Crypto markets remain in consolidation; Binance Coin getting back up, BSV falling further back, SOLVE on a charge. Market Wrap Crypto markets have remained in consolidation for the past 24 hours. There has been no move to the upside indicating that further losses could be inevitable. Total capitalization remains around $250 billion where it was this time yesterday.
Bitcoin hit its intraday high of a touch over $7,900 a couple of hours ago but recoiled again instantly afterwards. Support lies around $7,600 which has been hit twice over the past 24 hours. With a failure to break $8,000 BTC appears set for further declines.
Ethereum is hardly worth mentioning as it is still hopelessly tied to the movements of its big brother. With little action on the day ETH remains just above $245. A large support zone sits at $230 which is where it will head if the correction accelerates.
The top ten is a mixed affair during Asian trading today. Six of the crypto assets have moved less than a percent though. Binance Coin has made the largest upward move of 6.5 percent taking BNB to $31.50. On the down side is Bitcoin SV dumping 9 percent back to $207.
There is equal red and green in the top twenty though movements are minimal as the consolidation continues. On the upside by a percent or two is Dash, IOTA and NEO while Tron and Tezos dump a couple.
FOMO: SOLVE Surges in South Korea A massive dose of fomo has gone to healthcare based platform SOLVE today as it surges 70 percent to $0.522, powering up the market cap charts to 52nd spot. South Koreans are going potty for this altcoin which spiked yesterday and has held gains. Three quarters of the total volume has been in KRW on Upbit and this comes as no surprise following the listing and inroads the project has made there;
UpBit now has KRW-SOLVE pair! This sensational development makes Care.Wallet more accessible in S. Korea. Just the latest step in our Asian expansion strategy. We're excited by the growing demand for our platform & the services and benefits, which require SOLVE token to access. pic.twitter.com/7R3OERsOUB
— TuumIO (@tuum_io) June 5, 2019
GXChain is also going strong at the moment with a pump of 26 percent and the third best performer in the top one hundred is Chainlink adding 16 percent. After a few days of solid gains Japan’s Monacoin is dumping today as it sheds 30 percent. Maximine Coin is the second worst altcoin at the time of writing dropping 23 percent.
Total market cap 24 hours. Coinmarketcap.com Total market capitalization has not really moved much since this time yesterday. It is currently at $250 billion however volume is starting to trail off slowly and is currently $10 billion less than it was yesterday. Another day of consolidation on crypto markets is keeping traders on their toes.
Market Wrap is a section that takes a daily look at the top cryptocurrencies during the current trading session and analyses the best-performing ones, looking for trends and possible fundamentals.
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Data suggests users on Reddit were calling to buy the recent Bitcoin dip while other social media platforms were either bearish or indecisive.
Bitcoin Social Volume Reveals How Different Social Media Platforms Reacted To Dip According to data from the analytics firm Santiment, the different major social media platforms have been split on how to react to the recent price action in the cryptocurrency.
The indicator of interest here is the “social volume,” which keeps track of the total unique amount of posts that make mentions of a specific topic or term on a given social media platform or group of platforms.
This metric tracks the number of posts/threads/messages rather than the mentions themselves, as the latter methodology can provide an inaccurate representation of the actual amount of discussion taking place related to the topic.
This is naturally due to the fact that sometimes discussion around a topic can be limited to a couple of threads, but with each of them making a considerable amount of mentions.
This trend is obviously not representative of what the wider community thinks, as only the users participating in these threads are interested in the topic. Thus, counting the posts makes more sense, as this number would only go up when there is genuine interest across the platform.
Now, what Santiment has done here is that it has filtered the social volume related to Bitcoin/cryptocurrency for bearish and bullish terms for each of these four major social media platforms: Telegram, Reddit, 4Chan, and X (formerly Twitter).
Here is a chart that shows the trend in these social volumes for all these websites:
How the different social media userbases reacted to the dip | Source: Santiment on X The bullish terms chosen by the analytics firm here are keywords like buy, bottom, and bullish. Similarly, the keywords related to bearish sentiment are sell, top, and bearish.
From the graph, it’s visible that during the recent Bitcoin plunge towards the $38,500 level, the Telegram users were mostly bearish as the social volume for terms pertaining to this mentality spiked. X users had also turned bearish, although the bullish social volume wasn’t much lower.
4Channers had seemed completely split on the trajectory of the asset, as both the social volumes were at about the same levels for the platform. Redditors appear to have been on the other end of the spectrum from Telegram and X users, as calls for buying the dip had spiked on the platform.
So far, the bets of the Redditors would have paid off, as BTC has made some recovery since the dip that they made potential buying moves at, although the scale of the surge has so far not been too much.
Historically, Bitcoin has tended to move against the expectations of the majority. Since these platforms are all split on the direction of the coin, it’s hard to say anything about where BTC would go based on the sentiment alone.
“When Telegram, Reddit, X, and 4Chan are all in an extreme level of bullish or bearish sentiment, this is the ideal time to be a contrarian and go against the crowd’s uniform presumptions about the markets,” explains Santiment.
BTC Price At the time of writing, Bitcoin is floating around the $40,200 level, down more than 5% over the past week.
Looks like the price of the coin has made some recovery in the last couple of days | Source: BTCUSD on TradingView Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, Santiment.net
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CryptoQuant analyst MAC_D in a new report, suggested that a sharp decline in Bitcoin‘s (BTC) price and funding rates could present a buying opportunity that might increase the cryptocurrency’s value.
Leveraged Trades in BitcoinThe senior analyst argued that following investors piling into leveraged long positions, the token’s funding rates soared to a high level of 0.049% on January 2nd. This occurred while the market was anticipating the decision of the U.S. Securities and Exchange Commission on the BTC Spot ETF.
According to data from 21milyon.com, when the article was written, BTC’s funding rate was 0.001%. Therefore, despite the token’s recent price movement, the market continued to show a bullish trend. According to MAC_D, for the current downtrend to end, a capitulation event that results in the mass liquidation of these long positions needs to occur. The analyst stated the following in his remarks:
If there are sharp price drops and the funding rate turns negative on the 1-hour chart, it could mean that leveraged investors are overly pessimistic about the market, which could be a good opportunity to buy back BTC.
Funding Rate in BTCThis could mean that two things need to happen for BTC to witness an upward price correction. A sharp decline in the value of the cryptocurrency and a negative funding rate on the 1-hour chart could lead to significant pessimism among leveraged investors, yet offer a potential buying opportunity for those with a longer-term investment horizon. At the time of writing, BTC was trading at $39,956. According to data from CoinMarketCap, since the BTC ETFs started trading on January 10th, the token’s value has dropped by 13%.
The mentioned price drop could be due to an increase in profit-taking activity, which led to an increase in the token’s exchange reserves. Since January 10th, the total number of BTC held on exchanges increased by 0.47%. According to CryptoQuant, at the time of writing, there were 2.1 million BTC on exchanges. As token sales increased, the profitability of daily BTC transactions also decreased. According to Santiment data, since January 10th, the daily profit/loss ratio of BTC transaction volume has dropped by 10%.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Cryptocurrency traders are keeping a close eye on the Bitcoin market as a potential “bargain-buying” window opens up ahead of the upcoming Bitcoin halving, scheduled for April. Prominent pseudonymous crypto trader Rekt Capital has outlined a five-stage market pattern, signaling that investors may have just two weeks to make the most of favorable prices before a pre-halving rally begins.
Bitcoin halving: A catalyst for bullish sentiment The Bitcoin halving occurs approximately every four years and involves cutting mining rewards in half for miners. This event has historically been regarded as a bullish catalyst for Bitcoin’s price.
Rekt Capital highlights that the previous Bitcoin halvings have been characterized by steep price dips in the months leading up to the event, ultimately generating substantial returns for investors. The upcoming halving in 2024 appears to be following this historical pattern.
Rekt Capital points out that Bitcoin has already undergone an approximately 18% retracement in January, suggesting that there is currently a two-week window during which Bitcoin may undergo another significant pullback. According to the trader, this period could represent one of the final opportunities for investors to buy Bitcoin at attractive prices before the pre-halving rally begins.
#BTC
5 Phases of The Bitcoin Halving
1. Pre-Halving period
Approximately 77 days remain until the Bitcoin Halving in April 2024
Historically, any deeper retraces that occur during this orange period tend to generate fantastic Return On Investment for investors in the several… pic.twitter.com/8JC8qX2IVm
— Rekt Capital (@rektcapital) January 29, 2024 Pre-halving rally phase Following this potential short-term pullback, Bitcoin typically enters what Rekt Capital terms the “pre-halving rally” phase approximately 60 days before the halving event. During this phase, short-term traders aim to capitalize on the growing anticipation and “buy the hype” leading up to the halving. However, as the halving date approaches, a “sell the news” sentiment tends to set in, often occurring one to three weeks before the halving.
In the previous two Bitcoin halvings, Rekt Capital notes that a significant price dip occurred during the weeks preceding the halving. 2016, there was a 38% price dip, while in 2020, a 20% drawdown was observed. This pre-halving retrace is common as traders take profits, resulting in a temporary price decline.
Post-halving : Sideways price action Once the halving event has successfully transpired, Bitcoin enters a relatively “boring” phase characterized by sideways price action. This period can last an average of 150 days, often disappointing investors who expected immediate price surges following the halving. Many investors get “shaken out” during this time due to the lack of significant price movements.
Finally, Rekt Capital highlights the “parabolic uptrend” phase that follows months of accumulation and sideways trading. Bitcoin experiences accelerated growth during this phase and often reaches new all-time highs.
While Rekt Capital emphasizes the importance of the halving in shaping Bitcoin’s price action, not all experts agree. Some argue that the impact of halving on price is diminishing, with other factors taking precedence.
Ralph Zagury, Chief Investment Officer of Swan Bitcoin, suggests that liquidity is more integral in influencing Bitcoin’s price in 2024. He contends that flows and market dynamics are the primary drivers of price, rendering the halving less impactful than previously thought.
Earliest signs of an altcoin season are emerging, analysts say.Many big cap coins have enjoyed triple digit gains.Past cycles offer a guide of what's to come.Forget Christmas. Altseason is upon us.
Altseason is a period when interest – and prices – surge for cryptocurrencies other than Bitcoin.
In the 2017 bull cycle, for instance, alternative cryptocurrencies multiplied in value thousands of times within a few short months, triggering a shower of riches for newly minted investors in the space.
Now, with the value of the OTHERS altcoin index soaring 76% since early November, to $334 billion, a new golden age appears to be dawning for Bitcoin’s offspring.
“It’s far from a nothingburger, we’re on the brink of a full-blown altseason,” Matthew Mena, head of US crypto research at 21.co, told DL News.
Dino coinsWhile sceptics may doubt altcoins are poised to soar for a sustained period of time, Mena said positive signs are already emerging.
This year, a number of “dino” coins from the 2017 era have already jumped triple digits.
XRP, the coin associated with Ripple, is up 177% in the past 30 days, and Dogecoin, the memecoin stalwart, climbed 140% in the same timeframe. Cardano, meanwhile, spiked 186% in the past month, according to CoinGecko.
Even Axie Infinity, the blockchain game play that’s long been out of favour, is delivering a 43% return to holders of AXS over the last 14 days.
“On top of that, laggards like Ethereum are breaking key resistance levels,” Mena said.
‘The usual crypto bro cycling out of Bitcoin and into alts will look differently.’
— Christopher Inks, TexasWest CapitalOn Tuesday, the second most valuable cryptocurrency crossed the $3,600 mark for the first time since mid June. Many say a trip to $10,000 is just around the corner.
Alex Kruger, a macro analyst, agrees with Mena’s analysis, to a point.
Michael Saylor’s billion-dollar purchases of Bitcoin “gives oxygen to crypto natives to go gamble,” he told DL News.
Why won’t Bitcoin reach $100,000 already?
Bitcoin came as close as it ever has at topping $100,000...Bitcoin came as close as it ever has at topping $100,000 last Friday before falling back to five figures, leaving crypto investors...
That, in turn, is prompting seasoned retail investors to buy DINO coins even as newer entrants pile into memecoins.
Even so, Kruger doubts this altseason will feel like the 2017 bull run.
“Altseason a la 2017 is too much,” he said.
In any event, analysts are watching closely to see how the cycle pans out.
Juicy upsideAfter traders realise Bitcoin may not offer as much juicy upside, they “chase pumps” down the food chain, toggling from large caps to small caps, Mena said.
Unlike past cycles, this one features new forces that are reshaping the marketplace. Case in point: crypto ETFs, said Christopher Inks, CEO of trading firm TexasWest Capital.
“The usual crypto bro cycling out of Bitcoin and into alts will look differently,” he said.
That’s because ETF buyers, who have been in Pac-Man mode, aren’t rotating capital into alternative cryptocurrencies.
At the same time, Inks and Mena said investors may start focusing on specific sectors such as AI.
The intersection of digital assets and AI in offerings such as the bizarre memecoin GOAT is deeply crypto-native and making waves across Crypto Twitter, Mena said.
“AI and AI agents are two key sectors I’ve been keeping an eye on,” he said.
Pedro Solimano is a Markets Correspondent based in Buenos Aires. Got a tip? Email him at [email protected].
The past month has been unusually difficult for crypto markets. Nearly all major assets have traded lower following the record liquidation event of October 11, which triggered a broad risk-off phase across the sector. Bitcoin has continued to slide since, pulling most correlated tokens down with it.
Yet in the same period, some assets have behaved differently. While the broader market moved as a single macro-driven block, a few tokens showed price dynamics that didn’t fit the usual pattern. One of the most notable examples comes from football, specifically, from the Arsenal Fan Token ($AFC). That divergence raises an interesting question: what drives Fan Token valuations when the rest of crypto is falling?
Fan Tokens Decouple From the Crypto Market The past month has been challenging for crypto markets, with almost every major asset trading in negative territory. The downturn began on October 11, when the largest crypto liquidation event on record erased more than $20 billion in open interest immediately after the U.S. announced a tariff hike on China. The shock accelerated selling across the market and triggered a sustained decline: since that point, Bitcoin has fallen a further ~15%, dragging down the majority of tokens that remain closely correlated to it.
Source: TradingView
However, not all tokens respond to market conditions in the same way. Fan Tokens exhibit behaviours that set them apart from typical crypto assets. Their price action is heavily influenced by major football events and periods of high engagement, often causing them to decouple from Bitcoin and the broader market cycle. When anticipation and excitement build around a club’s performance, Fan Tokens tend to move according to sporting momentum rather than macro sentiment.
A clear example is the Arsenal Fan Token ($AFC). From the market bottom on October 11, $AFC sharply diverged from crypto benchmarks, outperforming $BTC, $CHZ, and $TOTAL3 (total crypto market cap excluding $BTC and $ETH). Over just slightly more than a month, $AFC gained over 30%. For comparison, $CHZ, the broad benchmark for Fan Tokens, increased nearly 19%, already strong relative to the market backdrop. Meanwhile, $TOTAL3 and $BTC declined by -2.4% and -7.6% over the same period.
Source: TradingView
Arsenal Case Study: Sporting Momentum as a Pricing Catalyst The clearest driver behind this decorrelation was Arsenal’s extended run of 10 consecutive victories across the Premier League and Champions League between September 25 and November 11.
Source: Diretta.it
As illustrated in the match sequence chart, each numbered point corresponds to one of those wins. After the October 10 crypto crash, the winning streak became the dominant catalyst shaping $AFC price action. Rising confidence among fans, combined with traders positioning around the possibility of yet another win, likely sustained continuous buy pressure. This dynamic pushed $AFC not only to recover its losses from the broader market sell-off but to move decisively higher in the weeks that followed.
Source: TradingView.
Arsenal’s case is not an anomaly. Similar price behaviours have appeared across other major Fan Tokens when clubs entered high-stakes phases of competition.
A clear example is Tottenham’s run in the Europa League 2025. After the club secured victory in the quarter-final and expectations of reaching the final increased, $SPURS began to reprice sharply higher. Over the following month, the token fully decoupled from broader crypto trends, with its correlation to Bitcoin dropping rapidly. At its peak, $SPURS gained +83% compared to Bitcoin’s +13%, a significant relative outperformance driven almost entirely by football-specific catalysts rather than market conditions.
Source: TradingView
A similar pattern emerged with Paris Saint-Germain during the Champions League 2025 campaign. After PSG advanced to the semi-finals and the probability of reaching the final increased, $PSG repriced meaningfully higher. Like Tottenham, the token broke correlation with Bitcoin and the broader market, showing independent behaviour. At its peak, $PSG reached +40% against Bitcoin’s +17%, again reflecting sentiment tied to football performance rather than crypto beta.
Source: TradingView
These cases highlight a fundamental characteristic of Fan Tokens: their performance is directly linked to sporting momentum, expectations, and tournament stakes. As confidence around a club rises, traders increasingly treat Fan Tokens as a way to express expectations about future results. In practice, this makes them function as an alternative to binary prediction markets such as Polymarket or Kalshi, and as a more transparent, continuous alternative to traditional sportsbook markets, where odds are centrally controlled.
Fan Tokens as Prediction Assets Unlike a sportsbook bet that locks users into a single outcome, Fan Tokens operate in a 24/7, liquid market where positions can be opened, closed, or scaled at any time. Investors are not betting on a single result, they are trading on momentum, probability, and belief. This shifts speculation from a one-off wager to an ongoing market-priced forecast.
Fan Tokens can also be used alongside prediction markets to exploit inefficiencies across related markets when expectations diverge. For example, if a club’s Fan Token begins pricing in higher confidence before odds adjust on a prediction platform, traders can act on that mismatch.
The rapid growth of on-chain prediction markets reinforces this dynamic. As more users become accustomed to speculating on sports outcomes, especially through platforms like Polymarket, that behaviour naturally extends to Fan Tokens, increasing liquidity, visibility, and demand across both ecosystems.
Source: Google Trends. Term: Polymarket.
A concrete way to observe the connection between Fan Tokens and prediction dynamics is by looking at the “English Premier League Winner” market on Polymarket, which settles in May 2026. Before October 2025, Manchester City was slightly favoured over Arsenal. However, as Arsenal entered its winning streak, the market rapidly repriced expectations: Arsenal’s implied probability rose from roughly 35% to 55%, while Manchester City dropped from around 45% to 30%.
Source: Polymarket
A similar repricing occurred in the Fan Token market over the same period. While Arsenal was outperforming on the pitch, $AFC appreciated more than 30%, whereas $CITY declined by over 5% across the same timeframe.
This divergence created two distinct trading approaches. A trader expecting Arsenal’s strong form to continue could simply take a directional position by going long $AFC. However, a more risk-controlled approach would be to trade the relative performance between the two clubs, going long $AFC and short $CITY. In that case, the bet is not on the absolute movement of the token, but on Arsenal outperforming Manchester City on the field, with the market continuously adjusting that expectation in real time. This is also a key difference between Fan Tokens and traditional betting: investors can hedge, neutralise wider market volatility, and express views on sporting momentum rather than binary outcomes.
Source: TradingView
The parallel movements across both markets, prediction platforms and Fan Tokens, send a consistent signal: Fan Tokens are highly sensitive to sporting performance and collective belief around future outcomes. As confidence grows or fades, Fan Token prices adjust in real time, allowing traders to gain or reduce exposure to a club’s trajectory rather than to the broader crypto market.
Conclusion The recent performance of $AFC, and similar patterns observed across $SPURS and $PSG, shows that while Fan Tokens remain broadly correlated to the wider crypto market, they possess unique dynamics that can override that correlation during key sporting moments. Their pricing is still influenced by macro trends, but real-world outcomes, momentum, and fan expectations can trigger periods of decorrelation and independent price discovery. When anticipation builds around a club’s trajectory, Fan Tokens reflect that belief in real time, often regardless of market-wide sentiment. For traders and fans alike, these assets provide a liquid, transparent and continuous way to take a view on sporting outcomes rather than macro conditions.
As the prediction-asset narrative gains traction across crypto and on-chain prediction markets attract growing participation, Fan Tokens naturally sit at the intersection of these two trends. Their value does not depend on isolated event settlements, but on the dynamic repricing of probabilities as a season unfolds. If current behavioural patterns continue, Fan Tokens may emerge as one of the clearest real-world demonstrations of markets pricing expectations, and one of the most accessible on-chain entry points for speculating on sport.
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In a market breakdown shared on X, independent trader and Zero Complexity Trading founder Koroush Khaneghah points to a handful of critical crypto charts that he believes could dictate the next major market move. Khaneghah, who has invested in over 50 startups, emphasizes that the charts for BTC/USD, BTC Dominance (BTC.D), TOTAL2, ETH/BTC, and SOL/BTC provide invaluable insights into the crypto market’s current condition and possible future shifts.
BTC/USD: Defining The Crypto Market Khaneghah identifies BTC/USD as the yardstick for gauging what stage of the bull run the market might be in. According to his view:
“This decides what stage of the bull run we’re in.
– Breaks above ATH resume the bull run
– Consolidation below ATH -> Altcoins enter accumulation zones
– Major structural breaks -> Time to turn bearish”
He suggests traders begin by determining which of three market environments Bitcoin is in: a raging bull market, a consolidation phase, or a structural downturn. Currently, Khaneghah sees BTC/USD “ranging below all-time highs, coming off some major uptrends,” which often presents either a catch-up scenario for altcoins or a prolonged accumulation phase ahead of Bitcoin’s next attempt to break all-time highs.
Bitcoin price analysis, 1-day chart | Source: X @KoroushAK BTC Dominance (BTC.D) To clarify whether altcoins are poised for a significant move, Khaneghah turns to BTC Dominance. As he explains: “BTC.D (bitcoin dominance) tracks Bitcoin’s share of the total crypto market cap. “Increasing Dominance = BTC outperforms and altcoins lag (same for upside and downside). Decreasing Dominance = BTC cools off and money flows into Altcoins.”
BTC.D, 1-week chart | Source: X @KoroushAK Dominance rising typically means Bitcoin is absorbing the bulk of market liquidity. Meanwhile, a drop in BTC.D often suggests altcoins are about to see greater inflows of capital.
Crypto Market Cap Excluding Bitcoin (TOTAL2) The TOTAL2 chart, which excludes Bitcoin from the total crypto market capitalization, is key to analyzing altcoin behavior. Khaneghah advises: “When BTC.D Falls, TOTAL2 increases because capital is rotating into altcoins. When TOTAL2 breaks out, look for longs on the strongest altcoins, rotate out of Bitcoin, and shift capital into alts again.”
Crypto TOTAL2, 3-week chart | Source: X @KoroushAK He stresses that the highest probability trades come from identifying moments when the market rotates away from Bitcoin. In these instances, traders might see stronger returns by entering altcoin positions rather than remaining primarily in BTC.
ETH/BTC Khaneghah underscores that ETH/BTC is a helpful barometer for broader altcoin sentiment: “The best altcoin plays happen when ETH/BTC stops trending downwards because the market confidence in alts returns here.”
ETHBTC, 3-week chart | Source: X @KoroushAK When Ethereum is outperforming Bitcoin or stabilizing against it, it generally sparks confidence that altcoins could experience rallies, often referred to as “altseason.”
SOL/BTC Khaneghah also shines a spotlight on SOL/BTC, suggesting that Solana’s performance relative to Bitcoin could reshape altcoin capital rotation: “I don’t normally look at this but a comparison helps decide if the money rotation has a better reward within the SOL ecosystem or ETH. People will think SOL has ‘pumped already’ but I like buying coins with strength, rather than buying coins that might catch a bid.”
SOLBTC, 1-week chart | Source: X @KoroushAK While Solana has posted significant gains, Khaneghah believes its strong performance could continue. He notes that if Solana keeps outperforming Bitcoin, some capital might shift away from ETH, potentially amplifying activity across the SOL ecosystem.
At press time, BTC traded at $105,026.
BTC price, 4-hour chart | Source: BTCUSDT on Tradingview.com Featured image from Shutterstock, chart from TradingView.com
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On-chain data shows the Ethereum Market Value to Realized Value (MVRV) Ratio has just seen a signal that could prove to be bearish for ETH’s price.
Ethereum MVRV Momentum Has Witnessed A Bearish Crossover As pointed out by analyst Ali Martinez in a new post on X, the Ethereum MVRV Ratio has declined under its 160-day moving average (MA) recently. The “MVRV Ratio” refers to an on-chain indicator that keeps track of the ratio between the Ethereum market cap and the realized cap.
The realized cap here is a capitalization model that calculates ETH’s total valuation by assuming that the ‘real’ value of each token in circulation is equal to the spot price at which it was last transferred on the blockchain.
Since the last transaction of any coin is likely to correspond to the last point at which it changed hands, the Realized Cap essentially measures the sum of the cost basis of the circulating supply. This model could also be looked at as a representation of the amount of capital the investors as whole have put into Ethereum. In contrast, the market cap is the value that the holders are carrying right now.
When the value of the MVRV Ratio is greater than 1, it means the market cap is greater than the realized cap. Such a trend implies the investors as a whole are sitting on unrealized gains. On the other hand, the metric being under the mark suggests the holders are carrying a lower value than they initially put in, so the average investor could be considered underwater.
Now, here is the chart shared by the analyst that shows the trend in the Ethereum MVRV Ratio, as well as its 160-day MA, over the past year:
The two metrics appear to have crossed each other in recent days | Source: @ali_charts on X As is visible in the above graph, the Ethereum MVRV Ratio has registered a decline recently as ETH’s price has followed a bearish trajectory. The indicator is still above the 1 mark after this drawdown, suggesting the overall market remains in the green.
The metric’s fall, however, has meant that it has slipped under its 160-day MA. The combination of the indicator’s daily value and its 160-day is known as the MVRV Momentum. In the chart, Martinez has highlighted what happened the last time the MVRV Momentum showed a similar pattern as recently.
It would appear that the MVRV Ratio crossing under its 160-day MA led to a 40% price correction for Ethereum last year. It now remains to be seen whether the negative momentum in the indicator would also prove to be bearish for the cryptocurrency this time as well or not.
ETH Price At the time of writing, Ethereum is floating around $3,200, up more than 2% over the last seven days.
Looks like the price of the coin has seen a decline recently | Source: ETHUSDT on TradingView Featured image from Dall-E, Glassnode.com, chart from TradingView.com
Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.
The crypto sector is experiencing a bullish trend amid several positive developments. As per the data from Top 7 ICO, the cumulative market capitalization of the crypto market has touched $3.56T while Bitcoin ($BTC) price has jumped to the $104K mark. This underscores an increasing investor interest in the crypto realm.
In addition to this, the Fear & Greed Index is also neutral, standing at 54. The overall optimistic market overview potentially suggests a gradual movement toward a likely upcoming bull run.
Bitcoin ($BTC) Reaches $104,944, Raising Dominance to 58.5% The data from the crypto analytics company Top 7 ICO, the crypto sector is witnessing an upward trajectory. Particularly, Bitcoin’s price has spiked to $104,944, denoting a 2.4% surge during the past twenty-four hours. Additionally, the overall $BTC dominance has reportedly increased by 58.5%, indicating a 1.8% jump. Simultaneously, the top crypto token’s market capitalization is $2.07T. On the other hand, Ethereum’s dominance has seen a slight downside. In this respect, the $ETH dominance stands at 10.8%, accounting for a 1.6% dip.
Ethereum ($ETH) and Solana ($SOL) See 1.12% and 1.74% Price Surge over 24 Hours Along with that, the well-known crypto assets have also seen gains over the recent twenty-four hours. Particularly, the price of Ethereum ($ETH) is $3.182, showing a 1.12% rise over the twenty-four hours. Additionally, the market capitalization of Ethereum ($ETH) is $383B. Ripple ($XRP) has emerged as another gainer with a 24-hour increase of 0.07%. While its price is $3.1, $XRP’s market cap accounts for $178B. Moreover, Tether ($USDT) and Solana ($SOL) have also recorded 0.05% and 1.74% gains as their prices touch $1 and $237 respectively.
24-Hour Spot Volume Records Staggering $130B after a 15.3% Rise According to Top 7 ICO’s data, the ratio between the Bitcoin ($BTC) season and altcoin season has reached 44/100 over the past week. Furthermore, Dar Network, Solana ($SOL), and Worldcoin ($WLD) are also launching significant events to increase adoption. These events include the Dalarnia Legends Beta project, linear unlock of up to $15.8M, and linear unlock of almost $9.41M respectively.
Apart from the crypto landscape’s spike to $3.56T in market cap, the spot volume has touched $130B over the last twenty-four hours. This shows an enormous 15.3% rise. Keeping this in view, all the respective developments are paving the way for a potentially massive bull market in the near term.
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Shiba Inu could see its price eliminate a leading zero and trade with a market cap exceeding $132 billion if Solana reaches a price of $3,000.
Crypto assets like Solana (SOL) and Shiba Inu (SHIB) have experienced similar price dips recently as the bull momentum stalls but Optimism remains high in the crypto community regarding the future performance of both Solana and Shiba Inu. Both assets have a history of impressive growth during bull runs, and market participants are confident in their price actions.
For instance, at its current price of $240, Solana is up 183% over the past year. Similarly, at $0.00001983, Shiba Inu has gained 124% over the same timeframe.
This analysis considers the potential price of Shiba Inu should Solana’s value expand by more than ten-fold during this bull run.
Shiba Inu Price If Solana Reaches $3,000 At Solana’s current price of $247, a rise to $3,000 would require an increase of 1,115%. Notably, Solana currently has a market cap of $120.45 billion with a circulating supply of 486 million.
Should it maintain this supply, a price of $3,000 would bring Solana’s market cap to approximately $1.46 trillion, implying a 12-fold growth.
The market cap difference between Shiba Inu and Solana is approximately $110 billion. If Shiba Inu were to follow a similar growth pattern as Solana’s rise to $3,000 (i.e., its market cap grew by 12x), its cap could potentially increase to about $132 billion.
At press time, Shiba Inu is trading at $0.00001983 with a supply of 589 trillion tokens. A $132 billion market cap for SHIB would correspond to a unit price of $0.00024094.
This suggests that Shiba Inu could potentially cancel another zero if Solana reaches a $1.46 trillion market cap, especially if the current gap between the two assets remains unchanged.
Can Shiba Inu Reach a $132 Billion Market Cap? Numerous market analysts have expressed the belief that Shiba Inu could surpass a $100 billion valuation in this cycle. Recently, a Bitcoin analyst predicted that SHIB could reach prices of $0.000183312 (an 821% gain) and $0.0004729 (a 2,276% gain).
For context, both price projections would imply a market cap exceeding $100 billion for SHIB. Specifically, the $0.0004729 price corresponds to a $278 billion market cap, which the analyst believes is achievable this year.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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The Bitcoin (BTC) market recorded more losses than gains in the past week resulting in a net price decline of 2.37%. Nevertheless, investors and market experts alike remain highly bullish on the premier cryptocurrency’s potential for substantial gains amidst the current bull run.
Bitcoin Ready For $150,000 Price Target – Analyst In a Quicktake post on CryptoQuant, an analyst with username Percival has touted Bitcoin to achieve a $150,000 price in the current bull cycle. Commenting on the present market state which might be unsettling to certain investors, Percival states that Bitcoin’s price trajectory, marked by sharp upward spikes and periods of consolidation, resembles the structural dynamics of any mature financial asset.
In regards to future price movement, the analyst references a Fibonacci expansion from Bitcoin’s cycle low at $15,450 in November 2022 to the consolidation at $48,934 in 2024. In translating this historical data to the current market, Percival identifies a Bitcoin price target between $136,000 – $150,000 which is further supported by data from Bitcoin Realized Price Bands – a market metric that analyses supply based on different buying levels.
Source: CryptoQuant However, for Bitcoin to trade at $150,000, the asset must attain a total market cap of $3 trillion. Currently, there is strong historical data in support of this postulation. For context, Percival explains that Bitcoin Realized Cap rose by 470% in the previous bearish cycle in 2021. Presently, the realized Cap has only grown by 111% suggesting more potential for market growth.
Furthermore, the analyst identifies possible sources of demand to drive up the projected $3 trillion market expansion, one of which is the US Bitcoin Spot ETFs.
Notably, these investment funds registered nearly $40 billion in inflow during their debut trading year in 2024. With the US expected to adopt a pro-crypto stance in the Donald Trump administration, institutional demand is also likely to surge stronger through these ETFs. In addition, Percival includes the Bitcoin Futures market which is currently valued at $95 billion as another potential bullish driver for the projected market expansion
BTC Price Overview At the time of writing, Bitcoin trades at 102,334 reflecting a 1.66% decline over the last day. However, the flagship cryptocurrency is up by 7.93% on its monthly chart after a strong positive performance in January.
According to data from the prediction site CoinCodex, market sentiments remain bullish with the Fear & Greed Index of 76 which indicates extreme greed among investors. Looking forward, the analysts at Coincodex predict Bitcoin could trade at $113, 658 and $132,823 in the next five and thirty days respectively. In particular, they project the digital asset to have crossed $150,000 in the next three months.
BTC trading at $102,410 on the daily trading chart | Source: BTCUSDT chart on Tradingview.com Featured image from iStock, chart from Tradingview
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For the past few months, stablecoins have yielded the spotlight to their more speculative counterparts, including tokens inspired by politicians. However, recent on-chain data suggests that stablecoins are back and have surpassed the $200 billion market cap.
According to the data shared by Alphractal, the segment’s capitalization has surged to $211 billion, a record high, thanks to months of stable growth, which started in mid-2023.
Stablecoins‘ market capitalization grew by 73% from its August 2023 value of $121 billion, updated data released on January 31st show. The primary driver of this segment’s growth is still Tether’s USDT, however, USDC has been gaining ground recently, which is fascinating.
🚨 Stablecoin Market Cap Surpasses $211B – USDC Gains Momentum!
Since 2023, the stablecoin market has grown significantly, mainly driven by USDT (Tether). However, recently, USDC has been gaining an edge over other stablecoins.
This trend is occurring due to the recent drop in… pic.twitter.com/IRKrQErmCE
— Alphractal (@Alphractal) January 31, 2025
Tether’s USDT Remains Primary Driver Of Growth Since 2023, the stablecoin market has grown steady, mostly due to Tether’s USDT. As of now, stablecoins are worth $223 billion, which is a 0.2% increase from yesterday.
Interestingly, USDT and USDC are the present growth drivers of stablecoins. Apart from the numbers from both coins, the stablecoins group hasn’t changed much since 2023 and has shown steady and average values. Right now, Tether’s USDT is valued at almost $140 billion, and USDC is at $53 billion.
USDC Slowly Gains Ground On Other Coins Alphractal’s post on Twitter/X shows that USDC has been gaining ground over other stablecoins in the market. According to the post, this is happening due to a drop in altcoin prices and since a substantial part of the sell-offs have been swapped into USDC.
As of today, the market cap of cryptocurrencies reached $3.41 trillion. Chart: TradingView The post also showed that USDC’s dominance in this segment has hit a key resistance level, the same amount observed in 2021. This was the start of the bear market in 2022 when Bitcoin’s price dropped to as low as $15,500. If this metric persists, it can serve as the market’s bearish signal, impacting investors’ buying decisions. However, if this metric declines, it can be USDC’s jumping board to claim new highs.
What To Expect From The Stablecoins Segment In The Short-Term In the last bull run, USDC’s supply increased in May, then reached its high in March 2022. The stablecoin’s market cap increased by 170% from April 2021 to March 2022. If the current coin supply continues to grow but price starts to dip, then the stablecoin market may hit its peak in a few months.
Traditionally, a rising market cap for stablecoins reflects growing investors’ confidence, which signals an increase in capital inflows.
On the contrary, a rising stablecoin market cap is usually associated with growing investor conviction, signaling the potential for boosted capital inflows. This suggests that the bullish momentum could continue for a few more months.
Featured image from Gemini Imagen, chart from TradingView
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The crypto and US equities markets started the week on the worst possible note, reacting negatively to the launch of the Chinese AI platform DeepSeek. Despite the initial downturn, the Bitcoin price has since returned above the $100,000 level, moving mostly sideways to close the week.
According to a recent on-chain report, liquidity on centralized exchanges has reached a new record high, suggesting that crypto bulls now have increased buying power. The question is — can this fresh buying power push the Bitcoin price to a new high?
Impact Of Growing Stablecoins On Crypto Prices In its latest weekly report, blockchain intelligence firm CryptoQuant revealed liquidity in the crypto market has experienced a significant boost since the US Presidential election in November 2024. Liquidity in crypto is measured by the total value of circulating stablecoins, which recently reached a new all-time high.
According to data from CryptoQuant, the market capitalization of dollar-backed stablecoins surpassed the $200 billion mark last week and is currently at $204 billion, a record high. This value represents an over 22% expansion since Donald Trump’s victory in the US elections.
One major contributor to this growth is Tether’s USDT, which accounts for nearly 70% of the USD-denominated stablecoin market. USDT’s market cap currently stands at around $139 million, reflecting a 15% increase since November last year.
Source: CryptoQuant Interestingly, this expansion has been mirrored in the stablecoin balances of centralized exchanges, with the total amount of USDT on these trading platforms now at record levels. CryptoQuant revealed that the market cap of USDT on centralized crypto exchanges has increased from $30.5 billion to $43 billion in the past three months, representing a 41% increase.
Dollar-backed stablecoins are an important source of liquidity for trading on centralized exchanges. Hence, an expansion in the stablecoin supply of exchanges implies an increase in the buying power of crypto investors.
“The next leg up for Bitcoin and crypto prices could be around the corner, as the stablecoin liquidity impulse starts to expand again,” CryptoQuant noted. Moreover, a growing stablecoin market cap — especially on centralized exchanges — is historically correlated with higher Bitcoin prices.
CryptoQuant added:
USDT’s liquidity impulse (30-day % change in market capitalization) is now slightly positive after contracting by 2% at the start of 2025. A further acceleration typically drives crypto prices higher. Meanwhile, USDC’s liquidity impulse is expanding by 20%, its fastest pace in at least a year.
From a different perspetive Alex Merz, from the Blockchain Game Alliance stated: “The cryptocurrencies scene face a new era, in which online casinos accepting bitcoin and other cryptos are multipliang exponentionally their new customers, due to the recent approval of cryptocurrencies by many jurisdictions and local regulators, and because users now find a way to gamble in an anonymous way with their investment wins, thanks to the price increase.”
Bitcoin Price At A Glance As of this writing, Bitcoin is valued at around $102,400, reflecting an almost 2% decline in the past 24 hours.
The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView Featured image from iStock, chart from TradingView
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Opeyemi Sule is a passionate crypto enthusiast, a proficient content writer, and a journalist at Bitcoinist. Opeyemi creates unique pieces unraveling the complexities of blockchain technology and sharing insights on the latest trends in the world of cryptocurrencies. Opeyemi enjoys reading poetry, chatting about politics, and listening to music, in addition to his strong interest in cryptocurrency.
Prominent on-chain analytics firm Glassnode believes that Bitcoin (BTC) has more room to run to the upside based on one on-chain indicator.
On the social media platform X, the analytics firm points to BTC’s Realized Cap, which records the price at which each coin was last moved and aims to gauge how many holders are in profit or at a loss.
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Says Glassnode,
“Realized Cap tracks net capital inflows into Bitcoin, a key driver of bull markets. So far, it has grown 2.1x from the 2022 low – below the 5.7x peak of the last cycle. The typical euphoric phase sees a sharp acceleration, but this hasn’t fully materialized yet.”
Source: Glassnode/X Glassnode also notes that Bitcoin’s current cycle appears to be following in the footsteps of its 2015-2018 bull run, which was largely driven by spot market investors.
“Despite a much larger market cap, pullbacks have rarely exceeded -25%, reflecting strong demand, ETF (exchange-traded fund) inflows, and Bitcoin’s role as a macro asset.”
Source: Glassnode/X The analytics firm says when new demand materializes, price action tends to accelerate in a “second euphoric phase.”
“Prior cycles saw explosive growth, though a 100x rally from the low – like in 2015 – is unlikely at today’s scale. If demand strengthens, there may still be room for further expansion.”
BTC is trading at $101,807 at time of writing. The top-ranked crypto asset by market cap is down more than 3.5% in the past 24 hours.
A developer named Mini Doge announced that he launched the 1993 game Doom on the Dogecoin blockchain.
The game was launched using Inscriptions. A developer named Mini Doge announced that he found the 1993 game Doom inscribed onto the Dogecoin blockchain.
The game also has support for full-screen mode, which also works with a mouse. To do this, follow the link in the Content section. Mini Doge warned that the first boot would take about a minute.
To port the project, the developer used “inscription” technology; these are tokens based on the DRC-20 standard. When the client is deployed, all data is pulled directly from the Dogecoin blockchain.
Amid the launch, online activity jumped. A similar situation was observed at the stage of the appearance of Inscriptions in the Bitcoin network.
Source: BitInfoCharts The function of the Inscriptions has been repeatedly criticized. In particular, the US National Vulnerability Database (NVD) has flagged the “inscriptions” created in the Ordinals protocol as a cybersecurity threat to the Bitcoin network. According to the warning, in some versions of Bitcoin Core and Bitcoin Knots, BRC-20 can bypass restrictions on the amount of data transferred through a transaction by disguising it as code. Being listed as an NVD means a cybersecurity vulnerability has been studied, cataloged, and deemed necessary for public attention.
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Recent developments have rocked the bitcoin market; Bitcoin leads the drop and pulls numerous altcoins down as well. Though often written off as a joke, Dogecoin (DOGE) has shocked several analysts with its relative steadiness amid the crisis.
DOGE Holds On While Others Fall While well-known players like Bitcoin and Ethereum have witnessed notable price declines, Dogecoin has been able to keep support. With some experts cautiously hopeful, this surprising resilience has spurred discussions about the direction of DOGE.
Analyst Predictions And Community Sentiment Analyst forecasts drive this cautious optimism; figures like Crypto Patel say DOGE may have a buying opportunity from the present price adjustment.
Patel’s study shows DOGE’s relative stability during the recent market slump, therefore placing it perhaps for future expansion against other altcoins that dropped more steeply.
#DOGECOIN Chart Update 🚀
Down before the big pump$DOGE best accumulation zone:
$0.1-$0.07. I’m targeting $1 and $2 in the long term.
To those who’ve held for the last 6 years, your profit is 6900x at ATH and the current ROI is still 1150x.
Reminder: I never suggest… pic.twitter.com/bXT63iQb8V
— Crypto Patel (@CryptoPatel) June 24, 2024
Patel has proposed a “accumulation zone” for DOGE between $0.07 and $0.10, therefore implying a possible long-term price goal much higher. Based on his projection, DOGE might eventually climb to $1 or maybe $2.
Through social media campaigns and fervent buying frenzy, the driven “Doge Army” has a history of raising prices. Positive analyst views like Patel’s could inspire renewed community interest that could drive a spike in trading activity and maybe cause the price to rise.
DOGE market cap at $17.7 billion on the daily chart: TradingView.com The Challenge Of Sustainability The long-term sustainability of Dogecoin still begs questions. Although memecoins are naturally fluctuating, their value is more typically related with hype and social media trends than with actual usefulness. Although a temporary pump is definitely feasible, long-term success depends on elements outside community excitement.
Widespread acceptance and practical applications are what Dogecoin needs to really become established. Progress has been slow even as engineers work on enhancements like the “Dogechain” scaling solution. If DOGE is to have long-lasting success, constant growth and interaction with main platforms will be absolutely vital.
The Road Ahead For DOGE Dogecoin will depend critically on the next months. Will it find a niche in the always changing bitcoin scene using its recent resiliency and community support? Alternatively will memecoins’ natural volatility finally cause them to fade?
Featured image from Sports Illustrated Vault, chart from TradingView
Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.
On May 22, 2010, programmer Laszlo Hanyecz made history by spending 10,000 BTC on two pizzas — the first-ever real-world Bitcoin transaction. Since then, “Bitcoin Pizza Day” has become a symbolic celebration for the crypto community.
Fifteen years later, the symbolic power of this date has only deepened. On May 22, 2025, Bitcoin broke past $110,000 for the first time — and on the same day, President Donald Trump gathered the top 220 holders of $TRUMP for a private dinner.
The moment carried more than just fanfare — it marked a shift. As the most powerful figure in the world welcomed crypto believers into the halls of power, one face stood out under the spotlight: Justin Sun — Founder of TRON, Advisor to HTX, and the largest $TRUMP holder.
Justin and the Long Journey Toward Crypto MainstreamCrypto’s path from the fringes of the internet to the core of global politics is an epic marked by builders, believers, and long-term visionaries. When Laszlo posted his now-famous “pizza trade” on a forum in 2010, few could have imagined Bitcoin — or crypto — standing at the heart of U.S. political power just 15 years later.
This transformation was made possible by those who committed themselves to the cause, year after year. Justin is one of those rare figures who has never wavered. For over a decade, he’s not only stayed the course — he’s helped define it.
On the technical front, TRON has become one of the most active blockchain networks globally, especially in stablecoin payments. Millions of users rely on this foundation every day. On the cultural front, Justin has used his influence and HTX’s global brand to break crypto into the mainstream consciousness. From the legendary lunch with Warren Buffett to headline-grabbing art purchases, from a Forbes magazine cover to space travel giveaways for HTX users — Justin has consistently opened the window between the crypto world and the general public.
In recent years, Justin's strategy has expanded. He made two major investments totaling $75 million into World Liberty Financial (WLFI), the Trump family’s crypto project. He now serves as the project’s strategic advisor.
At TOKEN2049 in Dubai, Justin was seen in a relaxed conversation with Eric Trump. Not long after, WLFI’s stablecoin USD1 was listed on HTX.
Notably, all of this began long before Wall Street giants jumped into crypto — and well before the U.S. political establishment started seriously debating crypto regulation. Why was Justin so early?
“From the beginning, I believed that Donald Trump’s influence would bring a huge wave of positive momentum into space,” said Justin.
“As an advisor, I’m actively involved in providing insights and helping bridge the gap between crypto and traditional politics. Our objective is to establish a robust, long-term relationship with the Trump family and onboard individuals from traditional industries into Web3.”
Behind the Dinner: A New Chapter for CryptoIn his first term, Trump was openly skeptical of Bitcoin. But now, crypto has become a major card in his second-term agenda and a tool to rally next-generation voters. Hosting a dinner for $TRUMP holders sends a clear message: crypto is no longer a fringe asset — it is being embraced by political elites at the highest level.
And so, on the same day the world celebrates Bitcoin Pizza Day, Justin stood at the heart of American political power — carrying with him the hopes, infrastructure, and global vision of an entire industry. This was no coincidence — this was crypto’s rise from the edges to the center.
Justin was not just a guest — he was a messenger, a facilitator, and a representative of the broader crypto world. He extended an olive branch from Web3 to the traditional system — while guiding mainstream players into the blockchain era.
When Trump and Justin shook hands, the distance between crypto and the establishment closed just a little more. As crypto moves from being anti-establishment to influencing the establishment itself, leaders like Justin are helping write the new global rules of engagement.
With the Bitcoin Strategic Reserve Act passed, the GENIUS stablecoin bill under review, and Bitcoin reaching unprecedented heights, the future that crypto believers have long envisioned may now be arriving.
From Pizza to the Presidency — And BeyondBitcoin Pizza Day is not just a festive — it’s a reminder. That all great things begin with small steps: two pizzas, two dreamers, and a piece of code no one fully understands yet.
Today, as crypto leaders toast with a sitting U.S. president, the story continues — in a new form, on a new stage.
The only question now is: How will we write the next 15 years?
Justin is still running. And all of us — builders, traders, believers — are running with him.
This article was provided by our partner, HTX, and was originally posted on HTX.com.
Natalie Brunell has deemphasized the notion that Bitcoin would face a potential collapse by 2026. According to Brunell, she is more concerned with a collapse in the bond market or the current fiat system. Brunell explained that deflation is incompatible with the current fiat system. Award-winning journalist Natalie Brunell has deemphasized the notion that Bitcoin would face a potential collapse by 2026. Brunell expressed her opinion in a recent interview on FOX Business, stressing that she will be more concerned with a collapse in the bond market or the current fiat system.
According to Brunell, the current fiat system is built on credit, where the money in the bank is an IOU and someone’s liability. She said:
I would be more concerned with a collapse within the bond market or current fiat system because we live in a system built on credit. Our money in the bank is not our money. It is an IOU and someone’s liability.
Brunell further noted that deflation is incompatible with the current fiat system, citing that it would collapse, and the Federal Reserve (Fed) is trying to do everything possible to tighten the system. However, the media commentator believes the Fed doesn’t want deflation because it needs it to stay solvent.
According to Brunell, instead of worrying about a Bitcoin collapse by 2026, Bitcoiners are worried about the current system’s sustainability. According to her, celebrating falling inflation means that Americans are paying ridiculously higher prices for everything, and the rate of it getting more expensive is just slowing down and getting back to 2%.
The award-winning journalist questioned why Americans would need 2% of their purchasing power stolen yearly. She affirmed that instead, Bitcoiners want technological progress and productivity to flow to people. In addition, she noted that the Bitcoin community wants hard money instead of a system that is just based on credit. They want to invest in something that cannot be printed out of thin air and devalued.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
South Korea-based cryptocurrency exchange Upbit has announced new market support for the digital asset Clearpool (CPOOL). The exchange announced that CPOOL will be listed on KRW (Korean Won), BTC (Bitcoin), and USDT (Tether) trading pairs.
Upbit Announces New Market Support for Clearpool (CPOOL) According to the statement, CPOOL deposits and withdrawals will become active within 1 hour and 30 minutes of the announcement. CPOOL spot transactions will begin at 4:30 PM on October 22nd.
CPOOL will be traded on the Ethereum network. Upbit emphasized that users should carefully select the correct network before depositing assets. It warned that assets sent via different networks may not be processed and that the refund process may take longer.
During the new listing, various trading restrictions will be implemented to counter market volatility:
Buy orders will be closed during the first 5 minutes after the trade is opened.
Sell orders cannot be placed 10% below the previous day's closing price.
Only limit orders will be accepted for 2 hours after the start of trading.
Clearpool operates as a decentralized lending marketplace offering collateral-free lending to institutional investors. The project aims to strengthen the bridge between traditional finance and DeFi (decentralized finance). The platform provides institutional lending infrastructure through various products, including PayFi Vault, USDX Treasury Pool, Dynamic, and Prime lending pools.
The CPOOL token is used for staking, governance, and incentive mechanisms on the network.
With this move, Upbit aims to expand access to DeFi-based lending protocols and increase liquidity options for institutional users.
*This is not investment advice.
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