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James Wynn Bets Big Again: $100M Bitcoin Gamble Raises Eyebrows

Maxwell Mutuma
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0
James Wynn Bets Big Again: $100M Bitcoin Gamble Raises Eyebrows

Key Insights:

  • James Wynn has placed another $100 million Bitcoin bet days after a previous loss in May.
  • His new 945 BTC long position has a liquidation price of $103,630, which shows extreme fragility and high risk.
  • Wynn has openly accused “market makers” of intentionally targeting his positions.

James Wynn, a crypto trader with bold gambling strategies, has made another huge bet on Bitcoin. This time, he placed a $100 million leveraged trade. This move comes only days after he lost nearly the same amount in another gamble-trade.

Wynn’s trading style relies on extreme leverage and public transparency. His approach has led to accusations of market manipulation. These factors have sparked heated debates within the crypto industry.

Some see him as a strategist fighting against an unfair market, while others believe he’s recklessly fueling volatility. Here are the details of the most recent $100 million bet and what it could mean for the price of Bitcoin.

Doubling Down After a $100 Million Loss

On 30 May, James Wynn lost nearly $100 million when his famous 40x leveraged long position on Bitcoin was liquidated.  His trade, worth an eye-watering $1.25 billion, collapsed after BTC’s price briefly dipped below $105,000.

Wynn on a $677,000 losing streak
Wynn on a $677,000 losing streak | Source: Hypurrscan

This event triggered an automatic margin call, and the high leverage meant little room for error. However, rather than stepping back and reassessing his position, Wynn has bet again similarly within days.

According to blockchain data from Hypurrscan, he opened a new long position worth approximately 945 BTC, worth around $100 million.  The liquidation price for this new position is $103,630, which makes it just as fragile as the last one.

So far, Wynn is currently nursing an unrealized loss of over $677,000. This shows the cryptocurrency’s ongoing volatility and how quickly things can go wrong.

He added $480,000 in margin to lower his risk of sudden liquidation. His total stake in the trade has now reached nearly $3 million.

Wynn Accuses Market Makers

As usual, Wynn didn’t keep quiet about his new position. He took to X and claimed that his trades are being intentionally targeted by market makers.

Source: X
Source: X

In a post that quickly went viral, he called these actors “evil bastards.” He accused them of coordinating to push prices just low enough to force him into liquidation.

This isn’t the first time market manipulation claims have surfaced in crypto. However, Wynn’s public transparency is making him an easy target.

Crypto influencer Altcoin Gordon backed Wynn’s accusations. He pointed out that BTC’s price dipped just seconds after Wynn’s new position went live.

The price drops have nearly reached Wynn’s liquidation level. Many believe it was an intentional attempt to push him out of his trade.

Supporters Rally Behind Wynn

An interesting twist entered the picture. Wynn’s trading journey quickly became a public spectacle, especially with some people donating money to support him.

According to a crypto researcher known as “dethective,” over 24 wallets have sent stablecoins to Wynn in a crowdfunded comeback campaign.

Donors sending stablecoins to Wynn | Source: X
Donors sending stablecoins to Wynn | Source: X

The largest donation is close to $8,000. Wynn has encouraged these donations, even promising to reimburse contributors “assuming I win.”

Crowdfunding such a high-risk leveraged bet may seem reckless. Many disagree with Wynn’s gambling approach. However, his supporters view him as a symbol of resistance against algorithmic trading giants.

So far, Bitcoin trades at around $105,000 according to data from CoinMarketCap. However, if the cryptocurrency drops below the $103,630 liquidation mark, Wynn’s position could be wiped out again, just like the first.

Wynn’s position is large, making liquidation a serious risk. If he gets liquidated, it could lead to a broader market sell-off. This could be devastating for many traders.

Whales Are Selling Their Bitcoin: Is Price At Risk?

Josh Alba
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0
Whales Are Selling Their Bitcoin: Is Price At Risk?

Key Insights:

  • Bitcoin whales have been selling their holdings since 2017, and have reduced their total holdings by 40%.
  • These early adopters are taking in profits after holding BTC for 8-16 years.
  • The whale sell-off coincides with an increase in institutional and governmental Bitcoin acquisitions.

Bitcoin may still be holding strong above the $100,000 mark. However, underneath the surface, there is an ongoing a wave of profit-taking. According to available data, large holders, often referred to as “whales” have continued offloading their positions.

This trend has persisted for nearly a decade, and while retail investors and institutions remain bullish, data suggests the biggest and oldest Bitcoin holders are reducing their holdings. So, who’s selling and why now?

Whale-Sized Sell-Offs

According to on-chain analyst Willy Woo, whale wallets holding between 10,000 and 100,000 BTC have been steadily selling since 2017.

These whales were early adopters and bought their BTC at prices between $0 and $700. After holding for eight to sixteen years, many of them are now securing profits as Bitcoin continues to reach new highs.

A selling spree from the whales
A selling spree from the whales | Source: X

The numbers confirm this behaviour. Over the last eight years, the total BTC held by these whale entities has dropped roughly 40%, from 2.7 million coins to around 1.6 million.

This is not a sudden exodus by any means. Instead, it is a calculated and long-running strategy by these long-term holders who are cashing out their wins at reasonably high price levels.

While it’s easy to assume big investors would be buying more as Bitcoin reaches new highs, the opposite appears to be true. Those who got in early are choosing this moment to lock in gains.

“Big Whales” Exit as Institutions Enter

One of the interesting things about this trend is that it is happening while institutions and even governments are rushing to buy Bitcoin. This indicates a baton-pass of sorts, where the cryptocurrency is transitioning from a niche, high-risk asset to a more widely accepted one.

Woo addressed this on social media, and pointed out the curious timing. “Institutions and sovereigns are racing to buy billions in BTC,” he noted, “while the original whales are selling.”

This shows an important moment in Bitcoin’s life cycle, one where legacy holders are replaced by new entrants, all of whom have different motivations.

Bitcoin Hits All-Time Highs, Profit-Taking Intensifies

Bitcoin’s recent surge to an all-time high of nearly $112,000 in late May only added fuel to the profit-taking fire.

According to data from Glassnode, the average coin sold during this period brought in a 16% profit. That’s a strong incentive for holders, especially those sitting on older BTC to sell.

Glassnode weighs in
Glassnode weighs in | Source: X

Glassnode also reported that on June 3 alone, realized profit soared to more than $500 million per hour during three separate spikes.

This shows an intense selling pressure, even as prices remain historically high. For comparison, fewer than 8% of Bitcoin’s trading days have been more profitable for sellers.

Overall, despite this sell-off from whales, Bitcoin has shown a great deal of resilience. After peaking at nearly $112,000, the price retraced by about 5.5%, before dipping to $105,000 and then rebounding slightly. As of early June 4, the asset is now hovering somewhere around $105,750.

What This Means for Investors

Bitcoin has remained above the $100,000 level for a record-breaking 27 days. This is a lot more than its previous streak of 18 days above six figures back in January.

The psychological strength at this level shows that the market still has strong buying support, even as older players are flying the coop.

The ongoing profit-taking from whales doesn’t necessarily mean that a crash is inbound. However, it does show that the market is in a transition, where long-time whales are exiting and large institutions are entering.

Pump.fun Is Reportedly Planning To Launch Native Cryptocurrency

Maxwell Mutuma
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0
Pump.fun Is Reportedly Planning To Launch Native Cryptocurrency

Key Insights:

  • Pump.fun is reportedly planning a native cryptocurrency launch with a $1 billion token sale and a $4 billion valuation.
  • The rumored token launch has divided the crypto community, with speculators split between the token as a good idea, and as a tool for “degenerate gambling.”
  • Despite controversy, Pump.fun has generated nearly $700 million in cumulative revenue from almost 11 million created tokens.

Pump.fun, the viral Solana-based platform that lets users mint memecoins instantly, is reportedly preparing to raise $1 billion through a token sale.

According to multiple anonymous sources cited by Blockworks, the token sale could come with a $4 billion valuation. As such, this could place Pump.fun among the most highly valued crypto startups in 2025.

Rumors began to swirl on June 3, when a user on X claimed the token would launch within two weeks.

Not only this, the token would also be accompanied by a 10% community airdrop and listings on centralized exchanges.

While the speculation has drawn massive attention, Pump.fun has yet to deny or confirm anything across its public channels.

The Community is Divided

Unsurprisingly, the crypto community is split over what this token could mean for the industry as a whole.

Supporters like influencer Ansem, seem to be excited about the possibility, especially if the token gets listed on perpetuals-focused DEXs like Hyperliquid.

Ansem sees the move as a natural next step for a platform, which played a major role in the Solana memecoin craze during 2024.

Incoming airdrop for users
Incoming airdrop for users | Source: X

However, others are less optimistic. Ash Crypto for example, strongly criticized the platform. He claimed that Pump.fun has damaged the crypto space by turning legitimate investors into degenerate gamblers.

“PumpFun has ruined crypto,” he wrote. He also argued that the platform has “extracted” hundreds of millions in value while most token buyers have lost money.

$700 Million in Revenue, But What’s Next?

Despite the controversy, there’s no denying Pump.fun’s financial success. According to data from DefiLlama, the platform has generated a staggering $677 million in cumulative revenue as of early June 2025.

Users have created nearly 11 million tokens on the platform, with a combined market cap of roughly $4.5 billion.

These impressive figures have created further questions about how necessary a new fundraising round would be. For example, developer 0xngmi, a DefiLlama contributor, questioned why Pump.fun would raise $1 billion if it’s already sitting on close to $700 million. “What are they planning to do with $1bn?” the developer asked on X.

Speculation on the token
Speculation on the token | Source: X

If the rumours of the token sale are true, then Pump.fun would need to raise funds from both public and private investors.

However, the lack of clear information about token utility or governance mechanisms has left even Pump.fun’s loyalists in the dark.

Declining Revenues and a Memecoin Market Slowdown

The rumors come at a time when Pump.fun’s own revenue is in sharp decline. In May, the platform pulled in $46.6 million, which is a massive 66% drop from its January peak of $137 million.

This trend could indicate that interest is either waning in memecoins, or simply that the Pump.fun ecosystem is saturated.

This dip in earnings also coincides with the general market’s slowdown, particularly in the memecoin sector.

According to CoinMarketCap, the total market cap of meme-based tokens has fallen to $61 billion as of June 4.

The memecoin market cap
The memecoin market cap | Source: CoinMarketCap

This comes as a 54% plunge from its December high of $137 billion. Considering the fewer high-performing memecoins and a more skeptical investor base, the golden era of instant token launches might be losing steam.

So far, the Pump.fun token idea looks like a favourable one, but analysts generally aren’t so sure.

What a Pump.fun Token Could Mean for Crypto

If Pump.fun does move forward with a token launch, the implications could be massive for the crypto space. On the one hand, it could bring more attention, users, and liquidity to the Solana ecosystem.

Moreover, a successful listing on major exchanges could also improve sentiment around memecoin launchpads as serious crypto ventures.

On the other hand, it could fuel more reckless speculation and increase arguments that crypto is becoming less about innovation and more about gambling.

The irony will become that Pump.fun, which started as a tool for fun and experimentation, may now become a symbol of loss and “degenerate behavior” that has been plaguing the crypto industry for the past two years.

Vitalik Buterin Moves $1.83M to Railgun, Cites Privacy As A Fundamental Right

Maxwell Mutuma
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Vitalik Buterin Moves $1.83M to Railgun, Cites Privacy As A Fundamental Right

Key Insights:

  • Vitalik Buterin transfers 693.91 ETH and 340.9K USDC to privacy protocol Railgun.
  • Privacy advocacy continues as Buterin supports on-chain confidentiality tools.
  • Ethereum sees major spike in user activity with Layer 2 growth and technical breakout potential.

Vitalik Buterin has moved $1.83 million worth of assets to the privacy-focused protocol Railgun, sparking renewed attention on blockchain privacy.

The transfer, which included 693.91 ETH and 340,931 USDC routed through a linked intermediary wallet, was consistent with Buterin’s longstanding views on transaction confidentiality.

As this move came, Ethereum ecosystem activity has spiked to record highs, with over 17.4 million active addresses interacting in a single week.

Buterin’s action represents a growing schism between centralized oversight and user-driven privacy innovation in crypto infrastructure.

Buterin Reinforces Privacy Commitment With On-Chain Transfer

Ethereum’s co-founder continues to push privacy as a core value via real blockchain activity. On June 4, Buterin moved nearly 694 ETH and over 340K USDC to Railgun, a smart contract protocol for private transactions.

The original sender was shielded using address 0x18…F10E which was used as an intermediary to make the transfer.

Around $240,931 in USDC came from the Moloch Foundation, which backs Ethereum ecosystem development. Now, the assets are inside Railgun’s privacy pool, a protocol for confidential token transfers via zero-knowledge proofs.

The action comes after a number of public comments from Buterin in defense of the use of privacy tools in open financial systems.

ethereum
Source: X

Unlike past solutions like Tornado Cash, Railgun includes protective features to mitigate the risk of malicious activity. It screens wallet participants while keeping user identities private, but not anonymous.

Buterin has always argued that people should have basic financial privacy without surveillance. That principle is reflected in his recent transfer by direct protocol usage.

The crypto community reacted to the transaction quickly, viewing it as an unequivocal endorsement of encrypted transaction layers.

Praise for transparency of intent, speculation about future regulatory scrutiny and more were discussed across social platforms.

Buterin’s action comes as governments clamp down on anonymous tools and puts privacy back in the spotlight for blockchain innovation.

Ethereum Ecosystem Sees Record Weekly Engagement and Layer 2 Growth

As privacy protocols gain traction, so has Ethereum’s overall network usage. GrowThePie data shows that Ethereum hit 17.4 million active addresses in a week, a 16.95% increase. Gas fees drop, Layer 2 networks expand and Ethereum becomes more accessible to users which brings this spike.

Ethereum weekly engagement
Ethereum weekly engagement | Source: growthepie.com

Layer 2 dominance rose 18.43% week over week to 7.55x and the number of addresses interacting with multiple chains stayed flat at 590,403.

These are metrics of growing adoption and confidence in Ethereum’s scaling roadmap. Now, with lower transaction costs and broader interoperability, more real-world usage is coming back on-chain.

ethereum price chart
Source: X

Bullish technical structure is also forming on Ethereum’s price chart and weekly engagement is spiking in line with this.

Analysts say the pattern is a Wyckoff Spring and Test, with a projected breakout to levels above $4,300.

This setup means that Ethereum has finished its corrective phase and could start a new bullish trend if market conditions continue.

Market Watches Vitalik’s Moves as Privacy and Regulation Collide

Buterin’s transaction comes as regulators are increasingly scrutinizing privacy tools, including Tornado Cash, which has been cracked down on.

But Railgun has a different model with privacy layers built in and anti-abuse checks, which may be more attractive to legal frameworks. But high-profile figures using privacy protocols could still attract regulatory attention.

Buterin has always been a privacy advocate, arguing that privacy is normal and is something blockchain users should expect. He thinks that people shouldn’t have to expose their whole history to the public or to centralized parties in a financial transaction.

It has been stated in blogs and speeches and now is being realized through real usage of technologies that are in line with those values.

While the momentum was positive, some community members were worried about backlash. Fear of renewed attention on privacy may pressure protocols like Railgun.

However, supporters say that innovation in this area is essential to maintaining decentralization and user autonomy. Buterin’s transfer for now is a strong statement of support for blockchain privacy and individual sovereignty.

Meta Shareholders Trash $70B Proposal To Add Crypto To Balance Sheet

Anuj Bhor
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Meta Shareholders Trash $70B Proposal To Add Crypto To Balance Sheet

Key Insights:

  • Meta Platforms shareholders massively rejected a proposal to allocate a portion of its $72 billion cash reserves to Bitcoin.
  • The “Bitcoin treasury assessment” proposal, which sets Bitcoin up as an inflation hedge, received only 0.08% shareholder support.
  • Meta CEO Mark Zuckerberg’s voting power (61%) likely affected the proposal’s rejection.

Meta Platforms Inc., the parent company of Facebook and Instagram, has rejected a shareholder proposal to spend a portion of its multi-billion-dollar cash reserves on Bitcoin.

The decision was disclosed in a May 28th regulatory filing, and shows some ongoing resistance within Meta and many other major corporations when it comes to accepting Bitcoin as a treasury asset.

While this vote might come as a surprise to some, it shows the ongoing tension between traditional corporate finance and crypto.

Proposal Gets Just 0.08% Support

The proposal, which has been dubbed the “Bitcoin treasury assessment,” was spearheaded by Bitcoin advocate Ethan Peck. He urged Meta to consider allocating part of its $72 billion cash reserve to Bitcoin as a hedge against inflation.

Rejected Bitcoin proposal
Rejected Bitcoin proposal | Source: X

However, the plan gained only a little bit of traction with only 3.92 million shares or just 0.08% of the total cast in favor. In contrast, nearly 5 billion shares voted against the move.

Meta CEO Mark Zuckerberg, who controls approximately 61% of the company’s voting power, likely played a role in the rejection. No official comment has been made by Zuckerberg or Meta’s board regarding the vote. However, Bitcoin is likely coming nowhere near the company’s balance sheets, for now.

Peck’s Case for Bitcoin

Ethan Peck, who submitted the proposal through his family’s Meta shares, framed Bitcoin as a modern alternative to cash and bonds, especially with rising inflation.

In his supporting statement, Peck warned that Meta’s current treasury strategy, which is heavily reliant on cash and low-yield bonds, is eroding shareholder value.

Peck’s Bitcoin proposal
Peck’s Bitcoin proposal | Source: TradingView

“Since cash is consistently being debased and bond yields are lower than the true inflation rate, 28% of Meta’s total assets are consistently diminishing shareholder value,” he argued.

He also referenced BlackRock’s research, which shows that a 2% Bitcoin allocation could offer a reasonable balance between risk and reward for institutional investors.

Despite the strong convictions behind his case, shareholders clearly did not align with Peck’s arguments, at least not yet.

The Pattern of Rejection in Big Tech

Meta isn’t the only tech giant where Peck has pushed for crypto adoption. Similar Bitcoin proposals he led have also been rejected at Microsoft, with another vote upcoming at Amazon. At Microsoft’s annual meeting in December, shareholders similarly voted down a Bitcoin allocation proposal.

Meanwhile, Amazon investors are expected to lend their opinions on a 5% Bitcoin treasury allocation proposal later this year. These consistent rejections show that many tech giants still see Bitcoin as too volatile or speculative for treasury use, especially when compared to less “risky” financial instruments.

Public Firms Are Still Betting on Bitcoin

While Meta and its peers are hesitant, other companies are moving forward with Bitcoin.

According to data from BitcoinTreasuries.NET, 116 public companies now hold Bitcoin on their balance sheets. GameStop and Sweden’s health-tech company H100 are among the latest entrants.

One of the pack leaders is MicroStrategy, which holds an eye-watering 580,250 BTC that was worth approximately $60.9 billion at the time of writing.

Other major holders include Marathon Digital and Tesla, each with over $1 billion in Bitcoin. These companies aren’t just passively holding Bitcoin either. Many are actively raising capital to increase their positions.

Like MicroStrategy, for instance, which continues to issue convertible debt to buy more BTC.

The surge in Bitcoin’s price has only added fuel to the fire. The cryptocurrency recently hit a new all-time high of $111,965, which stands as a more than 50% increase since early April.

Companies raising billions to buy Bitcoin
Companies raising billions to buy Bitcoin | Source: X

Trump Media & Technology Group recently announced plans to raise $2.5 billion to invest in crypto, and Blockchain Group revealed a €63.3 million bond sale.

Overall, whether Meta and other Big Tech firms will eventually follow in MicroStrategy’s footsteps remains to be seen. What is clear, however, is that the divide between early adopters and latecomers continues to get wider.

Trading Volumes Surge As Binance US Lists Hyperliquid’s $HYPE: Time To Buy?

Jackson Kelley
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Trading Volumes Surge As Binance US Lists Hyperliquid’s $HYPE: Time To Buy?

Key Insights:

  • Binance US’s upcoming listing of Hyperliquid’s $HYPE token has already caused a 6% price surge for HYPE.
  • Hyperliquid is gaining traction in DeFi and is beating competitors like dYdX in trading volume and open interest.
  • Despite hitting the $39.96 high recently, $HYPE is facing resistance around $40 and the RSI on the daily chart shows that it could be overbought.

The crypto community has been buzzing with excitement throughout the week, especially after Binance US revealed plans to list the HYPE token.

The HYPE token is native to the Hyperliquid trading platform and while the announcement lacked a confirmed launch date, it has had some interesting effects so far.

So far, the price of HYPE has increased by over 6% within 24 hours. This stands as another major step forward for Hyperliquid, which has been gaining popularity on its own over the last few months.

A Bullish Signal With Sparse Details

On June 2, Binance US announced via social media that spot trading for HYPE would be “coming soon” to its platform.

Even though the exact date wasn’t part of the announcement, the statement was enough to generate excitement among traders and investors.

The listing is especially interesting, considering how Binance Futures had already introduced Perpetual futures contracts for HYPE only a few days before. However, the lack of specific timing has led to some cautious optimism.

Hyperliquid listing on Binance
Hyperliquid listing on Binance | Source: X

Some in the crypto community are skeptical due to past tension between Hyperliquid and Binance.  These concerns are coming from a recent incident involving the JELLYJELLY short squeeze crisis, in which Binance was accused of worsening Hyperliquid’s financial troubles.

There has been concrete evidence for these claims, but the episode has left a sense of mistrust among some users.

Hyperliquid’s Popularity in the Defi Space

So why is Hyperliquid so interesting as a platform?

The platform quickly became a force to be reckoned with in decentralized trading. The platform was built on its own layer-one blockchain and offers a low-fee trading experience that doesn’t rely on existing platforms like Ethereum or Solana.

This means that Hyperliquid has greater control over speed, scalability and user experience. As such, it is a very interesting alternative to centralized exchanges like Binance or Coinbase.

The platform quickly became a force to reckon with in decentralized trading. The platform was built on its own layer-one blockchain and offers a cheap trading experience that doesn’t rely on platforms like Ethereum or Solana.

This means that Hyperliquid has greater control over speed, scalability and user experience. As such, it is a very interesting alternative to centralized exchanges like Binance or Coinbase.

The platform recently set multiple records, including an all-time high in open interest at $10.1 billion as of May 26. Just days later, it overtook dYdX in trading volume and beat Sui in market cap.

These milestones were further improved by high-profile trades from crypto whale James Wynn, who helped popularize the platform and push its trading volumes to $8.6 billion.

Price Surge Incoming?

HYPE has shown considerable momentum in the market. After retesting its previous all-time high, the token surged to a new record of $39.96.

However, the rally was short-lived. Soon after this peak, HYPE pulled back for four consecutive days, which indicates that the $40 mark may now be a strong resistance level.

The HYPE token’s performance
The HYPE token’s performance | Source: TradingView

Indicators like the Relative Strength Index (RSI) indicate that the token may have entered an overbought phase.

This metric has hit a reading of 86.5 before retreating below its 14-day simple moving average (SMA), which could be a major sign of an incoming trend reversal. On the support side, the $28 to $30 price range appears to be important.

Historically, the $28 mark acted as a resistance level and could now flip to support. Traders are watching this area closely as a major pivot zone.

Intraday charts also show support around $31.5 and $30.5, with the next possible resistance target near $36 if the price rebounds.

Overall, the next few days could be very important for both Hyperliquid and its HYPE token. If Binance US provides an official listing date soon, it may inject more strength into the token’s price.

In a more general sense, Hyperliquid is setting itself up, not just as a trading platform, but as a major competitor to bigger platforms. Whether HYPE can stay above the $30 threshold and push beyond $40 depends on more than technicals.

June Opens WIth Fresh $15 Million Hacks

Josh Alba
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June Opens WIth Fresh $15 Million Hacks
  • June began with over $15 million in crypto losses from two separate hacks on Nervos Network’s Force Bridge and BitoPro exchange.
  • The Force Bridge exploit resulted in around $3.7 million in stolen assets, including ETH, USDT, and WBTC.
  • Taiwan’s BitoPro exchange suffered an estimated $11.5 million loss from a hot wallet breach on June 1st.

June of this year has started on a sour note for the crypto community. Two separate hacks have resulted in over $15 million in combined losses within the month, with only a few days on the calendar.

The first incident involved a cross-chain exploit on Nervos Network’s Force Bridge, while the second hit Taiwan’s BitoPro exchange. Combined, both of these incidents have led to losses of millions in user funds, and here are the details.

The Nervos Network Exploit

The first attack targeted Force Bridge. For context, Nervos is a cross-chain solution developed by the Nervos Network for interoperability with other blockchains like Ethereum and BNB Chain.

Early on 1 June, Magickbase (the entity operating Force Bridge) detected abnormal activity at 03:12 UTC. Despite suspending bridge services shortly after, the damage had already been done.

Updates on the hack
Updates on the hack | Source: Cyvers

According to updates from Cyvers Alerts, a suspicious wallet had gained unauthorized access to the protocol and allowed the attacker to siphon off roughly $3.7 million in digital assets including ETH, USDT, USDC, DAI and WBTC.

After executing the theft, the funds were then converted into ETH and routed through Tornado Cash. According to Cyvers Alerts’ analysis, confirmed losses had reached $2.65 million by 07:17 UTC.

However, a later statement from Magickbase revised the figure to $3.7 million, across Ethereum ($3.1M) and the BNB Chain ($600K).

The bridge has now been temporarily disabled, with cross-chain transfers now halted between Ethereum, BNB Chain, and Nervos’ native CKB chain.

The BitoPro Breach

On the same day, another serious hack hit BitoPro, a Taiwan-based crypto exchange.

This hack resulted in around $11.5 million in losses. As of writing this report, the exchange was yet to issue a public statement. Notably, independent blockchain investigator ZachXBT estimated the attack occurred not in June, but in May.

The hack seems to have involved hot wallets, which are more vulnerable compared to cold wallets.

Updates from Zach XBT
Updates from Zach XBT | Source: Telegram

BitoPro has since confirmed that the hack happened during a wallet system upgrade and asset transfer process. However, the full extent of the damage is still mostly unclear.

According to CoinGecko, BitoPro recorded over $24 million in 24-hour trading volume, which shows that it is still operational despite being hacked.

$244 Million Lost in May Alone

These two hacks come on the heels of an already damaging May for the crypto industry. According to reports from PeckShield, hackers stole over $244 million during the month.

One of the biggest of these hacks involved Cetus, where suspected North Korean hackers stole more than $200 million in funds.

The hacks in May
The hacks in May | Source: X

Meanwhile, derivatives platform BitMEX narrowly avoided a similar fate when it successfully escaped an attempted hack from the same Lazarus Group.

These figures show that the crypto industry is seen as a lucrative and relatively easy target for malicious attackers.

In essence, crypto is moving fast, but security isn’t keeping up. These two hacks of over $15 million in the first days of June sent a clear message throughout the crypto space.

Whether it’s cross-chain bridges like Force Bridge or trading platforms like BitoPro, vulnerabilities are everywhere, and attackers are always watching.

Unless the industry unites around better security practice, the price will continue to be paid not just in dollars, but in crypto and in trust.

Is Bitcoin Heading Toward A New All-Time High After Powell’s Interest Rate Remarks

Maxwell Mutuma
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Is Bitcoin Heading Toward A New All-Time High After Powell’s Interest Rate Remarks

Key Insights:

  • Bitcoin surged above $105,000 amid speculation of Fed interest rate cuts after Powell’s remarks.
  • Powell’s emphasis on economic modeling and risk management shows a more flexible Fed stance that could benefit risk assets like Bitcoin.
  • Cooling inflation and a stable labour market indicate that the FED could indeed be considering rate cuts.

Bitcoin recently broke above the $105,000 mark, amid the wave of optimism around possible interest rate cuts from the U.S. Federal Reserve.

The rally was triggered by Fed Chair Jerome Powell’s recent comments at the 75th anniversary of the Fed’s International Finance (IF) Division.

During this meeting, Powell pointed out the part that economic modeling plays in assessing macroeconomic uncertainty.

While Powell didn’t explicitly promise any kind of monetary easing, his tone and phrasing showed that interest rate cuts could be on the horizon if the ongoing economic trends persist.

Here’s how this could fuel a new all-time high for Bitcoin.

Powell’s Remarks Show Incoming Flexibility

At the event, Powell focused on the importance of modeling international finance and economic uncertainties. He emphasized how these tools help the Federal Open Market Committee (FOMC) make better decisions.

Even though he announced no formal policy changes, his repeated references to scenario analysis and risk management have been interpreted by analysts as a signal that the Fed is preparing to change its stance. For crypto investors, this was a green light.

Any move toward lower interest rates would likely weaken the U.S. dollar, which is a trend that has always benefited risk-on assets like Bitcoin. As a result, traders quickly rotated funds into the crypto market and prices turned green.

Macroeconomic Conditions Support a Bullish Outlook

What’s driving this shift in sentiment isn’t just Powell’s speech. It is the general macroeconomic backdrop. The latest Consumer Price Index (CPI) shows annual inflation at 2.3%. This trend is also inching close to the Fed’s target of 2%.

Meanwhile, the unemployment rate remains stable at 4.2%, and is showing a resilient labor market. This blend of declining inflation and strong job numbers gives the Fed more flexibility to consider rate cuts without risking economic overheating.

According to analyst Kyle Chassé “Rate cuts on the table later this year. That’s rocket fuel for Bitcoin.”

Insights on Bitcoin
Insights on Bitcoin | Source: X

And it’s not just words. According to CoinMarketCap, Bitcoin hit $105,568 shortly after Powell’s remarks. Even though the 24-hour gain was just 0.62%, the move above $105,000 is seen by many as a bullish breakout.

Bitcoin as a Hedge Against Uncertainty

More than mere rate cuts and macroeconomic numbers, there is an increasing narrative around Bitcoin being used as a hedge against both inflation and a weakening dollar.

This is especially true in the current environment, where traditional financial systems are more vulnerable to policy shifts.

Investors are more and more looking towards crypto and other risk assets as a way to protect their wealth. This means that if the dollar continues to slide, Bitcoin could become an even more attractive store of value. Therefore, prices could rise indeed.

Technical Signals Point to More Upside

The fundamentals are strong, but what do the charts say? Technical analysts are leaning bullish, like TradingShot, a well-known trading strategist.

The analyst recently noted that Bitcoin has bounced off its 4-hour 200-period moving average. Keep in mind that the cryptocurrency has respected this price level since mid-April. The bounce was further followed by the formation of an “Arc pattern” on the four-hour chart.

In addition, the Relative Strength Index (RSI) on the daily chart dipped into oversold territory recently.

This shows that Bitcoin may be due for a short-term reversal to the upside, as buyers tend to step in when the market is showing signs of exhaustion.

According to TradingShot, if Bitcoin can break above its 4-hour 50-period moving average, we could see a 16% rally that takes the price to around $120,000.

Moustache predicts Bitcoin pump
Moustache predicts Bitcoin pump | Source: X

Other analysts, like trader El_crypto_prof, have identified $102,000 as a very important buy zone, while pointing to $97,000 as an equally important support level that needs to hold by all means.

Can Bitcoin Reach $120,000?

With the ongoing macroeconomics and technical setups aligning, many analysts believe a move toward $120,000 is not only possible but even probable.

These analysts believe that breaking above current resistance levels could create a fresh supply of buying interest, especially if institutional investors interpret the Fed’s tone as a signal to increase risk exposure. That said, Bitcoin still faces several more hurdles in the short term.

XRP Price Faces A 20% Correction, Is A Drop Below $2 Inevitable

Anuj Bhor
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0
XRP Price Faces A 20% Correction, Is A Drop Below $2 Inevitable
  • XRP price is showing strong signs of a 20% correction dropping below $2 to $1.70.
  • A falling wedge formation and a massive drop in RSI readings show a weakening bullish momentum.
  • XRP has broken a major rising channel support and is confirming a bearish market structure.

XRP price is showing signs of trouble ahead. Despite staging a strong rally earlier this year, technical indicators and on-chain data now show that a correction could be on its way.

Many analysts believe that XRP may soon dip below the $2 mark, and could even crash as low as $1.70. Here are some of the biggest signals to keep an eye out for, as well as some signs investors should watch out for.

XRP Price Enters Bearish Territory

XRP had a solid run earlier this year. From February to May, the token surged by about 62% and moved from a low of $1.61 to a local high of $2.65. However, that rally appears to be close to being over.

For the past few months, XRP has been trading in a falling wedge formation, which is a major signal that momentum is weakening gradually. However, that rally appears to have been short-lived.

Possible price decline on XRP | Source: TradingView

As of now, XRP now trades at around $2.19, which is roughly 18% below its recent high. However, this drop might not be the end so far, because according to analysts, XRP could fall further by another 20% of the ongoing bearish trend continues.

More importantly, the cryptocurrency could be targeting a massive support zone around $1.70 to $1.72.

One of the clearest signals of XRP’s bearish turn comes from its Relative Strength Index (RSI). Keep in mind that in mid-May, XRP’s RSI stood at a healthy 68. This indicates that the bullish momentum was strong.

However, since then, it has dropped to around 41, which shows that the selling pressure is increasing. With this in mind, if the RSI continues to drop, it could be a signal that there is more pain ahead for the cryptocurrency and its investors.

A Key Support Has Been Broken

According to recent insights from technical analyst “MasterAnanda” on TradingView, XRP recently broke below a rising channel pattern. The analyst noted that this structure previously provided strong support during the rally.

What to watch out for with XRP|Source|TradingView

More notably, the token has now seen three consecutive daily closes beneath this support line. It is worth noting that the break below this channel is no small event. It shows that the market structure is weakening and that buyers are starting to lose confidence.

While a short-term bounce is possible, MasterAnanda warns that the bearish trend may not be over yet. His target in this case, sits at around $1.72, which could serve as the next major support.

Bearish Divergence Raises More Red Flags

Another disturbing signal is the bearish divergence forming on XRP’s weekly chart. Since November 2024, the cryptocurrency’s price has been making higher lows, which tends to indicate some upward momentum.

However, the weekly RSI has been steadily dropping from 92 to 51 during the same period. This divergence between price and RSI is troubling.

In technical analysis, such a disconnect is a major sign of a trend reversal. It means that although the price is on the rise, the underlying strength of that movement is fading. Traders tend to see this as a cue to take profits or reduce exposure.

Moreso, the resistance zone between $2.50 and $2.65 is another major issue because XRP has repeatedly failed to break through this level, and another rejection here could worsen the dump.

On-Chain Metrics Confirm the Weakness

The bearish outlook isn’t limited to price charts. On-chain data from Glassnode also paints a worrying picture for XRP. For example, back in March 2025, the XRP Ledger saw a year-to-date high of 608,000 daily active addresses (DAAs).

That number has since plummeted to around 31,200, which shows that fewer users are interacting with the network. In addition, new wallet creation has fallen from a high of 15,800 new addresses in March to just 4,400 at the time of writing.

These metrics are often seen as a proxy for investor interest and user adoption, and a decline in both indicates that the overall sentiment around XRP may be turning sour.

Overall, with XRP price hovering near $2.19, the next few weeks will be very important for the price of the cryptocurrency. If the price fails to hold the $1.70–$1.72 support range, it could lead to an even deeper decline.

However, if XRP manages to bounce from this range and attract new buying interest, it could stabilize and attempt another push toward the $2.50 resistance.

Dogecoin Breaks Out As Derivatives Surge, But Weekly Death Cross Signals Caution

Maxwell Mutuma
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0
Dogecoin Breaks Out As Derivatives Surge, But Weekly Death Cross Signals Caution
  • Dogecoin options volume jumps 98%, showing rising trader speculation
  • Futures open interest climbs 2.6%, reflecting increased market exposure
  • Death cross forms on weekly chart, raising long-term trend caution

Dogecoin is witnessing a surge in derivatives activity, with sharp increases in both options volume and futures open interest. This signals renewed interest from traders expecting heightened volatility in the coming sessions.

At the same time, DOGE has broken out of key chart patterns, pointing to a potential bullish reversal. However, a recent death cross on the weekly timeframe raises caution, suggesting that upward momentum may still face headwinds.

Derivatives Markets Show Aggressive Positioning

Dogecoin’s recent derivatives data points to growing risk appetite among traders. Fresh capital is entering the market as futures open interest has increased 2.6% to $2.11 billion.

Meanwhile, options open interest has risen 23.64% to more than $508,000, indicating aggressive positioning on both ends of the trade.

Source: CoinGlass

Options volume also spiked by 98.13% to $164.93 million, which means traders anticipate a big move in price. This is a spike of the magnitude that often accompanies major price transitions or impending volatility.

DOGE’s futures market has also seen volume rise over 8% to over $3.2 billion. This means that the market is becoming more and more participatory and institutions and retail traders are becoming more interested.

A simultaneous rise in both volume and open interest is usually an indication of strong conviction in price direction.

But also, an increasing open interest can signal that there is a great deal of leverage building. That means it raises the risk of large liquidations.

Technical Patterns Signal Breakout, But Volume Lags

On the 30-minute chart, DOGE recently broke above a symmetrical triangle, which is often a bullish continuation pattern.

Doge 30-min tf | Source: X
Doge 30-min tf | Source: X

However, DOGE is still near the breakout zone, and it needs follow-through volume to stay in the momentum.

Additionally, on the daily chart, Dogecoin is building a pattern similar to the one it had before its last big rally. The falling wedge ended with a breakout in the same way as late 2023’s accumulation period. According to Trader Tardigrade, this pattern could suggest more gains if the current price levels are maintained.

Doge 1 day- chart | Source: X

But caution is still advised. On the weekly chart, a “death cross” has printed, as the 20-week SMA crosses below the 50-week SMA.

This pattern tends to be seen as a bearish long-term signal and has historically preceded price corrections in major assets. This signal must be invalidated by the current uptrend by moving above key resistance levels.

Doge weekly tf – sma death cross | Source: X

To the mixed picture, spot trading volume continues to fall. Charts show DOGE trading activity has been consistent in its decline since March, with volume dropping from $60 billion to under $5 billion.

This means the current rally is more likely being pushed by leveraged derivatives rather than organic buying interest.

Developer Activity Stable But Still Limited

The network fundamentals of Dogecoin have not changed much, and there has not been a big change in core development activity.

Over the last 12 months, there have been an average of 3.0 core developers. This is a small number compared to other Layer 1 ecosystems that are more actively developed.

Doge core developers | Source: token terminal

Since March 2025, the developer count has had a small uptick, but it has not yet translated into visible upgrades or new features.

Development activity is a key indicator for long-term investors of the project’s health and adaptability. A stagnant developer base could stifle DOGE’s utility and innovation potential over time.

Dogecoin’s popularity and liquidity keep it an attractive speculative asset despite the low developer count. The coin’s meme-driven appeal coupled with growing derivatives activity means it is a heavily traded coin. But, in the long run, sustained price growth may depend on stronger fundamentals and broader ecosystem development.

Bitcoin Realized Cap Holds Strong, But On-Chain Data Signals Bear Cycle Risk By Late 2025

Josh Alba
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0
Bitcoin Realized Cap Holds Strong, But On-Chain Data Signals Bear Cycle Risk By Late 2025
  • Bitcoin’s realized cap impulse stays elevated, indicating continued capital inflows and structural market strength.
  • Coin Days Destroyed rises, signaling early long-term holder movement and possible upcoming selling pressure.
  • Demand remains high, but stablecoin inflow momentum weakens, raising questions about future price sustainability.

Long-term on-chain indicators for Bitcoin remain strong, with the realized cap impulse still above key support zones. This is a trend that indicates that there is still capital flowing into the market, and structural demand is still there.

But behind the bullish signals, there are some subtle signs that the current market phase may be getting long in the tooth. If these trends continue, they could pave the way for a broader cycle shift, and analysts are forecasting the potential for a bear market to begin as late as 2025.

Realized Cap Impulse Signals Market Strength but Approaches Historical Peak Zone

Bitcoin’s realized cap impulse, in both short and long time frames, is still above its decision zone, indicating that capital inflows remain strong.

This indicator measures realized capitalization to show long-term trends in investor behaviour. This metric has thus far marked major cycle bottoms and tops.

Bitcoin Realized Cap Impulse | Source: Alphractal
Bitcoin Realized Cap Impulse | Source: Alphractal

The long-term impulse has been steadily rising and is now in an area historically associated with peak market euphoria, which was in 2025.

The impulse curve of past cycles in 2013, 2017, and 2021 were similar before entering extended bearish phases. The pattern indicates the uptrend seen now may be the last leg before a potential reversal.

Bitcoin Long-term Realized Cap Impulse | Source: Alphractal
Bitcoin Long-term Realized Cap Impulse | Source: Alphractal

According to projections based on on-chain activity, this bullish impulse can continue until October 2025. Then momentum could wane, leading to a protracted corrective phase through the end of 2026.

Both realized cap behaviour and repeating macro cycle timing support this forecast. It is not yet definitive at the top, but it is close to previous end-of-cycle conditions.

Coin Days Destroyed Shows Early Profit-Taking Signals

Coin Days Destroyed (CDD) has also started trending upwards, which indicates long-term holders are starting to move older coins.

CDD’s 21-day moving average has increased slightly, whereas the 90-day remains stable around 14 million. But the change is notable: these numbers suggest cautious repositioning rather than large-scale exits.

Bitcoin Coin Days Destroyed | Source: X
Bitcoin Coin Days Destroyed | Source: X

CDD spikes have historically preceded market tops and profit-taking phases. The most prominent examples are periods before the 2017 and 2021 peaks and major miner-driven selling in 2018. CDD is not yet flashing a top, but the increase suggests a change in holder behaviour.

Old coins moving after a long period of inactivity are usually a sign of a move from accumulation to distribution. It doesn’t mean immediate downside, but it is a potential turning point if other weakening metrics are also reinforced.

The trend is subtle, but clear, it is not panic, but preparation. If this movement continues, it could lead to follow-on selling from newer investors and build pressure on support levels.

On-Chain Demand Still Healthy, but Liquidity Support May Be Weakening

Strong inflow data is being seen across several on-chain models, and Bitcoin’s demand metrics remain supportive. Even the difference liquidity model, which compares Bitcoin inflows to stablecoin inflows, still shows positive net demand. Demand remains high, and market structure is stable.

Bitcoin Inflow-Stablecoin Inflow 30DMA | Source: CryptoQuant
Bitcoin Inflow-Stablecoin Inflow 30DMA | Source: CryptoQuant

But the 30-day and 90-day moving averages for liquidity difference have flattened in recent weeks. This means that demand is still there, but momentum is not accelerating. This plateau historically has preceded sideways movement or trend reversals.

The support level around $96,700 is the average entry price of short-term holders. If Bitcoin drops below this line, it could start a wave of liquidations and exit behaviour.

Demand hasn’t collapsed, but the slowing pace of inflows may prevent Bitcoin from going much higher. The outlook becomes more and more cautious when combined with increased movement from long-term holders and a mature realized cap impulse.

Cardano Price Prediction: Will ADA Hit $5 Before The End Of 2025?

Jackson Kelley
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0
Cardano Price Prediction: Will ADA Hit $5 Before The End Of 2025?
  • The Cardano price surged past $0.70 with a 10.6% volume spike, signaling strong buyer interest and short-term bullish momentum.
  • Open interest rose 0.68% as long positions dominated Binance with a 2.7x long/short ratio, indicating bullish trader sentiment.
  • ADA hit $0.705 after breaking key support at $0.675; in price discovery mode, the next resistance lies near $0.71.

Cardano (ADA) has attracted traders and analysts as it gives strong bullish readings at various points in time. ADA has now surpassed $0.70 with more substantial trading volume and a more positive market.

Investors are looking at how the coin might grow in the long run, with the possibility that it might hit $5 within the next 3 years.

Current Market Structure and Momentum

In the past few days, the ADA/USDT pair has been moving upwards as it registers higher highs and higher lows on shorter-term charts.

It began when the price broke out after being in a consolidation phase near $0.6750 and got stronger as volume went up. As the cost of ADA rose to reach its peak at $0.705, a minor correction followed.

Source: X

The on-chain volume increased by 10.6% during the past 24 hours, which means that ADA’s 24-hour volume is now over $683 million.

Higher volumes indicate that both short-term and retail investors are now participating more. The growth allowed the price to rise, keeping ADA valued above $0.68. ADA is currently higher than $0.690, which acts as a key base for bulls.

According to derivatives information, open interest for ADA increased by 0.68%, and its market cap grew by 1.64%. These changes indicate that more investors are investing in ADA-related offerings, which means they believe the positive trend will continue.

Traders Going Long on the Cardano Price

Binance and OKX data indicate that traders mainly take long positions. Binance has a long/short ratio above 2.7, and OKX’s ratio is about 2.09.

This means that most people in the retail market think the price will go up. The top traders are also invested mainly in long positions, but with more even exposure.

Sometimes, when important resistance points are not broken, the market can experience sharp falls. The liquidation data confirms that most shorts were cleared out during the rally, and the last hour brought more long liquidations. It points to a quick sell-off, which may imply traders are cashing in their profits after ADA’s rise.

Cardano Price Indicators Show Bullish Strength on Higher Timeframes

On 4-hour charts, we see that the MACD indicator is now crossing from red to green and making a bullish signal. MACD is holding steady at 0.0045, and the signal line is spotted at -0.0079.

This histogram suggests that stocks are gaining positively and moving up. If the price stays above key support, there may be more room for this currency to rise.

The relative strength index (RSI) is now 49.54 and is moving upward. This shows that RSI is being moderated, without any pressure to sell. RSI has surpassed its 14-period average, which shows that buyers are increasingly dominant right now.

So long as RSI gets higher but does not pass 70 (the overbought level), there is still space for ADA to increase.

Source: TradingView

The debate that ADA could reach $5 by 2025 is mainly influenced by both technical and broader market cycles. In the past, Cardano performed strongly when the market rose. In 2021, during a significant bull market, ADA reached its highest price of $3.10.

ADA would have to more than double six times to reach $5. The process could succeed when the market is suitable, development in the ecosystem goes smoothly, and investor interest grows.

Even if the short-term picture looks bullish, wider acceptance, stronger economies, and improvements on the network will influence where prices go long term.

Ethereum ETFs Gain $78.2M While Bitcoin ETFs Lose $267.5M

Maxwell Mutuma
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0
Ethereum ETFs Gain $78.2M While Bitcoin ETFs Lose $267.5M

Key Insights

  • 2,530 BTC worth $267.5M sold from spot ETFs, including BlackRock, ARK, and Fidelity
  • Ethereum ETFs gain $78.2M led by BlackRock’s $48.4M and Fidelity’s $29.8M purchases.
  • Ethereum ETF inflows follow a bullish breakout and key network upgrade momentum.

On June 2, U.S. spot cryptocurrency ETFs experienced significant capital movement. Bitcoin ETFs recorded $267.5 million in net outflows. Meanwhile, Ethereum ETFs saw $78.2 million in net inflows.

Fidelity and BlackRock were the biggest buyers of ETH, purchasing 30,810 ETH between them. Institutional appetite is shifting, signaling potential changes in crypto investments. As regulations evolve, this could mark the beginning of capital rotation from Bitcoin to Ethereum.

Bitcoin ETFs Lose Steam After Strong May Performance

Bitcoin ETFs had remained on a strong run in May, bringing in $5.86 billion in total monthly inflows. The growth nearly doubled April’s $2.97 billion. This helped offset earlier outflows of $4.6 billion between February and March.

However, a sharp reversal occurred on May 30 when Bitcoin ETFs saw an unusual net outflow of $616.22 million. The pressure continued into June 2, when 2,530 BTC were sold across three major issuers. It saw $267.5 million leave BTC ETFs.

Source: X

BlackRock’s $IBIT led the sales with 1,240 BTC, followed by ARK 21Shares’s $ARKB with 699 BTC. Fidelity’s $FBTC was also heavily sold, totaling 474 BTC. These outflows imply that institutional appetite for Bitcoin exposure has cooled, at least in the short term.

Strategy (formerly MicroStrategy) is raising $250 million through preferred stock to buy more Bitcoin. Meanwhile, ETF market behavior is showing a contrasting trend.

The raise could be used at current prices to buy 2,351 more BTC. This would add to Strategy’s current 580,955 BTC. However, ETF data shows a near-term positioning shift, with Ethereum now seeing net institutional capital inflows.

Ethereum ETFs Attract Big Names and Big Capital

Bitcoin ETFs were red. However, Ethereum ETFs had their strongest single day of inflows on June 2, bringing in $78.2 million. BlackRock led the way with a $48.4 million ETH purchase through its spot ETF, acquiring 19,070 ETH.

Fidelity also made a significant move, buying 29.8K ETH through FETH. These transactions highlight major institutional interest in Ethereum.

Only BlackRock and Fidelity contributed to the day’s net inflows. Other issuers showed no significant ETH ETF activity. Grayscale recorded 4,289.7 ETH in outflows. Despite this, ETH ETFs saw 3,141.9 ETH in net inflows from May 15 to June 2.

Source: X

BlackRock, Fidelity, and Bitwise showed consistent buying activity. Meanwhile, other players like VanEck and Franklin remained relatively flat. May was the biggest month of 2025 for Ethereum-based products, as total net ETH ETF inflows reached $564 million.

On June 2, BlackRock and Fidelity accumulated 30,810 ETH, which shows strong institutional conviction. They came when Bitcoin sold, suggesting a capital rotation based on valuation, fundamentals, or regulatory clarity.

Total ETH ETF inflows are still behind BTC on a broader scale. However, momentum is currently with Ethereum.

Technical Breakout and Protocol Upgrades Boost Ethereum Appeal

Ethereum’s ETF inflows have been strong following a bullish breakout on the ETHUSDT daily chart. The asset broke out of a descending wedge and is now consolidating near $2,592. It remains above its 200-day moving average and is holding firm despite broader market uncertainty.

Source: X

Meanwhile, the Ethereum Foundation restructured its core development team, now called ‘the Protocol,’ to become more efficient and focused. This reorganization will support future upgrades, such as Fusaka, which will introduce PeerDAS (Peer Data Availability Sampling) for scalability.

This comes after the recent Pectra upgrade, which improved staking, wallet functionality, and transaction performance. Ethereum Foundation is also increasing its involvement with decentralized finance protocols like Aave, Spark, and Compound.

Instead of liquidating ETH, it has used DeFi platforms for yield generation and treasury diversification. This may reinforce investor perception that Ethereum has a long-term future and is a mature ecosystem.

Regulatory Tensions Persist Despite Growing Institutional Demand

ETF inflows notwithstanding, there are regulatory hurdles. In June, the SEC nixed two REX Shares and Osprey Funds ETF proposals. The SEC questioned the legal compliance of these ETFs, which had sought to provide exposure to staking rewards in ETH and SOL.

The concerns centred on whether the funds were investment companies and whether the filings were misleading to investors. This suggests that regulatory risks exist. However, BlackRock and Fidelity’s activity indicates that approved vehicles are still attractive.

The protocol advancements of Ethereum, combined with market confidence in these spot ETFs, seem to be growing. Institutional flows, technical patterns, and ecosystem progress are all lining up in Ethereum’s favour.

Dogecoin Price Prediction: Will DOGE Hit $0.34 After Inverse Breakout?

Maxwell Mutuma
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0
Dogecoin Price Prediction: Will DOGE Hit $0.34 After Inverse Breakout?

Key Insights

  • Dogecoin Price Prediction forms inverse head & shoulders; $0.17 support key for possible breakout toward $0.34 target.
  • Whale wallets sold 60M DOGE in 48 hours, signaling caution amid high volume and market pressure.
  • Open interest is down 15%, but options interest is up 100%, showing renewed bullish bets despite the recent drop.

Dogecoin has drawn attention with a potential breakout setup forming on its weekly chart. Despite recent selling pressure, analysts watch for a bullish reversal based on an inverse head and shoulders pattern.

Traders closely monitor the $0.17 support zone, as a bounce could lead to an upward move. If this pattern holds, DOGE may target a price of $0.34 soon.

Dogecoin Price Prediction Tests Key Support After Sharp Decline

At press time, the Dogecoin price was approximately $0.186 after a sharp drop of 11% on May 30. This decline followed increased long liquidations and heavy whale selling. Data from Coinglass showed $21 million in long positions were liquidated in 24 hours.

Technical analysts have identified a bullish inverse head and shoulders pattern despite the downturn. The left shoulder formed in mid-March, the head in mid-April, and the right shoulder in early May.

A neckline breakout occurred around $0.21, and the price is now testing the breakout zone between $0.17 and $0.18.

Source: X

Traders often view this pattern as a trend reversal from bearish to bullish. If Dogecoin holds support and rebounds from this zone, the projected price target from the pattern is $0.34.

This target is calculated using the vertical distance between the head and neckline, which is added to the breakout point.

Whale Selling and Liquidations Trigger Downside Pressure

Whale wallets holding 100 million to 1 billion DOGE have cut their holdings. In the past two days, they shed 60 million tokens.

This move equals roughly $12 million worth of Dogecoin at the current price. Historical behavior shows these wallets sell ahead of declines and often accumulate during recovery.

At the same time, trading volume for Dogecoin has surged by 50%, indicating increased market activity. However, open interest in derivatives dropped by over 15%, pointing to possible profit-taking or market exit by some traders.

Volume increases with falling open interest suggest that recent trading was driven more by closing positions than new ones.

Derivatives Data Shows Bullish Sentiment Despite Recent Pullback

Market sentiment based on options data remains tilted toward the bullish side. Options open interest surged by over 100% recently, and options volume rose by over 13%. This rise often reflects speculation on upside movements or hedging against existing spot positions.

On Binance and OKX, long/short ratios from top traders also show a strong long bias. The Binance account ratio stood at 2.74 while OKX showed 3.36.

This suggests many traders are betting on price increases. However, long-dominant positioning raises the risk of short-term corrections or a long squeeze if prices fall further.

Despite recent pressure, Dogecoin is still inside a bullish technical structure. Market watchers are closely watching whether the price rebounds from the $0.17 zone.

A successful bounce and move above $0.23 may validate the inverse head and shoulders pattern and set Dogecoin toward $0.34.

Resistance and Breakout Levels That Could Lead DOGE to $0.34

Dogecoin is currently being supported by the important levels of $0.17 and $0.18. It lines up with both the retest of the technical neckline and the base of a weekly ascending wedge.

According to Trader Tardigrade, resistance areas are in the area of $0.22 to $0.23. This matches the spot where the neckline was broken.

Additional barriers to rise are located at $0.26 and $0.34. If the price keeps increasing and surpassing $0.26, traders may look to $0.34 as a significant further target. A move above $0.34 may allow XRP to increase to $0.38 or higher.

Source: X

If the price drops below $0.17, the bullish pattern could fail. Should this happen, the price of Dogecoin might retest the support areas of $0.135 and $0.155. If confirmed, a weekly close below the lower trendline will make analysts watch lower price levels.

Cardano Price Forecast: ADA Poised To Break Out From $0.65 Support Zone?

Josh Alba
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0
Cardano Price Forecast: ADA Poised To Break Out From $0.65 Support Zone?
  • Cardano price is holding key support near $0.65, aligned with a multi-year bullish channel.
  • Analysts target a $1.20 resistance level, with some predicting a $5–$10 ADA price breakout this cycle.
  • The development report revealed 2,002 Cardano projects and over 134,000 smart contracts in progress.

Cardano (ADA) price is testing a critical price zone near $0.65, sparking renewed interest from both traders and long-term holders. According to analysts, the current support area for ADA price is between $0.60 and $0.40. If Cardano’s development and technical factors continue to improve and it keeps above current support, the top altcoin could experience a major rally.

Cardano Price Holds Key Support Zone Between $0.60 and $0.68

Analyst Crypto Patel assessed that for Cardano price, $0.40–$0.60 is the area where smart investors usually begin buying.

After hitting $0.65 recently, ADA price is now trading at $0.67, making it a good time to buy. The zone coincided with a long-term ascending channel that Cardano price has followed for years.

Source: Crypto Patel, X

Patel pointed to the next resistance range of $1.00–$1.20. Breaking through this resistance level could enable prices to climb toward up to $5 or $10 in the longer run. He believes that the existing market situation is ideal for Cardano’s upcoming rally.

Source: Brownstone, X

Additionally, Mr. Brownstone argues that by hitting $0.65, ADA fits his previously defined “target box,” adding further proof of a bullish sentiment. Based on his Elliott Wave analysis, he thinks ADA is nearing the end of wave 4, setting it up for wave 5, which should move prices up. He had warned traders to set alerts for the ADA price at $0.65 to buy ADA before it goes up again.

Technical Chart Shows Rebound Potential

The consistent growth in ADA shows it is now supported by solid historical trends. On the weekly chart, ADA price is recovering from the bottom of a trend that has been in place for years. If the pattern maintains itself, bulls might prepare a push toward $1.20 after this wave.

However, according to Brownstone, the market could be experiencing a triangular correction. He expects a temporary fall below $0.65, from which the ADA price is likely to enter an upswing stage. This trend matches what is going on overall in the market as other altcoins are looking for ways to regain their earlier losses.

Even while the volume is consistent, it appears that more people are buying and holding, not selling. Analysts think a price rise above $0.65 supports the bullish trend in the short run.

Data Shows Cardano Network Growth Momentum

The rise in Cardano is being supported by continuous development. The Input Output development report shared on May 30 stated the network is supporting 2002 building projects, 134,286 smart contracts, and over 10.81 million native tokens. These figures reflected week-over-week growth in key ecosystem metrics.

Source: Input Output, X

Recent updates feature better Leios simulations, added support for Plutus core tooling, and improvements in how smart contracts function. Interestingly, the use of Catalyst worldwide is rising, as shown by the interactive map and successful meetings with developers in Mexico.

The figures in the report indicate Cardano handled over 109.98 million transactions and had over 1.33 million active delegated wallets at the time. Cardano is confirmed as an active and popular layer-1 platform that supports its long-term price growth.

Cardano Price Prediction: Key Levels to Watch

If ADA price breaks through the $1.00–$1.20 resistance, traders may target the $5–$10 range projected in multiple bullish models.

Patel explained that such a move fits the trend of regular expansions in the crypto space and increased functionality on Cardano’s blockchain. A strong hold on the $0.65 level is essential, with a clear surge in volume above $1.20 indicating a rise.

Even with all the important data pointing higher, the risk of wider changes remains a risk factor. Analysts are expecting signs of rejection near $0.70 that could reduce price increases. However, for current prices to keep rising, the main supports must stay strong.

Ethereum Price Faces Crucial Test: Will $2,650 Break Spark A New Rally?

Maxwell Mutuma
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0
Ethereum Price Faces Crucial Test: Will $2,650 Break Spark A New Rally?

Key Insights

  • BlackRock led a $70.2M ETF inflow into ETH, marking the biggest daily spike in May.
  • SharpLink Gaming plans to raise $1B to buy ETH, echoing MicroStrategy’s BTC playbook.
  • ETH price must hold $2,550 for a rebound to $2,650, as TD Sequential flashes a buy signal.

Ethereum price is entering a critical phase with bullish signals and institutional demand around $2,500. After dropping 4.5% in 24 hours, the ETH price showed support from key technical levels and ETF inflows.

These actions by corporations are supporting ETH even as the market remains uncertain. BlackRock and SharpLink Gaming are raising their stakes in Ethereum by buying in through ETFs and stocks.

Ethereum Price Eyes Recovery as TD Sequential Signals Bounce

Ali Martinez states that the Ethereum price needs to stay above $2,550. This level confirms a TD Sequential buy signal on the 4-hour chart.

If this level holds, the ETH price could rebound toward $2,650, a key resistance zone tested earlier this month. This type of pattern commonly causes a short-term rise in prices.

Source: Ali Martinez, X

Sensei also noticed a rising wedge forming, which often signals a coming upward price movement. A sharp rally could follow if the Ethereum price breaks its horizontal resistance.

Source: Sensei, X

ETH price might surge to $2,900 or even higher. As long as the rising trend holds, the structure is still valid and supports the start of a bull move.

ETH Price Gets $70M Boost from ETF Inflows

On May 30, $70.2 million was added to spot ETH exchange-traded funds, showing strong institutional support for Ethereum.

According to analyst TedPillows, BlackRock’s investment in the ETHA product led to $70.2 million of inflow. This is the biggest daily amount invested in Ethereum ETFs this month, showing investors feel more secure.

Source: Ted, X

Assets from Fidelity and Bitwise were continually invested in May, although on a smaller scale. More than $3 billion has come into Ethereum ETFs recently, not including what was withdrawn from Grayscale’s legacy offering.

These consistent purchases indicate that large investors accumulate positions at the current Ethereum price levels. Analysts view this accumulation as a positive sign.

ETH price trading at around $2,500 means institutional traders probably hope this bottom will stick. Ethereum’s support could improve if demand for ETFs stays strong around these levels, and another rally might begin.

SharpLink Gaming Files $1B Offering to Accumulate ETH

SharpLink Gaming brought more attention to ETH investments. It has proposed a $1 billion equity offering in its May 30 SEC filing. The strategy is to buy large amounts of Ethereum for the crypto treasury.

SharpLink is following the Bitcoin-buyer MicroStrategy strategy. Its approach mirrors Michael Saylor’s accelerated accumulation. The company noted that part of the money would go to operating expenses and marketing.

However, the leading use would be to purchase Ether. SharpLink announced this on May 27 and established Joseph Lubin, Ethereum co-founder, as chairman to further bond with the Ethereum ecosystem.

The stock price of SharpLink skyrocketed 400% right after the announcements. Following its large ETH purchase, the community nicknamed the company “Ethereum’s Saylor.”

This reflects the growing trend of businesses accumulating Ethereum. With more ETFs coming in and chart trends encouraging it, Ethereum is set up well for an increase.

ETH Price Faces Regulatory Catalysts in June

Ethereum continues to deal with major problems related to regulation and the economy. SharpLink warned in its SEC filing that introducing central bank digital currencies could lead to less ETH being demanded.

There is also uncertainty surrounding whether Ethereum will be deemed a security. This would increase its regulation in the U.S.

ETF provider REX Shares has submitted papers to create the first Ethereum and Solana staking ETFs using a different regulatory model. Should the proposal be passed, staking rewards could be offered to traditional investors, speeding up institutions’ acceptance of Ethereum.

Ethereum price has gained nearly 40% in the past 30 days due to ETF growth and more companies becoming interested. However, the ETH price must stay above $2,650 in the short run. Ethereum’s path ahead will be affected by technical aspects, activity from institutions, and changes in rules.

Could A 250x Altcoin Rally Ignite The Crypto Boom Of 2025?

Brenda Mary
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0
Could A 250x Altcoin Rally Ignite The Crypto Boom Of 2025?

Key Insights

  • Analysts predict an incoming altcoin rally yielding as much as 250x in returns.
  • The ETH/BTC ratio serves as a key indicator of altcoin outperformance. A potential breakout could signal the beginning of a new altseason.
  • Chart patterns similar to the 2017 and 2020 altcoin booms are emerging.

The crypto market is heating up once again. Analysts are starting to sound the alarm for what could be a major altcoin rally. This rally could become one of the biggest, and Ethereum’s performance against Bitcoin could be the trigger.

Several crypto analysts say Ethereum may be on the verge of a major breakout. If history repeats itself, this could lead to another mega “altseason” similar to what we saw in 2017 and 2020.

Some even predict returns as high as 250x across the altcoin space if the current technical patterns hold up.

ETH/BTC As the Market’s Leading Indicator?

In crypto, market cycles often swing between Bitcoin dominance and altcoin outperformance. One of the most reliable indicators used to predict these transitions is the ETH/BTC ratio. Think of this as a measure of Ethereum’s performance relative to Bitcoin.

When Ethereum gains strength against Bitcoin, it often shows a change in investor appetite toward higher-risk assets.  This is when altcoins flourish.

Crypto analyst Trader Tardigrade noted that Ethereum is nearing a breakout. It may soon exit its long-term consolidation range against Bitcoin.

Trader Tardigrade predicts cup and handle | Source: X

The last time this happened in the 2020–2021 cycle, altcoins exploded, and many rose by over 2,500%. If Ethereum starts another upward trend against Bitcoin, it could serve as a major signal that alt season is ahead.

Analysts Spot Patterns That Mirror Previous Altcoin Booms

It’s not just one voice calling for an altcoin breakout. Multiple analysts are pointing towards patterns similar to those seen before the epic rallies in 2017 and 2020.

For example, crypto analyst Sensei pointed to a long-term trendline, which compares the total altcoin market cap to Bitcoin’s. Each time this trendline has held firm as support, it has led to massive gains of up to 180,000% in some cycles.

Sensei believes we could see another similar event: the altcoin market could enter a staggering 250x surge. While these figures seem slightly ambitious, they are not entirely without cause.

Altcoins have historically posted some of the most jaw-dropping returns in crypto, especially when retail investors jump in en masse. Another analyst, Moustache, pointed out that altcoins are now breaking out of a massive seven-year falling wedge pattern.

Inverse head and shoulders pattern on the altcoins | Source: X

This technical setup happened before the altcoin booms of 2017 and 2020. It is another indicator that a rally could be brewing.

Ethereum’s Short-Term Struggles Could Delay the Party

Despite the optimism for long-term gains, Ethereum is facing short-term issues that could delay the next altcoin season. On June 1st, ETH saw a sharp drop below the $2,500 level.

The cryptocurrency fell from $2,551 to $2,499 amid unusually high trading volume. There, over 48,000 ETH were traded in under two minutes. Such a sell-off is speculated mainly to be due to holders, maybe even institutions, dumping their positions.

Altcoin
The Ethereum daily charts | Source: TradingView

While the price has stabilized around $2,506, the $2,500 zone remains a fundamental support level.  So far, analysts are watching, and if Ethereum holds this level, it could invite new buyers and help restore momentum.

On the flip side, if a break below occurs, ETH could face further losses and drag the rest of the altcoin market down, possibly to $2,000. That said, long-term sentiment in the crypto market is still very bullish.

Many still believe the groundwork is being laid for the next major cycle, where altcoins could massively outperform once again.

IMF: There Are Major Issues With Pakistan’s Push For BTC Mining, AI Data Centers

Chandan Gupta
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0
IMF: There Are Major Issues With Pakistan’s Push For BTC Mining, AI Data Centers
  • Pakistan’s plan to allocate 2,000 megawatts of surplus electricity for BTC mining and AI data centers has raised “red flags” from the IMF.
  • The IMF’s concerns are coming from possible energy shortages, lack of prior consultation, and other issues related to Pakistan’s fragile economy.
  • Pakistan’s national strategy includes establishing a national Bitcoin reserve, a government-backed Bitcoin wallet, and the Pakistan Digital Asset Authority (PDAA).

Pakistan’s recent move to allocate 2,000 megawatts of surplus electricity for BTC mining and artificial intelligence data centers has drawn major concern from the International Monetary Fund (IMF).

Some of this tension is stemming from Pakistan’s ongoing negotiations with the fund over a very important financial aid package.

While the plan is intended to set Pakistan up as a digital asset hub, the IMF sees it as a possible risk, both economically and politically. Here are the motivations behind Pakistan’s recent decision, the IMF’s response, and what this clash means for the future of Bitcoin adoption within the country.

Pakistan’s Initial Announcement

In May, Pakistan announced a national strategy, aimed at embracing blockchain and AI technologies. This plan revolved around the country allocating 2,000 megawatts of surplus electricity to Bitcoin mining farms and AI data centers.

This move was part of a bigger plan to build a national Bitcoin reserve, launch a government-backed Bitcoin wallet, and establish a new regulatory body called the Pakistan Digital Asset Authority (PDAA).

The Finance Ministry approved the plan; meanwhile, the PDAA will be responsible for overseeing crypto exchanges, stablecoins, DeFi platforms, and the tokenization of national assets.

It was also expected to do all of this within the international guidelines laid out by the Financial Action Task Force (FATF).

The announcement was timed alongside Pakistan’s debut at the Bitcoin Vegas 2025 conference, where Bilal bin Saqib, crypto adviser to Prime Minister Shehbaz Sharif, announced the plans to the rest of the world.

The IMF Responds To The BTC Mining Plan

Just days after this announcement, the IMF raised red flags it spotted in the plan, and requested urgent clarification from Pakistan’s Finance Ministry.

A separate session has now been scheduled between the IMF and Pakistani officials to discuss the electricity allocation for mining and data centers.

IMF kicks back against Bitcoin plans | Source: X

So far, the IMF has planned out its concerns from several points, including energy shortages, lack of legal consultation, legal ambiguity, and the economic implications of this plan.

The IMF’s concerns over energy shortages stem from how Pakistan has long struggled with energy deficits. The fund alleges that Pakistan allocating such a large portion of electricity to a non-essential sector like crypto mining could worsen power outages for ordinary citizens.

Moreover, the IMF states that it was not informed ahead of the announcement, which will likely complicate ongoing discussions for the 2025–2026 budget.

In addition, for such a massive plan, the status of cryptocurrencies in Pakistan remains unclear, and the IMF has questioned whether such a policy is even lawful under current laws.

Finally, the fund is worried about the fiscal impact of this plan on the nation’s economy, especially how it could affect power tariffs, foreign exchange reserves, and resource allocation. The timing of the plan itself couldn’t be more sensitive.

Pakistan just received a $1.02 billion tranche from the IMF’s $7 billion Extended Fund Facility. It also has $22 billion in external debt maturities due next year, with foreign exchange reserves hanging dangerously low.

The IMF Versus Bitcoin

According to insights from New Zealand–based climate tech investor Daniel Batten, Pakistan’s plan is unlikely to survive IMF scrutiny. Batten says that the IMF sees Bitcoin as a direct threat for five reasons, including its reduced remittance costs, loss of seigniorage and its decreased multilateral lending.

Bitcoin is a threat to the IMF | Source: X

Batten notes that the IMF has already discouraged or derailed crypto initiatives in three other countries, including El Salvador, the Central African Republic, and Argentina.

He expects a similar outcome in Pakistan, where the country’s economic fragility gives the IMF strong leverage.

Overall, the question remains: Will Pakistan stand firm or fold under pressure? The outcome of the ongoing battle could influence how other countries approach crypto adoption in the years to come.

Will XRP Stay Above $2 Or Drop? $13M In Liquidations Shake Market

lennox gitonga
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0
Will XRP Stay Above $2 Or Drop? $13M In Liquidations Shake Market

Key Insights

  • Over $13M in long liquidations stacked below $2 signals a high risk of a cascading breakdown for XRP.
  • XRP options open interest jumps 131%, showing whales and institutions positioning for a significant price shift.
  • Longs continue to be flushed out, potentially marking the final shakeout before a decisive market reversal.

XRP is in a high-stakes zone as the price consolidates just above $2, with over $13 million in liquidations waiting. A sharp cascade could follow if the support breaks, driven by high leverage and thinning demand.

However, surging options, open interest, and a steady macro structure imply that a bigger move is coming. If XRP breaks down or bounces sharply from this key level, the question remains.

Derivatives Surge as Whales Anticipate Volatility

The surge in XRP’s options open interest of 131% indicates that big players are gearing up for a big price move. Options volume also soared by 102%, and total futures open interest remained at nearly $3.9 billion. It means traders are betting on direction, expecting volatility.

XRP derivatives analysis | Source: Coinglass

The total volume declined by 6.8%, but the options activity suggests preparation, not retreat. Long exposure could be hedged, or traders could speculate on a breakdown or breakout.

Positioning is large, which indicates a move is coming, and leverage is still high across platforms. Usually, whales lead in derivatives positioning before a big swing happens. According to current data, they are focusing on the $2 level, where there is a lot of liquidity.

If the price stays above this zone, it could lead to short liquidations. However, long liquidations could accelerate very quickly if it breaks.

Liquidation Heatmaps Point to Critical Support at $2.00

Heatmap data indicates nearly $13 million in long liquidation levels, packed very tightly between $2.00 and $1.95. You can see these levels on major exchanges.

This means traders are heavily leveraged at this price floor. If it breaks below $2, it will most likely trigger a sell-off cascade.

XRP liquidation map | Source: Coinglass

XRP price has repeatedly tested this support in recent weeks. Each bounce has shown progressively weaker strength.

The higher the frequency of testing of a level, the more fragile that level is. That makes a breakdown more likely on the next attempt, especially under macro or news-driven pressure.

XRP ledger long liquidations USD | Source: CryptoQuant

Recent data also shows long liquidations spiking aggressively throughout May and early June. Analysis by CryptoQuant confirms forced selling exceeded $15 million in one day. Perhaps these repeated events are the signs of a long-side shakeout coming to an end.

Technical Structure and Catalysts Remain Mixed

From a macro chart structure perspective, XRP still follows a long-term ascending channel, and price is approaching historical support zones. Technical projections suggest rebounds if the $2.00 zone holds.

Additional support is also from the intersection of the 21-week EMA and macro trendline, near current levels.

Long-term fundamentals are improving, but short-term sentiment remains cautious. Real-world utility is strengthened with Ripple’s recent addition of a major payment integration with Portuguese FX agency Unicâmbio. After volatility cools, such developments could help price stabilize.

Another layer of interest is added by speculation around a potential BlackRock XRP ETF filing. While not confirmed, talk is underway, which could quickly change institutional sentiment. Confirmation could halt further downside, and ETF-related news tends to be market-moving.

From a supply side, XRP is capped by the 55 billion tokens in escrow, preventing inflation. This allows XRP’s long-term structure to be predictable by this supply control. Growing derivatives activity gives XRP both speculative potential and structured fundamentals.

Now the market is watching if XRP can hold $2 or needs a deeper flush to reset leverage. Volatility could spike if it breaks below support as liquidation levels trigger consecutively. But if support holds, a relief rally could ensue with shorts the next target.

We Will Take “Strong Measures” Against The US If It Continues To Be A Bully, China Says

Ronny Mugendi
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0
We Will Take “Strong Measures” Against The US If It Continues To Be A Bully, China Says
  • Tensions between the U.S. and China are escalating just weeks after a 90-day trade truce.
  • Both sides are now accusing each other of violating the agreement.
  • These escalating trade tensions can negatively affect financial markets, including crypto.

Tensions between the U.S. and China are once again escalating, just weeks after the two economic superpowers agreed to a 90-day trade truce.

Despite what initially seemed like a diplomatic breakthrough in Geneva, both sides are now exchanging sharp accusations over violations of the deal. And because of this, financial markets, including crypto, could be at risk. Here’s what’s happening and what each side is saying.

The Geneva Agreement

In April, the U.S. and China reached a surprise agreement in Geneva, to pause the brutal tariff war that had seen import duties climb above 100% on major goods.

Both countries agreed to scale back mutual tariffs and spend the next 90 days working toward a more reasonable trade deal.

A major part of the deal required China to ease export controls on rare earth minerals and suspend other non-tariff measures targeting the U.S. However, the optimism was short-lived.

Only a few weeks into the truce, President Donald Trump accused China of violating the deal. He mentioned on his Truth Social account that the country had “TOTALLY VIOLATED ITS AGREEMENT WITH US.”

He also claimed he had made a fast deal to help China “avoid a bad situation” and accused Beijing of taking advantage of U.S.’ goodwill.

China Fires Back

China’s Ministry of Commerce quickly responded, denying the allegations and placing blame squarely on the U.S..  The ministry sent out a strongly worded statement, stating that the U.S. had “unilaterally provoked new economic and trade frictions.”

In addition, it was “undermining the Geneva consensus” through its discriminatory actions.

China fires at the US | Source: X

Beijing pointed out that it had been “strictly implementing” the Geneva deal and said it “firmly rejects these groundless accusations.” Finally, the statement warned that China would take “resolute and forceful measures” if the U.S. continued to be a bully.

Rare Earths at the Heart of the Conflict

A major aspect of the ongoing conflict is China’s control over rare earth minerals. These minerals are important for the production of high-tech products like smartphones, electric vehicles, fighter jets, and missile systems.

The Trump administration expected China to ease restrictions on these exports as part of the Geneva deal. However, China’s export control system remains in place.

Since 4 April, Chinese companies have needed government approval to ship seven major rare earth minerals.  This setup doesn’t ban exports outright but allows the government to control who gets what, and when.

That control is the basis of this argument, especially with U.S. officials, who say China is using it as a strategic tool. Treasury Secretary Scott Bessent pointed out in a recent interview that China was deliberately holding back these materials.

How This Affects the Crypto Market

The ongoing trade tensions between these two superpowers directly affects the crypto market in more ways than one. Historically in times of worldwide economic uncertainty, traditional financial markets tend to experience downturns.

This issue is likely to extend to cryptocurrencies.

Investor sentiment is likely to take a hit, as investors are likely to become more risk-averse.

Issues like these tend to lead investors to fly for safety, and with this capital flowing from speculative assets like cryptocurrencies to more stable investments such as government bonds or gold, demand for Bitcoin and altcoins can decrease.

Finally, a trade war like this can disrupt supply chains and lead to a slowdown in economic growth.  Enthusiasm for digital assets might dwindle, and as fewer new investors enter the market, existing ones may liquidate holdings to cover other financial obligations.

Overall, this development has more to it than meets the eye, and the crypto industry’s reaction remains to be seen.

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