The crash wiped off about 51% of the token’s value in a single day, triggering more than $6.2 million in liquidations across major exchanges and drawing immediate accusations of insider manipulation from on-chain researcher ZachXBT.

edgeX Points the Finger Outward

edgeX, the decentralized perpetual futures DEX that issues the EDGE token, posted on X several hours after the crash began, acknowledging what it called “a sudden and irregular price movement.” The team also said they were working to understand what happened. Two hours later, the project followed with a firmer statement, saying the following:

“The edgeX protocol were not compromised in any way. This is not a hack, exploit, or security breach. What we have identified so far suggests deliberate attempts by certain external party to manipulate the market price of EDGE.”

The company added that it was working with relevant exchanges and platforms to identify the cause and pursue accountability. It also promised to provide a more detailed update once the said investigations were over.

However, their explanation was not well received everywhere, with ZachXBT, an on-chain investigator known for calling out bad actors in crypto, pushing back directly and stating that the EDGE supply appeared to be controlled by a small group with low circulating float. He also challenged the edgeX team to disclose the platform’s counterparties and market maker agreements if they really cared about transparency, mocking the project’s self-investigation with a pointed paraphrase:

“We investigated ourselves and did not find ourselves guilty even though we control nearly the entire supply.”

On the price side, the damage was significant, with CoinGecko data showing that EDGE dropped from about $1.26 to near $0.40, which was a new all-time low, before it stabilized around $0.62 at the time of writing.

Additional data from CoinGlass showed the price fall caused liquidations of about $6.2 million in 24 hours, with long positions accounting for $4.84 million. That activity was mostly concentrated on Binance, Bybit, and OKX, which together handled the majority of the forced closures that affected at least 3,840 traders, with price volatility hitting 74.77% on the day.

A Rough Season for Crypto Security

There is a valid reason why many people, upon seeing EDGE’s behavior in the market, immediately thought its parent platform had been hacked and why edgeX came out to categorically deny that there had been such an incident.

This year, the crypto space has been rattled by a string of exploits, including a recent attack on DxSale, where more than 1,400 liquidity pools tied to its old contracts on the BNB Chain were drained of about $7.3 million worth of tokens. A hacker also stole about $11 million from the Verus bridge, while TrustedVolumes, a liquidity provider, lost just under $6 million.

The post ‘We Investigated Ourselves’: ZachXBT Slams EdgeX After Sudden Token Collapse appeared first on CryptoPotato.

Data from Arkham Intelligence shows that the receiving address is not associated with any centralized or decentralized exchange, indicating no immediate need for worry.

This means the transaction may simply be a part of internal wallet management or preparation for future distributions, rather than direct selling pressure.

The context is also a lot more nuanced. That’s because Mt. Gox claims have become very attractive to institutional players. As CryptoPotato reported, Strive Asset Management recently announced plans to build a treasury worth 75,000 BTC by buying approved but undistributed Mt. Gox claims, estimated at around $8 billion.

That suggests some creditors may be selling claims before distribution, while buyers like Strive could absorb supply without BTC immediately hitting the spot market.

Recall that Mt. Gox was once the world’s largest Bitcoin exchange, handling about 70% of BTC transactions before its collapse in 2014. For now, the recent transfer remains noteworthy, but without exchange deposits, it’s definitely not a clear of evidence of imminent selling.

The post Mt. Gox Transfers $731 Million in Bitcoin to a New Wallet: Time to Worry? appeared first on CryptoPotato.

The trader claims he lost around $500,000 after betting that the firm had sold BTC before a May 31 deadline – something that was officially confirmed by an SEC filing on June 1.

Strategy’s Bitcoin Sale Sparks Serious Controversy

The whole thing centers on a Polymarket event asking whether MicroStrategy (later rebranded to Strategy) would sell any of its Bitcoin by a specific date. The rules stated that the market would resolve to “Yes” if the company sold any BTC by 11:59 ET on May 31. Resolution sources included on-chain data, disclosures, and credible reporting.

On June 1, Strategy filed an 8-K with the Securities and Exchange Commission. As CryptoPotato reported, the firm sold 32 BTC worth approximately $2.5 million between May 26 and May 31 – clearly within Polymarket’s resolution period.

However, the filing came one day after the May 31 market deadline, creating the central dispute: should the event be judged by when the sale occurred, or by when it was publicly confirmed?

Trader Says Polymarket Added a Rule After the Fact

According to the trader, he started buying “Yes” shares after noticing that Strategy had deposited around $30 million of BTC into Coinbase Prime a week ago – a move that escalated speculations that the firm would sell.

He said he had reviewed on-chain data, checked past wallet activity, and concluded that Strategy had likely sold BTC before the deadline.

After the firm confirmed the sale on June 1st through the SEC filing, the trader increased his position. He said that the market was still open, arguing that the rules only required a sale within the timeframe – not confirmation within the timeframe. Here’s where it gets interesting.

The trader claims that Polymarket added a clarification stating that confirmation achieved outside the market’s timeframe would not qualify. And they did that after the fact.

Later, Polymarket added clarification.

“No information from MSTR, on-chain data, or consensus of credible reporting confirmed that MicroStrategy sold Bitcoin within the market’s timeframe.

Confirmation achieved outside of the market’s time frame does not qualify.” pic.twitter.com/60O3S1q4LV

— willo2 (@willo2_Poly) June 2, 2026

The user said that the move constituted a new rule and alleged that the market should either have resolved to “Yes” or closed on May 31 if post-deadline confirmation was not allowed.

At the time of this writing, the market has been resolved to “No.”

The main problem here, according to other traders on Polymarket, is that anyone can dispute a market’s resolution by posting a bond, which triggers a debate period. During that debate period, a set of people who hold UMA tokens vote on the correct resolution according to the predefined rules. Many argue that this creates a situation in which UMA whales can manipulate markets during dispute windows, and that Polymarket is doing nothing about it.

The post Trader Claims Polymarket Scammed Him for $500K on MicroStrategy’s Bitcoin Sale Market appeared first on CryptoPotato.

The analysts noted that the loss of the “Cost Basis Zone” has already triggered a decisive drawdown.

Consolidation inside this zone appeared constructive, but there was no confirmation, and BTC failed to hold it, showing little strength when trying to reclaim it, they said.

“That shifted the framework from consolidation into breakdown risk.”

BTC Needs to Re-enter The Battlefield

The Cost Basis Zone is currently between around $72,000 and $79,000, according to the Swissblock chart.

It measures the price range where recent Bitcoin buyers, especially short-term holders, acquired their BTC on average and acts as a key support/resistance level based on the actual purchase prices of coins in circulation.

“The only way BTC recovers its bullish posture is by re-entering the Cost Basis Battlefield with strength.”

Bitcoin is on the edge of a breakdown.

The loss of the Cost Basis Zone has already triggered a decisive drawdown.

At first, consolidation inside the cost-basis battlefield looked constructive.

But consolidation was not confirmation.
BTC failed to hold the zone, then showed… pic.twitter.com/6qGc0nYKYn

— Swissblock (@swissblock__) June 1, 2026

Bitcoin is “under growing pressure,” stated Glassnode on Monday. “Sellers dominate spot, ETF outflows accelerate to $1.3 billion, and fresh capital has stalled,” it added.

“Structure has broken, and momentum favours the downside near-term.”

Bitcoin ETP provider Bitcoin Capital echoed the sentiment, stating that the recovery stalled exactly at the short-term holder cost basis and rolled over.

Key on-chain metrics have broken down at current price levels, which are a “contained drawdown and failed recovery.”

“Bitcoin’s weakness against the wider market has reached its highest point ever,” commented the usually bullish ‘Sykodelic’. “It is now the only macro asset not in expansion.”

“At this moment, Bitcoin has completely decoupled from every other macro asset, for the first time since it was created.”

It will also be the first time any macro asset has “created its own unique path and ignored the underlying forces that govern financial markets,” he added.

Bitcoin Dumps to $70K

Bitcoin fell to $70,000 in early Asian trading on Tuesday morning, marking a 3.8% daily decline.

The asset is currently down 8% on the week and is poised to fall back into the $60,000 zone, returning to levels last seen in early April.

It is still largely range-bound, as it has been since early February, but could now fall to the bottom of that range, around $65,000.

A recent SEC filing revealed that Michael Saylor’s Strategy sold 32 BTC in late May for around $2.5 million, compounding the overwhelmingly bearish sentiment.

The post Bitcoin Hits $70K After Losing Key Cost Basis Zone as Analysts Warn of Deeper Drawdown appeared first on CryptoPotato.

According to them, the outcome depends on whether buyers can defend that level over the coming days.

Why Everyone Needs to Watch the $73K Support Zone

On June 1, crypto analyst Michaël van de Poppe laid out a clear conditional case for BTC, saying that if the $73,000 area holds, and history repeats itself, then we could see two strong weeks of upward momentum that could potentially push the OG crypto coin to new highs this summer.

He also suggested that there may be a broader altcoin rally alongside the Bitcoin surge.

“It’s a crucial support zone for Bitcoin, which needs to hold in order to prevent a test at $61,000 to happen,” wrote van de Poppe. “If it does = new highs in the Summer = great altcoin runs during the Summer.”

That’s a fairly wide range of outcomes for an asset that, at the time of writing, was trading less than 100 bucks above $73,000, having dipped by about 6.5% in the last 30 days and also being down roughly 30% from where it was one year ago.

Its price has been stuck within a narrow band for the better part of the past week, with resistance sitting around $74,200 and support at about $72,700, according to market watcher Daan Crypto Trades, who posted earlier today that these are the levels to watch in the short term.

The macro backdrop hasn’t been helping either, with spot Bitcoin ETFs seeing persistent outflows since mid-May, losing more than $2.4 billion in that entire month, including a single-day outflow of $733 million on May 27. Researchers at XWIN Japan have pointed out that this issue is a core problem, as they argue that BTC, unlike equities, has no earnings to anchor its price and is therefore more exposed when capital rotation is happening elsewhere.

May’s closing candle is also worth noting, with data shared by analyst AbramChart showing the month closing with a net buying delta of just 0.08%, as well as aggressive selling from large wallets holding positions worth between $1 million and $5 million.

Per the chartist, while buying outpaced selling by around $544 million last month, that number pales in comparison to April’s net buying of $11 billion and even the $4 billion registered in March. In his assessment, when all is said and done, the May numbers could end up retesting March’s point of control, which stood at $70,600.

A Record Long Correction, and What Seasonal History Says

Another thing noted about Bitcoin at the start of this new month is that it is now entering the longest correction of this entire market cycle. According to pseudonymous analyst Darkfost, the cryptocurrency is set to surpass the 237-day correction that occurred in 2024, and that’s a sobering context, even if it falls short of the brutal drawdowns seen in past bear markets, where it took 849 days to reach a new all-time high in 2023, or the 1,180 days that were required to reach a peak back in 2015.

There is also a seasonal dimension to things, as described by crypto observer Markus Thielen, who pointed out that in the past decade, June has delivered average returns of just 0.7% for BTC, making it one of the weakest months for the asset. And with Bitcoin already down 16% year-to-date, the situation does not make for comfortable reading for bulls.

However, Thielen did raise the possibility of seasonal patterns shifting, considering that May, which is normally seen as a strong month, failed to deliver this year, after Bitcoin’s value declined by 3.4%, per data from CoinGlass. In the analyst’s opinion, that divergence from historical norms could mean that some of the expected weakness has already been priced in.

The post BTC Could Hit Fresh Summer Highs Within Weeks if $73K Holds: Analyst appeared first on CryptoPotato.

His sentiment comes as US lawmakers continue to negotiate crypto legislation and stablecoin rules, while banks and digital asset advocates clash over whether yield-bearing stablecoins could pull deposits away from the banking system.

The Exit Banks Never Had to Plan For

In an analysis posted on June 1, EGRAG framed the debate around stablecoins not as a regulatory dispute but as a direct threat to how banks make money.

He explained that when you deposit money in your bank account, you are not storing it, but, legally, you are making an unsecured loan to that institution. That bank then takes your deposit, lends it out at rates between 6% and 28%, and pays you between 0.1% and 0.5% for the privilege. And that spread is their core business.

However, according to the analyst, stablecoins are breaking that arrangement by separating three things that the traditional banking system has always bundled together: custody, settlement, and yield.

With a stablecoin backed by Treasury bills, a user can hold dollars without a bank account, transfer them instantly without an intermediary, and earn roughly 5% on a risk-free basis.

If people can earn 4% to 6% yields with full control and no dependence on banks, EGRAG argued, they would see no need to deposit with banks, which would undermine these institutions’ funding models and the power they enjoy.

‘That’s the real threat and they will make wars and move tanks to stop it,” claimed the analyst.

EGRAG’s position is not hyperbolic, given that an analysis by Standard Chartered at the start of the year estimated that US banks could lose around $500 billion in deposits to stablecoins by the end of 2028, with regional banks carrying the most exposure.

According to Standard Chartered’s Geoff Kendrick, the two largest stablecoin issuers, Tether (USDT) and Circle (USDC), hold most of their reserves in US Treasuries rather than in bank accounts, meaning very little capital is recycled back into the banking system.

What the Legislative Fight is Really About

During the recently concluded Senate Banking Committee deliberations on the CLARITY Act, members of the American Bankers Association sent more than 8,000 letters to Senate offices in less than a week, specifically targeting rules around stablecoin yields.

At the time, Senator Bernie Moreno accused banks of trying to “kill stablecoins that would let everyday Americans earn real yield on their own money.” He also called the industry a “cartel” that was hell-bent on protecting low-interest deposit models.

EGRAG’s analysis interpreted that response as its own kind of signal, writing:

“If stablecoins were meaningless, banks wouldn’t fight them. Lobbyists wouldn’t panic. Bills wouldn’t stall. Narratives wouldn’t shift.”

Even a survey released in March by Ripple revealed that 74% of finance executives see stablecoins as tools for unlocking working capital and improving treasury operations, suggesting institutional interest is well past the exploratory stage.

And the stablecoin market is growing relentlessly, with the latest data from DefiLlama showing it now sits at about $320 billion, with USDT holding $188 billion and USDC at $76 billion.

The post Banks Fear Stablecoins as Yield Threatens Deposit Business: Report appeared first on CryptoPotato.

The privacy-focused crypto asset is flashing another bullish signal after an already remarkable run in 2026, largely defying the wider market’s struggles.

Another Bullish Signal

According to the latest findings from crypto analyst Ali Martinez, the TD Sequential indicator on a 12-hour chart has flashed a buy signal for ZEC, suggesting the rally may not be over yet. Martinez believes that a move toward $642 remains possible as long as the token continues to hold above the $500 level.

The latest signal comes after a period of intense volatility and growing market attention surrounding the asset. Earlier, blockchain analytics platform Santiment identified ZEC as the dominant topic across crypto social media, recording seven repeat spikes in social dominance during the week and reaching a peak social dominance score of 10.02 on May 20.

The firm noted that sentiment around the asset shifted sharply over the course of the rally, moving from positive to negative after the initial surge. Santiment linked the May 20 spike to a powerful short squeeze that sent ZEC from around $568 to an intraday high near $686 in roughly six hours, a gain of about 17%. The move reportedly triggered around $28 million in liquidations and pushed the ZEC’s market capitalization above $11 billion.

Discussion online was largely driven by claims that the rally was fueled by aggressive positioning and thin liquidity, growing excitement around Grayscale’s filing to convert its Zcash Trust into a spot ETF, and continued interest in privacy-coin investment narratives. While sentiment was initially boosted by the short squeeze and ETF-related optimism, it later turned negative as some market participants began to question the move’s sustainability and rotated into other assets.

As a result, Santiment described ZEC as one of the most consistently active and volatile assets of 2026, while adding that “signals around it tend to be tradable in either direction rather than directional on their own.”

Security Fixes

Beyond market activity, the Zcash Foundation last week released Zebra 4.5.0 and urged node operators to upgrade immediately. The update addressed multiple security vulnerabilities across the network, including a consensus-related issue and several bugs that could affect node operations.

It also introduced support for mining directly to a shielded address and included broader security and reliability improvements.

The post Zcash (ZEC) Flashes Fresh Buy Signal; Is $642 the Next Stop? appeared first on CryptoPotato.

Here’s a better question: what if you didn’t need a wish at all?

The crypto market has always attracted dreamers. That’s not a criticism; it’s how generational wealth gets built. But there’s a difference between dreaming and deciding. Between waiting for the moment to feel right and recognizing that the moment is already here, already moving, already filling up.

Solana Unchained ($UCHN) is in Phase 1 of its presale. The price is $0.05. The listing target is $0.50. That’s a 10x multiple, not a projection, not a promise, a number locked into the structure of the raise before a single token hits an exchange. Phase 1 is already over 30% sold, and the window closes June 6, 2026.

Phase 2 Opens At $0.07. Math Doesn’t Get Easier From Here

$UCHN is a utility-driven token built on Solana, one of the fastest, most battle-tested blockchains in the world. The kind of infrastructure that doesn’t flinch when volume spikes. The kind of network that institutional money has started to take seriously. Solana Unchained is designed to operate inside that ecosystem with purpose, not as a meme, not as a gamble, but as a project built for what comes after the hype cycle settles.

The tokenomics are transparent. The roadmap is public. The presale is structured into 10 phases with incrementally rising prices, each phase rewarding those who moved earlier rather than those who wished they had.

And about that billion-dollar wish

(Spoiler alert) In Obsession, the wish works, but nobody’s in control of what happens next. A $1 billion market cap for Solana Unchained is a different kind of story. With a total supply of 100 million, a $1B market cap would put $UCHN at $10 per token. A long way from current numbers, but crypto has seen even more fascinating stories.

So, What Does Solana Unchained Do?

Solana Unchained isn’t chasing a trend; it’s building infrastructure.

At the core of the ecosystem is the AI Tool Hub, a token-gated platform giving $UCHN holders access to premium AI tools for trading insights, content automation, and DeFi workflows, live during 2026, and some will be live during presale and upon launch, not promised for someday.

Stack that with the Unchained Vault, which offers presale investors a tiered yield account paying 15% to 150% APR weekly, directly to users’ wallets in USDC or $UCHN, with zero lockup requirements. Then there’s the Unchained Wallet, a non-custodial, mobile-first wallet with built-in crypto commerce, social recovery, and on-chain inheritance, solving one of the most overlooked problems in the space: permanent loss of access.

Underneath all of it runs a Native Commerce Protocol that enables real crypto transactions without KYC or middlemen, on Solana’s fast, low-fee network. The supply is fixed to100 million tokens, and 60% is allocated to the presale. There’s no hidden inflation.

The Community Is Paying Attention, And So Are the Auditors.

Trust in crypto isn’t claimed; it’s verified. Solana Unchained has passed independent security audits by Solidproof, Spywolf, and Cyberscope, three of the most recognized names in blockchain contract verification. The team verified their identities to Spywolf, and it is on record. The audit reports are public. Some analysts have already produced coverage on the project, like Crypto League and Crypto Volt. Coverage has also landed across Fidelity, Business Insider, and Benzinga, putting Solana Unchained in front of audiences well beyond the typical crypto bubble. The foundation is audited, the community is growing, and Phase 1 closes June 6, 2026.

Website: https://www.solanaunchained.com/

X (Twitter): https://x.com/Unchained_Token

Telegram: https://t.me/Solana_unchained

Disclaimer: The above article is sponsored content; it’s written by a third party. CryptoPotato doesn’t endorse or assume responsibility for the content, advertising, products, quality, accuracy, or other materials on this page. Nothing in it should be construed as financial advice. Readers are strongly advised to verify the information independently and carefully before engaging with any company or project mentioned and to do their own research. Investing in cryptocurrencies carries a risk of capital loss, and readers are also advised to consult a professional before making any decisions that may or may not be based on the above-sponsored content.

Readers are also advised to read CryptoPotato’s full disclaimer.

The post New Obsession: Why Solana Unchained Could be the Only Wish That Makes Sense Right Now appeared first on CryptoPotato.

For decades, payout providers have followed the same business model: businesses move money – providers take a cut. NOWPayments believes that model is outdated and has launched Zero-Fee Ecosystem Payouts – a new crypto payout infrastructure designed around a different idea: partners shouldn’t just pay payout providers. They should be able to earn together with them.

Instead of monetizing every payout, NOWPayments is introducing an ecosystem where high-volume partners can benefit from the economic activity created around their users and payout flows – while also accessing instant settlement and zero-fee transfers.

Powered by custody infrastructure and integrated with ChangeNOW Pro wallets, the new system enables crypto payouts via email with settlement speeds of up to 1 second and zero service or network fees inside the NOWPayments ecosystem.

Recipients simply receive a secure payout link via email. Once opened, a ChangeNOW Pro ecosystem wallet is automatically created and funds become available instantly – no wallet setup, no seed phrases and no onboarding friction.

The result is a payout experience that feels more like sending an email than managing a traditional crypto transfer.

The launch builds on NOWPayments’ Mass Payouts infrastructure, already used for large-scale crypto transfers through CSV and API integrations.

Typical use cases include:

• Affiliate and creator rewards
• Global payroll
• Partner settlements
• Treasury operations
• Marketplace payouts

For enterprises processing 10,000+ monthly payouts, the ChangeNOW Pro ecosystem can reduce operational overhead by up to 70% by simplifying treasury workflows, eliminating payout setup friction and enabling instant ecosystem settlement.

The company says this model is especially relevant for platforms operating large payout volumes, affiliate ecosystems, marketplaces and businesses managing global user payments at scale.

High-volume businesses don’t just receive a payout tool – they enter a dedicated partnership with access to treasury optimization, dedicated account management and revenue-focused payout advisory.

Enterprise partners receive dedicated 24/7 support with response times below 15 minutes, custom integration guidance and quarterly business reviews focused on maximizing payout efficiency and partner earnings.

“We believe payout providers should stop making money only from their partners,” said Kate Lifshits, CEO of NOWPayments. “For too long, businesses accepted payout fees as the price of moving money. We’re introducing a different approach – one where partners can earn together with NOWPayments while benefiting from faster infrastructure and zero-fee transfers. Payouts shouldn’t just cost businesses money. They should create value for them.”

NOWPayments supports more than 350 cryptocurrencies and 30+ stablecoins, processes over 30 million transactions monthly and has facilitated more than $10 billion in lifetime transaction volume.

The new payout infrastructure is available to custody-enabled users across the NOWPayments ecosystem.

About NOWPayments

NOWPayments is a global crypto payment gateway that enables businesses to accept payments and send payouts in cryptocurrencies. The platform supports 350+ cryptocurrencies and 30+ stablecoins, while offering enterprise-ready tools such as invoices, payment widgets, subscriptions, payment buttons, donation tools, point-of-sale solutions, plug-ins, and fiat payment options. Businesses can also benefit from zero-fee payouts with settlement speeds of up to 1 second, helping streamline operations and scale crypto payments efficiently.

The post NOWPayments Redefines Crypto Payouts: Zero-Fee, 1-Second Infrastructure Built for Partner Earnings appeared first on CryptoPotato.

The heavy selling significantly reduced Bitcoin’s year-to-date inflows, which fell to $1.2 billion from $2.6 billion a week earlier and $3.9 billion two weeks ago.

Crypto Investment Exodus Deepens

More broadly, digital asset investment products saw $1.67 billion in outflows during the week, extending the current streak of withdrawals to three consecutive weeks and pushing cumulative outflows over that period to $4.21 billion. In the latest edition of ‘Digital Asset Fund Flows Weekly Report,’ CoinShares said risk-off sentiment tied to developments involving Iran appears to have overshadowed any support from progress on the CLARITY Act.

Assets under management declined to $141 billion from $148 billion the previous week, their lowest level since early April, reflecting a pattern similar to the five-week run of outflows seen between January and February.

Ethereum investment products also saw $257 million exit the market, while participation in the broader altcoin market weakened. Only five assets attracted inflows above $1 million, compared to nine the previous week. XRP led the group with $20.3 million in net additions, followed by Hyperliquid with $10.8 million and Near with $7.6 million. On the other hand, multi-asset products experienced withdrawals of $2.3 million, while Sui and Solana registered investor exits totaling $1.4 million and $0.8 million, respectively.

On a regional basis, the United States accounted for the vast majority of last week’s withdrawals, with investors pulling $1.63 billion from digital asset investment products. Germany also posted $25.7 million in net withdrawals, largely avoiding the selling seen in previous weeks. Sweden and Hong Kong followed with investor pullbacks totaling $6.6 million and $4.5 million, respectively.

Meanwhile, the Netherlands, Switzerland, and Canada welcomed smaller inflows of $1.3 million, $0.5 million, and $0.4 million, respectively.

Pressure Beyond Risk Appetite

The latest fund flow data comes as Bitcoin continues to face bearish pressure. As investor sentiment remained fragile, some analysts expect the crypto asset to face further losses.

Bitunix analysts believe that “Bitcoin is no longer facing merely a question of risk appetite.” Instead, it is “increasingly being tested by the broader impact of rising global funding costs and tightening liquidity conditions.” If US nonfarm payrolls come in stronger than expected and Treasury yields climb toward 5%, investors may need to rethink valuations across risk assets. However, weaker labor market data could ease fears of further tightening.

“At this stage, the key driver of market sentiment is no longer whether the Federal Reserve will raise rates again, but whether the bond market has already delivered the economic effects of another rate hike before policymakers act.”

The post Bitcoin Investment Products Suffer $1.44B in Outflows During Worst Week of 2026 appeared first on CryptoPotato.

The asset fell by roughly 3% on the day, touching an intraday low near $71,300.

It’s also important to note that the sudden decline triggered a wave of forced liquidations across the crypto derivatives market. Data from CoinGlass shows that total liquidations surpassed $500 million for the past 24 hours, with $135 million of that happening in the last hour alone. Many traders were caught on the wrong side of the move, and long positions accounted for the majority of the wipeout. This also indicates that many traders were expecting a continuation higher after Bitcoin’s earlier attempt to stabilize near $74,000.

BTC was among the leading assets by liquidation volume, alongside Ethereum, which is oftentimes the case during market-wide wipeouts.

The selloff comes after days of fragile price action, during which the cryptocurrency repeatedly failed to reclaim higher resistance levels. With BTC now hovering close to $71,000, the market appears to be entering a more defensive and bearish phase. A deeper break below this area could intensify selling pressure and potentially trigger another round of volatility.

The post Bitcoin’s Price Drops Toward $71K as Total Liquidations Surpass $500 Million appeared first on CryptoPotato.

Instead, the firm’s latest SEC filing shows that the sale was closely tied to corporate liquidity needs and preferred stock obligations – not a decision to cash out of Bitcoin. Let’s examine.

Strategy’s Bitcoin Sale Was About Dividends – Not BTC Capitulation

According to a filing with the Securities and Exchange Commission, Strategy sold 32 BTC between May 26 and May 31 for around $2.5 million. The proceeds are expected to support preferred stock distributions – including cash dividends across the company’s preferred stock series.

This is an important distinction. Strategy remains by far the largest corporate Bitcoin holder, with 843,706 BTC still on its balance sheet, at an average purchase price of about $75,600 per coin.

The latest sale represents a tiny fraction of its overall holdings. During the same period, the company raised approximately $128 million by selling 801,994 shares of its Class A common stock under its at-the-market program.

On top of that, the company also disclosed a $900 million reserve and reaffirmed the 11.5% annual dividend rate on its STRC preferred shares.

Put in simpler terms: the firm is managing obligations around the structure of its preferred stock rather than abandoning its Bitcoin accumulation strategy.

First BTC Sale Since 2022: What Does It Mean?

Despite all of the above, the transaction is notable because it’s the first they’ve made since 2022, when they disposed of a little over 700 BTC for tax purposes.

The timing also puts renewed attention on STRC – Strategy’s preferred stock instrument. As CryptoPotato recently reported, analysts argue that STRC’s volatility may matter more for Bitcoin than spot BTC ETF flows. This is because Strategy’s preferred stock structure could create a one-way bid for Bitcoin. When the company raises capital through STRC, it can use those funds to buy BTC – that’s what they’ve been doing for a while now. However, when STRC holders sell, the selling occurs in the equity market and may not directly create selling pressure on Bitcoin.

Of course, STRC’s price stability is incredibly important for this flywheel to work. If STRC trades at or above its stated price of $100 per share, Strategy can issue additional shares and potentially use the proceeds to buy more BTC. However, if the price drops, issuance becomes harder, which could weaken a significant source of demand for BTC.

The post Strategy Sold Bitcoin, But It’s Not What You May Think appeared first on CryptoPotato.

Bitcoin Price Analysis: The Daily Chart

On the daily timeframe, BTC continues to trade within a large ascending channel that has contained price action since the February lows. The 200-day MA, currently located around $80K, has acted as dynamic resistance throughout the recent decline.

Meanwhile, the 100-day MA is positioned near $73K and is now being tested as immediate support. Price is trading directly around this level, making it a pivotal area for the broader trend.

A daily stabilization below the 100-day MA could expose the lower channel boundary and the major demand zone around $70K-$71K. This region also aligns with a previously established order block, increasing its technical significance.

On the upside, any recovery attempt is likely to face resistance around $75K-$76K, where a supply zone has already triggered a strong rejection. Beyond that, the 200-day MA near $80K remains the key obstacle. A successful reclaim of this level would improve the medium-term structure and open the door toward the $87K-$90K resistance region.

BTC/USDT 4-Hour Chart

The 4-hour timeframe highlights the loss of bullish momentum more clearly. BTC has established a sequence of lower highs and lower lows after failing to sustain its breakout above $82K.

Price is currently consolidating within a narrow range between roughly $72.8K and $74.5K. This range is developing directly above the rising lower trendline of the broader channel, creating a crucial decision point for the market.

The short-term structure remains neutral to bearish as long as BTC trades below the $75K-$76K supply zone. A breakout above this area could trigger a relief rally toward $78K and potentially $82K, where the next major liquidity cluster resides.

However, if sellers force a breakdown below the current range and the ascending trendline, the market could quickly rotate toward the higher-timeframe order block at $70K-$71K. Given the lack of significant support between these levels, a move into that zone could occur relatively fast.

For now, the market appears trapped between nearby support and overhead supply, with a likely expansion in volatility.

On-chain Analysis

The UTXO Realized Price Age Bands chart reveals an important development among short-term holders. Bitcoin is currently trading below the realized price of the 1M-3M cohort, which has risen steadily to approximately $73K-$74K.

Historically, this cohort has often served as a key gauge of sentiment. When price remains above the realized price of recent buyers, market participants tend to stay profitable, reducing immediate selling pressure. Conversely, sustained trading below this level can increase the probability of capitulation from weaker hands.

At the same time, the realized price of the 18M-2Y cohort continues to climb and currently sits near $70K. This level closely aligns with the major daily support zone and reinforces the importance of the $70K-$71K region as a potential accumulation zone.

Meanwhile, the older 3M-6M cohort remains significantly higher near $83K-$84K, reflecting the average cost basis of holders who accumulated during the previous advance. This level now represents a major overhead resistance area, aligning with the upper portion of the current trading range.

Taken together, the on-chain data suggests that Bitcoin is testing a critical short-term holder cost basis around $73K-$74K, while stronger long-term support continues to build near $70K. As long as the latter level remains intact, the broader market structure appears constructive despite the ongoing correction.

The post Bitcoin Slips Below Key $73K Support as Bears Eye $70K Demand Zone (BTC Price Analysis) appeared first on CryptoPotato.

Several altcoins, however, delivered explosive double-digit gains, which creates a rather mixed picture across the broader market.

Bitcoin Price Struggles Near $72K

Bitcoin’s price action has worsened since yesterday’s market update, when it was trying to stabilize close to $74,000. Instead of reclaiming that level, BTC reversed lower and is currently found at slightly below $73,000 after dipping to an intraday low near $72,500.

The move shows that buyers continue struggling to regain control following last week’s volatility. Bitcoin remains very close to a key short-term support zone (around $72,000).

A decisive break lower could invite more selling pressure, considering that traders are already closely watching macro headlines, overall risk sentiment, and ETF flows.

It’s worth noting that the broader crypto market remains softened, with the total market capitalization hovering around $2.55 trillion. Bitcoin’s dominance remains above 57%, suggesting that traders are still cautious toward altcoins, despite isolated rallies.

These Altcoins Lead Gainers

The altcoin market was more divided. Several tokens posted very strong gains. Humanity (H) was the standout performer, surging by roughly 81% throughout the past 24 hours. LAB also jumped by more than 52%.

Worldcoin (WLD), which led yesterday’s altcoin rally, remained among the stronger performers, increasing by another 13% to around $0.38. This move extends its recent momentum and keeps the Sam Altman-linked token in focus.

On the downside, the biggest losers from the Top 100 include Morph, Algorand, and Bitcoin Cash, all of which lost between 6% and 8%.

The post These Altcoins Explode by Double Digits as Bitcoin Price Dips Below $73,000: Market Watch appeared first on CryptoPotato.

The latest price action suggests that the bear market remains unfinished and that deeper losses may lie ahead before recovery begins.

‘Stage 5 Is Coming’

In his latest weekly report, Doctor Profit said the market’s broader structure has not changed and that Bitcoin is still progressing through the later stages of a bear market. According to the analyst, this stage is characterized by exhaustion, sideways trading, and growing frustration among market participants.

He said these conditions are already evident in Bitcoin’s recent price action and believes they signal the market is approaching a transition to Stage 5, which he identifies as the true capitulation phase of the cycle.

Doctor Profit expects Stage 5 to begin once Bitcoin falls below $60,000. A break of that level is expected to accelerate panic across the market and trigger a more severe downturn. He added that the next phase could see forced selling by long-term holders, the collapse of a major exchange or a large market participant, or other black swan-type events that further weaken investor confidence. The analyst argued that bear markets rarely unfold in a straight line and instead tend to be lengthy, exhausting, and destructive for participants, which is why he believes many investors continue to underestimate the downside risks.

Despite Bitcoin’s decline from its highs, Doctor Profit does not believe the market has reached its final bottom. He continues to predict that Bitcoin will eventually fall into the $40,000-$50,000 region before the bear market concludes. Based on his calculations, he sees September to October 2026 as the most likely period for that bottom to form.

The analyst also pointed to several upcoming US economic data releases, such as ISM Manufacturing PMI, ADP employment figures, and nonfarm payrolls, as important events for financial markets. He explained that any signs of weakness in employment data combined with persistent inflation would place the Federal Reserve in a difficult position.

Looking ahead to the June Federal Open Market Committee meeting under Chair Kevin Warsh, the analyst said markets appear to be pricing in a dovish policy stance, but he remains skeptical that such an outcome will materialize.

Derivatives Market Still Struggles

Another factor supporting a similar outlook is the current state of the Bitcoin derivatives market. According to another analyst, Darkfost, the sector has yet to fully recover from the massive liquidation event on October 10, when nearly 71,000 BTC were wiped from open interest across major exchanges within hours. While activity has improved since then, total open interest across the Bitcoin derivatives market, excluding CME, remains below pre-liquidation levels, with roughly 351,000 BTC currently outstanding, down from nearly 375,000 BTC before the event.

However, Binance has bucked the trend, increasing both its open interest and market share since October. Such a trend could potentially indicate that trading activity has become increasingly concentrated on the exchange as investors gravitate toward deeper liquidity and market depth.

The post Here’s Why Bitcoin (BTC) Could Still Face Its Biggest Crash Ahead: Analyst appeared first on CryptoPotato.

The move comes amid a broader wave of institutional interest, strong ETF inflows, and continued momentum in the platform’s position as a leading on-chain derivatives ecosystem.

HYPE Hits New Record After 20% Weekly Rally

HYPE has extended its impressive uptrend over the last 24 hours, climbing more than 5% and pushing above $73 to mark a new all-time high at the time of this writing.

The latest move caps a very powerful five-day rally for the cryptocurrency. HYPE had already been gaining traction last week (and the weeks before that) as buyers defended higher lows and pushed the token through several key resistance zones.

Over the past seven days, it has increased by more than 20%, while its 30-day gains have reached more than 75%.

This has pushed HYPE into the top 10 by market cap, allowing it to surpass the likes of DOGE.

ETF Inflows and Grayscale Buzz Fuel the Rally

Beyond improving fundamentals and overall trading volume, another major reason for the rally appears to be the growing demand for HYPE-linked exchange-traded products.

According to data from SoSoValue, US spot HYPE ETFs recorded more than $9 million in one-day net inflows on May 29th, bringing total net assets above $135 million.

Grayscale has also added another layer to the bullish narrative. The asset manager is reportedly in talks with Hyper Holdings Global LP for a seed investment of approximately 2 million HYPE tokens, which are currently worth well over $140 million, for its proposed Grayscale Hyperliquid Staking ETF.

The fund itself is expected to trade on Nasdaq under the ticker HYPG, which further strengthens expectations that institutional access to HYPE could continue growing.

The post Hyperliquid’s HYPE Price Soars to New ATH Above $73: Here’s Why appeared first on CryptoPotato.

Meanwhile, fresh labor market data and updated readings on manufacturing and services activity are on the table this week.

“We also await further details about a potential US-Iran deal, which appears to be dragging on again,” said the Kobeissi Letter.

Economic Events June 1 to 5

May’s ISM Manufacturing PMI report is due on Monday, which will shed light on the US manufacturing sector.

This is followed by April’s JOLTS Job Openings data on Tuesday and May’s ISM Non-Manufacturing PMI data on Wednesday.

Initial Jobless Claims data is on Thursday, and the big May Jobs Report is due on Friday.

The labor market data is keenly eyed as it is one of the Federal Reserve’s two mandates for monetary policy decisions. The outlook is currently mixed, with more-than-expected hiring in April and May, but experts are divided.

Some economists believe the labor market is rallying after a slow year in 2025, while others claim the growth reflects surging demand for health care workers driven by an aging population rather than economic expansion, according to reports.

Key Events This Week:

1. May ISM Manufacturing PMI data – Monday

2. April JOLTS Job Openings data – Tuesday

3. May ISM Non-Manufacturing PMI data – Wednesday

4. Initial Jobless Claims data – Thursday

5. May Jobs Report – Friday

6. Total of 7 Fed Speaker Events This Week…

— The Kobeissi Letter (@KobeissiLetter) May 31, 2026

The major stock indexes finished a month of gains at record highs last week, buoyed by enthusiasm for tech stocks and dipping oil prices, but crypto remained deep in bear territory.

Crypto Market Outlook

May ended with Bitcoin losing 3.6% following two green months. It made a weekend high of $74,000 but could not advance further and fell back towards $73,000 during Monday morning trading.

The asset has lost 5% over the past week and is moving to the lower bands of its four-month-long range-bound channel.

Ether had lost the $2,000 level again on Monday morning after spending most of the weekend just above it.

“Several meaningful catalysts are converging in June that could prove significant for Bitcoin’s near-term trajectory,” reported 10x Research on Monday.

“The headwinds are real and visible: ETF outflows, stablecoin contraction, and trading volumes at historic lows all point to near-zero conviction, but that is precisely the environment we anticipated for a major cycle bottom.”

The post 3 Things That May Move Bitcoin Price This Week appeared first on CryptoPotato.

The investment, which could reach up to 75 billion euros, is intended to meet surging demand for high-performance computing and position the country as a major European hub for artificial intelligence infrastructure.

According to an official release, the first phase of the project will include an initial €45 billion investment. It should deliver 3.1 GW of AI data center capacity in the Hauts-de-France region by the year 2031.

The facilities are planned for Bosquel, Bouchain, and Dunkirk, with SoftBank also eyeing additional sites across the country.

The announcement was made at the Choose France summit, hosted by President Emmanuel Macron. The firm said the investment will expand access to computing power for AI companies, enterprises, cloud providers, public institutions, as well as for research organizations.

Speaking on the Matter, Masayoshi Son, Chairman and CEO of SoftBank, said:

AI is entering a new era, and the countries that build the infrastructure for this transformation will shape the future of technology, industry and society,” said Masayoshi Son. “SoftBank is proud to make this major commitment to France. With its industrial capabilities, talent base and national ambition, France is uniquely positioned to become a leading AI infrastructure hub in Europe.

The move highlights the growing demand for computing power, while SoftBank also vows to create thousands of high-skilled jobs across engineering, data center development, robotics, operations, maintenance, advanced manufacturing, and more.

The post SoftBank Bets Up to €75 Billion on France in Massive AI Data Center Push appeared first on CryptoPotato.

The analytics firm outlines a sharp contrast between the weaker market performance and strong network fundamentals, with stablecoin adoption, real-world asset tokenization, and transaction activity all increasing during the quarter.

XRP Price Falls as Trading Activity Cools

During the first quarter of the year, XRP was, for the most part, the fourth-largest non-stablecoin cryptocurrency by means of total market capitalization, trailing only Bitcoin, Ethereum, and Binance Coin.

However, the token wasn’t immune to the broader market downturn. Its market cap declined by 26% quarter-over-quarter to about $82 billion, while its price dropped by 27% to $1.34 at the time of this writing.

Per Messari’s report, trading activity also slowed down during the cited period. Average daily spot volume declined by 32%, while perpetual futures volume declined by 28.6%. That said, institutional exposure continued to build, as CryptoPotato covered recently. The quarter ended with ETFs holding about 775.4 million XRP, which is roughly 1.26% of the asset’s currently circulating supply.

XRPL Sees Growth in RWAs, Transactions, and Stablecoins

While XRP’s price struggled, XRPL activity moved in the opposite direction, supporting the case for strong fundamental support. Messari indicated that average daily transactions increased by 35% quarter-over-quarter, increasing from 1.83 million to 2.48 million.

The network also saw growing adoption across stablecoins and tokenized assets.

Ripple’s RLUSD stablecoin expanded to a market cap of $340.3 million on the XRPL by the end of the quarter, up 45% from the previous quarter. Meanwhile, XRPL’s real-world market cap soared by 124% QoQ to an all-time high of $2.25 billion.

Messari also reported that new infrastructure is being built in institutional-oriented decentralized finance. During the quarter, permissioned domains, permissioned DEX, and token escrow went live. Meanwhile, native lending protocols and asset vaults are still in voting.

All in all, these developments can be taken to suggest that XRPL’s institutional finance narratives continued to strengthen, despite the weakening price performance of XRP.

The post XRP Ledger Activity Soars in Q1 Despite XRP Price Slump: Messari appeared first on CryptoPotato.

Bitcoin’s price is attempting to stabilize near an important short-term resistance area, while some altcoins are outperforming sharply, led by Worldcoin’s double-digit daily surge.

BTC Pushes Toward $74,000

Bitcoin has remained relatively calm during the weekend trading session after a volatile few days. The cryptocurrency is still fighting to press above an important short-term resistance level.

BTC’s price trades slightly below $74K at the time of this writing, gaining roughly 0.5% over the past 24 hours. It’s evident that buyers are trying to recover some ground following the market-wide pullback that took place last week.

The most recent price action comes as the broader cryptocurrency market stabilizes, with total capitalization hovering around $2.58 trillion, according to CoinGecko. Bitcoin’s dominance remains above 57%. However, the momentum remains fragile, as traders continue to watch macro headlines, with Trump saying they are under no deadline to strike a deal with Iran, meaning uncertainty is likely to continue for the time being.

Worldcoin (WLD) Leads Altcoin Gainers

The altcoin market saw mixed results over the past 24 hours, although several large-cap names posted strong daily moves.

Worldcoin (WLD), the Sam Altman-linked project, stole the show after increasing by about 11% to jump around $0.33. Other top gainers from the top 100 cryptocurrencies by total market cap include Venice Token (VVV), Humanity (H), and Midnight, all of which post notable advances.

BNB and TOn also sttod out among the larger-cap assets with gains of more than 7%.

On the flipside, Monero’s XMR was the weakest top-100 performer, dropping by roughly 8%, while most other major altcoins saw more modest moves.

The post Sam Altman-Backed Crypto Explodes 10% Today as Bitcoin Eyes $74K: Weekend Watch appeared first on CryptoPotato.

The asset has broken below a multi-month bullish structure on the daily chart while continuing to trade inside a descending channel on the 4-hour timeframe.

Meanwhile, sentiment data suggests that aggressive buyers remain largely absent.

Ethereum Price Analysis: The Daily Chart

On the daily timeframe, ETH has decisively broken below the large ascending triangle structure that had developed between February and May. The move occurred after multiple rejections from the $2.4K resistance zone, which coincides with a major horizontal supply area and the former breakout region.

The bearish move has also pushed the price below the 100-day moving average, which is currently around $2.2K. More importantly, ETH remains significantly below the declining 200-day moving average near $2.5K. This indicates that the broader trend continues to favor sellers.

The recent rejection from the $2.4K zone confirms it as the primary resistance area. As long as ETH remains below this region, any recovery attempt may be viewed as a corrective bounce rather than a trend reversal.

On the downside, the next major support lies around the $1.8K zone, highlighted by the blue demand area and the February swing low. A daily close below the current $2K psychological support could increase the probability of a move toward that region.

Momentum indicators also remain weak. The RSI is hovering near oversold territory, which reflects persistent bearish momentum despite the recent stabilization around $2K.

ETH/USDT 4-Hour Chart

The 4-hour chart presents a clear descending channel that has guided price action lower throughout May. ETH has been moving toward the lower boundary of the channel again after failing to sustain any meaningful recovery from the mid-range resistance area.

The price is currently trading around $2K, which is a significant demand zone for the market. This area has produced a modest reaction so far, but buyers have yet to generate a convincing reversal signal.

The first resistance level is the descending channel’s upper boundary and the horizontal supply zone, which sits around $2.15K. Above that, the major resistance remains at $2.25K, followed by the upper supply zone near $2.4K.

A breakout above the descending channel could trigger a short-term relief rally toward the $2.15K and $2.25K regions. However, as long as the channel structure remains intact, the path of least resistance appears tilted to the downside.

Conversely, losing the $2K support zone would expose the channel’s lower extension and increase the likelihood of a deeper correction toward the $1.8K area identified on the daily chart.

Sentiment Analysis

The Ethereum Taker Buy Sell Ratio offers additional insight into current market sentiment. This metric measures the balance between aggressive buyers and aggressive sellers across exchanges. Readings above 1 indicate buyer dominance, while values below 1 suggest that market sell orders are outweighing buy orders.

The chart shows a persistent decline in the ratio over recent months, with the metric currently near 0.98 and below the neutral 1.0 threshold. This indicates that sellers continue to dominate order flow despite ETH’s prolonged correction.

For a sustainable recovery to develop, traders would likely need to see the Taker Buy Sell Ratio reclaim and hold above 1. Until that occurs, order flow suggests that bullish momentum remains limited and that rallies may continue to face significant selling pressure.

The post Ethereum Price Analysis: ETH Risks Deeper Drop as $2K Support Comes Under Pressure appeared first on CryptoPotato.

Hal Finney argued that a monetary network cannot be rebooted without damaging the credibility of everything that follows.

The Debate Over a New Bitcoin

On May 30, 2011, Hal Finney and Jon Tobey entered a debate called “Early speculators’ reward.”

Basically, it was a discussion on Bitcointalk, where the OP raised a question that has followed Bitcoin since its very first days – was it fair that early adopters mined or acquired coins before most people knew the network existed?

Some participants argued that this early distribution amounted to a significant advantage – so large that the protocol itself should be relaunched. Finney rejected the premise with a response that was not just technical, but also rooted in economic logic.

“Any successful replacement of the Bitcoin block chain will forever undermine the credibility of any successor. […] How is an investor to know that it won’t happen again?”

The Problem of Credibility

Finney’s point seems simple now: if Bitcoin could be discarded because early users benefited, then any future replacement would inherit the same vulnerability, because there would be a new group of early adopters, a later group of users who resent them, and so forth – a vicious circle.

His argument also anticipated what later became a core principle of Bitcoin: monetary networks depend not only on code but also on confidence, continuity, and credible resistance to arbitrary change.

In simple words, Bitcoin’s staying power relies on itself – the Bitcoin staying power. The protocol has become so resistant to unnecessary change that it has brought forward a level of predictability that alternative economic systems cannot yet fathom.

The post 15 Years Ago, Hal Finney Explained Why Bitcoin Could Not Simply Be Replaced appeared first on CryptoPotato.

Republican lawmakers have shifted their portfolios to reflect assets and companies that are in the president’s favor.

GOP Trades Follow Trump’s Crypto Signal

According to a recent report, GOP lawmakers have migrated their portfolios toward “Trump favorites.” These include Intel and Bitcoin, which underscores how closely political sentiment and market positioning have started to overlap.

The report also says that investments in the iShares Bitcoin Trust ETF currently account for about 4% of total Republican holdings, subject to the analysis.

This figure is relatively small compared to traditional stock positions, but it holds considerable political significance. Bitcoin has become a clear financial symbol of Trump’s efforts to turn the United States into the “crypto capital of the world.”

Trump Keeps Praising Crypto

This shift comes as the president continues to publicly praise the cryptocurrency industry.

Just a few days ago, he once again promoted his goal of keeping the US the crypto capital of the world, which further reinforces a message that has been central to his digital asset agenda. Unfortunately, the industry took a dive immediately afterward, but let’s be optimistic and consider it short-term selling pressure.

This specific rhetoric has been backed by Trump’s policy. Recently, the Commodity and Futures Trading Commission took a landmark step by approving KalshiEX’s BTCPERP as the first regulated Bitcoin perpetual futures contract listed on a CFTC-regulated US-based exchange.

Moreover, the watchdog issued a no-action letter, which clears the path for Coinbase to connect American users to global derivatives markets for the very first time ever.

Back to the subject at hand, though, for investors, the growing exposure to bitcoin-linked products presents a new reality – one that confirms that crypto is evolving to be more than just a speculative asset class.

The post GOP Portfolios Shift Toward Bitcoin and Other Trump Favorites: Report appeared first on CryptoPotato.

While the USDT pair continues to grind near the lows, with the $1.20 support uncomfortably close, the BTC ratio has staged a convincing recovery over the past week, with the RSI on that pair climbing to its highest reading since February.

Ripple Price Analysis: The USDT Pair

On the USDT pair, the price has gone essentially nowhere since last week. It is hovering around $1.34, pressed against the upper boundary of the descending channel.

The 100-day moving average at approximately $1.40 also sits just overhead. It is close enough to reclaim, but buyers have not been able to push the price above it over the past two weeks. On the downside, the $1.20 support band remains close below. This is a key level that has not been breached since February’s wick.

The RSI also sits in the 40–45 range and is recovering slightly from recent soft readings, but it offers no directional signal. A daily close back above the 100-day moving average at $1.40 and a breakout from the descending channel is the minimum requirement to ease the downward pressure and open the path to a genuine recovery. Failing that, the mentioned $1.20 critical demand zone could be the next decisive area for the price to visit in the coming weeks.

The BTC Pair

The pair against BTC tells a different story. From the recent low of 1,700 sats that held the price, XRP/BTC has recovered to above 1,800 sats and is on the verge of breaking above this area, which could be a sign of a potential recovery.

More significantly, the RSI has climbed to approximately 60–65, which is the highest reading on this pair since February and a dramatic reversal from the oversold extreme printed in early May. This kind of RSI recovery, from deeply oversold to the mid-to-upper 60s in under a month, historically carries follow-through rather than fading immediately.

The next meaningful resistance sits at the 2,000 sat zone, with the 100-day moving average declining below it near 1,900 sats, and the 200-day moving average just above at approximately 2,050 sats. Reclaiming this area would be a meaningful sign on the road to recovery for XRP.

Looking below, the recent low at 1,700 sats remains the immediate floor to defend on any pullback. Losing this level on a closing basis would invalidate the bounce entirely and could push the price much lower in the coming weeks.

The post Ripple Price Prediction: Can XRP Reclaim $1.40 as Bitcoin Pair Hits Important High? appeared first on CryptoPotato.

However, BTC is now approaching an important confluence of technical supports around $70K-$72K, where both trendline support and the 100-day MA could provide temporary relief for the market.

Bitcoin Price Analysis: The Daily Chart

On the daily timeframe, Bitcoin has officially broken below the key $75K-$76K support region, which previously acted as an important decision point for the market. The breakdown confirms bearish continuation after repeated failures to reclaim the descending 200-day MA near $80K-$81K.

Currently, the price is approaching a major support confluence around $70K-$72K. This region aligns with the ascending lower boundary of the broader structure, the 100-day MA around $73K, and a significant historical order block visible on the chart. Such overlapping supports often increase the probability of at least a short-term reaction or relief bounce.

If buyers manage to defend the $70K-$72K range, Bitcoin could attempt a corrective recovery back toward the broken $75K-$76K resistance zone. However, failure to hold this area may open the path toward deeper supports around $65K-$66K and potentially the broader $60K-$63K demand region.

For now, the overall market structure remains bearish unless BTC reclaims the $75K-$76K zone and stabilizes above it.

BTC/USDT 4-Hour Chart

The 4-hour chart reflects accelerating bearish momentum following the recent breakdown below the consolidation structure near $75K-$76K. Sellers remain in control, while lower highs and persistent rejection candles continue to dominate the short-term trend.

Nevertheless, Bitcoin is now entering a critical order block between $70K and $72K. This zone has historically attracted significant demand and currently overlaps with the rising trendline support shown on the chart. The market reaction here will likely determine the next major move.

A short-term bullish pullback remains possible if buyers step in around this support cluster. In that scenario, BTC could revisit the $74K-$76K region as a corrective rebound. However, if the current support fails to hold, bearish momentum could accelerate rapidly toward the $65K-$66K liquidity zone.

Therefore, the $70K-$72K area represents the most important short-term battlefield between buyers and sellers.

Sentiment Analysis

The ETF cumulative flow chart reveals an important divergence developing in the market. Despite Bitcoin attempting multiple recoveries during recent months, cumulative ETF inflows have started flattening and have recently turned weaker alongside the latest correction.

This behavior suggests that institutional demand has cooled considerably compared to previous accumulation phases. The slowdown in spot Bitcoin ETF inflows indicates reduced aggressive buying from large market participants, which partly explains BTC’s inability to sustain rallies above the $80K-$82K region.

More importantly, recent price weakness has occurred while cumulative ETF flows remain relatively stable rather than aggressively expanding higher. This signals a lack of fresh capital entering the market at current levels.

Historically, strong bullish continuation phases in Bitcoin have usually been accompanied by accelerating ETF inflows. The absence of that dynamic increases the likelihood that the current market will remain corrective in the short term.

Still, if Bitcoin stabilizes around the $70K-$72K support region and ETF flows begin strengthening again, the market could regain momentum later. Until then, weakening institutional demand, combined with a bearish technical structure, keeps downside risks elevated despite the possibility of temporary relief rallies.

The post Bitcoin Price Analysis: BTC Eyes $70K-$72K Support Amid Market Weakness appeared first on CryptoPotato.

The Seoul Southern District Prosecutors’ Office confirmed in its Wednesday statement that five individuals are now facing charges in connection with the case, including two main suspects who have been placed in custody and three others who have been indicted without detention.

Influencer Ruse, Fake Lockups

Investigators say the group created and launched CatFi in early 2025 through the Solana meme coin platform Pump.fun. It managed to draw in investors soon after listing, only to abandon the project once enough money had entered the token. Prosecutors highlighted that the case is legally significant because it is the first time the country’s Virtual Asset User Protection Act has been used to prosecute a rug pull under fraudulent and unfair trading provisions. Interestingly, it is also the first known prosecution involving a crypto crime carried out through a decentralized exchange, which had previously remained largely outside regulatory reach.

According to the findings, the suspects did not rely solely on token mechanics to generate interest but allegedly built a misleading promotional ecosystem around the project. One of the accused reportedly presented himself online as an independent crypto influencer, using that identity to push investment interest toward CatFi. Meanwhile, another handled official project communications, where follower numbers were artificially inflated, and announcements were posted claiming fake token lock-up arrangements intended to suggest stability.

Authorities further allege that the group circulated tokens across multiple wallets and carried out wash trading activity to disguise their control over supply and to create the appearance of genuine market demand. In the hours following launch, CatFi’s price reportedly surged dramatically, increasing by roughly 1,001 times within a 26-hour window, during which about 6,000 investors bought into the token.

Prosecutors said that 256 of these investors later reported total losses amounting to around 900 million Korean won, which is roughly equivalent to $600,000, while the suspects are believed to have secured profits exceeding 400 million won. The scheme had initially drawn attention from online blockchain analysts who traced wallet activity and publicly identified those involved, but police at the time closed the case after the suspects claimed they had been victims of hacking.

The matter was later escalated when the Financial Services Commission referred it to prosecutors, which ultimately led to a joint investigation involving a dedicated crypto crime unit as well as financial and tax authorities, that tracked down the suspects, including one individual who had evaded capture for three months using disguises.

Arrests followed on May 11 for two suspects, while the remaining three were detained later on Wednesday.

High User Activity Despite Allegations

Pump.fun has come under intense scrutiny for enabling large-scale speculative token activity on Solana, where most newly created meme coins are linked to scams like rug pulls and pump-and-dump schemes. The platform’s ease of token creation and low transaction costs drove rapid trading.

Despite this, the meme coin launchpad emerged as one of the Solana ecosystem’s top revenue-generating applications in 2025. In fact, it was one of seven Solana apps that earned over $100 million in revenue during the year.

The post South Korea Cracks Down on CatFi Rugpull: First-Ever Crypto Fraud Case Under New Investor Protection Law appeared first on CryptoPotato.

The sanctioned entities are accused of processing more than $90 billion in 2025 to fund Russia’s invasion of Ukraine.

 Crypto Platforms Linked to Illicit Russian Flows

A TRM Labs report reveals that Huobi, Exmo Exchange, Bitpapa, and Rapira Group were some of the targeted exchanges, with Huobi alone sending more than $4.9 billion in on-chain transactions to UK-sanctioned entities and the A7 network since 2021. Additionally, $1.13 billion of this occurred 14 months after the March 2025 takedown of Russian crypto exchange Garantex, with $838 million directed specifically to the A7 network last year.

According to TRM’s findings, the crypto activity associated with Russia did not slow down after the Garantex collapse but was instead migrated to successor exchanges and payment platforms like Rapira, Aifory Pro, Grinex.io, and ABCex. Exmo exchange is said to have directly transacted over $19.5 million with sanctioned entities like Garantex and Chatex, while BitPapa was also reported to have transferred millions to these actors.

The report notes that Rapira moved more than $543 million, including $375.6 million tied to Grinex.io, while Aifory Pro transferred over $189 million, of which $175.2 million was attributed to ABCex. Meanwhile, ABCex itself recorded $355 million in transactions across the restricted firms, sending $175.2 million to Aifory Pro, $133.4 million to Garantex, and $38.1 million to Rapira.

The government has now added all 18 sanctioned entities to the UK Consolidated List, with businesses operating in the country now required to freeze any assets connected to them and block transactions involving the listed companies.

“If the Kremlin thinks it can evade our sanctions by hiding behind crypto networks and shadow financial systems, it is gravely mistaken,” said the Foreign Secretary Yvette Cooper.

She added that the restrictions were being made to cut off the financial flows sustaining Putin’s war in Ukraine.

Russia-Related Illicit Crypto Activity Has Rebounded

The new measures also extend to target individuals linked to the A7 network. In its report, the government says that the group is backed by a Kyrgyz bank suspected of processing payments within the system, alongside a major global crypto exchange that is believed to have transferred more than $1.5 billion back into Kremlin-linked financial channels.

Meanwhile, a separate TRM Labs analysis discovered that illicit crypto activity went up sharply last year. According to the company, most of that was related to Russian-linked trades, with A7’s A7A5 token contributing $72 billion worth of trades alone while the group’s own wallets accounted for another $39 billion. Most of that money reportedly flowed through Garantex and Grinex.

The post UK Sanctions 18 Crypto Firms Tied to Russia’s $90B War Network appeared first on CryptoPotato.

The attack adds to a growing list of DeFi breaches this month, as security experts warn that aging smart contracts and weak access controls are leaving protocols exposed.

What Happened

According to on-chain security account PeckShieldAlert, a user named “Tahax” first identified the exploit. Per their report, attackers targeted at least 1,400 old DxSale liquidity pool contracts on BNB Chain, draining about $7.3 million worth of crypto from them, which they then routed through AnySwap in an attempt to obscure their trail.

PeckShield added that an address identified as “0xC457…FA69” had transferred 2,958 BNB from the hack, worth $1.87 million, into two main wallets, which then moved the funds through several deposit addresses on Binance.

DxSale is a launchpad platform that lets crypto projects create tokens and liquidity pools without building their own infrastructure. It was pretty big about five years ago, with many of the projects launching tokens on BNB Chain locking their LPs with the protocol.

According to Tahax, the locker was still holding LPs from projects that had not been touched for years, with founders and holders believing it was safe. However, nearly nine months ago, the DxSale deployer transferred ownership of the locker to a new wallet with no public announcement or migration notice. The on-chain degen claims that the locker contract was unverified and it probably contained a backdoor, which the attacker took advantage of.

Two days ago, 0xC457…FA69, a brand new wallet funded from Bybit and possibly routed through AnySwap, reportedly took ownership of the locker and, within hours started draining the LPs.

DxSale itself was yet to make a statement regarding the exploit.

DeFi Security Concerns Keep Growing

The DxSale hack hasn’t happened in isolation, with the crypto sector losing at least $650 million in April from similar incidents. May has also had its fair share of attacks, including one last week, where a person stole more than $11 million from the Verus bridge after exploiting a flaw in how it verified payment amounts. According to security researchers, the attacker submitted a tiny transaction that passed verification checks while still unlocking large withdrawals from the bridge’s reserves.

Earlier in the month, liquidity provider TrustedVolumes was also hit for about $5.9 million after a hacker abused weaknesses in its custom settlement system, with analysts pointing out that the exploit worked because the protocol checked authorization against one address while pulling funds from another.

THORChain was also a victim, with on-chain sleuth ZachXBT saying it may have lost more than $10 million, which sent its RUNE token plummeting 15% within minutes.

This steady stream of exploits has elicited a reaction, with OpenZeppelin co-founder Manuel Aráoz declaring “all of DeFi unsafe,” arguing that AI-assisted attackers are finding vulnerabilities faster than security teams can patch them.

The post Over 1,400 Liquidity Providers Hit in $7.3 Million DxSale Exploit appeared first on CryptoPotato.

The move comes as institutional demand via spot XRP ETFs continues to stand in contrast to the broader market weakness.

XRP ETFs Extend Positive Inflow Streak

According to data from SoSoValue for today, spot XRP ETFs recorded $11.88 million in daily net inflows, bringing the cumulative total to $1.42 billion or $1.12 billion in net assets.

The figure represents 1.37% of the total XRP market cap.

That follows yesterday’s positive reading, when these products saw about $1.77 million in inflows despite the broader crypto market downturn.

The inflows may not be massive, but they do indicate a temporary trend, with institutions continuing to accumulate XRP amid market instability.

The continued streak gives bulls a positive narrative, but ETF demand alone has definitely not been enough to fully reverse the broader downtrend observed in XRP’s price.

XRP Price Outlook: Key Levels to Watch

From a technical perspective, XRP’s 2% daily bounce is encouraging, but it is far from being a signal for a confirmed trend reversal. The token has recently slipped toward its lowest level since March, with the $1.20 region continuing to serve as a key support level.

The first major upside level to watch is around $1.4.

As we recently reported, XRP’s 100-day moving average sits near that zone, making it a key resistance level for buyers to reclaim. A successful breakout above it could open the door to a move toward $1.5-$1.6 and improve short-term sentiment.

On the downside, a clean break below $1.20 would be a bearish signal, potentially exposing the altcoin to a deeper correction. This becomes especially true if Bitcoin and the broader crypto market resume their decline.

For now, however, XRP’s price outlook remains cautious.

The post Ripple (XRP) Price Bounces 2% on Continued ETF Inflows: What’s Next? appeared first on CryptoPotato.

However, Stellar (XLM) continues to be the clear outlier from the top alts, posting yet another massive daily surge while the broader market remains under pressure.

BTC Price Calms Above $73K

Bitcoin’s most recent weekly correction took the asset south when it slipped below $73,000 amid renewed pressure across crypto markets. The primary cryptocurrency has recovered since then and gained some ground, now trading at $73,400.

Its intraday moves have not been without volatility, however. The price ranged between $72,200 and $74,200 before finally settling down at the current levels as the weekend starts.

Bitcoin’s market capitalization remains above $1.47 billion, while its dominance over altcoins is more or less unchanged, suggesting they failed to capitalize on BTC’s weakness. The latter could have been induced by weakening ETF flows, which have posted record outflows in the past few days.

For now, the $73,000 zone has become the key area to watch. A decisive loss of that level could trigger another leg lower, potentially to $70,000, while a move above $74K may ease some of the short-term pressure.

Stellar (XLM) Continues to Lead the Altcoin Market

The altcoin market shows a mixed picture today, with most large-cap assets posting relatively modest moves over the past 24 hours rather than sharp recoveries.

Ethereum (ETH) is trading close to $2,000, while SOL, XRP, and several other majors are showing only limited changes. BNB has fared the best from the top alts, rising by more than 5% on the day.

XRP is also slightly in the green, while ETH and SOL remain almost flat compared to their levels from 24 hours.

Stellar (XLM), however, is in a completely different category. The altcoin has exploded by roughly 25% over the past day and is trading near $0.20, making it one of the strongest performers among mid-cap cryptocurrencies.

The move comes shortly after DTCC announced that its tokenization service will connect with the Stellar public blockchain. The move is expected to support tokenized DTC-custodied assets, including stocks, ETFs, treasuries, and corporate bonds, with availability targeted for the first half of 2027.

Other notable performers for the day include LAB, up 37.5%; Algorand’s ALGO, up 9.5%; and XDC Network (XDC), up 9%.

The post Bitcoin Calms at $73,000, Stellar Explodes by 25% Daily: Weekend Watch appeared first on CryptoPotato.

One of these vaults, currently enjoying a total value locked of more than $3 million, delivered 638% APY last month. Let’s examine.

What Are Hyperliquid Vaults?

Hyperliquid vaults are one of the more closely watched features on the decentralized derivatives exchange. They allow traders to participate in shared strategies.

Think about it this way – a vault works more like a pooled trading account. A vault leader runs a strategy, while other users can deposit funds into the vault and gain exposure to the results.

If the strategy makes money, depositors would share in the profits. If it loses money, they also share in the losses.

What makes vaults interesting is that, unlike a basic yield product that simply lends or rebalances assets, they are built directly into HyperCore. This means that vault strategies can tap into existing infrastructure available to traders on the exchange, including leverage, liquidations, perps, high-throughput execution, and everything Hyperliquid provides.

This can make them powerful instruments for those seeking more passive avenues, but they can also be risky. Returns can move very sharply in both directions, especially when vaults use leverage or take concentrated directional bets.

An interesting way to think about it is to equate it to on-chain copy trading with pooled capital. The strategy is fully visible, performance can be tracked, and users can choose whether the risk profile is fit for their own portfolio.

Long HYPE and BTC, Short “Garbage” Yields 638% APY Past Month

One particular vault built on Hyperliquid has drawn attention after returning an APY of 638% over the past month.

It’s named “Long HYPE & BTC, Short Garbage,” and it currently manages around $3.03 million in total value locked.

Its strategy is designed to be 70% HYPE and 30% BTC on the long side. It also maintains shorts in a basket of at least 10 high-FDV and high-emission coins, with the short side representing about 60% of notional exposure.

As you can see from the position table, the only underperforming trade is the BTC long, though it has been offset by the funding payout.

The vault’s overall PnL chart shows a steep rise over the prior 30 days, nearing the $1.2 million area.

Of course, this shouldn’t be interpreted as a low-risk yield. On the contrary, it reflects a rather aggressive leveraged long-short crypto trade, which depends heavily on HYPE’s price performance.

The post This Crypto Trade Printed 638% APY Last Month: Details appeared first on CryptoPotato.

A few important project-oriented developments also took place, so let’s have a look at some of the more important news around the project.

Important Protocol Update for Pi Network

Undoubtedly, the main development story for the past few days centered on an important protocol upgrade for mainnet node operators. As CryptoPotato reported, all Pi mainnet nodes are required to move to version v24. The deadline is set for June 2nd, 2026.

The team described the update as very quick to complete, with downtime expected of about 15 minutes. However, the warning around it is significant, because nodes that fail to update risk being disconnected from the canonical chain.

That could create instability if enough operators delay the process. Developers have also advised operators not to upgrade all nodes at once, instead routing traffic through other nodes during the transition.

For Pi Network, the move comes at an important stage, because the project continues to focus on infrastructure and utility, while the market continues to watch for signs of technical progress that can translate into more confidence in the native token Pi.

CiDi Games Beta Draws Engagement

The second major update is coming from the ecosystem side of things. CiDi Games – a Pi Network Ventures portfolio company – launched its beta application within the Pi Browser. The move is supposed to bring Pioneers 10 instant-access games across puzzle, idle, action, and competitive categories.

The move also introduced skill-based tournaments, platform progression through CiDiScore, the Pi ELF companion experience, and more.

The early traction was notable. In less than a week, CiDi Games attracted more than 81,000 Pioneers across more than 160 countries and regions, generating over 1.2 million game sessions. The launch also showed that Pi-based applications can reach users organically, build engagement, and test monetization through real utility rather than speculation.

CiDi Games, a Pi Network Ventures portfolio company, launched their beta app in the Pi Browser!

This brought Pioneers 10 instant-access games along with skill-based tournaments, platform progression through CiDiScore, the Pi ELF companion experience, Elf Continent, and developer… pic.twitter.com/7iqdZxUoIb

— Pi Network (@PiCoreTeam) May 28, 2026

Pi Price Remains Under Pressure

Despite the notable ecosystem updates, PI’s market performance remained depressed today. At the time of this writing, the token is trading at around $0.143, down about 4.7% over the past week, with a market capitalization of nearly $1.53 billion and daily trading volume of around $8.7 million – a far cry from its former days of massive activity.

The cryptocurrency continues to reflect broader caution observed in altcoins this week, with traders weighing technical progress against weaker market momentum.

As it stands, PI’s price action suggests that investors are not easily swayed by announcements.

The post Pi Network News and PI Price Update May 30 appeared first on CryptoPotato.

But data suggest that ETH’s largest whales are accumulating again

ETH Whales Tighten Grip on Supply

Wallets holding at least 100,000 Ethereum now collectively own 17.41 million ETH, the highest level in nine weeks. These holdings account for 22.03% of Ethereum’s total supply and mark a 10-week high.

The latest findings come after Santiment reported that the asset’s fall below $2,000 triggered a wave of “buy the dip” calls from retail traders. According to the analytics firm, crypto markets typically react to sharp declines in two ways: either fear takes over, and traders begin abandoning the asset, or optimism grows as traders view lower prices as a buying opportunity.

The second reaction appeared to be dominating sentiment around ETH despite the recent weakness, which essentially meant that retail traders were increasingly confident that the decline represented a discounted entry point rather than a warning sign of deeper downside.

However, Santiment warned that excessive optimism from the crowd has historically been a bearish signal, as retail traders often misread market direction during volatile periods. The firm went on to add that a stronger buying opportunity may emerge once the current FOMO fades and sentiment shifts toward panic, which it described as a more typical setup seen near market bottoms.

Downside Targets

Bearish technical signals have not completely disappeared from the market. Crypto analyst Ali Martinez, for one, said Ethereum could see accelerated downside pressure if it records a weekly close below the $1,850 level.

Based on the broader channel structure, Martinez identified two potential downside targets following the rejection. The first target stands around $1,560, which he described as interim structural support, while the second target sits near $1,070, which marks the lower boundary of the crypto asset’s multi-year range.

The post Ethereum’s Largest Wallets Now Control Over 22% of Supply Amid Fresh Accumulation Wave appeared first on CryptoPotato.

Venture firms invested roughly $4 billion across 355 crypto and blockchain-focused deals during the quarter, which is a 50% decline in capital invested quarter-over-quarter and a 16% drop in deal count.

VC Market Loses Steam

Despite the pullback, activity remained well above many of the quarterly levels seen during the 2023-2024 market downturn. Galaxy Research found that the decline was driven mainly by the absence of the very large later-stage financings seen in Q4 2025, while smaller seed and early-stage rounds continued to close at a relatively steady pace.

If annualized, Q1’s pace would imply approximately $16 billion invested during 2026, below 2025’s nearly $20 billion total but still stronger than much of the previous two years. The historical relationship between Bitcoin prices and crypto venture investing has weakened compared with earlier cycles in 2017 and 2021. While Bitcoin reached new highs in late 2025, venture activity remained uneven, and both Bitcoin prices and venture funding declined in Q1 2026, though the drop in invested capital was more severe than the decline in deal activity.

Later-stage startups accounted for the majority of funding during the quarter, as this cohort captured roughly 57% of all invested capital, while earlier-stage companies received the remaining 43%. By deal count, however, early-stage activity remained significant, even as the share of pre-seed deals declined to 19% and later-stage transactions rose to one-quarter of completed deals.

Galaxy said that this trend indicates the growing maturity of the crypto industry and the increasing presence of larger, revenue-generating companies.

Meanwhile, median crypto deal sizes also reached new all-time highs above $4.5 million in Q1 2026, even as valuations pulled back slightly from the record levels reached in Q4 2025.

Among the sectors tracked by Galaxy Research, the Trading/Exchange/Investing/Lending category attracted the most venture funding by a wide margin after raising roughly $2.6 billion, or nearly three-fifths of all capital invested during the quarter. The same category also led in deal count with 74 transactions.

Wallet startups ranked second in capital raised with roughly $270 million. Galaxy also found that startups founded in 2018 received the largest amount of capital in Q1 at $1.3 billion, while younger startups founded in 2024 and 2025 dominated overall deal count.

US Leads Crypto Deals

Geographically, the United States continued to dominate crypto venture activity, as it accounted for over 70% of all invested capital and 43.5% of total deals completed during the quarter. Bahrain and Singapore followed the US in capital share, while the United Kingdom ranked second by deal count.

On the fundraising side, investors allocated nearly $1.1 billion to eight new crypto-focused venture funds, the fewest new funds launched in a quarter since Q3 2020.

Galaxy said fundraising conditions remain difficult due to macroeconomic pressures, lingering effects from the 2022-2023 crypto market turmoil, growing institutional interest in artificial intelligence, and competition from spot crypto ETFs and digital asset treasury companies for investor capital.

The post Crypto VC Funding Falls 50% After Massive Q4 2025 Surge: Galaxy appeared first on CryptoPotato.

This split has left crypto investors searching for answers, especially since the market has lumped the two asset classes together under the “risk-on” label.

Diverging Drivers Between Equities and Bitcoin

According to market researchers at XWIN Japan, the reason for the divergence is simple: stocks and BTC are running on “different engines.”

They noted that equity gains are tied to growth in AI-linked earnings, capital spending from firms like Nvidia, and share buybacks, as well as steady ETF inflows. As such, investors can point to profit growth that is real and visible.

However, Bitcoin does not carry earnings or cash flow, with its price depending on new capital entering the market, which leaves it more exposed to liquidity shifts.

Right now, per XWIN’s assessment, that capital isn’t arriving. Recall that spot Bitcoin ETFs have recorded notable outflows during the second half of May, with data from SoSoValue showing that since May 15, the funds have lost more than $3.5 billion. In that time, the biggest outflows were recorded on May 18 ($648.64 million) and May 27 ($733.43 million). There hasn’t been a single green day since the $131.31 million that flowed in on May 14.

XWIN’s analysts also pointed out that in past strong cycles, the price of Bitcoin was often backed by growing user activity. But currently, the asset is increasingly resembling a market where price is elevated while participation is fading. And that, they said, is the key difference.

“Stocks rise because companies generate profits. Bitcoin rises when new liquidity and new participants return,” they explained.

As a result of the above, investors have been allocating more funds to stocks, which they see as “profit growth assets,” while taking away from those that depend on liquidity, including BTC.

And it’s not all talk. As noted by analyst Ash Crypto earlier today, the Nikkei crossed 66,500 for the first time ever on May 29, with Japanese stocks adding about $3.2 trillion this year alone. The story was the same in Korea, whose KOSPI also hit a new all-time high, adding 150 trillion won to its total market value.

What Bitcoin Needs

As the Nikkei and KOSPI shone, Bitcoin yesterday crashed to about $72,600 per CoinGecko data, with market watchers suggesting it may have been affected by the resumption in hostilities between the USA and Iran, as well as someone offloading a huge $1.3 billion position in BlackRock’s spot Bitcoin ETF, IBIT.

The flagship crypto has since dragged itself back above $73,000, but that’s hardly impressive, considering that it had been trading close to $78,000 at some point in the last seven days. The current price also represents a drop of more than 4% in the past month, as well as a nearly 32% decline year-on-year.

To turn things around, XWIN’s analysts stated that Bitcoin needs stronger ETF flows, a rise in its on-chain activity, and improvement in the Coinbase Premium. They also believe that a weaker dollar could help bring about a more sustained revival for the cryptocurrency.

The post Why Bitcoin Is Falling Behind Record-Breaking Stocks appeared first on CryptoPotato.

This move undoubtedly reflected a combination of macro pressure, renewed ETF outflows, and weaker liquidity rather than a single industry-specific event.

It goes without saying that the biggest theme was the fading institutional demand. US spot Bitcoin ETFs saw notable redemptions, with over a billion dollars leaving in a single day. At the same time, large-holder activity picked up, with whale outflows reaching their highest level since February, which added to concerns that some investors are preparing to offload into weakness.

Macro headlines also played their part. Geopolitical tensions between the US and Iran have reduced hopes for near-term rate cuts, weighing on speculative assets. Moreover, analysts reported that central banks are adding to their gold reserves at an unprecedented rate, signaling broader risk-off market sentiment.

Altcoins followed Bitcoin lower – at least most of them. Ethereum is hovering near $2,000, and risk appetite remains cautious, to say the least.

Overall, the week showed that crypto remains highly sensitive to ETF flows and macro risk. Bitcoin’s failure to hold its price around the mid-$70s level leaves the market looking rather defensive heading into next week.

Market Data

Market Cap: $2.54T | 24H Vol: $83B | BTC Dominance: 57.7%

BTC: $73,158 (-5.4%) | ETH: $1,995 (-5.9%) | XRP: $1.33 (-3.4%)

This Week’s Crypto Headlines You Can’t Miss

SpaceX Pre-IPO Market Flash-Crashes 45% on Hyperliquid. The pre-IPO market for SpaceX on Hyperliquid, powered by Ventuals, went through a sudden flash crash. Its price tanked by 45% in moments before recovering, causing mass liquidations. Ventuals has said that affected traders will be compensated.

Google Engineer Accused of Turning Secret Search Data Into a $1.2M Polymarket Profit. US prosecutors have charged a software engineer from Google with allegedly using confidential information to profit from betting on Polymarket. He allegedly made $1.2 million by using proprietary search data.

Hyperliquid Adds Macro Prediction Markets, HYPE Explodes Above $64. Hyperliquid has expanded the suite of available outcome markets on its platform. Initially, only fixed bets on Bitcoin’s daily price were available, but now users can trade on macro events such as monthly CPI prints and more.

Coinbase CEO Reveals What Still Needs to Change Before Finance Truly Evolves. Brian Armstrong said that the financial system still requires major upgrades. He emphasized that significant technological innovation and policy work will be needed to achieve them.

Galaxy Digital and BitGo Clash in Court Over Failed $1.2 Billion Crypto Merger. BitGo and Galaxy Digital continue their courtroom clash over the collapse of a $1.2 billion acquisition agreement that was once expected to become the largest merger in the industry.

Sui Network Hit by Fresh Outage Months After Previous Six-Hour Downtime Incident. Sui Network has once again experienced considerable downtime. The blockchain went offline for nearly six hours on Thursday. It’s far from the first time this has happened as well.

Charts

This week, we have a chart analysis of Ethereum, Ripple, Cardano, Binance Coin, and Hyperliquid – click here for the complete price analysis.

The post Bitcoin, Altcoin Prices Slide on ETF Outflows and Macro Risk: The Weekly Crypto Recap appeared first on CryptoPotato.