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cointelegraph.com Mar 12, 2025 06:01

Bitcoin high-entry buyers are driving sell pressure, price may ‘floor’ at $70K - Bitcoin buyers who purchased around when it hit a $109,000 all-time peak in January are now panic-selling as the cryptocurrency declines, says onchain analytics firm Glassnode, which isn’t ruling out that Bitcoin could slide to $70,000.Glassnode said in a March 11 markets report that a recent sell-off by top buyers has driven “intense loss realization and a moderate capitulation event.”Short-term holders fled as Bitcoin dropped from peakThe surge in buyers paying higher prices for Bitcoin (BTC) in recent months is reflected in the short-term holder realized price — the average purchase price for those holding Bitcoin for less than 155 days.In October, the short-term realized price was $62,000. At the time of publication, it’s $91,362 — up about 47% in five months, according to Bitbo data.Meanwhile, Bitcoin is trading at $81,930 at the time of publication, according to CoinMarketCap. This leaves the average short-term holder with an unrealized loss of roughly 10.6%.Bitcoin is down 5.90% over the past seven days. Source: CoinMarketCapGlassnode said that short-term holders’ realized price shows it is apparent that “market momentum and capital flows have turned negative, signaling a decline in demand strength.” “Investor uncertainty is affecting sentiment and confidence,” it added.Glassnode said that short-term holders are “deeply underwater” between $71,300 and $91,900 and warns that Bitcoin could bottom out as low as $70,000 if selling persists.“The probability of forming a temporary floor in this zone is meaningful, at least in the near term,” Glassnode said.Bitcoin short-term holders are “deeply underwater” between $71,300 and $91,900. Source: GlassnodeMarket research firm 10x Research labeled it a “textbook correction” in a March 10 note, adding that with Bitcoin’s dip below $80,000, “approximately 70% of all selling came from investors who bought within the last three months.”Related: Bitcoin slides another 3% — Is BTC price headed for $69K next?On the same day, BitMEX co-founder Arthur Hayes said that Bitcoin may retest the $78,000 price level and, if that fails, may head to $75,000 next.Glassnode explained that a similar sell-off Bitcoin pattern was seen in August when Bitcoin fell from $68,000 to around $49,000 amid fears of a recession, poor employment data in the United States, and sluggish growth among leading tech stocks.However, Bitcoin has spiked 7.5% over the past 24 hours as the US market steaded on March 11 after plunging a day earlier after US President Donald Trump refused to rule out that a recession was on the cards.Magazine:The Sandbox’s Sebastien Borget cringes at the word ‘influencer’: X Hall of FlameThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

FOMO: 85%
cointelegraph.com Mar 12, 2025 02:57

Starknet to settle on Bitcoin and Ethereum to unify the chains - Ethereum layer 2 Starknet is laying the groundwork to settle on Bitcoin and Ethereum to unify the two largest blockchains on a single layer.The Starknet Foundation said in its March 11 Bitcoin roadmap that it’s aiming for Starknet to become Bitcoin’s execution layer, scaling it from 13 transactions per second to thousands, reducing blocks and gas fees, and creating a better user experience.“Most Bitcoin today sits static in wallets and exchanges, constrained by the limitations of the network’s original design: a lack of scalability and an inability to natively support applications beyond simple buying, selling, and transferring,” the foundation said.It added that while some investors view Bitcoin as “digital gold,” it believes “there is a demand for utilizing Bitcoin for purposes beyond that.”Source: StarknetPreviously, StarkWare CEO Eli Ben Sasson, the company behind the STARK proof that contributes to the development of Starknet, said OP_CAT, a Satoshi-era opcode for unlocking programmability on Bitcoin that was disabled over security concerns, would allow Starknet to settle on the Bitcoin blockchain. If successful, Starknet said the move would allow developers to build applications on the Bitcoin network through smart contracts and enable applications such as staking, borrowing, lending, leveraged trading, and yield farming.As part of the announcement, StarkWare said it has joined the growing number of firms in creating a Bitcoin (BTC) reserve, holding a growing portion of its treasury in crypto.Source: Ameen SoleimaniStarknet will also team up with Bitcoin Web3 wallet Xverse, whose founder and CEO Ken Liao said the integration, slated for the second quarter of 2025, will achieve Bitcoin’s “DeFi take-off moment.”Xverse said wallets need to be more than just storage solutions; and allow easy access to Bitcoin’s growing utility. Liao said in a statement that the endgame is trustless DeFi on Bitcoin.Related: Unknown attacker causes headaches during Pectra upgrade on Sepolia“In today’s environment, there is a temptation for wallet teams to say, ‘yeah, let’s just focus on making it easier for people to use Bitcoin as a store of value,’” Liao said.“But the long-term future of Bitcoin also includes utility, and that’s why layer 2 solutions must reach the public via the wallets they actually use,” he added.Meanwhile, in a March 11 X space discussing Starknet’s plan, Ethereum co-founder Vitalik Buterin said a proper Bitcoin L2 that can satisfy the needed security properties would “make crypto payments great again, and all those use cases can work.”Starknet on Bitcoin and Ethereum https://t.co/tCyQDHY7Yr— StarkWare 🐺🐱 (@StarkWareLtd) March 11, 2025Buterin said there is a “lot of value” in enabling the trustless flow of assets between the Bitcoin and Ethereum ecosystems, such as easier paths for decentralized exchange.“If you go back to the white paper, Bitcoin was meant to be a peer-to-peer electronic cash system, and obviously, layer 1 is not nearly scalable enough for that,” Buterin said.“I think we’ve also seen some of the limits of the Lightning Network and that kind of approach.“Magazine: MegaETH launch could save Ethereum… but at what cost?

FOMO: 90%
cointelegraph.com Mar 12, 2025 02:07

Senator Lummis’ new BITCOIN Act allows US reserve to exceed 1M Bitcoin - US Senator Cynthia Lummis’ newly reintroduced BITCOIN Act will allow the government to potentially hold more than 1 million Bitcoin as part of its newly established reserve.The bill, first introduced in July, directs the US government to buy 200,000 Bitcoin (BTC) a year over five years for a total acquisition of 1 million Bitcoin, which would be paid for by diversifying existing funds within the Federal Reserve system and the Treasury department. However, the reintroduced act, the Boosting Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act of 2025, opens the door for the US to acquire and hold in excess of 1 million BTC as long as it is acquired through lawful means other than direct purchase, such as civil or criminal forfeitures, gifts made to the US or transfers from federal agencies.Proud to re-introduce the BITCOIN Act. Let’s secure America’s financial future.pic.twitter.com/jJFmMopP7h— Senator Cynthia Lummis (@SenLummis) March 11, 2025The extra Bitcoin can also come from US states that voluntarily store their Bitcoin holdings in the strategic Bitcoin reserve, though it’ll be stored in a segregated account. “By transforming the president’s visionary executive action into enduring law, we can ensure that our nation will harness the full potential of digital innovation to address our national debt while maintaining our competitive edge in the global economy,” said Lummis, who announced the revamped bill during a March 11 conference hosted by The Bitcoin Policy Institute. Lummis taps new bill co-sponsorsThe BITCOIN Act also has a number of new co-sponsors, including Republican Senators Jim Justice, Tommy Tuberville, Roger Marshall, Marsha Blackburn and Bernie Moreno. “I’m proud to join Senator Lummis on this common-sense bill to create a strategic Bitcoin reserve and codify President Trump’s executive order,” Justice said in a statement. “This bill represents America’s continued leadership in financial innovation, bolsters both our economic security, and gives us an opportunity to wrangle in our soaring national debt,” he added. Other changesThe bill also now sets a formal evaluation process for Bitcoin forked assets and airdropped assets in the reserve. Initially, the bill required all forked assets to be stored in the reserve and couldn’t be sold or disposed of for five years unless authorized by law. Related: Texas Senate passes Bitcoin reserve bill, New York targets memecoin rug pulls: Law DecodedThe new bill now directs the Secretary after the mandatory holding period to evaluate and retain the most valuable asset based on market capitalization while retaining the “dominant asset.” Bitcoin has hard forked a number of times in the past to create new cryptocurrencies, most notably Bitcoin Cash (BCH), which forked on Aug. 1, 2017, and Bitcoin Gold (BTG), which forked on Oct. 24, 2017. Lummis’ reintroduced bill comes just days after US President Donald Trump signed an executive order to create a “Strategic Bitcoin Reserve” and a “Digital Asset Stockpile.”The reserve and stockpile will initially use cryptocurrency forfeited in government criminal and civil cases, but the reserve won’t sell the stashed Bitcoin and will use “budget-neutral” ways to increase its size, while tokens from the stockpile could be sold.Magazine: The Sandbox’s Sebastien Borget cringes at the word ‘influencer’: X Hall of Flame

FOMO: 90%