Из жизни альткоинов

The price of Bitcoin has struggled to muster a sustained upward climb over the last few weeks, with the latest one failing around the $74,000 mark in the past week. However, the premier cryptocurrency seems to have deeper problems than failed price recovery attempts. According to a crypto market expert, the Bitcoin price is at a stage reminiscent of the bearish period of 2022.

Is BTC About To Witness A Repeat Of 2022?

In a March 8 post on the X platform, Chartered Market Technician Tony Severino shared an interesting insight into the current situation of the Bitcoin market. The crypto pundit hypothesized that the world’s largest cryptocurrency might have to endure a bearish period associated with the Terra (LUNA) ecosystem crash in 2022.

The rationale behind this evaluation is the steady decline in the Moving Average Convergence Divergence (MACD) indicator on BTC’s two-week price chart. MACD is a prominent momentum indicator used in technical analysis to identify trend direction, momentum changes, and potential entry and exit positions.

Typically, the Moving Average Convergence Divergence indicator has two lines: the MACD line (green) and the signal line (red), and a histogram, which reflects the distance between the two aforementioned lines. The histogram, which is the primary momentum indicator, is currently signaling a strong bearish momentum.

This observation is because the histogram bars are expanding, signaling rising momentum in the current direction (which is bearish because the bars are below the neutral or zero line). According to Severino, the MACD indicator is even expanding to levels not seen since 2022, when the Terra (LUNA) ecosystem collapse sent bearish shockwaves through the entire crypto market.

2W Bitcoin LMACD momentum is around the same point before the Luna collapse in 2022

It’s possible something nasty is coming

How are you managing your risk? And do you even know how? pic.twitter.com/SFzsYJxiZc

— Tony Severino, CMT (@TonySeverinoCMT) March 8, 2026

The crypto market analyst said, “it is possible that something nasty is coming,” suggesting that another crypto winter might be imminent. After Terra’s collapse in May, the premier cryptocurrency would have fallen from above $50,000 to around $30,000 — about a 40% decline — by July 2022.

However, it is important to note that the market might have already priced in what is currently being seen in the MACD indicator, which is often considered a lagging indicator. Moreover, Bitcoin has already lost nearly 30% of its value so far in 2026.

Bitcoin Price At A Glance

At the time of this writing, the price of BTC stands at around $67,520, reflecting no significant movement in the past 24 hours.

A popular crypto analyst on the social media platform X has shared a buy-and-hold strategy for Bitcoin, which could potentially yield over 250% gain in the near future.

BTC Price To Bottom Out Around $49,000?

In a recent post on the X platform, market pundit Ali Martinez put forward an exciting trade plan for Bitcoin, the world’s largest cryptocurrency by market capitalization. This strategy revolves around the CVDD (Cumulative Value Days Destroyed) Channel.

CVDD is an on-chain technical indicator based on the volume of aged capital being sent into the market. This on-chain metric is typically used in highlighting zones of long-term support or resistance based on the movement of long-held coins.

The Cumulative Value Days Destroyed line, which is typically the lowest line in the channel, signals a phase of severe undervaluation. The channel extensions (the resistance bands, which are usually the targets during bull markets) are then created by applying Fibonacci multiples to the base CVDD line.

The CVDD Channel by @Alphractal lays out a simple game plan for Bitcoin $BTC:

• Buy near $49,330. • Take profits between $178,478 and $273,158. pic.twitter.com/4k9nKyli0S

— Ali Charts (@alicharts) March 7, 2026

From a historical perspective, the Bitcoin price has never dropped below the CVDD line (the base line of the channel), marking it as a relevant indicator for identifying cycle bottoms. Hence, the line is often considered a primary accumulation zone, where investors often bet on a price reversal.

As shown in the highlighted chart, this CVDD line (blue) is currently around $49,330, representing the potential Bitcoin bottom in this bearish phase. According to Martinez, this price point also represents the perfect spot to take a position in the flagship cryptocurrency.

Next, the market analyst says to take profit from this trade at the resistance levels around $178,478 or $273,158. These $178,478 and $273,158 resistance levels are the CVDD 3.618x and Alpha CVDD lines, respectively, of the channel, and they represent potential cycle tops for the Bitcoin price.

If the price of BTC indeed soars from $49,330 to at least the $178,478 top, that would represent an over 260% rally in one cycle. Meanwhile, it would take a further 53% upside movement from $178,478 toward the next resistance level.

Bitcoin Price Overview 

As of this writing, the price of BTC stands at around $67,350, reflecting a more than 1% decline in the past 24 hours. According to data from CoinGecko, the premier cryptocurrency is barely up by 1% kn the weekly timeframe.

Графические процессоры и искусственный интеллект поддерживают доминирующее положение компании Nvidia на рынке. Ее последний финансовый отчет превзошел самые оптимистичные прогнозы. А главное, Nvidia влияет на криптоиндустрию.

Bitcoin’s holder metric is quietly telling two very different stories right now, and both give different interpretations of what to expect for the leading cryptocurrency’s price outlook.

On one side, a wave of short-term holders is rushing to lock in profits at the first sign of a price bounce, flooding exchanges with Bitcoin. On the other hand, long-term holders, the market’s most battle-hardened participants, are sitting on their coins in near-total silence, unbothered by the noise.

Short-Term Holders Cashing Out Into Strength

Bitcoin barely twitched above $70,000 for only a few days before the exits started filling up. Data highlighted by crypto analyst Darkfrost on CryptoQuant shows that short-term holder selling pressure is beginning to stand out. 

Notably, more than 27,000 BTC in profit was reportedly sent to exchanges by short-term holders within a space of 24 hours, a figure that places current activity among the highest profit-realization readings seen in recent months. As shown in the chart below, the last time more BTC in profit was sent to crypto exchanges was in early January 2026.

That matters because short-term holders tend to be the market’s most reactive participants. They usually respond quickly to price swings. The chart tracking short-term holder profit and loss to exchanges shows a spike in profit-taking as Bitcoin attempted to regain footing above $70,000. 

Interestingly, the cohort currently in profit are addresses who bought Bitcoin between one week and one month ago, with a realized price around $68,000. That places them in a position where even the recovery is an opportunity to de-risk. Everyone else in the short-term cohort is either at breakeven or underwater.

Bitcoin Short-Term Holder P&L To Exchanges. Source: CryptoQuant

Long-Term Holders Sending A Different Message

Long-term holders (LTHs), the cohort defined by holding Bitcoin for more than 155 days, are exhibiting a level of inactivity that matches conditions associated with bear market lows. According to the Coin Value Days Destroyed (CVDD) metric, which measures not just when long-held coins are moved but how much economic weight those movements carry, the current reading sits around 0.34.

To put that in context, market tops have historically formed when CVDD exceeded 2.0, which shows that LTHs are selling heavily. At 0.34, the market is nowhere near that territory. Therefore, long-term holders are, by and large, choosing to sit still and not contribute to selling pressure. 

As shown in the metric chart below, the last time long-term holders had high selling activity was in early January 2026. This matters because LTHs aren’t just a passive footnote in the Bitcoin narrative.

They are always the crypto industry’s most strategically minded participants. Right now, they appear to be waiting either for higher prices to sell into or for the price action to deteriorate enough to accumulate more.

BTC: Value Days Destroyed. Source: @Darkfost_Coc On X

Featured image from Unsplash, chart from TradingView

South Korean authorities are reportedly moving to exclude stablecoins from an incoming framework that will allow listed companies to invest in cryptocurrencies. The decision is reportedly tied to existing foreign exchange laws, but reflects a cautious approach in permitting institutional exposure to the digital asset market.

South Korea’s FSC Leaves Stablecoins Out of Corporate Options 

According to a report by local media, Herald Economy, South Korea’s financial regulators are leaning toward omitting US dollar–pegged stablecoins such as USDC and USDT from the list of digital assets that corporations will be allowed to hold once the guidelines take effect. 

The regulatory pathway being designed by the nation’s Financial Services Commission (FSC) is aimed at allowing publicly listed companies to invest in cryptocurrencies. However, regulators believe that including stablecoins in the approved investment list would conflict with the existing legal framework over cross-border payments. 

For context, stablecoins are cryptocurrencies designed to maintain a stable value by being pegged to a fiat currency, most commonly the US dollar. Tokens such as USDT and USDC typically maintain a 1:1 value with the dollar and are widely used for trading, settlements, and cross-border payments due to non-existent volatility compared with traditional cryptocurrencies.

 

据韩媒《先驱经济》报道，韩国金融监管机构在拟定允许上市企业投资加密货币的指导方针时，倾向于将 USDT、USDC 等美元稳定币排除在许可名单之外。监管部门认为，由于当前韩国《外国换交易法》尚未将稳定币认定为法定的对外支付手段， 若在指导方针中允许法人投资稳定币，将与现行法律体系产生矛盾。…

— 吴说区块链 (@wublockchain12) March 7, 2026

 

However, South Korean regulators argue that these tokens are currently not recognized within the country’s Foreign Exchange Transactions Act, a law enacted in 1998 and implemented in 1999 to regulate currency flows and international payments. The legislation requires cross-border transactions to pass through designated foreign exchange banks and does not recognize stablecoins as legitimate external payment instruments. 

Therefore, allowing companies to invest in stablecoins could potentially enable firms to bypass the country’s foreign exchange control system by conducting overseas payments directly through blockchain networks. Notably, South Korean corporations involved in international trade have expressed hope for stablecoin inclusion to hedge exchange-rate volatility and facilitate near-instant settlements. Nevertheless, the SFC appears inclined to maintain a conservative stance.

Corporate Crypto Access Expands, But With Limits

The proposed guidelines by the FSC will initially permit investments only in the top 20 non-stablecoin cryptocurrencies by market capitalization, including assets such as Bitcoin and Ethereum. Meanwhile, corporate exposure would potentially be capped within 5% of a company’s own capital, thus helping mitigate financial risks. 

The move is part of a broader shift in South Korea’s digital asset policy. In 2017, authorities imposed strict restrictions on corporate participation in crypto trading amid concerns about speculation and money laundering. Nearly nine years later, regulators are gradually reopening the market to institutional investors under stricter oversight.

Meanwhile, the Asian country continues to refine its broader crypto regulatory framework. Bitcoinist recently reported that the FSC and the ruling party agreed to cap major shareholder stakes in domestic crypto exchanges to 20% in a bid battle governance risk and founder control.

Гендиректор управляющей криптоактивами компании Off The Chain Capital Брайан Диксон (Brian Dixon) заявил, что биткоин сможет выступить страховкой на случай войны.

Биткоин может сначала показать краткосрочный рост цены, который введет в заблуждение, а затем — начать более глубокий спад, заявил соучредитель Bitcoin Vector Вилли Ву (Willy Woo).

A federal judge in Manhattan has thrown out a civil lawsuit accusing Binance, the world’s largest crypto exchange, and its founder Changpeng Zhao, popularly known as CZ, of facilitating financing for multiple terrorist attacks globally. This development represents a significant win for the Seychelles-based exchanges, whose commitment to AML/CFT principles has recently come under serious scrutiny.

Binance Not Accomplice To Terror Attack Despite Illicit Transactions, Court Rules

According to a Reuters report on March 7, around 535 plaintiffs, consisting of victims and relatives of certain terrorist attacks between 2017 and 2024, had filed a lawsuit against Binance alleging the crypto exchange enabled foreign terrorist organizations (FTO) to utilize its trading platform in funding their operations.

The complainants sued for compensation and damages, claiming that CZ and Binance allowed these FTOs, including Hamas, Hezbollah, ISIS, Al-Qaeda, the Palestinian Islamic Jihad, and Iran’s Revolutionary Guard, to move hundreds of millions of dollars in digital assets, thereby funding 64 terrorist attacks in the world. Meanwhile, they also accused Binance of allowing Iranian citizens to send billions of dollars on the exchange despite an existing US sanction that prohibits services to all residents of the Middle Eastern country.  

However, Judge Jeannette Vargas found the plaintiff’s claims lacking. In the court ruling on March 6, Judge Vargas stated that Binance and Zhao’s relationship with the mentioned FTOs was simply at “arms length” in that these entities merely executed transactions on the exchange. Furthermore, while the crypto exchange might have plausibly been aware of these transactions, the judge emphasized that the allegations failed to show direct cause between the exchange’s conduct and the specific attacks listed. 

Nevertheless, the plaintiffs have been granted 60 days to file an amended complaint, which could be presented with more concrete data centered around transaction timing, wallet owners, and possible relationships with the listed attacks.

Binance Drowning In AML/CFT Compliance Checks

Notably, the recent case dismissal comes amid a period of high scrutiny for the Binance exchange. Most recently, Democrat Senator Richard Blumenthal, a member of the Investigative panel of the Senate Homeland Security, has opened a preliminary inquiry into the exchange following reports of $1.7 billion Iran-linked transactions on the exchange. Binance has strongly denied the claims, calling the inquiry false, unsubstantiated, and defamatory.

Meanwhile, Senator Chris Van Hollen, alongside nine other lawmakers, has urged the US Department of Justice and Treasury to launch a broader probe into Binance’s sanctions and AML compliance practices. This flurry of attacks comes two years after the exchange secured an initial plea deal of $4.3 billion from both agencies after failing to implement a required anti-money laundering control system on its platform. 

Одна из крупнейших в мире компаний-майнеров Cango отключила оборудование на примерно 30% своего хешрейта, объяснив решение оптимизацией инфраструктуры. В феврале операционный хешрейт компании составлял 34,55 Эх/с при установленной мощности 50 Эх/с.

За последнюю неделю клиенты централизованных криптобирж вывели около 47 700 биткоинов. Это сопоставимо с максимальными значениями прошлого года, сообщили эксперты CryptoQuant.

The price of Bitcoin seemed to have broken into a fresh rally after making a run towards $75,000 during the week. However, the premier cryptocurrency has been on a steady decline since hitting a new one-month high around $74,000. According to a prominent blockchain firm, this decline may not be over yet for the price of BTC. 

Whales Offload 66% Of BTC Purchase After $74K High

In a Friday report, Santiment revealed that the price of Bitcoin could even fall lower from its current level due to rising whale activity. According to the crypto analytics firm, BTC whales — holding between 10 and 10,000 coins — acquired significant amounts of the flagship cryptocurrency between February 23 and March 3.

This heavy accumulation by this investor cohort occurred as the Bitcoin price oscillated between $62,900 and $69,600. However, after the market leader climbed above $70,000 and toward $74,000, these whales started offloading their purchases, selling off about 66% of their freshly-acquired coins.

At the same time, retail investors — entities holding below 0.01 Bitcoin — have been increasing their exposure to the world’s largest cryptocurrency since falling back below $70,000. Santiment noted that “when retail buys while whales sell, it typically signals that the correction is not yet over.”

According to the blockchain firm, the correlation between the 10-10k investor cohort and the Bitcoin price action is currently extremely high. “The reaction time between their moves and price action is almost instantaneous right now, making this the highest-value signal for short-term direction,” Santiment revealed.

In its report, Santiment also acknowledged the ongoing geopolitical conflict between the United States, Israel, and Iran. Typically, conflict and tensions lead to volatility — as seen at the start of the Russia-Ukraine conflict, with the broader financial market often reacting with fear.

Santiment concluded:

Crypto moves based on the confidence of large capital holders, not just retail panic, so it will be interesting to watch the markets over the coming weeks. The markets are also affected by the expected duration and resolvability of the conflict.

With the current global uncertainty and recent whale activity, it is difficult to be optimistic about how the  Bitcoin price will move over the coming days.

Bitcoin Price At A Glance

As of this writing, the price of BTC stands at around $68,057, reflecting an almost 4% in the past 24 hours. According to data from CoinGecko, the value of the premier cryptocurrency has increased by nearly 7% in the past seven days.

Доля женщин среди российских криптоинвесторов достигла 29%, а в отдельных возрастных категориях женщины проявляют больший интерес к криптовалютам, чем мужчины, объявила криптобиржа Grinex.

Вице-президент консалтинговой фирмы BlockSpaceForce Чарльз Чонг (Charles Chong) заявил, что криптостартапы столкнулись с новой угрозой — растущим рынком искусственного интеллекта, куда уходит капитал инвесторов.

Satoshi Nakamoto’s Bitcoin holdings risk getting stolen as the quantum threat becomes more of a possibility. BTC developer Hunter Beast has notably proposed the Hourglass V2 proposal amid debates on the best way to handle Satoshi’s supply, to mitigate the impact of sell pressure that Bitcoin could face if these coins get stolen. 

BTC Dev Provides Solution On How To Handle Satoshi Nakamoto’s Bitcoin Holdings

Beast has proposed version 2 of the Hourglass proposal, which aims to reduce the Pay-to-Public-Key (P2PK) output that can be included in transaction inputs to 1 BTC per block. It is worth noting that Satoshi Nakamoto’s Bitcoin stash of around 1.1 million BTC is a P2PK address, which exposes the public key and makes it more vulnerable to quantum attacks. 

A Chainalysis report revealed that approximately $718 billion in Bitcoin is held in addressesvulnerable to quantum attacks, including these P2PK addresses. As such, Bitcoin could face an unprecedented supply shock if these coins get stolen by quantum attackers. 

Beast’s Hourglass proposal aims to minimize selling pressure to the barest minimum while also offering a compromise on whether to freeze or burn Satoshi Nakamoto’s coins to prevent them from falling into the wrong hands. The Hourglass v2 proposal also noted that burning or freezing these coins may be viewed as confiscatory, which could set a dangerous precedent for changing Bitcoin’s monetary policy going forward. 

If activated, the Hourglass V2 proposal will ensure that only one P2PK output may be included as a transaction input per block. Furthermore, no P2PK outputs to any address not currently being spent from can be created. Lastly, no P2PK outputs can be created from other output types. 

Meanwhile, it is worth noting that this proposal applies only to P2PK addresses, and other outputs that are vulnerable to quantum threats remain at risk. This is because putting similar restrictions on other output types may limit the transition to quantum-resistant Bitcoin addresses. These other output types are still commonly used, unlike Satoshi Nakamoto’s P2PK address, which makes the latter easy to sunset.

Rationale For The Proposal 

The Hourglass V2 proposal will limit P2PK output to approximately 144 BTC per day. Beast noted that this should effectively mitigate the market impacts of quantum attacks on P2PK coins since these quantum attackers won’t be able to dump all the Bitcoin at once. 

Without such restrictions, over 6,000 P2PK transactions could be executed in each block, releasing over 300,000 BTC per block to the market. At such a rate, all P2PK coins, including Satoshi Nakamoto’s, could be spent in just a few hours. 

However, under the rules of the Hourglass V2, it would take more than 32 years to move all P2PK coins, which drastically reduces quantum-related market risks. A positive is that original keyholders, such as Satoshi Nakamoto, should remain able to move their coins even after the proposal is activated, as long as no quantum actors are currently competing for P2PK transactions.

In a positive development for the crypto industry, the Florida State Senate has passed a bill to create a regulatory framework for stablecoins at the state level. This move comes amid the struggles to enact a broader crypto market structure bill in the United States.

Florida Creates Stablecoin Framework With New Bill

In a Friday, March 7 post on X, Samuel Armes, founder of the Florida Blockchain Business Association web3 advocacy group, announced that a bill establishing a regulatory framework for stablecoins has passed the state legislature. According to the vocal crypto advocate, this bill, named the “Senate Bill 314 (SB314),” will be signed by Gov. Ron DeSantis over the coming weeks.

Senate Bill 314, along with Florida House Bill 175, aims to establish a regulatory framework for payment stablecoin issuers in the state. According to Republican Florida State Senator Colleen Burton, this regulatory framework, which aligns with the federal-level GENIUS Act, will include consumer protections and financial stability guidelines.

BITCOIN HISTORY WAS JUST MADE IN FLORIDA

We are now the FIRST STATE to Pass a Stablecoin framework in the nation!

It has now passed the Senate and the House, and will be signed by DeSantis within the next 30 days!

How was this able to happen? Well, because we are literally… pic.twitter.com/KA3odWMPzA

— Samuel Armes (@samuelarmes) March 6, 2026

Specifically, the SB314 bill revises the Florida Control of Money Laundering in Money Services Business Act to include stablecoin, while requiring issuers to comply with existing rules and prohibiting unlicensed issuance in the state. The bill also clarified that specific payment stablecoins are not securities and, hence, are not subject to certain provisions.

The Senate Bill 314’s overview read:

[This bill] specifies that office remains solely responsible for supervising qualified payment stablecoin issuers or is jointly responsible with Office of Comptroller of Currency for such supervision; prohibits trust company from engaging in activity of qualified payment stablecoin issuer unless trust company obtains certificate of approval or is exempted from such certificate.

The GENIUS Act, which was signed into law in July 2025, provides a framework for stablecoin issuance in the US, while providing a foundation for states like Florida to set up their own crypto-based regulatory structure. Banks Need To Make A ‘Good Deal’ With The Crypto Industry: Trump Interestingly, the first state-level stablecoin bill has passed at a time when the conversations around the broader crypto market structure legislation, the CLARITY Act, are at an all-time high. Despite an approved US House draft, the legislation has yet to pass the Senate, partly due to the banking industry’s concerns over yield-bearing stablecoins. On Tuesday, March 3, United States President Donald Trump said that the banking industry is trying to undermine the GENIUS Act and hold the CLARITY Act hostage. In his admonition, Trump stated that the banks need to make a good deal with the crypto industry. According to the President, the Market Structure bill is another step in the direction of making the US the crypto capital of the world.

After months of bearish pressure and fading market enthusiasm, Solana (SOL) appears to be finding its footing again. A new report by Messari, a crypto market intelligence platform, shows the network’s payment volume has surged dramatically by 755%, indicating that users are finally flooding back into the blockchain. Amid this surge, Solana has also seen a significant spike in its exchange-traded fund (ETF) despite its low price, indicating that users and institutional investors are returning to the market. 

Solana 755% TPV Surge Point To User Comeback

In its new report, titled ‘State of Solana Payments,’ Messari reveals that the cryptocurrency is aggressively positioning itself as the backbone of global payment infrastructure. As of February 11, 2026, the report shows that Solana’s Total Payment Volume (TPV) recorded a 755.3% year-over-year growth rate, nearly tripling the median of 268.24% across traditional fintech giants and peer layer-1 blockchains.

The figures place Solana ahead of every competitor measured, including Ethereum at 625.2%, BNB Chain at 648.3%, and legacy processors like PayPal and Fiserv, which posted modest growth rates of 6% and 7.5%, respectively. Notably, the scale of Solana’s TPV growth points to a clear return of users to the ecosystem. Volume at this level does not occur without real on-chain activity, and the data shows that both developers and end users may be actively engaging with SOL’s payment infrastructure again.

In its report, Messari argues that most of SOL’s edge comes from the structural failures of traditional financial infrastructure. The current global system still relies heavily on legacy rails built for the internet. Because of this, payments are often expensive and slow. Transactions can take several days to complete as funds must pass through banks in different countries, placing a heavy burden on cross-border payments. 

Messari notes that Solana addresses these issues by unifying “messaging and settlement into a single atomic operation.” Due to its high throughput and parallel architecture, the blockchain network is said to settle transactions in milliseconds, avoiding intermediaries from correspondent banks and the typical delays seen in legacy systems. Historically, SOL has also reportedly maintained a median block time of 392 milliseconds and a median transaction fee of $0.0004. 

Institutional Investors Quietly Pile Into Solana ETFs

While SOL’s 755% TVL spike indicates that users are finally getting back into the network, institutional investors appear to be making similar moves, as new reports reveal a surge in Solana Spot ETFs. 

According to LookOnChain data, Solana ETFs recorded 447,694 SOL in seven-day inflows, equivalent to approximately $40 million. The ETF surge comes as institutional demand surges despite broader bearish pressures on the SOL price.  

Among the four Solana funds currently available for trading, Bitwise’s (BSOL) has attracted the largest net inflow by a wide margin. Daily flows into BSOL recently reached 205,287 SOL, bringing its seven-day total to 409,402 SOL. Fidelity (FSOL) ranked second in weekly inflows, recording 15,627 SOL over the past seven days, despite its daily inflow reaching just 4 SOL. By comparison, Grayscale’s (GSOL) daily inflow reached 361 SOL, and its seven-day total was 12,530 SOL.

Ethereum is facing renewed scrutiny after Culper Research released a sharply critical report outlining its bearish stance on the second-largest cryptocurrency by market capitalization. The reporter argues that the key aspects of the ETH ecosystem and long-term narrative may be weaker than widely believed, prompting the firm to disclose that it has taken a short position against the asset.

Culper Research Outlines Key Risks Facing Ethereum’s Ecosystem

Investment research firm Culper Research has released a critical report, revealing it has taken a short position on Ethereum. The CEO of Coinbureau, Nic, has shared on X that the reporter outlined that structural changes following the ETH Fusaka Upgrade have significantly expanded blockspace, causing transaction fees to collapse by nearly 90%.

According to the firm, lower fees translate directly into lower validator income, leading to weaker staking economics. Culper further mentions BitMine and argues that the recent rise in transaction activity and active addresses cited as bullish is driven by spam transactions and address-poisoning attacks rather than real adoption.

The firm also reported that Vitalik Buterin sold around 19,000 ETH as if he knew what was going on. While it is a significant amount, representing roughly 8% of Buterin’s total holdings, it may not necessarily indicate an exit or loss of confidence.

At the same time, Nic highlighted that ETH’s design allows for future protocol changes of rules through coordinated upgrades or forks if any economic issues emerge. This won’t be easy politically or technically, but it’s possible. Nic emphasized that he is not taking sides. However, when a firm publishes a detailed thesis and then puts its money behind it, it is worth understanding the mechanics they’re pointing to.

How Gas-Limit Expansion Linked To Falling Transaction Fees

A crypto commentator and the host of the office space, MartyParty, has also offered insights into the matter. Culper Research has opened short positions in Ethereum, arguing that the network entered what is described as a potential “death spiral.” The firm’s thesis is based on on-chain data spanning from January 2025 to February 2026.

A major focus of the report is wallet growth following the Fusaka Upgrade, and Culper alleges that 95% of new wallet creation during the period is linked to dusting or address-poisoning attacks. The firm further claims that dusting-related activity now accounts for roughly 22.5% of all ETH transactions and more than half of the network’s recent transaction growth.

Furthermore, the firm analyzes the economic effects of gas limit increase on the network, contributing to an estimated 90% decline in transaction fees and 40-50% lower tips per gas. Meanwhile, these dynmics could put pressure on validator economics by reducing overall revenue from network activity.

Beyond internal network changes, competition from Solana has captured growing developer and user activity, and reports about Buterin’s ETH dump have drawn backlash from parts of the ETH community.

The crypto market has grown increasingly cautious as Bitcoin and Ethereum prices have crashed to former lows amid growing concerns about institutional flows and network fundamentals. Bitcoin’s recent decline below $70,000 appears closely tied to shifts in the demand for its exchange-trading fund (ETF). Meanwhile, Ethereum’s price fell below $2,000 amid strong criticism over its token economics and long-term sustainability, with top market researchers shorting it as they forecast a potential collapse.  

Bitcoin Price Crashes As ETF Flows Reverse

The Bitcoin price is currently trading near $67,000, after falling more than 3% in the past 24 hours, according to CoinMarketCap data. The latest drop comes after a sudden shift in institutional demand for Spot Bitcoin ETFs, which have been a major driver for market momentum since their launch in 2024.

Data from SoSo Value shows that Spot Bitcoin ETFs recorded staggering outflows of roughly $228 million on Thursday, March 5, ending a three-day inflow streak that had brought roughly $1.1 billion into the funds earlier in the week. The reversal comes as sentiment flipped bearish despite the brief bounce above $73,000, underscoring broader market fear and uncertainty. 

Notably, ETF outflows carried over to the next day, with Friday alone seeing withdrawals of more than $348.8 million. While March 2 to 4 initially recorded total net assets of more than $94.57 billion, this figure has since declined to $87.07 billion.

Alongside outflows from Spot Bitcoin ETFs, broader market sell-offs have emerged as a key driver behind Bitcoin’s latest slump. On Friday, major holders sold BTC in large volumes. Additionally, reports reveal that top crypto exchanges such as Binance and Coinbase have been selling Bitcoin, further pressuring the leading cryptocurrency. 

As geopolitical tensions escalate and market volatility rises, Bitcoin’s next price direction remains uncertain. Consequently, analysts like Michael van de Poppe maintain a broadly bearish outlook, predicting steeper declines between $60,000 to $48,000 for BTC. 

Ethereum Price Weakens Amid Token Economics Backlash

The Ethereum price has also slipped below the key psychological $2,000 level and is now trading slightly above $1,900. This decline comes as negative sentiment surrounding the cryptocurrency and its network economic structure surges. 

A recent report from short-selling firm Culper Research warns that Ethereum may be entering “a death spiral” following its December 2025 Fusaka upgrade. According to the report, the upgrade expanded block capacity faster than actual demand, leading to blocks filled with low-value transactions and spam. The firm also criticized Ethereum’s founder, Vitalik Buterin, for selling ETH and dismissed Fundstrat co-founder Tom Lee as “clueless” in the face of Ethereum’s new reality. 

Culper Research emphasized that the Fusaka upgrade weakened Ethereum’s tokenomics by reducing transaction fees and lowering validator earnings and staking yields. The firm also highlighted a surge in address-poisoning attacks, in which attackers send tiny transactions to wallets to trick users into sending funds to fraudulent addresses. They estimate that victims lost at least $87 million just three months following Ethereum’s Fusaka upgrade.

In light of these bearish developments, Culper Researchers have announced that they are “short Ether.” The firm has also labeled ETH a “broken token,” predicting that holders will be left with little economic value in the future. 

Featured image from Unsplash, chart from TradingView

He told his colleagues only after the money was gone. Nevin Shetty, the former chief financial officer of a Seattle-based tech startup, was sentenced Thursday to two years in federal prison after secretly transferring $35 million in company funds into a cryptocurrency platform he ran on the side — then watching nearly all of it disappear in a matter of months.

A Scheme That Ran In Secret

Shetty made the transfers in 2022 without the knowledge of a single executive or board member at his employer, according to the US Justice Department.

He moved the funds into a platform called HighTower Treasury, which he controlled, and used the money to pour into high-yield DeFi lending protocols promising annual returns of 20% or more.

In the first month, he cleared $133,000. Then the Terra ecosystem collapsed, and the broader crypto market followed it down.

By May 13, 2022, the value of those investments had fallen to nearly zero. With $35 million essentially wiped out, Shetty approached two fellow executives and told them what he had done. He was fired the same day.

The case sat in federal court for years. Shetty was indicted on wire fraud charges in May 2023. A nine-day jury trial followed in November 2025, ending with a guilty verdict on four counts.

At sentencing Thursday, a Seattle judge handed down the two-year prison term. Shetty was also ordered to repay the stolen funds in full and serve three years of supervised release after completing his sentence.

How The Market Timing Made It Worse

The timing of the transfers put Shetty at the center of one of crypto’s most chaotic periods. The collapse of TerraUSD and its sister token Luna in May 2022 triggered a broad market selloff that wiped out billions of dollars in value across the industry.

Reports indicate Shetty’s DeFi positions were caught in that wave, with losses accelerating fast enough that the investment value reached near zero before any recovery was possible.

The Justice Department said the disclosure of the transfers came only because of the market downturn — implying that, had conditions held, the scheme might have gone undetected longer.

Where The SBF Appeal Stands

Shetty’s case unfolded in the shadow of a far larger crypto fraud. Former FTX chief executive Sam Bankman-Fried was convicted separately and sentenced to 25 years in prison in 2024.

Bankman-Fried has appealed that ruling. As of Friday, the US Court of Appeals for the Second Circuit had not issued a decision following arguments heard in November, according to reports.

The two cases are unrelated, but both reflect federal prosecutors’ continued push to bring criminal charges over crypto-related financial misconduct.

Shetty’s two-year sentence stands as one of the more recent outcomes in that effort, covering conduct that took place more than three years ago.

Featured image from Aggressive Austin, TX Criminal Defense Attorney, chart from TradingView

In their latest post on CryptoQuant, XWIN Research Japan explores how developing affairs in the United States could affect the trajectory of Bitcoin and other risk assets in the near-term. According to the education institute, concerns of a potential stagflation period have begun to come up, which could potentially boost or mar Bitcoin’s growth.

Related Reading: Bitcoin Could Outshine Gold Through 2029, Macroeconomist Predicts Unemployment Rate Rises To 4% As Inflation Builds Up

For context, stagflation is a rare economic condition that combines two concerning events at the same time: high inflation and high unemployment. In their QuickTake post on CryptoQuant, XWIN Research Japan reveals that the number of people who are employed in the United States declined by 92,000 in February, indicating a 4% rise in unemployment rates. 

This was followed by a rising state of tension in the United States, owing to the geopolitical strife caused by a combined US-Israeli attack on Iran. This conflict has resulted in heightened oil prices, leading energy sources to become even more expensive. According to XWIN Research Japan, this increase in energy costs could also significantly trigger inflation, thereby completing the stagflation equation.

Notably, a shared historical example of stagflation occurred in the United States during the period of oil shocks in the 1970s; there was a surge of inflation into double digits, with unemployment rates following in such a destructive path. According to XWIN Research, the inflation was eventually subdued by the Federal Reserve Chairman Paul Volcker, who raised interest rates to nearly 20%, with a severe recession as the ensuing consequence.

How Bitcoin Has Fit Into Past Stagflation Periods

XWIN Research Japan further notes that the Bitcoin relationship with US stagflation is a complicated one, rather than a linear, straightforward relationship.

The analysts explain that the early phases of stagflation are marked by headwinds to risk assets. When inflation heightens sharply (as was seen in 2022), both the NASDAQ and the Bitcoin price would decline sharply, indicating that Bitcoin has attained a high-beta asset title.

However, the dynamic could see a quick turnaround in cases where stagflation triggers financial instability, as was the case in the 2023 US banking crisis. In this scenario, capital moved into high-risk assets like Bitcoin, causing a more than 80% bullish rally. Also, Bitcoin’s unique supply structure has to be considered while predictions are being made.

Unlike fiat currencies, the issuance of Bitcoin is in line with a fixed algorithm where periodic halving events reduce the rate of new supply entering circulation. This means that Bitcoin’s inflation rate continues to fall, thereby potentially increasing its appeal in a market where traditional currencies are suffering the effects of inflation. 

If this scenario holds now, the Bitcoin market could witness a significant amount of inflows in the mid term. As of this writing, Bitcoin trades for $68,225, recording a more than 4% loss since the past day.