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It has been another week of uncertain movements for the Bitcoin price, with the global financial markets moving to the whims of the ongoing tensions in the Middle East. The premier cryptocurrency has struggled to stay afloat after hitting a roadblock at the $69,000 resistance level earlier in the week. The latest on-chain data has shown that the price of Bitcoin might be reaching a bottom already.

Is BTC Accumulation Period About To Resume?

In an April 3rd post on the social media platform X, Alphractal co-founder and CEO Joao Wedson revealed that Bitcoin is starting to become less overvalued. This on-chain observation is based on the RVTS (Realized Value/Transaction Volume) Ratio, which tracks the relationship between market capitalization and the network’s adjusted economic value.

According to Wedson, a rise in this metric’s value could imply a rise in the flagship cryptocurrency’s realized value. At the same time, an increasing RVTS Ratio can also be a signal of a decline in activity or transaction volume on the Bitcoin network.

Highlighting data from Alphractal, the crypto founder shared that the RVTS Ratio just reached its highest level ever, potentially pointing to the lowest network utilization in the history of the premier cryptocurrency. 

Wedson wrote on X:

In previous cycles, these extremes appeared near cycle bottoms or low-participation zones, when volume collapses, and the network becomes “silent.” When the indicator rises, adjusted economic volume declines, network usage weakens, and the denominator collapses, a pattern consistently seen around major cycle bottoms (2012, 2015, 2019, 2022) and local bottoms within broader structures.

According to the Alphractal CEO, this record level of the RVTS Ratio indicates less overvaluation and more structural apathy in a Bitcoin market increasingly being steered by liquidity and derivatives. From a historical perspective, this signal often precedes periods of accumulation and revaluation. 

In essence, this record-high level of the RVTS Ratio could be the bright spark of optimism the Bitcoin price needs to start its turnaround. Conversations have heightened around the market leader’s potential bottom, as it continues to oscillate within the $65,000 – $70,000 consolidation range.

Bitcoin Price At A Glance

As of this writing, the price of BTC stands at around $66,880, reflecting no significant change in the past 24 hours. While the market leader is down from its weekly high of over $69,000, it is still in a better place (nearly 2% up) than it was seven days ago.

The US Bitcoin Spot ETFs are credited as a major bullish driver in the concluding market cycle, for heralding a heavy wave of institutional investment in the premier cryptocurrency. Interestingly, on-chain data shows these funds are transforming into key structural components of the Bitcoin market, moving beyond just investment vehicles.

Bitcoin ETF Adoption Redefines Market Dynamics

The US Bitcoin Spot ETFs were launched in January 2024, marking a historic moment for institutional participation in the digital asset market. These funds have turned out to be a monumental success, attracting a present cumulative total net inflow of $55.96 billion and net assets of $86.22 billion, accounting for 6.44% of the current BTC market cap.  In a QuickTake post on April 3, market analysis page XWIN Research Japan explains that the growth of the Bitcoin ETFs market is allowing these investment products to influence key market aspects such as liquidity and price discovery.

For context, the average daily trading volume of the Bitcoin Spot ETFs is estimated to be in the multi-billion dollar range, with BlackRock’s IBIT intermittently experiencing levels similar to the Coinbase exchange. This observation suggests that these investment funds now play a major role in price discovery, which has been historically tied to trading volume observed on the centralized exchanges. Meanwhile, the net assets of 1.3 million BTC represent more than just inflows. XWIN Research Japan describes this development as a structural supply lock, reducing BTC liquidity in active circulation.

In particular, these changing dynamics have been attributed to the constant efforts by authorized sponsors to arbitrage price gaps as well as the approval of in-kind creation/redemption, thus ensuring that ETFs reflect spot market price and showcase a capital efficiency that encourages continued institutional adoption.

Bitcoin ETFs In Japan?

Meanwhile, XWIN Research Japan also highlighted the potential role of Japanese investors in expanding the Bitcoin ETFs market influence. With over ¥2,000 trillion ($12.53 billion) in household assets, even small allocations to a potential  Bitcoin spot ETF market would result in significant inflows capable of altering the demand-supply market.

At press time, Bitcoin trades at $66,889 following a minor 1.14% gain over the last week. Meanwhile, daily trading volume is down by 41.68%, suggesting that market participants remain largely apprehensive despite recent gains. Over the last week, the premier cryptocurrency maintained a price range of $66,000-$69,000, amid multiple retest attempts of the lower boundary zone. The bear market remains active with present spot prices still about 47% away from the cycle’s all-time high at $126,100.

The crypto market is yet to have an altcoin season the likes of what was seen back in 2021, despite the Bitcoin price hitting new all-time highs over the last two years. This has alluded to the fact that the Bitcoin dominance over the market remains very high, thus not leaving any room for altcoins to run. Nevertheless, this has not deterred the expectations of an altcoin season among investors, and many believe that when it finally comes, it will be more explosive than 2021.

Altcoin Market Is Winning Against Bitcoin

Bitcoin has often led the cryptocurrency and by extension, its performance has influenced the advent of altcoin seasons. This is due to the way altcoins measure up to the leading cryptocurrency with each cycle, and this one looks to be prepping for a major rally.

According to analyst Mark Chadwick on X, altcoins are already bringing a major bullish pattern against Bitcoin. This comes as the ALT/BTC chart has marked its fourth consecutive green monthly candle, and this has led to the confirmation of a bullish crossover.

The crypto analyst pointed out that the last time altcoins made such a bullish crossover against Bitcoin was back in 2021. The result of this was the most explosive altcoin season that the crypto market has seen to date, leading altcoins on runs that saw their values rise by many multiples.

Why This Altcoin Season Will Be Better Than The Last

Despite the last altcoin season being one of legendary status, Mark believes that it will pale in comparison to what’s coming. A number of reasons were given for this as to why it will be a better altcoin bull market, and this has to do with the broader market optics.

Firstly, the analyst points out that the Fed is putting billions of dollars into the financial market. This is bullish as liquidity tends to drive growth. Next is that the Clarity ACT that will provide formal regulation for cryptocurrencies by putting them into categories of either securities or commodities.

Another bullish factor that the analyst points out is that the SEC is now pro-crypto with the Trump administration. Then, there is the fact that there has been rising activity from the NYSE and NASDAQ when it comes to crypto trading.

The last two of the catalysts given have to do with adoption. The first is the fact that Fannie Mae, the US Federal National Mortgage Association, announced last week that it will begin allowing Bitcoin as collateral for loans. Also, there is the fact that Mastercard is now building crypto rails to allow for payments using blockchain technology.

Taking all of these into account, Mark believes that it is a “setup of epic proportions.” If this plays out as expected, then the next altcoin season could surpass the previous one, and altcoins would end up winning against Bitcoin.

Taiwanese authorities have approved a new draft of their crucial crypto legislation, introducing severe penalties for unlicensed or fraudulent activities related to stablecoins and other digital assets.

Taiwan Approves $6M Fines To Combat Crypto Fraud

On Friday, local news outlets reported that the Executive Yuan passed the draft of the Virtual Asset Service Act (VASA) on April 2, marking a major step to regulate crypto assets in Taiwan.

The VASA, introduced by the Financial Supervisory Commission (FSC) last year, supports the efforts by Taiwanese authorities to establish a comprehensive crypto framework for Virtual Asset Service Providers (VASPs) and stablecoin issuers.

In 2024, the FSC overhauled its Anti-Money Laundering (AML) framework to include crypto businesses, adding stricter AML guidelines for VASPs and requiring all digital asset firms to complete the AML registration by September 2025.

Premier Cho Jung-tai explained that the new framework, which will be implemented in four gradual phases, includes industry self-regulation and an AML compliance registration system. The measures aim to enhance the security of virtual asset transactions, pilot custody services, and support the growth of domestic financial innovation, he added.

According to the reports, the draft requires VASPs to operate exclusively in this field and meet specific standards for their company name, organizational structure, and capital. Financial institutions can also operate VASP services in addition to their other businesses, if approved.

In addition, special regulations would be customized to suit the nature of each service provider. For instance, trading platforms would be required to establish clear guidelines for listing and delisting virtual assets.

The draft also includes heavy penalties for unlicensed and fraudulent activities, with offences involving crypto falsification, concealment, or price manipulation risking 3-10 years in prison and fines of up to NTD 200 million, worth $6.25 million.

Meanwhile, firms that issue stablecoins without a license could face up to seven years in prison and fines of up to NTD 100 million, or about $3.13 million, according to the draft.

New Stablecoin Regulations To Prohibit Interest Payments

Officials outlined the main differences between the recently passed VASA draft and the FSC’s original text regarding stablecoin guidelines, which include issuance and redemption regulations, restrictions on interest or returns, and internal control and cybersecurity management.

Under the new draft, the issuance and redemption of stablecoins must be conducted at face value, and issuers may not refuse redemption requests from holders. Issuers are also prohibited from paying interest or returns to holders on the stablecoins they issue, aligning with international trends.

Lastly, issuers must establish and maintain robust internal control and audit systems, along with information security management mechanisms, to ensure the proper issuance and redemption of stablecoins.

FSC Deputy Chairman Chen Yen-liang asserted that stablecoin issuance is not currently limited to banks, but noted that the financial institutions are “generally better positioned to meet the relevant requirements” due to their capital strength and risk management capabilities.

For other operators, different capital thresholds and operating guarantee requirements would be set based on the nature of their business, with further details to be announced after the legislation officially passes.

In December, FSC Chairman Peng Jin-long revealed that the island’s first regulated stablecoin could debut this year. As reported by Bitcoinist, stablecoin-centered regulations would be developed within six months after the VASA’s approval, setting the launch of locally issued tokens pegged to the NTD or the USD to the second half of 2026.

Deputy Chairman Chen added that the regulator would adopt a “gradual opening” model, and relevant regulations would be developed by authorities alongside the Central Bank.

On-chain investigator ZachXBT has published a new report, titled “The Circle USDC Files,” alleging more than $420 million in compliance failures tied to the company’s USDC stablecoin since 2022. 

The analysis, released on social media platform X on Friday, chronicles multiple high‑profile decentralized finance (DeFi) exploits in which Circle allegedly failed to use its on‑chain freezing and blacklist capabilities to halt the flow of stolen funds.

Alleged Inaction By Circle

Circle’s token contract includes an explicit freeze/blacklist function, and the company’s terms of service reserve the right to restrict access for suspected illicit actors “in its sole discretion.” 

Yet, ZachXBT’s report claims that in many widely reported thefts and hacks, the issuer either delayed action or did not freeze funds at all, allowing attackers to move large sums across blockchains and convert them into other assets.

The report opens with the April 1, 2026, Drift Protocol exploit, in which the attacker drained roughly $280 million. According to ZachXBT, the thief used Circle’s Cross‑Chain Transfer Protocol (CCTP) to bridge more than 232 million USDC from Solana (SOL) to Ethereum (ETH) in over 100 transactions.

The incident had ripple effects across the Solana ecosystem, indirectly impacting more than 10 DeFi projects. Despite the funds moving through Circle’s native bridge for hours, the report says no USDC was frozen during the laundering.

ZachXBT also details a January 25, 2026, attack on SwapNet that resulted in $16 million being stolen. Roughly $3 million in USDC remained in the exploiter’s address for two days. Both law enforcement and private‑sector analysts reportedly submitted temporary freeze requests to Circle for that address, but Circle did not act. 

Nine‑Figure Losses In Crypto Hacks

Among several other cases cited in the report, ZachXBT also points to broader, long‑running patterns. In April 2024, he published a separate investigation into the Lazarus Group laundering that traced funds from more than two dozen hacks being converted to fiat. 

Law enforcement requested freezes from four stablecoin issuers — Circle, Tether, Paxos, and Techteryx — for two addresses tied to that investigation. The report claims the other three issuers acted quickly, while Circle took approximately 4.5 months longer to freeze the same addresses.

Taken together, ZachXBT says these cases — many of them public and high‑value — add up to nine‑figure losses to the crypto ecosystem caused by repeated inaction over a multi‑year period. 

He stresses that the $420 million-plus figure covers only major public incidents and that the true total could be substantially higher. The overarching claim is that Circle possesses the contractual and technical tools to intervene, yet has not used them consistently or promptly, with concrete harm to victims and the broader community.

“They have every tool and resource available to do better. They just haven’t,” he writes, closing his report with a pointed question: who, exactly, is Circle serving?

Featured image from OpenArt, chart from TradingView.com 

On-chain data shows the Exchange Inflow indicator has shot up for USDC, something that could be relevant for Bitcoin and other digital assets.

USDC Exchange Inflow Has Hit The Highest Level In Months

As highlighted by CryptoQuant community analyst Maartunn in a new post on X, the Exchange Inflow recently observed a surge for Circle’s stablecoin, USDC. The “Exchange Inflow” here is an indicator that keeps track of the total amount of a given asset that’s being transferred to wallets connected to centralized exchanges.

Generally, one of the main reasons why investors deposit their tokens to these platforms is for selling-related purposes, so a spike in the metric can indicate elevated demand for swapping the cryptocurrency. In the case of assets like Bitcoin, this can naturally have a bearish effect on the price.

For a stablecoin like USDC, however, there is no such effect as its price is by definition stable around the $1 mark. That said, exchange inflows related to the asset can still matter for the wider sector.

Often, investors stash their capital away in the form of these fiat-tied tokens when they want to wait for an opportune moment to enter the volatile side. Once traders feel that the time is right, they deposit their stablecoins to exchanges, swapping them for Bitcoin or any digital asset of their choice. This shifting can naturally provide a buying boost to the target cryptocurrency.

As the chart below, shared by Maartunn, shows, the USDC Exchange Inflow has observed a massive spike during the past day, implying exchanges have received a large amount of the stablecoin.

The latest deposit spree has seen the inflow of 778,566,191.65 USDC, the largest level since September 2025. Back then, the large spike led into Bitcoin’s run to the new all-time high (ATH) above $126,000 in early October. It now remains to be seen whether the new surge in the indicator is a sign of market buying.

Since stablecoins are often used for injecting capital into the volatile side of the sector, their supply is considered as a measure of the sector’s liquidity waiting on the sidelines. An indicator called the Stablecoin Supply Ratio (SSR) compares the market cap of Bitcoin against this liquidity to estimate how much room the cryptocurrency might have to grow.

As the analyst pointed out in another X post, the Relative Strength Index (RSI) of the BTC SSR has declined into the green zone recently.

Based on the trend, Maartunn explained, “There is still a large amount of stablecoin liquidity relative to Bitcoin’s market cap, suggesting buying power remains on the sidelines.”

BTC Price

At the time of writing, Bitcoin is trading around $66,600, up 1% over the last 24 hours.