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Bitcoin Cash dips 22% over one week while new lending protocol captures over 19,000 investor interest

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Bitcoin Cash dips 22% over one week while new lending protocol captures over 19,000 investor interest

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Bitcoin Cash has plummeted 22% over the past week, struggling against market trends, while a new decentralized lending protocol, Mutuum Finance, garners interest.

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Summary

  • BCH faces sustained selling pressure, breaking below the psychological $500 level and indicating a bearish trend, with key support at $475–$490.
  • Bitcoin’s slight gains contrast BCH’s decline, as capital concentration remains in BTC rather than altcoins, limiting BCH’s recovery potential.
  • The decentralized lending protocol has raised over $20.6 million and enables users to earn yield through liquidity pools, with a live testnet attracting significant user engagement.

Bitcoin Cash (BCH) has fallen 22% over the past week, underperforming the broader crypto market as technical weakness and limited altcoin rotation weigh on price action. While BCH faces sustained selling pressure, a new decentralized lending protocol is drawing attention from more than 19,000 participants during its token sale phase.

Bitcoin Cash extends weekly losses

Bitcoin Cash declined sharply after rejecting resistance near its 50-day simple moving average around $564 earlier this week. The asset broke below the psychological $500 level and continued trending lower, confirming a short-term bearish structure. Analysts noted rejection near the $506.4 Fibonacci level, reinforcing persistent selling pressure.

Technical indicators reflect continued weakness. The 20-day exponential moving average has turned downward, while the RSI7 reading near 30.23 signals oversold conditions. However, the absence of bullish divergence suggests that downside momentum remains intact. A daily close above the 7-day EMA near $521 would be needed to indicate an early shift in short-term momentum.

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Sector-wide dynamics have also contributed to BCH’s underperformance. During the same period, Bitcoin gained approximately 2.78%, while the CMC Altcoin Season Index declined to 34, down 5.56% over the week. Bitcoin dominance remained stable around 57.97%, indicating capital concentration in BTC rather than rotation into altcoins. This environment has left BCH exposed to independent selling pressure without broader market support.

In the near term, traders are monitoring the $475–$490 demand zone as a key support area. A sustained hold above this range could trigger a relief rally toward the $507–$520 resistance cluster. A breakdown below $475, however, would likely open the path toward the next support level near $443. For now, the broader bias remains bearish below the $510 level, with recovery dependent on reclaiming higher resistance zones and renewed market participation.

Mutuum Finance

A new decentralized lending protocol has attracted more than 19,000 participants during its ongoing token sale phase, reflecting growing interest in on-chain borrowing and yield strategies. The project has raised over $20.6 million to date, with its native MUTM token priced at $0.04. The V1 version of the protocol is currently live on the Sepolia testnet, where users can simulate lending and borrowing activity ahead of mainnet deployment.

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How lending works

The protocol enables users to supply digital assets into liquidity pools and earn yield based on APY. When a user deposits funds, they receive mtTokens as proof of their position in the pool. These mtTokens are interest-bearing and increase in value over time as borrowers pay interest.

For example, if a user deposits $10,000 in USDT into a lending pool with an average APY of 4%, the position could generate approximately $400 in annual passive income, assuming rates remain stable. In return for the deposit, the user receives mtUSDT on a 1:1 basis. The mtUSDT represents their share of the pool and can be withdrawn at any time, subject to available liquidity in the pool.

How borrowing works

Borrowing operates under a collateralized model. Users must deposit crypto assets as collateral before accessing liquidity. Loan-to-Value (LTV) ratios determine how much can be borrowed relative to the collateral posted.

For instance, if a user deposits $2,400 worth of ETH as collateral and the maximum LTV is 75%, they could borrow up to $1,800 in stablecoins. This structure allows users to access liquidity without selling their ETH. If the value of ETH increases over time, the user can repay the borrowed stablecoins and reclaim their collateral, potentially benefiting from price appreciation while maintaining liquidity access.

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mtTokens and staking

Beyond earning lending returns, mtTokens can also be staked within the protocol. Users who stake mtTokens become eligible to receive dividends in MUTM tokens. According to the platform model, a portion of the fees generated by lending and borrowing activity is used to purchase MUTM tokens from the open market and distribute them to stakers. This structure connects protocol usage with token distribution and introduces additional buy-side activity linked to platform performance.

With its testnet live, core lending mechanics active, and user participation exceeding 19,000 holders, the protocol continues advancing toward its planned mainnet launch while expanding its lending and borrowing framework.

Disclosure: This content is provided by a third party. Neither crypto.news nor the author of this article endorses any product mentioned on this page. Users should conduct their own research before taking any action related to the company.

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Crypto World

Crypto, Iran War, and Oil Price: Geopolitical Shock Could Delay the Crypto Bull Run

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Crypto, Iran War, and Oil Price: Geopolitical Shock Could Delay the Crypto Bull Run

Crypto are under pressure as war around Iran intensifies and traders begin pricing in the unthinkable: disruption in the Strait of Hormuz.

If that chokepoint closes, oil spikes. And if oil spikes, inflation follows. That puts the Federal Reserve in a corner, forcing rates to stay higher for longer.

Crypto is not immune. While there has been some speculative buying on regional capital flight headlines, the broader macro picture is heavy. Bitcoin is moving more in sync with traditional risk assets, not decoupling from them.

Instead of acting like digital gold, the market is behaving as if liquidity is the real safe haven. In a true energy shock scenario, the first reaction is not rotation into crypto. It is de-risking across the board.

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Key Takeaways:
  • Bitcoin volatility has spiked as traders hedge against a potential Strait of Hormuz closure that could disrupt one-fifth of global oil flows.
  • Surging Oil Price levels above $90/barrel would likely stick inflation higher, potentially taking a Q2 Fed rate cut off the table.
  • While Capital Flight into USDT offers localized support, global risk-off flows are dominating market structure and capping upside momentum.

Bitcoin Crypto Volatility Spikes as Iran War Jitters Trigger $128M Liquidations

The first crypto reaction to the Iran war was chaos, not clarity. CoinGlass data shows more than $128 million in liquidations in just 4 hours after reports of the IRGC’s “Operation True Promise 4.” Nearly 80% were longs. Leverage traders were leaning the wrong way and got wiped fast.

Source: Coinglass

Bitcoin initially dropped toward $63,000 on the headlines, then bounced as more details came out. But the rebound feels mechanical, not confident. Open Interest has cooled sharply, which tells you desks are cutting risk, not aggressively buying dips.

This is classic panic behavior. Sell first. Reassess later.

Equities are showing the same pattern. The S&P 500 has seen outflows, and Bitcoin’s correlation with tech remains tight during stress events. Whatever the digital gold narrative says, in moments like this BTC trades like a high-beta risk asset, not a safe haven.

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Oil Price Surge Threatens to Derail Fed Pivot Plans

The real risk to crypto might not be the headlines; it could be oil. If the Strait of Hormuz is disrupted, up to 21 million barrels per day could be affected. That is around 20% of the global supply. Even partial disruptions historically trigger instant price spikes.

If crude holds above $100, inflation comes back fast. That traps the Federal Reserve. Rate cuts get delayed. Liquidity stays tight. And crypto suffers in a higher-for-longer environment.

Source: BTCUSD / TradingView

Some analysts are floating extreme downside scenarios again. While most institutional desks still see $58,000 to $60,000 as Bitcoin’s key support zone, that floor depends heavily on the Fed not turning more hawkish.

There is a counter-force: capital flight. Stablecoin demand in parts of the Middle East has jumped as local currencies wobble. Bitcoin and USDT become escape valves. But retail flows from crisis regions rarely offset large institutional outflows driven by macro tightening.

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Altcoins are already showing the strain. Without fresh liquidity, Ethereum and the broader sector struggle to sustain rallies. If yields on the U.S. 10-year push back toward 5% on energy-driven inflation, risk assets likely stay capped.

Discover: The best new crypto in the world

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BTC Price Bottom is Forming as Four-Year Halving Cycle Ends Says VanEck CEO

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BTC Price Bottom is Forming as Four-Year Halving Cycle Ends Says VanEck CEO

​The price of Bitcoin is close to its bottom, according to VanEck CEO Jan van Eck, pointing to the winding down of the four-year cycle.

Speaking with CNBC on Monday, van Eck said his firm expects Bitcoin (BTC) to gradually start picking up this year, arguing that the four-year halving cycle has been the primary driver of price over the past few months, as opposed to anything related to BTC’s fundamentals.

“Our view coming into 2026 is that Bitcoin is governed by […] limited supply at 21 million, and the halving cycle where the Bitcoin miners who run the network get paid half the number of Bitcoin every four years,” he said, adding:

“There’s been an investing cycle, Bitcoin goes up three years in a row, goes down pretty massively in that fourth year. 2026 is that fourth year. So that’s why we are in a Bitcoin bear market. So I think we can overcomplicate it. Now I think we are making a bottom.”

The four-year crypto cycle has been a hot topic of debate overt he last year, with crypto analysts split over whether the chart pattern is still applicable today given the level of institutional adoption and crypto market maturity.

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Arguments against the cycle include macro demand from exchange-traded funds, the weakening USD, and positive regulatory developments.

Jan van Eck’s comments come as the price of BTC is up 2.6% over the past 24 hours and is trading at $68,400 at the time of writing, and 7.6% over the past seven days, according to data from CoinGecko.

Related: Bitcoin slide slowing, but bear market still in play: Analysts

The crypto pump has coincided with growing geopolitical tensions, after the United States and Israel initiated air strikes on Iran, which has since prompted Iran to launch strikes in response against Israel.

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Van Eck speculated that Bitcoin’s recent recovery may be partly sparked by the conflict, with crypto payment rails serving as a key tool to move funds outside of banks in times of economic uncertainty.  

“When one thinks forward to some sort of solution with Iran, how are you gonna move money around? And I do think it’s a very, very crypto-friendly region, UAE, Dubai, everything,” he said, adding:  

“So it could be that if we wanted to move money to good actors, we would wanna use crypto payment rails as opposed to going through decrepit Iranian banks that we don’t control.”

Magazine: Would Bitcoin really be at $200K if not for Jane Street? Trade Secrets