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BTC price stuck under $70,000 as investors play it safe before U.S. inflation report: Crypto Daybook Americas

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CD20 components' performance

By Omkar Godbole (All times ET unless indicated otherwise)

Bitcoin slipped back below $70,000 as war in the Middle East and U.S. inflation data due later today keep investors cautious.

The latest failure to build momentum above $70,000 followed reports that Iran was laying mines along the already disrupted Strait of Hormuz, a major global oil chokepoint. Bullish momentum weakened late Tuesday after U.S. Energy Secretary Chris Wright said in a now-deleted social media post that the U.S. escorted an oil tanker through the strait.

As usual, the disappointment quickly spread from bitcoin to the broader crypto market. Major cryptocurrencies such as ether (ETH), solana (SOL), XRP (XRP), and BNB lost 1% or more since midnight UTC, tracking losses in bitcoin. The CoinDesk 20 Index is also down 1% to 1,980 points.

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According to Alex Kuptsikevich, chief market analyst at FXPro, traders should closely track the 50-day simple moving average of bitcoin’s price.

“In the short term, the 50-day moving average has proved a formidable resistance level, preventing bulls from swiftly turning the tide in their favor. This indicator often signals the medium-term trend, and a confident break above it would be an important turning point in the coming days,” he said in an email.

Meanwhile, analysts at Bitfinex said the next moves largely depend on oil prices, U.S. government bond yields and Fed policy.

Speaking of the Fed, its members will closely watch the February U.S. consumer price index report due later Wednesday. It is expected to show the inflation rate ticked up to 2.5% year-on-year from January’s 2.4%, according to FactSet. Core inflation, which excludes food and energy, is also seen rising 2.5%.

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A higher-than-expected figure, against already resurging war-led inflation fears, could embolden hawks at the Fed and validate expectations of no rate cuts this year. That, in turn, could breed market volatility. Stay alert!

Read more: For analysis of today’s activity in altcoins and derivatives, see Crypto Markets Today

What to Watch

For a more comprehensive list of events this week, see CoinDesk’s “Crypto Week Ahead“.

  • Crypto
  • Macro
    • March 11, 7:30 a.m.: U.S. consumer price inflation for February YoY Est. 2.5%; core rate YoY Est. 2.5%
    • March 11: OPEC monthly report
  • Earnings (Estimates based on FactSet data)
    • March 11: Exodus Movement (EXOD), pre-market, $0.14

Token Events

For a more comprehensive list of events this week, see CoinDesk’s “Crypto Week Ahead“.

  • Governance votes & calls
    • Unlock DAO is voting to approve the Unlock Protocol DAO budget for the first and second quarters, totaling $30,768. Voting ends March 11.
  • Unlocks
  • Token Launches

Conferences

For a more comprehensive list of events this week, see CoinDesk’s “Crypto Week Ahead“.

Market Movements

  • BTC is down 0.78% from 4 p.m. ET Tuesday at $69,794.05 (24hrs: -1.92%)
  • ETH is down 0.83% at $2,022.17 (24hrs: -1.99%)
  • CoinDesk 20 is down 0.98% at 1,979.50 (24hrs: -1.79%)
  • Ether CESR Composite Staking Rate is down 3 bps at 2.78%
  • BTC funding rate is at -0.0027% (-2.9456% annualized) on Binance
CD20 components' performance
  • DXY is up 0.24% at 99.04
  • Gold futures are down 0.57% at $5,200.00
  • Silver futures are down 2.05% at $87.26
  • Nikkei 225 closed up 1.43% at 55,025.37
  • Hang Seng closed down 0.24% at 25,898.76
  • FTSE 100 is down 0.96% at 10,312.17
  • Euro Stoxx 50 is down 1.35% at 5,758.30
  • DJIA closed on Tuesday unchanged at 47,706.51
  • S&P 500 closed down 0.21% at 6,781.48
  • Nasdaq Composite closed unchanged at 22,697.10
  • S&P/TSX Composite closed up 0.25% at 33,270.70
  • S&P 40 Latin America closed down 0.32% at 3,607.58
  • U.S. 10-Year Treasury rate is unchanged at 4.14%
  • E-mini S&P 500 futures are down 0.23% at 6,771.75
  • E-mini Nasdaq-100 futures are down 0.26% at 24,917.25
  • E-mini Dow Jones Industrial Average futures are down 0.37% at 47,569.00

Bitcoin Stats

  • BTC Dominance: 59.30% (-(0.08%)
  • Ether-bitcoin ratio: 0.0291 (-0.07%)
  • Hashrate (seven-day moving average): 1,014 EH/s
  • Hashprice (spot): $30.31
  • Total fees: 2.7 BTC / $189,651
  • CME Futures Open Interest: 105,265 BTC
  • BTC priced in gold: 13.4 oz.
  • BTC vs gold market cap: 4.64%

Technical Analysis

Bitcoin's daily price swings in candlestick format. (TradingView)
Bitcoin’s daily chart. (TradingView)
  • The chart shows bitcoin’s daily price swings in candlestick format since July last year. It also shows the average price over 50 days.
  • Analysts say this 50-day moving average is a crucial level. A break higher could entice more buyers to the market, leading to a stronger rally.
  • The outlook remains bearish while prices hover below the average.

Crypto Equities

  • Coinbase Global (COIN): closed on Tuesday at $196.52 (–1.64%), –0.94% at $194.68 in pre-market
  • Galaxy Digital (GLXY): closed at $21.83 (+1.56%), –0.41% at $21.74
  • MARA Holdings (MARA): closed at $8.57 (–1.04%), –0.58% at $8.52
  • Riot Platforms (RIOT): closed at $14.64 (–0.41%), –0.48% at $14.57
  • Core Scientific (CORZ): closed at $15.46 (+1.98%)
  • CleanSpark (CLSK): closed at $9.63 (+0.21%), –0.42% at $9.59
  • Exodus Movement (EXOD): closed at $10.93 (+0.92%), unchanged in pre-market
  • CoinShares Bitcoin Mining ETF (WGMI): closed at $37.36 (+0.08%)
  • Circle Internet Group (CRCL): closed at $118.09 (+5.59%), –1.38% at $116.46
  • Bullish (BLSH): closed at $36.73 (+1.86%), –0.90% at $36.40

Crypto Treasury Companies

  • Strategy (MSTR): closed at $138.46 (–0.35%), –0.97% at $137.12
  • Strive Asset Management (ASST): closed at $8.98 (+5.52%), –0.78% at $8.91
  • Sharplink (SBET): closed at $7.39 (–2.76%), –0.27% at $7.37
  • Upexi (UPXI): closed at $0.94 (–2.99%), +2.13% at $0.96
  • Lite Strategy (LITS): closed at $1.17 (–2.50%)

ETF Flows

Spot BTC ETFs

  • Daily net flows: $246.9 million
  • Cumulative net flows: $55.76 billion
  • Total BTC holdings ~ 1.28 million

Spot ETH ETFs

  • Daily net flows: $12.6 million
  • Cumulative net flows: $11.62 billion
  • Total ETH holdings ~ 5.68 million

Source: Farside Investors

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Crypto World

Aave V3 Avoided Unrecovered Bad Debt From 2023 to 2025: Study

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Aave V3 Avoided Unrecovered Bad Debt From 2023 to 2025: Study

A Bank of Canada staff paper found that Aave V3 reported zero non-performing loans in 2024, with overcollateralization and automated liquidations helping prevent lender losses in its Ethereum lending market.

Using transaction-level data from Jan. 27, 2023, to May 6, 2025, the study found that positions were typically liquidated before collateral values fell below outstanding debt, helping contain lender losses across the sample.

But the model came with a tradeoff, the paper said. While it protected lenders from unrecovered losses, it also shifted risk onto borrowers and constrained capital efficiency compared with traditional lending systems.

According to the paper, Aave V3’s design relies on automated risk controls rather than traditional underwriting, requiring borrowers to post more collateral than they borrow and liquidating positions when they breach risk thresholds.

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Daily lending earnings, circulating supply, and borrowing volumes (USD) on Aave V3. Source: Bank of Canada

Recursive leverage fueled borrowing demand

According to the paper, Aave V3’s lending activity was not driven solely by users seeking liquidity. It found that recursive leverage accounted for over 20% of total borrowed volume and 8.2% of borrowing transactions during the sample period. 

Recursive leverage involves repeatedly borrowing against collateral, redeploying the borrowed assets as new collateral and borrowing again to amplify exposure.

Related: Aave V4 goes live on Ethereum after governance vote clears rollout

The study said the dynamic made borrowers more exposed when markets turned. According to the paper, liquidations on Aave V3 tended to occur in concentrated waves, with four assets accounting for 90% of total liquidated value. 

This includes Wrapped Ether (WETH), Wrapped Staked Ether (wstETH), Wrapped Bitcoin (WBTC) and Wrapped eETH (weETH).

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The paper estimated that borrower losses during major liquidation events could be significant. It said liquidation fees typically ranged from 5% to 10% of liquidated value, while missed gains from subsequent price recoveries pushed combined losses to about 10% to 30% in some cases. 

The staff paper suggested that while the design for Aave V3 helped prevent unrecovered bad debt in the sample, it did so by exposing borrowers to abrupt losses when collateral prices fell sharply. 

Cointelegraph reached out to Aave for comment but did not receive a response before publication.

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