Crypto World
Crypto ETFs See $1B+ Daily Outflows as Markets Slide
A broad pullback in crypto investment products coincided with a broader market softness, as the total crypto market capitalization slipped roughly 6% on Thursday. Bitcoin (CRYPTO: BTC) and Ether (CRYPTO: ETH) funds together recorded nearly $1 billion in outflows, among the year’s largest single-day moves, according to SoSoValue. Spot Bitcoin exchange-traded funds (ETFs) led the retreat, shedding about $817.9 million and marking the largest daily outflow since November 2025. The dip arrived as risk-off sentiment extended beyond digital assets, with gold retreating about 4% after a recent spike above $5,300 per ounce, based on TradingView data. The day’s market mood also reflected pointers from the traditional technology space, as AI-related stock worries and a sharp slide in Microsoft shares added to the caution in equities.
Key takeaways
- Bitcoin (CRYPTO: BTC) and Ether (CRYPTO: ETH) funds registered nearly $1 billion in net outflows on Thursday, one of the year’s largest moves, underscoring a shift in appetite for top-tier crypto exposures.
- Spot Bitcoin ETFs alone saw $817.9 million leave the market in a single session, the steepest daily withdrawal since late 2025, highlighting the fragility of near-term demand for physically backed BTC products.
- Gold prices fell about 4% as risk sentiment soured and equities, including those tied to AI, faced pressure; Microsoft (EXCHANGE: NASDAQ: MSFT) shares sank about 10%, amplifying the cross-asset pullback.
- Bitcoin ETF flows for January turned negative as weekly outflows persisted, with the week tally nearing $978 million and December-to-January transitions remaining unsettled for many funds.
- Altcoin fund performance remained negative, with spot Ether ETFs pulling out around $155.6 million and XRP (CRYPTO: XRP) funds off about $92.9 million; Solana (CRYPTO: SOL) ETFs also posted modest withdrawals of $2.2 million.
- Overall, crypto ETPs still command significant assets under management, with about $178 billion across crypto exchange-traded products, while spot BTC ETFs account for roughly 6.5% of Bitcoin’s estimated market capitalization of about $1.65 trillion; still a meaningful liquidity channel for institutional players.
Tickers mentioned: $BTC, $ETH, $XRP, $SOL, $MSFT
Sentiment: Bearish
Price impact: Negative. The ongoing outflows and asset-price declines indicate a risk-off environment pressuring both crypto equities and spot assets.
Trading idea (Not Financial Advice): Hold. A wait-and-see stance may be prudent until there is clearer evidence that liquidity improves and macro catalysts stabilize.
Market context: The retreat in crypto ETFs mirrors a wider liquidity pullback in risk assets, with investors reassessing exposure as macro headlines and sector rotations drive correlations higher between digital-asset products and traditional markets.
Why it matters
The weekend and week’s flows paint a portrait of a market still heavily driven by sentiment and macro risk rather than purely on-chain signals. The dual pressure on spot BTC/ETH products and the outflows in altcoin ETFs reveal how sensitive crypto investment products remain to broad risk-off dynamics. With ETF inflows/funding often used by institutional participants to gain or unwind exposure, a sustained pattern of redemptions can translate into thinner daily price moves for the underlying assets. The data suggest that even well-established products — including spot BTC ETFs, which continue to represent a sizable slice of the asset’s investable demand — are susceptible to shifts in investor risk tolerance that accompany geopolitical and macro headwinds.
From a market structure perspective, the outflows widen the disconnect between headline price action and long-run narrative of crypto as a macro-hedge or risk-on asset. While Bitcoin and Ether still command tens of billions in AUM across ETPs, and despite their relative dominance in investor allocations, fund flows point to a cautious crowd prioritizing liquidity protection and redemptions over new capital allocation. The Bitcoin ETF segment alone has accumulated roughly $107.65 billion in assets under management, representing approximately 6.5% of Bitcoin’s current market capitalization, underscoring the brokerage and fund-structure role in the pricing and liquidity framework of the space.
The broader risk environment is also shaping how crypto markets interact with traditional tech equities. The indiscriminate sell-off in AI-related shares, as illustrated by Microsoft’s rapid drawdown, feeds into a larger narrative of selective risk appetite rather than a targeted crypto downturn. This broader cross-asset mood can complicate trading strategies that rely on near-term catalysts in crypto markets, making the coming weeks a test of whether the weakness is transitory or a signal of a more persistent capital reallocation away from crypto-priced instruments.
Industry observers have pointed to elevated leverage in certain derivatives venues as another contributor to the slide. In a note cited by CryptoQuant, high leverage positions at a decentralized derivatives exchange were found to have suffered material losses in a short period, illustrating how leverage can amplify market moves across a downturn. The biography of risk surrounding crypto ETPs is not purely driven by on-chain metrics; it also reflects how investors deploy (and unwind) leverage via derivatives and related products when sentiment shifts.
Beyond the price action, underlying structural elements such as asset stewardship and regulatory signals continue to shape the landscape. The UK market has already shown a willingness to adopt crypto ETPs through new launches, as Valour and other providers received regulatory clarity in the wake of lifting certain restrictions; these evolutions could reintroduce fresh demand channels for BTC and ETH exposures once the macro fog clears.
What to watch next
- Next batch of crypto ETP flow data and updated weekly aggregates to assess whether outflows persist or begin to reverse.
- Regulatory developments in the UK and elsewhere that enable new ETPs and potential shifts in product structure for BTC and ETH exposures.
- Liquidity and leverage metrics in key derivatives venues, particularly around Hyperliquid and other decentralized platforms mentioned by market analytics firms.
- Price action for BTC and ETH in the near term, with attention to macro catalysts and potential support levels that could trigger a capex-based repricing of risk assets.
Sources & verification
- SoSoValue data on outflows for BTC and ETH and the scale of spot BTC ETF withdrawals
- TradingView data on gold price movements and context around XAUUSD
- CoinShares and related AUM updates for crypto ETPs and overall crypto ETP market share
- CryptoQuant commentary on leverage exposure and Hyperliquid’s long positions wiped out during the session
- UK regulatory moves and related ETP launches such as Valour’s BTC/ETH products post-FCA developments
In this episode, Brett Tejpaul, head of Coinbase Institutional, sits down with Camila Russo to explain why institutional adoption accelerated last year.
IREN Ltd., once known for mining Bitcoin, is undergoing a dramatic reinvention as an AI infrastructure provider—a transformation that will face a critical test when the company reports second-quarter earnings on Thursday.
Summary
- IREN has pivoted from Bitcoin mining to AI cloud infrastructure, repurposing its energy sites into data centers and securing a $9.7 billion partnership with Microsoft to support next-generation compute.
- Shares have sold off sharply ahead of Q2 earnings as investors focus on dilution risk.
- The upcoming earnings report has investors concerned over whether funding roughly 140,000 GPUs by year-end could require equity issuance.
Formerly Iris Energy, IREN has shifted away from crypto mining and into what it calls a “Neocloud” model, repurposing its stranded-energy Bitcoin sites into large-scale data centers designed to support artificial intelligence workloads.
A $9.7 billion partnership with Microsoft helped position IREN as a potential player in the race to supply next-generation compute capacity.
The ambition has not come cheap
Ahead of earnings, IREN shares have tumbled, falling nearly 19% intraday on Wednesday and down about 28% over the past five days, as investors worry that funding the company’s GPU-heavy cloud expansion could require dilutive equity issuance.
After a 314% rally over the past year, the pullback underscores growing skepticism about whether IREN can scale its AI cloud business without eroding shareholder value.
The upcoming earnings report represents a clear break from the company’s Bitcoin mining past, shifting attention to cloud execution, financing discipline, and competition with established players like Amazon and Oracle—making it a critical test of the company’s pivot.
IREN isn’t alone
Other companies have attempted comparable transformations—some successfully, others less so:
- Core Scientific – Transitioned from pure Bitcoin mining to offering high-performance computing and AI colocation services after emerging from bankruptcy, leveraging existing infrastructure to attract AI customers.
- Hut 8 – Expanded beyond crypto mining into HPC and data center services, pitching its energy assets as ideal for AI workloads.
- Northern Data – Repositioned itself as a European AI and cloud infrastructure provider, shifting investor focus from Bitcoin exposure to GPU-based compute capacity.
- Nvidia (earlier era) – While not a crypto miner, Nvidia successfully pivoted from gaming-focused GPUs to becoming the backbone of AI compute, showing how infrastructure players can redefine their identity through demand shifts.
- IBM – Moved from legacy hardware to cloud and AI services over the past decade, using partnerships and hybrid infrastructure to reinvent its growth narrative.
IREN now joins this list at a moment when AI infrastructure demand is booming—but capital markets patience is thinning. Whether it becomes a case study in smart reinvention or costly overreach may hinge on what it delivers this earnings season.
Key takeaways:
-
Heavy outflows from Bitcoin exchange-traded funds and massive liquidations show that the market is purging highly leveraged buyers.
-
Bitcoin options metrics reveal that pro traders are hedging for further price drops amid a tech stock sell-off.
Bitcoin (BTC) slid below $73,000 on Wednesday after briefly retesting the $79,500 level on Tuesday. This downturn mirrored a decline in the tech-heavy Nasdaq Index, driven by a weak sales outlook from chipmaker AMD (AMD US) and disappointing United States employment data.
Traders now fear further Bitcoin price pressure as spot exchange-traded funds (ETFs) recorded over $2.9 billion in outflows across twelve trading days.
The average $243 million daily net outflow from the US-listed Bitcoin ETFs since Jan. 16 nearly coincides with Bitcoin’s rejection at $98,000 on Jan. 14. The subsequent 26% correction over three weeks triggered $3.25 billion in liquidations for leveraged long BTC futures. Unless buyers deposited additional margin, any leverage exceeding 4x has already been wiped out.
Some market participants blamed the recent crash on the lingering aftermath of the $19 billion liquidation on Oct. 10, 2025. That incident was reportedly triggered by a performance glitch in database queries at Binance exchange, resulting in delayed transfers and incorrect data feeds. The exchange admitted fault and disbursed over $283 million in compensation to affected users.
According to Haseeb Qureshi, managing partner at Dragonfly, huge liquidations at Binance “could not get filled, but liquidation engines keep firing regardless. This caused market makers to get wiped out, and they were unable to pick up the pieces.” Qureshi added that the October 2025 crash did not permanently “break the market,” but noted that market makers “will need time to recover.”
The analysis suggests that cryptocurrency exchanges’ liquidation mechanisms “are not designed to be self-stabilizing the way that TradFi mechanisms are (circuit breakers, etc.)” and instead focus solely on minimizing insolvency risks. Qureshi notes that cryptocurrencies are a “long series” of “bad things” happening, but historically, the market eventually recovers.
BTC options skew signals traders doubt $72,100 bottom
To determine if professional traders flipped bearish after the crash, one should assess BTC options markets. During periods of stress, demand for put (sell) instruments surges, pushing the delta skew metric above the 6% neutral threshold. Excess demand for downside protection typically signals a lack of confidence from bulls.
The BTC options delta skew reached 13% on Wednesday, a clear indication that professional traders are not convinced Bitcoin’s price has found a bottom at $72,100. This skepticism stems partly from fears that the tech sector could suffer from increased competition as Google (GOOG US) and AMD roll out proprietary artificial intelligence chips.
Related: Bitcoin open interest falls by $55B in 30 days–What’s next for BTC price?
Another source of discomfort for Bitcoin holders involves two unrelated and unfounded rumors. First, a $9 billion Bitcoin sale by a Galaxy Digital customer in 2025 was previously attributed to quantum computing risks. However, Alex Thorn, Galaxy’s head of research, denied those rumors in an X post on Tuesday.
The second speculation involves Binance’s solvency, which gained traction after the exchange faced technical issues that temporarily halted withdrawals on Tuesday. Current onchain metrics suggest that Bitcoin deposits at Binance remain relatively stable.
Given the current uncertainty in macroeconomic trends, many traders have opted to exit cryptocurrency markets. This shift makes it difficult to predict whether Bitcoin spot ETF outflows will continue to apply downward pressure on the price.
This 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. While we strive to provide accurate and timely information, Cointelegraph does not guarantee the accuracy, completeness, or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph will not be liable for any loss or damage arising from your reliance on this information.
Chicago-based derivatives exchange CME Group is weighing the launch of its own digital token as it explores how tokenized assets could be used as collateral across financial markets, according to comments from CEO Terry Duffy.
Speaking on a company earnings call, Duffy said CME is reviewing different forms of margin, including tokenized cash and a CME-issued token that could operate on a decentralized network. He said:
Not only are we looking at tokenized cash […] we’re looking at different initiatives with our own coin that we could potentially put on a decentralized network for other of our industry participants to use.
He added that collateral issued by a “systemically important financial institution” may offer greater comfort to market participants than tokens issued by a “third or fourth-tier bank trying to issue a token for margin.”
Duffy’s reference to tokenized cash points to a collaboration with Google announced in March, in which CME Group and Google Cloud said they had begun piloting blockchain-based infrastructure for wholesale payments and asset tokenization using Google Cloud’s Universal Ledger.
The potential CME-issued token would be a separate initiative, and the exchange did not specify how it would function.
CME Group is a derivatives exchange that operates futures and options markets across rates, equities, commodities and cryptocurrencies.
In January, CME said it plans to expand its regulated crypto offerings by listing futures contracts tied to Cardano (ADA), Chainlink (LINK) and Stellar (XLM). Separately, it agreed with Nasdaq to unify its crypto index offerings under the Nasdaq-CME Crypto Index.
The exchange also recently said it plans to introduce 24/7 trading for cryptocurrency futures and options beginning in early 2026, pending regulatory approval.
Related: CME launches Bitcoin volatility index as institutional crypto trading matures
Banks expand stablecoin and payment token efforts amid regulatory debate
While CME Group did not announce specific details about its potential proprietary token, Duffy’s comments place the derivatives exchange alongside a broader push by traditional financial institutions, particularly banks, to explore blockchain-based tokens for payments and settlement.
In July, Bank of America said it was exploring stablecoins to modernize its payments infrastructure, with CEO Brian Moynihan describing them as a potential transactional tool for moving US dollar and euro-denominated funds through the bank’s global payment systems.
JPMorgan rolled out JPM Coin in November, issuing a blockchain-based token that represents US dollar deposits held at the bank. The token is available to institutional clients and can be used to move funds on Base, a blockchain developed by Coinbase, enabling onchain payments and settlement.
Fidelity Investments said it soon plans to launch a US dollar–backed stablecoin called the Fidelity Digital Dollar (FIDD), extending its digital-asset push after receiving conditional approval to operate a national trust bank.
Still, as US banks move ahead with stablecoin and token initiatives, they are simultaneously pushing back against yield-bearing stablecoins, fueling an active policy clash with the crypto industry under the CLARITY Act, which is being debated in Congress.
Since the passage of the GENIUS Act in July 2025, the stablecoin market has grown considerably. It has a market capitalization of around $305.8 billion, up from around $260 billion when the law was passed, according to DefiLlama data.
Magazine: 6 weirdest devices people have used to mine Bitcoin and crypto
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Bitcoin price fell almost $4,000 as Europe hinted at retaliatory measures against US President Donald Trump, who threatened new trade tariffs unless negotiations could begin over Greenland.
The BTC drop came as the trade war also wiped out about $110 billion, sending BTC down by over 2.5% to a market capitalization of $3.22 trillion.
Bitcoin prices dumped 2.5% in the last 24 hours, dropping to below $92,000. BTC is now trading at $92,440 as of 1:16 a.m. EST, according to a Coinbase chart on TradingView.
EU–US Trade War Shakes the Crypto Market
As a result of the crypto market wiping over $110 billion in the last 24 hours, around $787 million in long positions were liquidated in the last day, bringing the total 24-hour liquidations to over $870 million, according to Coinglass data. Over $223 million was BTC-related long positions.
The drop comes after US President Donald Trump revived global fears of trade tariffs by imposing duties on several major European nations over Greenland.
Trump had earlier threatened to impose up to 25% tariffs on several European countries, stating that the duties would remain in place until a deal to sell Greenland to the United States was reached.
🇺🇸🇬🇱 Trump threatens new tariffs on countries opposed to Greenland takeover.
Starting on February 1, 2026, 10% tariffs would be imposed on the following countries, rising to 25% on June 1, 2026:
🇩🇰 Denmark
🇳🇴 Norway
🇸🇪 Sweden
🇫🇷 France
🇩🇪 Germany
🇬🇧 UK
🇫🇮 Finland
🇳🇱 The… pic.twitter.com/ZbCAT3iB3A— Mario Nawfal (@MarioNawfal) January 17, 2026
However, European nations have continuously rejected Trump’s demand for the Danish territory, with France also seen preparing retaliatory economic measures against Washington.
Trump has repeatedly demanded that Greenland be ceded to the U.S., claiming that the island is of great importance to U.S. national security.
Following the refusal to sell Greenland, Trump said that Denmark has been unable to stave off a Russian threat from Greenland.
“NATO has been telling Denmark, for 20 years, that ‘you have to get the Russian threat away from Greenland…’ Denmark has been unable to do anything about it,” Trump said. “Now it is time, and it will be done.”
“NATO has been telling Denmark, for 20 years, that “you have to get the Russian threat away from Greenland.” Unfortunately, Denmark has been unable to do anything about it. Now it is time, and it will be done!!!” – President Donald J. Trump pic.twitter.com/ZyFh9OsNsn
— The White House (@WhiteHouse) January 19, 2026
Gold futures soared to record highs of $4,680 per ounce as markets reacted to the resumption of the US-EU trade war, according to Google Finance. Silver futures also skyrocketed above $93 per ounce for the first time in history.
Bitcoin Price Pull Backs As Selling Pressure Intensifies
After breaking above the ascending triangle and rallying to over $97,000, the BTC price has since faced selling pressure at this resistance level.
This has resulted in the Bitcoin price dropping back into the triangle, now trading around the upper boundary of the pattern and the 20-day Exponential Moving Average (EMA).
To add to the bearish pressure, the Relative Strength has dropped from around 68 to 51.36 and is still plunging, indicating sustained selling pressure in the Bitcoin market.
BTC Price Outlook: Is The Drop A Warning Sign?
As a result of the trade war, the cryptocurrency market, especially Bitcoin, is experiencing a sustained drop as traders run to safe-haven assets.
According to the BTC/USD Chart analysis, the Bitcoin price is still trading above the 50-day Simple Moving Average (SMA), which is providing strong short-term support at $90,301.
With trade threats looming as BTC tries to hold above $90,000 over the last two weeks, Bitcoin could yet drop further. If Bitcoin’s price continues to drop and breaches the 50-day SMA, the asset risks a drop to the lower boundary around $89,000.
However, institutional buying could be a positive factor in holding the price above this support. Michael Saylor has hinted that Strategy will soon make another BTC purchase, as it pushes to hold over 3% of the asset’s total supply.
Saylor posted “Bigger Orange” on X, a phrase he has used before announcing new Bitcoin buys.
₿igger Orange. pic.twitter.com/HI47hMCnui
— Michael Saylor (@saylor) January 18, 2026
After buying 13,627 BTC last week, Strategy now holds 687,410 BTC acquired for $51.8 billion at $75,353 per Bitcoin.
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TLDR:
- MetaMask users can now trade 200+ tokenized US stocks and ETFs directly through their wallet interface.
- Trading operates 24/5 from Sunday 8:05 PM ET to Friday 7:59 PM ET with continuous token transfer capability.
- Integration uses USDC on Ethereum mainnet through MetaMask Swaps to acquire Ondo Global Markets tokens.
- Service excludes major regions including US, UK, Canada, China, and European Economic Area jurisdictions.
MetaMask has partnered with Ondo Finance to introduce tokenized US stocks, ETFs, and commodities directly within its self-custodial wallet.
Eligible users in supported non-US jurisdictions can now access over 200 tokenized securities, including major stocks and ETFs, without traditional brokerage accounts.
The integration went live on February 3, 2026, marking a shift in digital asset management infrastructure.
Bringing Traditional Securities to Self-Custodial Wallets
The collaboration between MetaMask and Ondo Global Markets represents a notable development in blockchain-based financial services.
Users can now purchase, hold, and trade tokenized versions of popular US securities such as Tesla, NVIDIA, Apple, Microsoft, and Amazon. The offering also includes commodity-tracking ETFs like SLV for silver, IAU for gold, and QQQ.
This integration was announced at the Ondo Global Summit in Fort Worth, Texas. The launch comes as tokenized real-world assets have grown to exceed $22 billion globally.
MetaMask users can access these securities through the MetaMask Swaps feature, using USDC on Ethereum mainnet to acquire Ondo Global Markets tokens.
Joe Lubin, Founder and CEO of Consensys, addressed the limitations of existing market infrastructure. “Access to US markets still runs through legacy rails. Brokerage accounts, fragmented apps, and rigid trading windows haven’t meaningfully evolved,” Lubin said.
He added that bringing Ondo’s tokenized US stocks and ETFs directly into MetaMask demonstrates an improved model where people can move between crypto and traditional assets without intermediaries.
The move extends MetaMask’s functionality beyond cryptocurrency management into broader financial markets. For Ondo Finance, the integration expands distribution through one of the most widely adopted self-custodial wallets worldwide.
Ian De Bode, President at Ondo Finance, explained that MetaMask serves as the platform where millions already manage on-chain assets, and the integration introduces an entirely new asset class into that familiar experience.
Extended Trading Hours and Portfolio Management Features
MetaMask’s implementation of Ondo Global Markets tokens offers trading availability 24 hours daily, five days weekly.
Trading operates from Sunday 8:05 PM ET through Friday 7:59 PM ET. Token transfers remain available continuously, operating on a 24/7 basis throughout the week.
The GM tokens function as blockchain-based assets designed to track underlying securities’ market values. Users conduct transactions subject to applicable terms and fees.
De Bode noted that the integration offers users access to tokenized US stocks and ETFs with pricing that reflects traditional brokerage markets, bringing the economics of platforms like Robinhood into a self-custodial, on-chain wallet.
The platform launches with access to more than 200 tokenized US stocks and ETFs on Ethereum mainnet. Users can manage these tokenized securities alongside cryptocurrency holdings within a single multichain account.
The integration maintains the MetaMask app experience without requiring external platforms or applications.
Portfolio management occurs entirely within the MetaMask Mobile interface for eligible users. The service is available today in supported jurisdictions outside the United States.
However, numerous regions face exclusions, including the European Economic Area, United Kingdom, Canada, China, Singapore, and various other territories.
The restrictions apply to users in Afghanistan, Algeria, Belarus, and multiple additional countries spanning different continents.
TLDR:
- TRM Labs secured $70 million in Series C funding led by Blockchain Capital and Goldman Sachs investors.
- The blockchain analytics firm now serves 40% private sector clients as tokenization adoption accelerates rapidly.
- FBI and IRS rely on TRM Labs technology to investigate thousands of cryptocurrency-related criminal cases annually.
- Company reports 500% increase in AI-enabled crypto scams, positioning itself for continued market expansion.
TRM Labs secured $70 million in Series C funding, reaching a $1 billion valuation. The blockchain analytics firm attracted investment from Blockchain Capital, Goldman Sachs, Bessemer, Brevan Howard, Thoma Bravo, and Citi Ventures.
The San Francisco-based company now joins the ranks of crypto unicorns. Its growth reflects increasing demand for blockchain intelligence across government and private sectors.
Law Enforcement Partnership Drives Market Position
TRM Labs carved its niche by supporting global law enforcement agencies in cryptocurrency investigations. The company emerged in 2018 when founders Esteban Castaño and Rahul Raina recognized the need for blockchain intelligence.
Their strategy focused on tracking multiple cryptocurrencies beyond Bitcoin, differentiating them from competitor Chainalysis.
Castaño explained their early thinking: “Then we asked ourselves, ‘What’s the second order consequence? The world would need intelligence to make sense of that data to ultimately manage risk.’”
Jarod Koopman, soon-to-be chief of criminal investigation at the IRS, confirmed the agency’s decade-long reliance on blockchain analytics.
“Without third-party tools, it would be infinitely more time-consuming and inefficient,” Koopman told Fortune. The IRS began using TRM Labs shortly after launch to diversify its analytical tools.
Koopman noted the strategy prevented putting “all of our eggs in one basket,” especially as criminals expanded beyond Bitcoin.
The FBI’s New York field office processes thousands of crypto cases annually, up from just a handful in 2015. Assistant Director James Barnacle highlighted TRM’s role following the October 7 Hamas attacks in Israel.
“The partnership between the FBI and the private sector is critical for us to be successful,” Barnacle stated. He emphasized that there’s nothing the FBI can accomplish entirely on its own in crypto investigations.
The company employs former government investigators, including Chris Janczewski, who led operations against child exploitation sites. This expertise strengthened TRM’s credibility with law enforcement agencies worldwide.
However, close ties with governmental agencies created friction within the crypto community. Many industry participants objected to TRM’s involvement in Hamas wallet tracking reports.
Castaño defended the company’s mission, arguing that “bringing security to digital assets is very much aligned with the crypto industry.”
Private Sector Expansion Signals Future Growth
TRM Labs reports that 40% of its customer base now operates in the private sector. This segment continues expanding as financial institutions explore tokenized assets.
The company’s revenue grew approximately 50% annually over the past four years. Blockchain Capital’s Spencer Bogart described TRM as “one of those things that becomes absolutely table stakes for anybody that’s going to be touching something in the space.”
The firm’s analytics tools serve compliance professionals and financial organizations entering blockchain technology. Wall Street’s embrace of tokenization creates new opportunities for TRM’s intelligence platform.
Ari Redbord, global head of policy, highlighted emerging threats: “We’ve seen a 500% increase in AI-enabled use in scams and fraud. This is a civilization-level threat, and we’re building the company for that moment.”
TRM published reports documenting widespread use of Tether stablecoin on Tron blockchain by cybercriminals. The company later partnered with Tether and Tron to combat illicit activity.
Critics questioned the decision, but Redbord maintained the partnership serves the core mission. “You don’t stop bad actors working only with the most regulatory-compliant places where there’s no illicit activity,” he explained.
Artificial intelligence presents both challenges and opportunities for blockchain analytics. Castaño emphasized the technology’s necessity in modern investigations.
“If you’re operating in a world where there’s trillions of transactions, how in the world do you find the needle in the haystack without using AI?” he questioned. With 350 employees, TRM continues building capabilities to address emerging threats in digital finance.
Key points:
-
Bitcoin remains under pressure as the bears attempt to hold the price below the crucial $74,508 level.
-
Several major altcoins are struggling to bounce off their support levels, increasing the likelihood of the resumption of the downtrend.
Bitcoin (BTC) (CRYPTO: BTC) is facing renewed selling pressure after bulls pressed for a recovery but failed to sustain gains, with the price slipping beneath the key mark of $72,169. In a Monday note, Galaxy Digital research lead Alex Thorn warned that BTC could slip toward its realized price near $56,000 in the coming weeks, citing a lack of catalysts capable of reversing the trend. The absence of strong on-chain or macro catalysts has kept buyers on the defensive, and the market has yet to demonstrate a convincing bid at higher levels.
Not everyone is certain the bottom is in. On X, Bitwise chief investment officer Matt Hougan argued that the crypto markets are likely to rebound sooner rather than later, signaling that the longer-term setup could still tilt toward a renewed rally even as near-term momentum remains fragile. The disagreement among market voices highlights a broader question: are macro conditions enough to spark a durable relief rally, or will the market continue to test major support zones?
In the near term, a classical pattern is reemerging: BTC’s recovery could take time, with some observers noting a historical tendency for extended periods below the 100-week simple moving average. A noted commentator recently recalled that when BTC breaks below the 100-week SMA, it has stayed under that threshold for many months in prior cycles, with the COVID-19 shock offering a rare exception where BTC rose above the level within weeks. The question for traders remains whether this time will echo the longer baselines or deliver a quicker bounce spurred by renewed risk appetite. The gravity of the current setup is underscored by the fact that several top altcoins are testing notable supports, increasing the risk of a broader downturn if those levels give way.
Looking at the price architecture: BTC’s next crucial defense is at the $74,508 support, but buyers have struggled to hold above that level, and the price has hovered around the $72,000s region. If selling accelerates and BTC breaks decisively below $72,945, the path toward the next meaningful support near $60,000 could open, potentially inviting a broader re-pricing across the leading cryptos. The relative strength index (RSI) sits deep in oversold territory, suggesting that a relief rally could materialize if near-term selling pressure eases and buyers reclaim the vicinity of $79,500. A sustained move above the $79,500 resistance could re-energize momentum toward $84,000, though bulls still face a challenging environment amid ongoing risk-off sentiment in broader markets.
Bitcoin price prediction
Bitcoin’s trajectory hinges on how price behaves around the critical $74,508 support and the subsequent $72,945 region. A breach below those levels would likely intensify selling pressure and could revive a test of the $60,000 zone. Conversely, a rally through $79,500 and then $84,000 would lend credence to a relief rebound, potentially drawing momentum into the broader market. The current configuration remains tricky for bulls, with the macro backdrop and ongoing competition among risk assets keeping upside attempts cautious.
Ether (ETH) entered Tuesday defending a critical level near $2,111, but the bounce remained shallow, signaling a lack of aggressive buying support from bulls. If selling pressure resumes and the price breaks below the $2,111 mark, the ETH/USDT pair could slide toward $1,750. The RSI’s oversold condition hints at a potential short-term relief rally, yet confirmation is needed through a move above the 38.2% Fibonacci retracement at around $2,467 and the 20-day exponential moving average near $2,712. A daily close above the 20-day EMA would be a constructive sign for bulls, indicating a shift in near-term momentum.
BNB (BNB) continues to trade below the $790 level, keeping the risk of a sharper dip intact should bears reclaim momentum. A close below $730 would mark a shift in control, potentially driving the pair toward $700 and then to the $645 area. Bulls, meanwhile, will need to sustain a move above the $790 resistance and push toward the 20-day EMA around $839 to reassert control over the immediate path. The clock is ticking for the buyers, with the market closely watching for a sustained rebound that could anchor a broader recovery in the altcoin complex.
XRP (XRP) has struggled to sustain a break above the $1.61 threshold, a sign that bears are actively selling on relief rallies. A downside break from the descending channel could bring the token back toward the $1.25 region. To preserve a more constructive count, bulls would need to push above the moving averages and, ideally, above the downtrend line to keep the channel intact and hint at a longer-lasting shift in trend.
Solana (SOL) has faced renewed selling pressure after failing to clear the $107 resistance. A close below $95 would likely mark the continuation of the downtrend toward the next major support around $79, with the potential for further weakness if bears dominate the short-term action. A breakout above $107 could reframe the near-term outlook, steering the pair toward the 20-day EMA near $117, where selling pressure may re-emerge as bears attempt to reassert control.
Dogecoin (DOGE) is attempting a relief move, but the bounce has been shallow, implying ongoing pressure from sellers. A relapse below the $0.10 level could drag DOGE down toward $0.08, while a move above the 20-day EMA around $0.12 could open a path toward $0.16 if buyers gain traction. The market’s reaction to the current level will help determine whether DOGE is merely testing a bear wall or laying the groundwork for a more sustained reversal.
Cardano (ADA) is trying to bounce off the descending channel’s support, but the relief rally lacks strength. A turn down from the current level or the 20-day EMA near $0.33 would signal that the bears retain the upper hand and could push ADA toward the next major support around $0.20. Conversely, a decisive move above the 20-day EMA would keep ADA within the channel and could set up a test of the downtrend line, with a potential rally toward the $0.50 area if buyers reclaim control.
Bitcoin Cash (BCH) has mounted a stubborn resistance near the 50% retracement around $535, keeping the path to higher levels contested. If bears push BCH below $497, the downside could accelerate toward $467 and then $443. Conversely, a sustained move above $544 could draw buyers toward the 20-day EMA around $562, with a test of the $604 level possible if momentum shifts decisively in favor of bulls.
Hyperliquid (HYPE) breached the $35.50 resistance on Tuesday, but a long wick on the candlestick suggests selling at higher levels remains a headwind. If buyers partner with the current setup, a break above $35.50 could push HYPE toward $44, hinting that the corrective phase may be ending. However, a swift move below the 20-day EMA near $28.79 could keep the pair oscillating between $35.50 and $20.82 for an extended period.
Monero (XMR) is attempting to establish a footing around the $360 level, but relief rallies remain vulnerable to selling at $412 and the 20-day EMA near $461. A move lower would place the next support near $360, while a sustained push above the 20-day EMA could invite a test toward $500, where selling pressure historically intensifies. After sharp declines, price action tends to consolidate before the next directional move, making near-term forecasts highly contingent on how the price behaves around the moving averages.
Overall, the market landscape remains delicate as traders reassess risk in a period of liquidity constraints and cautious positioning. The key near-term takeaway is that major assets are defending critical levels, but without a clear impulse from buyers, any break below established supports could accelerate the downside and redraw the scope of continued consolidation across the top ranks of the market.
Why it matters
For traders, the confluence of key supports and oversold conditions creates a fragile balance between retracements and renewed downside pressure. The tests of $74,508 and $72,169 for BTC, alongside Ethereum’s $2,111 floor, provide a battleground where micro-entries and risk controls will determine whether a relief rally gains momentum or if selling pressure resumes with renewed force. In this environment, altcoins trading near critical support zones are particularly vulnerable to quick shifts in sentiment, underscoring the importance of disciplined risk management and defined exit strategies.
From a broader market perspective, the situation underscores how macro dynamics and on-chain signals interact with technical thresholds. While some observers expect a rebound as oversold conditions unwind, others warn that the absence of catalysts could keep assets tethered to negative drift until fresh bullish narratives emerge. The tug-of-war between these viewpoints highlights the evolving complexity of crypto markets where liquidity, volatility, and sentiment can swing rapidly in response to both technical patterns and macro cues.
For developers and infrastructure teams building on-chain services, these conditions stress-test risk controls, liquidity provisioning, and the resilience of cross-chain flows. Elevated volatility can impact funding rates, borrow costs, and the timing of protocol upgrades, making robust risk assessment essential for participants across the ecosystem.
What to watch next
- BTC price action around $72,945 and $74,508: a decisive move below or above these levels will set the near-term trajectory.
- ETH at $2,111: a break below could target $1,750; a close above $2,467 and the 20-day EMA near $2,712 would signal bullish re-engagement.
- Relief rally triggers: a sustained move above $79,500 and toward $84,000 would be a meaningful bullish cue for BTC and correlated assets.
- Altcoin next supports: any breach of critical supports for SOL, XRP, ADA, BCH, and XMR could accelerate downside swings or alter the near-term trend.
- Market liquidity and risk tone: keep an eye on macro developments and any shifts in risk sentiment that could influence funding rates and asset correlations.
Sources & verification
- Galaxy Digital note stating BTC could fall to its realized price near $56,000 in coming weeks.
- Bitwise CIO Matt Hougan’s post on X discussing a potential sooner-than-expected market rebound.
- Price levels: BTC below $72,169 and near $74,508 as critical support/resistance points; RSI in oversold territory.
- ETH support at $2,111 and possible targets at $1,750, $2,467, and $2,712 based on chart analysis.
- Channel and moving-average references used to discuss XRP, SOL, DOGE, ADA, BCH, XMR scenarios.
What the story means for readers
The current setup reinforces the importance of monitoring key support zones and momentum indicators in a market that remains sensitive to macro cues and risk appetite. While a relief rally is plausible if price action turns constructive, investors should remain cautious and rely on robust risk controls as the market tests multiple moving averages and defensive levels. For builders and participants in the ecosystem, this environment emphasizes the value of resilient liquidity management and the need to prepare for a range of outcomes, from shallow bounces to deeper corrections, as assets navigate the interplay between chart-based signals and fundamental drivers.
Market context
In a climate where risk assets exhibit episodic volatility, the crypto market continues to move in step with broader liquidity conditions and investor sentiment. Downside pressure at critical levels often precedes cautious bounces, while oversold readings can precede short-lived relief rallies. The balance between technical levels and macro cues will continue to shape price action in the near term, with traders watching for confirmatory moves that could change the current narrative from consolidation to a renewed phase of directional movement.
Why this matters to traders, builders, and investors
For traders, the next few days will test the strength of risk-off sentiment against the potential for a short-covering rally. For builders and users of crypto services, stability around key prices matters for funding rates, liquidity provisioning, and the reliability of on-chain operations during periods of volatility. Investors should differentiate between short-term swings and long-term fundamentals, avoiding over-interpretation of any single move while prioritizing risk controls and diversification in a market that has shown resilience but remains prone to abrupt shifts in direction.
This article was originally published as Bitcoin Dips to 2026 Low as Altcoins Crumble: Is BTC at $56K Next? on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.
Wall Street’s most powerful derivatives exchange is exploring its own crypto-style token, and the implications go far beyond another institutional experiment.
According to reports, CME Group CEO Terry Duffy said the firm is reviewing “initiatives with our own coin” that could operate on a decentralized network. The comment came during a discussion on margin and tokenized collateral, not consumer crypto or payments.
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That distinction matters. If launched, a CME-issued coin would not resemble a typical cryptocurrency or retail stablecoin.
Instead, it could become a core piece of market infrastructure—one that quietly controls how risk moves through global financial markets.
CME Coin is a Collateral play, Not a Crypto Launch
CME’s remarks were tightly framed around collateral and margin, the foundation of derivatives trading. Every futures or options position at CME requires traders to post margin, often in cash or high-quality liquid assets.
By tokenizing that process, CME could allow margin to move on-chain, continuously and in near real time. This would reduce reliance on traditional banking rails, which still operate on limited hours.
Importantly, CME already decides what qualifies as acceptable collateral. A CME-issued token would extend that control into a tokenized environment, without changing who sets the rules.
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Why This Could be Bigger than Most Stablecoins
Stablecoins like USDC or USDT dominate crypto headlines because of their size and usage in trading and payments. But they mainly move money.
A CME coin would move risk.
CME clears trillions of dollars in derivatives exposure across interest rates, equities, commodities, and crypto. Margin instruments used inside that system have far higher velocity and systemic importance than most payment tokens.
If a CME coin became eligible margin, it would sit at the heart of price discovery and financial stability. Stablecoins rarely play that role.
Control over Collateral Means Control over Markets
Collateral is the real choke point in modern finance. It determines who can trade, how much leverage they can take, and how stress propagates during volatility.
By issuing its own tokenized collateral, CME would not be decentralizing markets. It would be reinforcing its position as the trusted intermediary—this time using blockchain rails.
A CME coin would almost certainly be restricted to institutional participants. It would not be designed for trading, speculation, or yield generation.
There would be no open governance, no permissionless access, and no DeFi integration. Blockchain would function as shared infrastructure, not an open financial system.
This mirrors how other Wall Street firms approach tokenization: adopting the technology while preserving existing power structures.
TLDR
- CME Group is exploring the creation of its own cryptocurrency, according to CEO Terry Duffy.
- The company is considering launching a proprietary coin that could operate on a decentralized network.
- CME Group is working on a tokenized cash solution with Google, set to release later this year.
- The potential CME Coin could be used by industry participants, though its specific role remains unclear.
- CME Group plans to expand its crypto futures offerings, including 24/7 trading and new contracts for Cardano, Chainlink, and Stellar.
CME Group, a leading player in global derivatives, is exploring the potential launch of its own cryptocurrency. CEO Terry Duffy confirmed the company is considering the creation of a proprietary token. During the company’s latest earnings call, he revealed that CME Group is evaluating initiatives involving its own coin, which could be launched on a decentralized network.
CME Group’s Exploration of a Proprietary Coin
CME Group’s CEO Terry Duffy disclosed during the recent earnings call that the company is reviewing various tokenization options. He noted that CME Group could potentially introduce a token of its own. This would allow it to create a proprietary coin that could run on decentralized networks. Duffy’s comments suggest that the derivatives exchange is carefully analyzing the role of tokens in its operations, including how they could be used as collateral for margin requirements.
The idea of creating its own coin comes as CME Group has expanded its involvement in the cryptocurrency market. The company is already involved in the launch of tokenized cash, a project in partnership with Google. This solution, set for release later this year, will involve a depository bank to facilitate transactions. However, Duffy’s remarks about the CME Coin suggest that the company could venture further into decentralized finance with its own digital asset.
CME Group’s tokenized cash solution, being developed alongside Google, represents a step forward in digital financial services. However, the CME Coin, which Duffy referred to, could mark a larger leap into the decentralized world. Duffy indicated that the CME Coin would serve as a potential tool for industry participants to use, though he stopped short of defining its exact function. Whether the coin would be a stablecoin, settlement token, or a different type of asset remains unclear, as CME Group has not offered further clarification.
CME Group’s exploration of tokenized assets comes as the company continues to expand its crypto futures offerings. The company has seen significant growth in cryptocurrency trading, with average daily volumes hitting $12 billion last year. As part of its strategy, CME Group is set to launch 24/7 trading for crypto futures in the second quarter. It is also adding new cryptocurrency futures contracts for assets like Cardano, Chainlink, and Stellar.
Wall Street’s Growing Interest in Tokenization
CME Group’s potential move to create a proprietary cryptocurrency would place it among the growing number of Wall Street giants exploring tokenized assets. JPMorgan recently introduced JPM Coin, a token used for tokenized deposits on Coinbase’s layer-2 blockchain Base. This move, like CME Group’s exploration of its own coin, is reshaping how traditional financial institutions interact with digital currencies.
Despite the growing interest in tokenization, CME Group has not yet provided details on the timeline or specific goals for its coin. The company’s focus on exploring a proprietary digital asset demonstrates its increasing commitment to cryptocurrency and blockchain technology.
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