The Bit Gazette

Tag: volatility

Memecoin market cap crashes 40% to $44 billion in 24-hour weekend selloff
The memecoin market lost 40% of its value in a 24-hour weekend selloff, with total market capitalization plunging from approximately $73 billion to $44 billion on Saturday, October 12—the lowest level since July—before partially recovering to $53 billion by Sunday.

Dogecoin, Shiba Inu, and Pepe led the decline with weekly losses between 13% and 22%, while Bitcoin and Ethereum ETFs saw combined inflows of $338 million, highlighting the stark divide between speculative meme tokens and institutional-grade crypto assets.

Constant Volatility, A Market Cap Story

Over the past four months, the memecoins market cap consistently remained above $60 billion, buoyed by strong retail demand and active trading on Solana and BNB chains. However, the sudden plunge signals a shift in sentiment and underscores the vulnerability of meme-based assets.

“Meme tokens are more sentiment-driven than fundamentals-driven, and that can lead to extreme swings,” said Elena Ward, senior analyst at ChainMetrics.

Currently, the memecoins market cap stands at approximately $57 billion, indicating partial recovery but still below previous highs.

Top Meme Tokens Struggle to Recover

The top ten meme tokens account for over 82% of the total memecoins market cap, representing roughly $47 billion. DOGE, SHIB, and PEPE posted weekly losses between 13% 22%, while BONK and FLOKI fell more than 20%. Even novelty tokens such as former US President Donald Trump’s meme coin dropped 20% on the week.

“Retail investors need to brace for volatility in memecoins; these markets move fast and unpredictably,” noted Vincent Liu, CIO at Chronos Research.

Market Comparison: Meme Sector vs Other Cryptos

While meme tokens lag in recovery, other crypto sectors have bounced back quickly. NFTs, which lost 20% of their value during the sell-off, regained 10% within a day. Similarly, crypto ETFs saw inflows:

Bitcoin ETFs recorded $102 million and Ether ETFs $236 million in net inflows. This contrast shows how the memecoins market cap remains vulnerable relative to more established digital assets.

Major Cryptocurrencies Recover Faster

Bitcoin (BTC) and Ether (ETH) have rebounded faster than meme tokens. BTC recovered from $102,000 to above $111,000, while ETH bounced from $3,700 to $4,000.

Despite these recoveries, the memecoins market cap is still trailing, demonstrating the retail-driven volatility of meme assets.

Retail Sentiment and Future Outlook

Meme token prices are strongly influenced by social media hype, investor sentiment, and broader market trends. Analysts warn,

“Memecoins remain high-risk and heavily dependent on retail enthusiasm,” said Jesse Pollak, Head of Base Network at Coinbase.

Retail-driven interest, marketing campaigns, and cross-chain activity will determine whether the memecoins market cap can sustain long-term growth.

Factors Affecting Market Cap
1. Retail Interest: Social media communities drive sudden surges or drops.
2. Liquidity Constraints: Rapid sell-offs amplify volatility.
3. Market Sentiment: Broader crypto shocks directly impact meme tokens.
4. Cross-Chain Activity: Solana and BNB chains influence token availability and value.
Investor Guidance

Investors should carefully monitor the memecoins market cap and consider strategic entries, diversification, and risk management. Meme tokens may offer short-term gains but require vigilance and timely action.

Understanding market cycles and retail sentiment is crucial for anyone looking to capitalize on meme-driven opportunities.
10/23/2025
Crypto liquidations surpass $1 billion in 24 hours as Bitcoin and Ethereum tumble

The cryptocurrency market experienced over $1 billion in liquidations in 24 hours ending Thursday evening, with nearly 70% concentrated in long positions as Bitcoin and Ethereum led sharp declines, according to Coinglass data. Ethereum accounted for $115 million in liquidations while bitcoin saw $80 million, as negative funding rates signaled growing bearish sentiment among leveraged traders.

Tom Andrews, senior analyst CryptoQuant, said: “The liquidations indicate that market sentiment is very fragile among retail traders and leveraged positions.”

Bitcoin Futures Stable Despite Bearish Pressure

Despite the large liquidation, Bitcoin futures open interest remained around $25 billion.

However, funding rates on Binance and OKX remained negative between -2% and -3%, indicating that traders are expecting further price declines.

Maya Collins, Derivatives Researcher, Bitget, said: “Negative funding rates reflect traders’ reluctance to take risk aversion and long positions.”

Options and Market Signals

Sentiment in the options market remained somewhat mixed. The 1-week 25 delta skew increased to 12.6%, indicating that some investors are buying call options in anticipation of a potential recovery.

Meanwhile, the 24-hour put/call volume ratio remained balanced, reflecting steady interest from both buyers and sellers.

Source: Coinglass

Altcoins Situation

Altcoins were under heavy pressure on Thursday. TAO, ASTER, LDO fell over 12%, while TRX showed modest gains despite the market downturn.

Low liquidity and cautious sentiment prevented any significant recovery, as traders adopted a strategy to avoid liquidations.

Key Bitcoin Levels

According to the Binance Liquidation Heatmap, $110,009 is a key threshold for Bitcoin.

Analysts warn that if this level is broken, additional liquidations could be triggered, which could increase short-term volatility.

Impact on Traditional Markets

Along with the crypto market downturn, the Dow Jones saw a 300-point decline, and the S&P 500 and Nasdaq Composite saw a 0.6% and 0.5% decline, respectively.

Debt problems at regional banks such as Zions Bancorporation and Western Alliance also created pressure in the stock market, raising concerns about credit risk.

Macroeconomic Pressure

US-China trade tensions and a third week of government shutdown dampened global risk appetite.

The absence of key economic data and falling Treasury yields have driven investors to safe haven assets like gold, which hit a new high of $4,300 an ounce.

Market experts’ forecast

Analysts say the liquidations reflect high leverage and weak investor sentiment, which could persist in the short term.

Ethan Morris, Chief Economist, Digital Asset Insights, said: “Until economic conditions become clearer and liquidity improves, market volatility will continue.”

Given the global uncertainty, traders are advised to manage trading exposure carefully, as the market is going through a highly unpredictable phase of the quarter.

10/17/2025
Bitcoin hovers near $108K ahead of Powell remarks as 100% China tariffs weigh on crypto

The Crypto Market Volatility is once again in focus as Federal Reserve Chair Jerome Powell prepares to deliver a highly anticipated speech on “Economic Outlook and Monetary Policy” at the NABE meeting.

With Bitcoin hovering near the critical $108K–$110K support zone, traders and investors brace for potential turbulence. Powell’s remarks could either stabilize the market or send shockwaves across both traditional and digital assets.

Experts believe that Crypto Market Volatility may intensify if Powell signals that interest rates will remain higher for longer. Even a minor hint could trigger sell-offs in both equities and cryptocurrencies, as leveraged traders rush to adjust their positions. Analysts warn that this uncertainty could quickly ripple through global exchanges, amplifying market pressure.

Data Delays Fuel Uncertainty

Adding to Crypto Market Volatility, key U.S. economic indicators, including inflation and wholesale prices, have been delayed due to the government shutdown. Without these numbers, Powell’s speech becomes one of the few signals about the Fed’s stance.

“The absence of data leaves investors guessing,” explained Matthew Cole, senior analyst at Digital Finance Insights. “Markets hate uncertainty, and it’s creating stronger Crypto Market Volatility across all major coins.”

At the same time, new 100% tariffs on Chinese imports and rising geopolitical tensions have pressured risk assets, pushing Bitcoin and altcoins lower.

Bitcoin Support Under Pressure

Bitcoin (BTC) is hovering near $111,000, with overall crypto markets down 4%. Analysts identify $108K–$110K as a critical support zone that could decide short-term momentum.

If the level breaks, cascading liquidations could trigger another round of Crypto Market Volatility.

Short-Term Volatility, Long-Term Confidence

Despite current instability, many analysts believe the Crypto Market Volatility could offer long-term opportunities. Traders are focusing on altcoins with strong fundamentals, preparing to capitalize once confidence returns.

“Volatility opens doors for smart investors,” said Lisa Grant, head of trading at CryptoCore. “Those who manage risks well can benefit when others panic.”

Implications for Investors

Investors are advised to monitor Bitcoin’s $108K–$110K support closely and track Powell’s NABE address for policy clues.

His remarks could either calm the market or intensify Crypto Market Volatility, making risk management essential in the days ahead.

10/15/2025
Binance Alpha Token plunges 99% in two minutes as whale wallets control 97% of supply

Binance Alpha Token lost 99% of its value in two minutes Wednesday morning, crashing from $0.0083 to $0.000005 in what analysts attribute to extreme wallet concentration, with blockchain data showing 10 addresses controlling 97% of the token’s total supply.

The abrupt crash has quickly become one of the steepest intraday declines of any asset listed on Binance this year. Analysts say the volatility surrounding Binance Alpha Token underscores the growing risks in newly listed or lightly traded crypto assets.

During the crash, trading volume spiked dramatically, with more than 573,000 AB tokens exchanged within minutes, generating over $5 million in 24-hour volume. Despite the surge, liquidity remains low at roughly $2.17 million, while the token’s market capitalization hovers near $93 million.

Adding to concerns, data shows that over 97% of Binance Alpha Token’s total supply is held by its top 10 wallets a concentration that leaves the asset highly vulnerable to market manipulation or liquidity shocks.

Concentrated ownership and liquidity concerns

The sudden collapse of Binance Alpha Token has reignited debate over the structural risks of tokens with limited holder diversity. When a handful of wallets control the majority of supply, any large sale or internal movement can trigger cascading effects across the order book.

Market observers suggest several possible explanations for the incident. One theory points to a “whale dump” where a large holder intentionally or accidentally liquidates their position. Such concentrated ownership makes Binance Alpha Token particularly susceptible to these sudden liquidity drains.

Another explanation could be a technical malfunction or trading algorithm error. In the fast-moving world of decentralized finance, flash crashes can be triggered by a mispriced oracle feed or an automated system reacting to incorrect data.

“These types of flash crashes frequently happen when price oracles provide inaccurate values to automated systems, or when trading algorithms interpret market data incorrectly,” according to market analysts familiar with similar incidents.

Possible oracle or smart contract malfunction

The Binance Alpha Token event also raises questions about the reliability of smart contracts and automated liquidity systems on new projects. A temporary withdrawal of liquidity by a market maker could have left order books unusually thin, making the asset prone to slippage.

In such cases, even a small volume of sell orders can trigger massive downward spirals. Industry experts note that in emerging crypto ecosystems, the removal of liquidity pools, known as a “liquidity pull” can drastically distort price action within seconds.

Although Binance has yet to issue an official statement on the crash, market participants are closely monitoring the situation. Many traders have expressed frustration on social media, demanding transparency regarding the causes behind the price collapse.

As of publication, the token continues to trade erratically, and confidence remains low among investors.

What’s next for Binance Alpha Token?

With no clear cause identified, uncertainty continues to cloud the outlook for Binance Alpha Token. Analysts warn that its extreme price concentration and limited liquidity make it one of the riskiest tokens currently on Binance.

“The high volatility emphasizes the dangers of newly launched or thinly traded tokens,” said a blockchain market researcher. “Especially those with a high holder concentration, which can make price movements unpredictable.”

Until Binance provides clarification or stabilization measures, investors are being urged to proceed with caution. For now, staying on the sidelines may be the most prudent choice, as the full extent of the market damage and potential recovery remains unclear.

10/09/2025
USDC dual-mining gains traction as investors seek stable yields amid crypto turbulence

Amid heightened volatility in 2025’s cryptocurrency markets, OurCryptoMiner has introduced an experimental framework known as USDC dual mining, a model designed to blend the stability of dollar-pegged stablecoins with the growth potential of Bitcoin.

The platform enables investors to purchase hashrate contracts that simultaneously generate rewards in both USDC which is a stablecoin pegged 1:1 to the U.S. dollar and major cryptocurrencies such as BTC and ETH.

By using a dynamic allocation algorithm, the model aims to reduce exposure to single-asset risks, while offering a more predictable return profile. For crypto investors navigating uncertain rate policies and uneven capital flows, USDC dual mining represents a bid to combine conservative income with upside potential.

“Dual mining allows participants to hedge volatility without missing growth opportunities,” — Alex Wright, analyst at Messari. “It’s a creative response to investor demands for stability in a sector known for extreme swings.”

How the USDC dual mining model works

The model has three key differentiators:

1.Green dual mining — The system mines Bitcoin while distributing base returns in USDC. This combination delivers what the company claims is a return profile more than 100% higher than single-asset mining strategies.

2.Zero-entry, smart participation — Investors do not need to purchase hardware or manage technical infrastructure. Instead, an AI-driven algorithm optimizes allocation between stablecoins and digital assets.

3.Compliance and transparency — All revenues are recorded on-chain, and users can view mining output in real time. According to the company, this ensures traceability and mitigates concerns around opaque revenue reporting.

In practical terms, users register, select a hashrate plan, enable dual mining, and receive daily settlements. Options range from short “trial plans” of $100 with modest returns to institutional-grade contracts exceeding $50,000.

“Mining returns are typically difficult for retail investors to access because of high upfront costs,” — Marina Chen, blockchain researcher at CoinDesk. “Platforms like this lower the barrier to entry, though investors must carefully weigh counterparty and operational risks.”

USDC Market Cap Hits $56.3 Billion, Rebounding from Bear Market Lows

Security, compliance, and investor protection

Security remains a central concern for crypto investors. OurCryptoMiner states that it maintains 100% reserve custody of USDC through licensed institutions, with real-time verification available on-chain. Additionally, the platform’s smart contracts have been audited by CertiK, a blockchain security firm.

The company emphasizes that these safeguards are designed to reassure both individual and institutional participants.

“We provide a transparent and legally compliant environment where participants can mine with confidence,” the firm said in a statement.

For investors, the compliance angle matters. With U.S. regulators intensifying oversight of crypto mining and stablecoin operations, platforms promoting USDC dual mining must navigate strict disclosure and custody standards. The use of licensed custodians and public auditing tools could be decisive in building trust.

Potential impact for crypto investors

While the platform is promoting its approach as “the future of mining,” analysts note that long-term adoption will depend on sustained profitability and user growth. The concept of USDC dual mining could appeal to retail investors seeking stability, but institutional adoption may require additional clarity on legal and tax implications.

According to OurCryptoMiner, the model already supports a wide range of currencies, including BTC, ETH, and USDC. Daily settlements allow investors to withdraw earnings immediately or reinvest. This level of flexibility could appeal to users in emerging markets, where access to stable-dollar income is limited.

“Stablecoin-linked mining models like USDC dual mining may signal a trend toward hybrid investment tools,” — Wright of Messari added. “If executed well, they can bridge the gap between conservative and speculative capital in the digital asset space.”

Looking ahead

OurCryptoMiner is also experimenting with artificial intelligence to expand beyond mining into broader asset-chain services. The company’s mobile app already allows users to track profits in real time, a step aimed at making mining more accessible and transparent.

Whether USDC dual mining becomes a mainstream strategy will depend on its ability to maintain competitive yields as Bitcoin’s difficulty increases and as regulators tighten rules on stablecoin operations. For now, it represents one of the more innovative attempts to merge stability and growth in the mining sector.

09/20/2025
Bitcoin veteran cashes out $76M to go all-in on Ethereum

A long-term Bitcoin holder has shaken the market by unloading 670 BTC—worth about \$76 million—after seven years of dormancy, redirecting the funds into leveraged Ethereum positions in a rare and closely watched move.

Blockchain data revealed on Wednesday that the whale offloaded 670 BTC worth roughly $76 million and immediately redeployed the funds into leveraged Ether positions.

According to analytics platform Lookonchain, the whale opened four separate long positions totaling 68,130 ETH, marking one of the most significant publicized shifts from Bitcoin to Ethereum by a long-term Bitcoin holder this year.

Before the transaction, the whale controlled 14,837 BTC, an amount worth more than $1.6 billion at current market prices. Records show these assets were initially acquired through major exchanges Binance and HTX over seven years ago, underscoring the whale’s status as a seasoned, long-term Bitcoin holder.

Source: Lookonchain

Leveraged Ether positions face volatility

The whale’s Ether positions were entered at an average price of $4,300, with three of the trades using 10x leverage and a smaller one at 3x leverage. The timing, however, proved challenging. Shortly after the move, Ether dropped to $4,080, leaving three of the leveraged positions close to liquidation thresholds set around $3,700.

“Leveraged bets from whales can inject both confidence and volatility into the market,” — Marcus Sotiriou, Market Analyst, GlobalBlock. “This case shows how even a long-term Bitcoin holder is willing to take significant risks to diversify into Ethereum.”

At the time of writing, Ether has rebounded, trading at $4,287 up 2.9% in the last 24 hours, according to CoinGecko. Still, the near-liquidation event highlights the dangers faced when a long-term Bitcoin holder turns to aggressive leverage strategies.

Institutions and whales diverge on Ether

While one long-term Bitcoin holder moved into Ether, other whales reacted differently during the same period of market turbulence. Lookonchain reported that three large investors panic-sold 17,972, 13,521, and 3,003 ETH during a dip, crystallizing losses.

Source: Lookonchain

In contrast, institution-linked wallets took the opposite stance. Two addresses, identified as belonging to institutional investors, each accumulated 9,044 ETH worth $38 million. Publicly traded firm BitMine Immersion Technologies added another 52,475 ETH to its balance sheet, bringing its Ethereum treasury to 1.52 million tokens valued at $6.6 billion.

“Institutions are clearly more comfortable with Ether exposure than in previous cycles,” — Laura Shin, Host of Unchained podcast. “The move by a long-term Bitcoin holder only adds to the narrative that Ethereum is no longer seen as speculative but as a critical piece of the crypto economy.”

Old Bitcoin wallets stir after years of silence

The whale’s pivot also comes amid a wave of activity from dormant Bitcoin wallets. Last month, a Satoshi-era whale holding 80,201 BTC made its first transfers in 14 years, moving funds to Galaxy Digital. On the same day, another whale moved 1,042 BTC after six years of inactivity.

Crypto analyst Willy Woo noted that long-term Bitcoin holder activity has been trending downward since 2017, with whales gradually reducing exposure while institutional demand rises.

“The supply is rotating from OG Bitcoiners to new entrants, which is healthy for market maturity,” Woo said in June.

A maturing market or a risky shift?

For many crypto investors, the latest move illustrates both opportunity and risk. A long-term Bitcoin holder shifting into Ether highlights Ethereum’s growing prominence, particularly as it approaches its prior all-time high of $4,878. Yet, the use of heavy leverage underscores the dangers even whales face when attempting to time the market.

Whether this signals a broader trend of long-term Bitcoin holders diversifying into Ethereum or remains an isolated move is still unclear. What is evident is that the behavior of veteran whales continues to influence market sentiment and investor confidence across the digital asset landscape.

Market strategists suggest that such shifts could also reshape liquidity flows between Bitcoin and Ethereum, potentially narrowing the dominance gap between the two assets. If more long-term Bitcoin holders diversify into Ether, it may accelerate Ethereum’s role as a parallel store of value while reinforcing the perception that Bitcoin is no longer the sole “safe haven” within the crypto ecosystem.

08/21/2025

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