Market Overview Mar 3 – Mar 9: Bitcoin Dumps to $80K as Altcoins Decline 10%-20%
| Key Points: – Bitcoin decreased to $80K amid institutional adoption and regulatory shifts. – $618M liquidated in 24 hours as altcoins drop 10%-20%. – Texas launches Bitcoin reserve fund, reinforcing state-backed crypto integration. |
Bitcoin declined to $80,000 this week amid key regulatory shifts, institutional adoption, and increased market volatility. Meanwhile, the crypto landscape saw major compliance updates in the European Economic Area (EEA) and the U.S. Securities and Exchange Commission (SEC) dropping its lawsuit against Kraken.
The market remains rugged as altcoins declined by 10%-20%, and $618 million in liquidations were recorded in the past 24 hours. Institutional activity continued, with Metaplanet expanding its Bitcoin holdings and Texas launching a Bitcoin reserve fund.
With macroeconomic factors, including the Federal Reserve’s stance on interest rates and upcoming Senate votes, market sentiment remains mixed, with analysts expressing caution amid leverage-heavy trading conditions.
Last week’s Highlights (Mar 3 – Mar 9)
Top Market News
A tweet from the official White House account declared that the United States is set to become the world’s Bitcoin superpower, marking what the administration calls a “golden Age for America.”
Bitcoin saw a strong recovery, reaching $80,000 after a volatile period. However, many altcoins declined between 10%-20%, reflecting market-wide uncertainty. Over the past 24 hours, $618 million in liquidations were recorded, with $534 million in long positions being affected.
Institutional adoption continued as Metaplanet expanded its Bitcoin holdings, acquiring 497 BTC and bringing its total reserves to 2,888 BTC.
Meanwhile, Cronos (Crypto.com) is considering reissuing 70 billion CRO tokens that were previously burned in 2021. If approved, the total supply will return to 100 billion, with the tokens—valued at approximately $6.3 billion—gradually released over a five-year period.
On the Solana network, Pump.fun, a token launchpad, reported a 63% drop in trading volume, with figures falling from $119 billion in February to $44 billion.
In the U.S., Texas has officially launched a Bitcoin reserve fund, becoming one of the first states to integrate state-backed cryptocurrency holdings into its financial framework.
Important Regulatory and Compliance Updates
Binance has announced that it will adjust the availability of stablecoins in the European Economic Area (EEA) that do not comply with the Markets in Crypto-Assets (MiCA) framework. The affected stablecoins include USDT, FDUSD, TUSD, USDP, DAI, AEUR, UST, USTC, and PAXG.
The U.S. Securities and Exchange Commission (SEC) has dismissed its lawsuit against Kraken, imposing no fines or operational changes.
The hacker group targeting Bybit completedly laundered 499,000 ETH over a 10-day period, primarily using ThorChain to convert ETH into BTC.
Macroeconomic News
Federal Reserve Chairman Jerome Powell stated that the central bank will wait to assess the economic impact of President Trump’s new policies before making further interest rate adjustments. Powell highlighted four key policy areas:
- Trade
- Immigration
- Fiscal policy
- Regulatory framework
Powell noted, “The overall impact of these policy changes is the critical factor for the economy and monetary policy roadmap… We do not need to rush and are in a strong position to wait for greater clarity.”
March 2025 Economic Events Impacting Crypto
- March 6: CFTC Forum on Tokenized Assets and Stablecoins
- March 7: White House Crypto Conference Featuring Donald Trump
- March 10-14: U.S. Senate Banking Committee Votes on Stablecoin Legislation
- March 21: SEC Hosts Its First Crypto Roundtable
Key U.S. Economic Indicators
- Job Report: 151,000 new jobs (Forecast: 170,000 | Previous: 143,000)
- Unemployment Rate: 4.1% (Forecast: 4.0% | Previous: 4.0%)
Economic Indicators and Market Sentiment
Market sentiment among crypto analysts and traders on X (formerly Twitter) has shifted toward a more cautious outlook. Similar sentiment shifts have preceded market reversals historically, though investors remain divided on whether Bitcoin’s current rally can sustain itself.
Liquidity conditions indicate that traders are heavily leveraged, increasing the risk of sharp market swings. Over the past 24 hours, $618 million in liquidations were recorded, with $534 million of these coming from long positions.
The thereof figure suggests that many traders were overexposed to leveraged positions, leading to forced liquidations as market volatility increased.
| DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing. |
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