The crypto market had another scare on Sunday night: Bitcoin plunged about $2,000 in 10 minutes, over $1 billion worth of long positions were liquidated, and the Fear Index dropped straight to 25. Let’s go over the key developments from last night through this morning 👇
📉 Market Snapshot
$BTC Bitcoin briefly fell below $75,000. It’s now on a five-week losing streak and testing the 50-week moving average (around $75,500)—a critical lifeline. Ethereum fell below $2,125, XRP below $1.10, and SOL lost the $90 level. Whether these levels hold or break, this week will be crucial.
🪙 Altcoin Winter
Data from CryptoQuant shows that around 70% of altcoins on Binance have fallen below their 200-day moving averages, giving back more than half of their gains since August. Bitcoin’s market dominance is around 60%, with investors still preferring to hold BTC. The TRUMP meme coin also hit a record low, down about 98.5% from its peak.
🏛️ Regulatory Crackdown
The U.S. Treasury’s FinCEN has designated MEXC a “primary money laundering concern,” alleging around $16 billion in illicit transactions. It ordered that, 30 days after the notice is published, U.S. financial institutions will be barred from doing business with it. MEXC says its operations are normal and assets are safe. On the same day, the Treasury also sanctioned eight Canadian entities that helped Iran convert money into cryptocurrency. Separately, a U.S. Senate report named USDT as being widely used by Iran to evade sanctions, prompting a public response from Tether.
🏢 Institutional Updates
Saylor posted another holdings chart on Sunday, captioned “Connecting the dots.” Longtime players know what that might mean: an announcement of another purchase could come Monday. Argentine state-owned company YPF Luz has moved its electricity contracts onto the XRP Ledger, with an initial batch worth around $800 million. A Fidelity report says the number of on-chain transactions on Solana is already equivalent to 15% of the number on major U.S. exchanges.
🐋 On-Chain Highlights
An address linked to the Drift hack opened a 20x leveraged position on Hyperliquid, going long on Bitcoin and short on Ethereum, worth around $26 million, and also swapped into a batch of ZEC. Here’s another fun one: NFT project Okay Bears used a small mining rig to mine a Bitcoin block solo, with the reward distributed to staked holders.
⚖️ Bullish vs. Bearish Views
Bulls argue that BTC net short positions have hit an all-time high, leaving shorts overcrowded and vulnerable to a short squeeze. Bears point to five consecutive down days and continued ETF outflows, saying a break below 75,500 could send prices to 68,000–69,000.$ETH Meanwhile, Vitalik published a lengthy post arguing that ETH should center on “store of value,” while the community continues to debate whether issuance should be reduced.
📌 This Week to Watch: U.S. inflation data, ETF fund flows, and whether Strategy announces another purchase.
⚠️ Disclaimer: This article is compiled from publicly available information on X and is for reference only; it does not constitute investment advice. Crypto assets are volatile. Please do your own research and be aware of the risks.