Coin360 Daily Dispatch: Crypto Market Updates & Today's Highlights

Bitcoin Surges Despite Regulatory Crackdowns

On March 30th, Bitcoin’s price briefly surpassed \(29,000 before falling back to \)28,500. This occurred despite recent regulatory crackdowns on cryptocurrency firms, and it surprised many industry experts.

Whales and Traders Taking Profits

However, on-chain data suggests that some traders and whales are now taking profits after weeks of gains. As a result, a decline in the coming days is possible. Short-term holders are now taking profits at the highest margin seen in over a year. There is also an increase in spending activity among large Bitcoin holders, and the price valuation momentum is trending towards overvaluation territory.

Bull Market Continues Despite Short-Term Decline

Despite these factors, Bitcoin is still considered to be in a bull market, and any short-term decline is not likely to indicate a widespread drop. The Crypto Fear and Greed Index has been steadily increasing over the past month, indicating a positive sentiment towards Bitcoin and other cryptocurrencies. It is currently back in the “greed” territory with a value of 60 today. Some traders believe that recent price rebounds may be attributed to large-volume traders buying back in, rather than fundamental factors.

Upcoming Options Expiration Could Impact Bitcoin Price

As options contracts worth billions tied to Bitcoin are set to expire on Friday, the cryptocurrency could experience significant price fluctuations this weekend. If the cryptocurrency continues to rise, market makers selling the options might need to buy more Bitcoin in the spot market to cover their positions, which could bring about more upside volatility.

Mixed Performance Among Major Cryptocurrencies

In the last 24 hours, major cryptocurrencies like ETH and XRP have fallen, causing a pause in the multiday rally. According to crypto analytics firm Santiment, Ethereum is displaying bearish indicators in terms of active addresses, active deposits, and transaction volume compared to its price.

XRP traders are also taking profits at the highest levels seen since August 2021. On the other hand, larger wallets have been accumulating Cardano’s ADA, which has shown some mild decoupling signs this week.

The Arbitrum token airdrop led to significant selling of ARB and projects in the ecosystem. However, this Ethereum Layer-2’s activity remains robust, with high user activity and liquidity. Smart money continues to accumulate ARB tokens, and the total ARB balance of these wallets is greater than the amount claimed at 15.5 million ARB tokens, according to Nansen data.

Summary of Market Events and Price Action

As a summary of today’s events and price action in the market, it is crucial to note the following key points:

• Bitcoin’s price briefly surpassed $29,000 despite recent regulatory crackdowns on cryptocurrency firms.
• Traders and whales are now taking profits after weeks of gains, and a decline in the coming days is possible.
• Despite these factors, Bitcoin is still considered to be in a bull market, and any short-term decline is not likely to indicate a widespread drop.
• Upcoming options contracts worth billions tied to Bitcoin are set to expire on Friday, which could cause significant price fluctuations this weekend.
• Major cryptocurrencies like ETH and XRP have fallen in the last 24 hours, causing a pause in the multiday rally.
• The Arbitrum token airdrop led to significant selling of ARB and projects in the ecosystem, but Ethereum Layer-2 activity remains robust with high user activity and liquidity.
• Binance Allegations: Implications for BUSD Crypto and Binance USD.

Top altcoin gainers and losers

Gainers:

1inch 1INCH (+11.77%)

Conflux CFX (+10.09%)

Arbitrum ARB (+8.36%)

Losers:

Rocket Pool RPL (-9.04%)

Flare FLR (-7.60%)

Mask Network MASK (-7.30%)

NFT Market Map

In March, MG Land - an NFT collection associated with a new metaverse platform - saw a surge in trading volume, generating $27.1 million. However, The Block’s Brad Kay has raised concerns about the collection’s rapid rise, suggesting the use of artificial “wash” trading due to most buyers in the top 20 MG Land sales having wallets created on the same day as the sale. Currently, its trading volume has sharply declined, dropping to the 559th rank on the Coin360 NFT leaderboard, representing a -99.74% decline in a day.

On the other hand, Yuga Labs’ Bored Ape Yacht Club remains the best-selling NFT collection, with Otherdeed as the second-best-selling NFT collection in Q1 2023, with sales of nearly $120 million. However, it is their sister collection HV-MTL that climbed to the top today with a 507.85% surge in trading volume.