The crypto market is up today, with the cryptocurrency market capitalisation increasing by 2.6%, now standing at $3.62 trillion. Nearly all of the top 100 coins have risen over the past 24 hours. At the same time, the total crypto trading volume is at $136 billion. TLDR: The crypto market capitalisation is up by 2.6% on Monday morning (UTC); 99 of the top 100 coins and all of the top 10 coins are up today; BTC increased by 4.3% to $106,253, and ETH rose by 5.7% to $3,606; The US Senate advanced a deal on ...

The crypto market is stuck in a highly volatile zone that’s been negatively affecting not only small-cap tokens but also the leading assets. The market-wide volatility triggered a flash crash as the global crypto market cap dropped by another 2%, reaching $3.39 trillion, according to CoinMarketCap data. Moreover, the total value lost from the digital assets market reached $840 billion over the past 30 days. Consequently, the selloff brought $1.73 billion in liquidations ($1.32 billion belongs to long posi ...

Core Insights - The crypto market operates 24/7, leading to potential risks for traders who may find their positions affected overnight due to global trading dynamics [2][3][4] - A recent event highlighted the volatility of the market, with nearly $20 billion in open interest liquidated in a short period, emphasizing the dangers of overnight exposure [4] - Weekend trading is particularly unpredictable, with Bitcoin and altcoins experiencing exaggerated price movements, often 2-3 times more volatile than during weekdays [8] Market Dynamics - The crypto market's continuous operation means that while U.S. traders rest, Asian traders are active, leading to liquidity peaks and potential price swings [3][4] - Automated trading strategies are recommended to mitigate risks associated with low liquidity and sudden market movements during off-peak hours [4][5] - Some traders exploit the volatility during specific hours, particularly around midnight ET, to capitalize on predictable price dislocations [5] Weekend Volatility - The weekend period is marked by low market participation, which increases volatility, making it a risky time for trading [6][7] - Institutional inflows decrease when traditional markets are closed, contributing to the unpredictable nature of weekend trading [8] - Competing studies suggest that there is no substantial evidence to support the notion that weekend prices are more volatile than those on weekdays, indicating a need for further analysis [9]

Group 1: Mt. Gox Repayment Update - Mt. Gox has extended its repayment deadline to October 31, 2026, due to incomplete procedures affecting creditors [1] - The rehabilitation trustee Nobuaki Kobayashi announced the extension to address unresolved issues impacting numerous creditors [1][2] - Many claimants remain uncompensated because of procedural delays, prompting a court-approved extension to facilitate distributions [2] Group 2: Bitcoin Movements and Market Impact - A significant transaction on March 6 involved the transfer of 11,833.64 BTC worth over $1 billion from Mt. Gox-linked wallets [2] - Approximately 36,080 BTC valued at $3.26 billion is still controlled by exchange-related entities, down from over 850,000 BTC before the 2014 hack [3] - Previous movements included the transfer of about 1,620 BTC in December and over 24,000 BTC earlier, raising speculation about potential creditor distributions or restructuring [4] Group 3: Strive Asset Management's Strategy - Strive Asset Management plans to acquire 75,000 Bitcoin through Mt. Gox bankruptcy claims, valued at approximately $8 billion [5] - The strategy aims to purchase Bitcoin at discounted prices to enhance per-share value and outperform Bitcoin's long-term trajectory [5] - Strive has also announced a $1.34 billion all-stock merger with Semler Scientific, adding nearly 5,816 BTC to its holdings [6]

Core Insights - The October 10 event highlighted the importance of operational resilience in crypto exchanges, with many platforms failing to protect traders during extreme volatility [6][16][25] - Phemex's infrastructure decisions allowed it to maintain normal operations while competitors experienced significant failures [7][20][26] Industry Analysis - Over $19 billion in positions were liquidated on October 10, affecting more than 1.6 million traders, primarily due to over-leveraged positions and platform failures [6][2] - The event exposed the inadequacies of many exchanges, which prioritized marketing and low fees over robust infrastructure [16][25] Company Performance - Phemex maintained 99.9% uptime during the volatility, allowing traders to manage their positions effectively [9][7] - The company invested heavily in infrastructure, including real-time risk controls and redundant systems, to ensure reliability during crises [8][20] Recommendations for Traders - Traders should set partial stop-losses at multiple levels to create layers of protection [12] - Understanding the difference between isolated and cross-margin can help limit risk during extreme market events [13] - Choosing a reliable platform is crucial, as operational performance during volatility is more important than marketing features [14][15] Call to Action for Industry Leaders - The industry must prioritize transparency and accountability, with exchanges publishing uptime statistics and stress test results [17][18] - A shift in focus from trading fees to operational resilience is necessary for the long-term health of the crypto market [16][25] Future Outlook - The next crisis could be worse if exchanges do not improve their infrastructure, but volatility also creates opportunities for recovery [21][24] - Companies that invest in reliable infrastructure will be better positioned to thrive in the evolving crypto landscape [25][26]

Market Overview - The crypto market experienced a modest recovery with a total market capitalization increase of 1.1% over the weekend after a week of downward movement [1] - Increased activity from crypto whales in both derivatives and spot markets indicates strategic repositioning amid recent volatility [1] Whale Activity - A significant surge in whale activity was noted in the derivatives market, with traders alternating between defensive shorts and high-leverage longs on Bitcoin (BTC), Ethereum (ETH), and Ethena (ENA) [2] - One notable whale, who previously shorted BTC, has shifted to a bullish stance, holding approximately $250 million in BTC and ETH [2] Portfolio Movements - The trader's portfolio includes a 15x long position on 1,610.93 BTC valued at $173 million and a 3x long position on 19,894.21 ETH worth $77.4 million, with unrealized losses narrowing from over $10 million to about $3.1 million [3] - Another whale deposited 30 million USDC into Hyperliquid and opened a 10x short position on 700 BTC, valued at approximately $75.5 million [3] Short Positions and Market Sentiment - An investor reported an entry price of $109,133.1 and a liquidation price of $150,082.9, currently holding an unrealized profit of $455,000 after previously earning $160 million from shorting Bitcoin during the October 11 crash [4] - Andrew Kang's wallets opened $68 million in new short positions, including 10,275 ETH at 25x leverage and 269 BTC at 40x, reflecting a bearish sentiment [4] Selective Confidence in Altcoins - Despite a bearish outlook on major cryptocurrencies, Kang has maintained a long position in ENA, indicating selective confidence in certain altcoins, with reported profits of around $5.6 million over the past week [5] - Other traders have shown optimism towards ENA while holding short positions on BTC and ETH, with a whale identified as 0x579f holding mixed positions worth around $70 million [6] Major Purchases - Spot markets saw substantial flows as major crypto players repositioned their portfolios, with BitMine notably adding $1.5 billion worth of ETH to its holdings [7]

Core Insights - The crypto market is experiencing significant volatility, particularly in October, which is traditionally seen as a bullish month, due to renewed US-China trade tensions [1][4] - Bitcoin has seen a decline of over 12% after reaching an all-time high above $126,000, negatively impacting the broader market [1][3] - Recent market rebounds are viewed as temporary and driven by short-covering rather than genuine improvements in trade relations [2][4] Trade Tensions - The Chinese commerce ministry has announced enhanced restrictions on rare earth metal exports, which are crucial for various industries [2] - US President Trump threatened a 100% tariff on Chinese imports, causing turmoil in global markets, including crypto [3] - The current 90-day tariff truce between the US and China is set to conclude soon, with potential new tariffs of 30% on Chinese imports and 10% on US imports into China [5] Market Reactions - Spot Bitcoin exchange-traded funds have experienced outflows exceeding $362 million, while spot Ether ETFs saw outflows of $428 million [3] - Analysts predict that upcoming tariff news will significantly influence market volatility as both countries seek leverage [6]

Core Insights - The surge in Bitcoin, gold, and stock prices is accompanied by short-term volatility and concerns over the growing U.S. deficit [1][2] - The U.S. budget deficit is projected to reach $1.9 trillion by 2025, with current figures showing a deficit of $1.973 trillion, a $76 billion increase from the previous fiscal year [2] Bitcoin Market Dynamics - Bitcoin has experienced a slight decline of about 0.8% recently, trading at $122,000 after reaching an all-time high above $126,000 earlier in the week [3] - The S&P 500, Nasdaq 100, gold, and silver have outperformed Bitcoin during this period [3] - Bitcoin's correlation with other assets has turned positive, suggesting it may catch up to these assets in the coming weeks [4] Volatility Trends - The Bitcoin volatility index has increased from 0.88% to 1.17% since the U.S. government shutdown, indicating a rise in price fluctuations [5][6] - Current volatility levels are comparable to those from a month ago but significantly lower than the spike to 2.87% seen in late March [6] ETF Inflows and Market Support - Bitcoin ETF inflows have matched last week's figures, with $2.7 billion in new funds reported this week [7] - The crypto market is expected to remain volatile but supported, particularly for Bitcoin, as long as ETF flows remain positive and no new macroeconomic shocks occur [7]