Cardano’s ADA lands spot in US Digital Asset Stockpile — Will it generate value?
Cardano’s ADA token has recently been making headlines after being mentioned by President Donald Trump as one of the cryptocurrencies to be included in the US strategic crypto reserve. This news has sparked both surprise and criticism within the crypto community, with many questioning the token’s inclusion in the digital asset stockpile.
Launched in 2017, Cardano is one of the oldest smart contract platforms and differentiates itself through its research-driven design approach and use of a delegated proof-of-stake mechanism. Its native coin, ADA, is used for network fees, staking, and governance, with a maximum supply of 45 billion.
One of the main arguments for ADA’s inclusion in the US Digital Asset Stockpile is its capped supply, which can support the coin’s value. Additionally, Cardano’s decentralized governance and ambitious plans for onchain governance also make it an attractive option.
However, when looking at other metrics such as transaction fees, staking yields, and DApp activity, Cardano lags behind its competitors. In Q4 of 2024, the blockchain processed an average of 71,500 daily transactions, with quarterly fees totaling $1.8 million. This is in stark contrast to Ethereum’s $552 million in fees over the same period.
Furthermore, Cardano’s annualized real staking yield was approximately 0.7% in Q4, compared to Ethereum’s 2.73%. Its DApp activity also remains low, with an average of just 14,300 daily transactions in Q4.
These metrics raise concerns about ADA’s long-term value and its suitability for a government-managed asset pool. However, there is potential for growth and adoption in the future, especially with projects exploring Cardano’s compatibility with Bitcoin.
In the end, the decision to include ADA in the US Digital Asset Stockpile will depend on its ability to attract developers and build mass, sustainable audiences. Only then will it truly justify its place in a government portfolio.
US stablecoin bill likely in ‘next 2 months’ — Trump’s crypto council head
The US government is taking steps to ensure the dominance of the US dollar in the world of digital assets. Bo Hines, the executive director of the President’s Council of Advisers on Digital Assets, recently announced that comprehensive stablecoin legislation is expected to be finalized in the coming months. This move highlights the government’s urgency to maintain the US dollar’s dominance in onchain activity.
Hines made this announcement at the Digital Asset Summit in New York on March 18, where he also mentioned that stablecoin legislation is “imminent” following the Senate Banking Committee’s approval of the GENIUS Act last week. The GENIUS Act, which stands for Guiding and Establishing National Innovation for US Stablecoins, aims to establish collateralization guidelines for stablecoin issuers and ensure compliance with Anti-Money Laundering laws.
The bipartisan support for this bill is a positive sign, as it shows that both sides of the aisle recognize the importance of US dominance in the digital asset space. Hines believes that this legislation could be on the president’s desk within the next two months.
The market may be underestimating the potential impact of this bill on the US economy. Hines believes that it could significantly boost the US dollar’s dominance, improve payment rails, and even alter the course of financial markets. However, some banks are pushing back against this legislation, fearing that it could affect their market share.
The US dollar currently accounts for the majority of the $230 billion worth of stablecoins in circulation, making it the preferred currency for funding cryptocurrency accounts and sending remittances overseas. While some experts predict that this may change in the future as stablecoins become multicurrency, for now, the digital dollar remains the top choice.
US Treasury Secretary Scott Bessent has also emphasized the importance of stablecoins in maintaining the dollar’s status as the global reserve currency. He stated that the government will use stablecoins to achieve this goal, which explains the urgency to push this legislation forward.
In conclusion, the US government’s efforts to establish comprehensive stablecoin legislation highlight their determination to maintain the US dollar’s hegemony in the digital asset space. This move could have a significant impact on the economy and financial markets, and it will be interesting to see how it unfolds in the coming months.
Stablecoin, market structure bills should get done this year — Rep. Khanna
US Representative Ro Khanna, a Democrat from California, said at the Digital Assets Summit on March 18 that Congress “should be able to get” both a stablecoin and crypto market structure bill done this year.Khanna added that there are 70 to 80 Democrats now who understand the importance of stablecoin legislation in increasing American influence around the world by giving more people access to dollars. Rep. Ro Khanna (right) at the Digital Assets Summit, March 18. Source: CointelegraphStablecoins are a growing crypto use case, especially in developing countries where there is limited access to physical dollars. There are currently stablecoin bills making their way through both chambers of Congress, including the GENIUS Act in the Senate.As for a crypto market structure bill, Khanna noted the Financial Innovation and Technology for the 21st Century Act, also known as FIT21, which he worked on with former Representative Patrick McHenry. “I understand that there has to be some tinkering to that,” Khanna said, “but a basic market structure bill should emerge.”Executives in crypto have said that the industry will benefit more from US regulatory clarity surrounding digital assets than even the strategic Bitcoin reserve. At this time of writing, cryptocurrency prices, including for Bitcoin (BTC), have fallen since the signing of US President Donald Trump’s executive order creating the reserve.Related: Banks push to block stablecoin legislation over market share fearsKhanna critical of the president’s memecoinAs enthusiastic as Khanna was about Congress passing stablecoin and crypto market regulation bills this year, he was equally critical about President Trump’s memecoin, Official Trump (TRUMP).“I’ll say this just to challenge folks,” Khanna said. “I’ve been a supporter of blockchain, of crypto technology, but I criticize this idea of the president having a memecoin. I don’t think any elected official should be having a memecoin, and those types of things, in my view, distract from the fundamental technology and making the case.”He added, “We have to recognize that those types of things are not helpful in convincing the American public that there’s an underlying technology that is valuable.”Related: What is TRUMP? Donald Trump’s billion-dollar memecoinPresident Trump’s memecoin and his family’s crypto ventures may raise conflict-of-interest concerns, and California Representative Maxine Waters has said the infamous memecoin potentially opened the door to corruption and may risk national security.California Representative Sam Liccardo has introduced a bill that would make it illegal for US presidents, members of Congress, senior government officials, and their spouses and children to issue or sponsor commodities, securities or cryptocurrencies.Magazine: X Hall of Flame: Memecoins will die and DeFi will rise again — Sasha Ivanov
83% of institutions plan to up crypto allocations in 2025: Coinbase
Institutional investors are increasingly showing a strong interest in cryptocurrency, with a recent report by Coinbase and EY-Parthenon revealing that 83% of them plan to increase their crypto allocations by 2025. This is a significant jump from the current number, as nearly three-quarters of the surveyed firms already hold cryptocurrencies other than Bitcoin (BTC) and Ether (ETH).
The report, based on interviews with over 350 institutional investors in January, also found that a majority of them plan to allocate 5% or more of their portfolios to crypto. This is driven by the belief that cryptocurrencies offer the best opportunity for attractive risk-adjusted returns in the next three years.
Among the altcoins, XRP and Solana (SOL) are the most popular holdings among institutional investors. This is not surprising, as both have seen significant growth and adoption in recent months. In fact, the Chicago Mercantile Exchange (CME) Group, the largest US derivatives exchange, recently launched futures contracts tied to SOL, marking a major step towards institutional adoption of the altcoin.
But it’s not just altcoins that are gaining traction among institutional investors. Stablecoins, which are pegged to a stable asset like the US dollar, are also seeing a rise in adoption. The report found that 84% of respondents either hold stablecoins or are exploring the possibility of doing so. This is because stablecoins offer a variety of use cases beyond just facilitating crypto transactions, including generating yield, foreign exchange, internal cash management, and external payments.
In addition, the report also highlighted the growing interest in decentralized finance (DeFi) among institutional investors. While only 24% of them currently use DeFi platforms, this number is expected to rise to 75% in the next two years. This is due to the various use cases that DeFi offers, such as derivatives, staking, lending, and access to altcoins.
Overall, the report paints a positive picture for the future of cryptocurrency, with institutional investors increasingly recognizing its potential for attractive returns. With the potential approval of altcoin ETFs by US regulators and the continued growth of stablecoins and DeFi, the crypto market is poised for even more institutional adoption and mainstream acceptance.
Bitcoin price volatility ramps up around FOMC days — Will this time be different?
At the start of the week, Bitcoin (BTC) price succumbed to pressure from sellers, declining from $84,500 on March 17, to $81,300 at the time of writing. This downward movement was most likely a sell-off related to the Federal Open Market Committee’s (FOMC) two-day meeting, which takes place on March 18-19.Federal Open Market Committee (FOMC) meetings tend to act as market resets. Each time the FOMC meets to deliberate on US monetary policy, crypto markets brace for impact. Historically, traders de-risk and reduce leverage ahead of the announcement, and after the meeting and press conference from Federal Reserve Chair Jerome Powell the markets can be equally reactive.The press release of the current FOMC meeting scheduled for Wednesday, March 19, at 2:30 pm ET, and it could trigger major movements in the Bitcoin market. Analyzing market behavior leading to its release could offer clues about Bitcoin’s next move. To traders, FOMC means volatilityTraders are closely monitoring the FOMC minutes for any shifts in the Fed’s stance on inflation and interest rates. After the FOMC announcement, Bitcoin price tends to react sharply. Since the beginning of 2024, BTC prices mostly declined after the FOMC decided to maintain rates, as can be seen on the chart below. The notable exception was the pre-halving rally of February 2024, which also coincided with the launch of the first spot BTC ETFs. When US interest rates were cut on September, 18, 2024 and November 7, 2024, Bitcoin rallied. However, the third cut on December 18, 2024, did not yield the same result. The modest decrease by 25 basis points to the 4.50%–4.75% range marked the local Bitcoin price top at $108,000.BTC/USD 1-day chart with FOMC dates. Souce: Marie Poteriaieva, TradingViewMarkets deleverage before FOMC, except this timeA key indicator that provides insight into market sentiment is Bitcoin open interest—the total number of derivative contracts, mostly $1 perpetual futures, that have not been settled. Historically, Bitcoin open interest falls before FOMC meetings, showing that traders are reducing leverage and risk exposure, as per the graph based on CoinGlass data.Bitcoin futures open interest and FOMC dates. Source: Marie Poteriaieva, CoinGlassHowever, this month another pattern has emerged. Despite Bitcoin’s $12 billion open interest shakeout earlier this month, in the days preceding the FOMC there was no noticeable decrease in Bitcoin’s open interest. BTC price, however, declined, which is unusual and could indicate a strong directional bet.This could also be a sign that traders feel less anxiety about the Fed’s decision, possibly expecting a neutral outcome. Supporting this view, CME Group’s FedWatch tool indicates a 99% probability that the Fed will maintain rates at 4.25%–4.50%.If the rates remain unchanged, it is possible that Bitcoin price will continue its current downtrend. This may be exactly what the HyperLiquid whale was hoping for when it opened a 40x leveraged short position worth over $500 million at its peak. However, this position is now closed.Related: Bitcoin stalls under $85K— Key BTC price levels to watch ahead of FOMCHow are the spot Bitcoin ETFs reacting?Unlike Bitcoin whales, investors in the spot Bitcoin ETFs have historically offloaded BTC holdings before FOMC meetings. Since the spot BTC ETFs launched in January 2024, most FOMC events have coincided with ETF outflows or, at best, modest inflows, according to CoinGlass data. The notable exception was the previous all-time high of January 2025, when even the spot Bitcoin ETF investors couldn’t resist the urge to buy.Bitcoin spot ETF net inflows and FOMC dates. Source: Marie Poteriaieva, CoinGlassOn March 17, the spot Bitcoin ETFs saw $275 million in net inflows, marking a shift from a month of outflows. This may signal a shift in investor sentiment and expectations regarding the Fed’s policy decisions.If spot ETF inflows are rising before the FOMC, investors might be anticipating a more dovish stance from the Fed, such as signaling future rate cuts or maintaining liquidity-friendly policies.Investors could also be loading up on Bitcoin as a hedge against uncertainty. This suggests that some institutional investors believe Bitcoin will perform well regardless of the Fed’s decision.Investors could also be anticipating a possible short squeeze. If traders were expecting Bitcoin to drop and positioned short, a sudden increase in ETF inflows could play a role in traders’ behaviors and trigger a short squeeze.Following the FOMC, BTC’s price action, along with onchain data and spot ETF flows will show whether the recent activity was part of a long-term accumulation trend or just speculative positioning. However, one thing that many traders agree on now is that BTC could experience a significant price movement after the FOMC announcement. As crypto trader Master of Crypto put it in a recent X post: “The FOMC is tomorrow, and a Big Move is expected.” Even without rate cuts, the chance of the Fed issuing dovish statements could lift markets, while the absence of them could drive prices lower.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Ethereum price in ‘cursed’ downtrend which could continue well into 2025 — Analyst
Ethereum’s native token, Ether (ETH), has ventured into oversold territory multiple times against Bitcoin (BTC) in recent months, but the altcoin has yet to show any signs of finding a price bottom. The trading situation is actually quite similar to a previous scenario, and ETH’s market structure suggests that it could repeat itself in Q2 to Q3 of this year.Ether’s repeat breakdowns point to more downsideThe relative strength index (RSI) on ETH’s 3-day timeframe remains below 30, a level that typically signals a potential bounce. However, historical patterns show that previous dips into oversold conditions have failed to mark a definitive bottom. Each instance has been followed by another leg lower, reflecting persistent bearish momentum.ETH/BTC three-day price chart. Source: TradingViewSince mid-2024, the ETH/BTC pair has undergone repeat breakdowns, with losses of around 13%, 21%, 25%, and 19.5% occurring in rapid succession. Moreover, the 50-day and 200-day EMAs are trending lower, confirming the lack of bullish strength.X-based market analyst @CarpeNoctom highlighted ETH’s negative price performance, noting that the ETH/BTC pair has failed to confirm a bullish divergence—when the price makes lower lows but the RSI makes higher lows—on its weekly chart.ETH/BTC weekly price chart. Source: TradingView/CryptoNoctomETH ETF outflows and onchain data hint at further weaknessThe “cursed” ETH/BTC downtrend stands out when compared to the broader crypto market. This includes persistent outflows witnessed across the US-based spot ETH ETFs, as well as negative onchain data.The net flows into the spot Ether ETFs have dropped 9.8% in March to $2.54 billion. In comparison, the spot Bitcoin ETF net flows are down 2.35% in the same period to $35.74 billion.Source: Ted PillowsMeanwhile, Ethereum’s gas fees—measured by daily median gas consumption on mainnet—were sitting around 1.12 GWEI as of March, down by nearly 50 times what they were just a year ago.Ethereum median gas fees vs. ETH price (in dollar terms). Source: Nansen“Despite the second rally of ETH price into 2024 year end, activity on mainnet as measured by gas consumption never fully recovered,” data analytics platform Nansen wrote in its latest report, adding: “This is downstream of a few things but much of the activity has shifted to Solana and L2s over 2024.”Nansen argued that they remain cautiously bearish on ETH due to its unfavorable risk/reward ratio compared to BTC and lower-valued altcoins with niche market focus.A lack of demand for ETH relative to Bitcoin is further visible in its future volume data. Notably, Bitcoin futures volume has rebounded 32% from its Feb. 23 lows, reaching $57 billion on March 18. In comparison, ETH’s trading activity remains mostly flat, according to onchain data platform Glassnode. Bitcoin, Ethereum, and Solana futures volume. Source: GlassnodeThe ETH/BTC pair could drop another 15%ETH/BTC pair is forming a bear pennant pattern on the daily chart, characterized by a period of consolidation within converging trendlines forming after a steep decline.Related: Standard Chartered drops 2025 ETH price estimate by 60% to $4KA bear pennant technically resolves when the price drops below the lower trendline and falls by as much as the previous downtrend’s height. Applying the same rule on ETH/BTC brings its downside target for April to 0.01968 BTC, down 15% from the current levels.ETH/BTC daily price chart. Source: TradingViewFurthermore, the 50-day and 200-day EMAs remain in a sharp downward trajectory, with the ETH/BTC pair trading far below these key levels, signaling a persistent bear market structure.Despite the looming downside risk, a bullish invalidation could occur if ETH/BTC breaks above the pennant’s upper resistance and flips the 50-day EMA into support.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Binance CEO reiterates denial of Trump family deal talks
Binance CEO Richard Teng has once again denied rumors that Binance.US, the US-based arm of the world’s largest cryptocurrency exchange, is in talks with entities affiliated with US President Donald Trump. Teng made this statement during a panel at Blockworks’ 2025 Digital Asset Summit in New York on March 18.
This denial echoes the previous statements made by Binance founder Changpeng “CZ” Zhao and Trump himself, both of whom refuted the story last week. The Wall Street Journal had reported that Binance.US was discussing selling an equity interest to Trump-affiliated businesses, including a potential deal with World Liberty Financial, the Trump family’s decentralized finance (DeFi) project.
During the summit, Teng reiterated that both World Liberty Financial and CZ had already denied the rumors on Twitter. He also clarified that Binance.US is legally and operationally separate from its larger parent company.
Teng also praised Trump for his pro-crypto policies, stating that Binance has benefited from the president’s stance on the industry, despite not directly operating in the US. He noted that 2020 was a landmark year for institutional adoption of cryptocurrencies, and with Trump’s support, it will only continue to grow.
However, the potential deal with Trump’s family has raised concerns about conflicts of interest. The Wall Street Journal report mentioned that CZ, who previously served four months in prison in the US, has been pushing for a pardon from the Trump administration. It is unclear what form the Trump family’s stake in Binance would take, or if it would be contingent on a pardon.
Trump’s involvement in the cryptocurrency industry has also raised questions about potential conflicts of interest and insider trading. His launch of a memecoin and ties to World Liberty Financial have been seen as a departure from the norms for US presidents.
In response to the report, CZ and Trump both denied any involvement in a potential deal. Trump also criticized the Wall Street Journal, stating that they are “owned by the polluted thinking of the European Union.”
As the cryptocurrency industry continues to gain mainstream attention and adoption, it is important for all players to maintain transparency and avoid any potential conflicts of interest.
Solana CME futures volumes reach $12.1M: Was the launch a dud, or is more to come?
Solana futures (SOL) on the Chicago Mercantile Exchange (CME) went live on March 17, with a trading volume of $12.1 million on day 1, which fell short compared to Bitcoin (BTC) and Ethereum’s (ETH) CME futures debut. CME Crypto futures comparison by Vetle Lunde. Source: X.comVetle Lunde, Head of Research at K33Research, compared the difference between Bitcoin (BTC), Ether (ETH) and Solana (SOL) CME futures trading performances on their launch day, and it is clear that SOL’s CME futures volume and open interest came in far below its competitors. However, Lunde pointed out that if normalized volumes to the market cap are evaluated, SOL’s launch “aligns closer to the two.”Was the SOL CME futures launch a dud?Throughout the current bull market, spot ETF approvals and CME futures contract launches have consistently boosted investor sentiment and put wind behind the sails of various cryptocurrencies. Comparing the normalized volumes adjusted for the market cap differences of BTC, ETH and SOL on their first CME futures trading day provides a fairer comparative analysis.Normalized volume measures trading activity relative to a crypto asset’s market cap, offering a transparent evaluation across different cryptocurrencies. This metric is valuable since it allows an understanding of institutional engagement with respect to a crypto asset’s market cap. Normalized volume comparison. Source: CointelegraphAs shown above, Bitcoin has the highest normalized volume with 0.0319%, while ETH and SOL fell behind with 0.0173% and 0.0166%, respectively. A greater normalized volume suggests higher investor interest per unit or market cap for Bitcoin. Additionally, the similarity between ETH’s and SOL’s normalized volumes (roughly 0.017%) indicates that Solana’s trading activity scale is similar to Ether’s despite the trading volume differences of more than $20 million on day 1 between ETH and SOL’s CME futures. Related: Solana deletes ‘cringe’ ad criticized for being ‘tone deaf’ on gender issuesWill SOL CME futures follow ETH or BTC’s performance?Following the debut of Bitcoin CME futures on Dec. 18, 2017, BTC declined by 26%, dropping from $19,000 to $14,000 by Dec. 31, 2017. The correction continued into 2018, marking the beginning of a collective crypto bear market. Bitcoin, Ethereum and Solana CME launch, price reaction. Source: Cointelegraph/TradingViewEther price registered a rally of 150% to a new all-time high at $4,384, 93 days after the CME futures launch on Feb. 8, 2021. Following a new all-time high, a sharp correction occurred, but the altcoin rallied again toward the end of 2021 to attain its current all-time high at $4,867 in November 2021. Considering the price trends of Bitcoin and ETH, SOL’s price may experience a less enthusiastic rally. The absence of upward price movement after its CME futures launch suggests a lack of investor excitement.However, from a long-term perspective, SOL’s presence in the CME increases the opportunities for Solana’s liquidity and price discovery as it attracts institutional engagement. A wider impact could potentially unfold over time as better market conditions and favorable bullish price and protocol revenue projections draw traders’ interest. Related: Bitcoin stalls under $85K— Key BTC price levels to watch ahead of FOMCThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.