Altcoin Watch
SOL demand cools as its total value locked drops by $10 billion and memecoin trading slumps. Traders’ lack of appetite for long leverage could further complicate the situation.
2899
Leverage News
Leverage is an investment strategy that involves using borrowed capital or a combination of different derivative instruments to increase the potential rate of return on investments made in various markets and across many asset classes. Although borrowing funds used by companies to finance assets is also known as leverage, the term is normally used to denote an investment style that depends on appropriating investor funds to short-term positions with the aim of generating exponential profits over a brief timeframe.
Using leverage can expose investors to unlimited risk, especially if the capital is used to sell derivative instruments, such as options and futures, in the event that the price moves opposite to the desired direction. Generally practiced by institutional investors, large banks and hedge funds, there is a growing trend of retail investors using leverage to access expensive trading opportunities in the hope of profiting from an event or a price trend reversal in a particular asset.
In the cryptocurrency space, most centralized exchanges allow leverage trading to enable users to trade larger amounts. Leveraged trading can increase potential gains, but it also carries a high risk, particularly in the volatile cryptocurrency market. For example, the exchange may be forced to sell users’ assets and liquidate holdings if the market goes in the opposite direction of their position.
- News
Crypto investor demand for memecoins remains at lows not seen since 2024, despite a growing speculative appetite that has boosted TradFi leveraged ETFs to a record $239 billion.
1407 - Market Analysis
XRP’s slide below $2 pushed its funding rates to extreme lows, an occurrence that generally incentivizes bulls to pile in. What’s holding traders back this time?
3921 - Market Analysis
A divided Federal Reserve approved a 0.25% rate cut, but concerns over inflation and growth, as well as Glassnode data highlighting BTC’s “fragile range,” may keep it under $100,000.
2829 - Market Analysis
Ethereum’s base layer demand softened in November, but ETH’s underlying price supports and strong layer-2 growth show the network still has momentum despite a drop in fees and TVL.
3572 - Altcoin Watch
SOL struggles to extend its gains as declining activity, falling leverage demand and competition from newly launched spot altcoin ETFs challenge Solana’s price rebound.
3545 - News
The SEC approved a 2x leveraged ETF tied to SUI as regulators warn that excessive leverage continues to amplify volatility across crypto markets.
3205 - Market Analysis
Ether price surged to $3,000 on Tuesday, but lagged behind the US stock market rally as muted demand for ETH derivatives and growth in competing blockchains kept traders skeptical.
3759 - Market Analysis
ETH investor sentiment wavers as onchain activity and bearish derivatives positioning leave whales unconvinced, reducing the odds for a rally to $4,000.
3934 - Market Analysis
Ether traders ramped up leverage as futures dominance surged and key technical levels came into play. Will ETH bulls succeed in catalyzing a rally to $3,400?
1727 - Altcoin Watch
SOL price rallied to $140, but weak derivatives market metrics and stagnant network fees showed limited investor confidence. Is a retest of the $160 possible?
5831 - Market Analysis
ETH price fell to levels not seen since July, but compelling futures data could shed light on a silver lining. Is Ether headed toward $3,200?
7724 - Market Analysis
The weakness in the AI sector contributed to the crypto market downturn, as spot BTC ETF outflows and isolated selling sent Bitcoin price to a six-month low.
8403 - Market Analysis
Bitcoin’s recent weakness mirrors broader economic uncertainty, as unreliable economic data and shifting expectations on US growth and policy cloud investor confidence.
10934 - News
The high-leverage trader said he was “all-in,” betting on a Bitcoin decline below $92,000 despite the optimism surrounding the end of the 40-day US government shutdown.
6733