Despite ongoing macroeconomic uncertainty, Bitcoin whales have ramped up their accumulation, showing renewed faith in the top cryptocurrency’s long-term potential. Data from Glassnode reveals a strong buying trend that could reshape the short-term market narrative.

Whales Accumulate 129,000 BTC in Two Weeks

Between March 11 and March 25, large Bitcoin holders snapped up over 129,000 BTC, valued at around $11.2 billion based on market prices near $87,500. This marks the highest accumulation rate since August 2024, according to Glassnode, highlighting a notable shift in sentiment among deep-pocketed investors.

While retail holders continue to sell, whale wallets holding over 10,000 BTC have aggressively bought the dip, effectively balancing the outflows from smaller market players.

Macroeconomic Shifts Fuel Confidence

Bitcoin’s price recently rebounded from lows below $78,000, buoyed by dovish signals from the U.S. Federal Reserve and fading fears over Trump’s upcoming April 2 tariffs. These developments appear to have boosted market sentiment, encouraging whales to re-enter aggressively.

Despite some technical indicators suggesting caution, whale behaviour often serves as a leading indicator, pointing to potential bullish momentum ahead.

HODL Trend Resurfaces

Further supporting the bullish case, Bitbo Charts‘ “1Y+ HOLD wave” shows a renewed upswing, indicating more investors are shifting towards long-term holding. This trend aligns with the whales’ actions, suggesting that seasoned market participants anticipate further gains in the months ahead.

As confidence returns to the market, all eyes are on whether Bitcoin can sustain its upward trajectory—and whether whale-led accumulation will continue to act as a backbone for the next leg up.

Canaan Inc., a leading crypto mining hardware manufacturer, has released its impressive 2024 financial results, showcasing robust growth in revenue and a significant boost in bitcoin mining activities. The company’s strategic expansion in North America further solidifies its position in the competitive bitcoin mining industry.

Strong Financial Performance in 2024

Canaan recorded a total revenue of $269.3 million in 2024, a 27.4% increase compared to the previous year. Bitcoin mining revenue saw a remarkable 312% surge, reaching $44 million, driven by the company’s expanded mining infrastructure and technological advancements.

The firm mined 1,292.5 BTC, reinforcing its position as a significant bitcoin holder. In Q4 alone, Canaan reported $88.8 million in revenue, an 80.9% year-on-year growth, with bitcoin mining contributing $15.3 million from 186 BTC mined at an average price of $82,174.

Record Computing Power Sales

Canaan set a milestone in computing power sales, achieving a record-breaking 9.1 million TH/s in 2024. Its flagship A15 series mining solutions played a crucial role in this success.

Chairman and CEO Nangeng Zhang stated, “We remain steadfast in delivering high-quality, customised mining solutions and are confident in bitcoin’s long-term potential. Our innovation and operational excellence are key to our leadership in the bitcoin ecosystem.”

Expanding North American Footprint

To bolster its mining capabilities, Canaan announced partnerships with Mawson Hosting LLC and another undisclosed partner, securing new mining facilities in Pennsylvania and Texas. These agreements will add 4.7 EH/s of computing power by Q2 2025, enhancing Canaan’s operational scale in North America.

This expansion aligns with Canaan’s strategy to tap into regions with favourable regulatory environments and abundant energy resources, ensuring competitive operational efficiency.

Cementing Leadership in Bitcoin Mining

Canaan’s robust growth in revenue, record computing power sales, and strategic expansion highlight its determination to dominate the bitcoin mining industry. As it scales operations and strengthens its infrastructure, the company is well-positioned to capitalise on bitcoin’s long-term potential while delivering innovative solutions for the evolving crypto ecosystem.

With its 2024 success, Canaan remains a key player in driving technological advancements and maintaining its edge in the competitive landscape of crypto mining.

Bitcoin recent stability might not last long, as on-chain data suggests a surge in volatility is imminent. According to crypto options platform Derive, BTC’s low volatility phase is nearing an end, setting the stage for major price swings—up or down.

Bitcoin’s Volatility at Record Lows

Since March 12, Bitcoin has been trading between $80K and $85K, following a sharp drop from its $100K all-time high. The decline was driven by Trump’s new tariffs and disappointment over the U.S. strategic BTC reserve’s inactivity.

Key volatility indicators are now near monthly lows:

• Weekly at-the-money (ATM) volatility has dropped to 49%, nearing the 45% low.
• Realized volatility has plummeted from 91% to 54% since the start of March.

However, volatility is mean-reverting, meaning this calm phase could soon give way to rapid price movements.

What Could Trigger Bitcoin’s Next Move?

Several macroeconomic and geopolitical factors could fuel BTC’s next volatility surge, including:

• A ceasefire (or lack of one) in Ukraine.
• Regulatory shifts under Trump’s administration.
• The U.S. Federal Reserve’s rate decision on Wednesday.

If the Fed signals rate cuts, Bitcoin could rally as liquidity expectations shift. However, BlackRock warns that rate cuts may be limited due to persistent inflation.

Bitcoin’s fate is also tied to traditional markets. If equities continue to slide, crypto prices could follow. A worsening economic outlook could accelerate BTC’s decline, reinforcing its recent correlation with risk assets.

Brace for a Market Shake-Up

Derive’s analysis suggests Bitcoin’s volatility will soon spike to February’s 60-70% range. While the direction remains uncertain, traders should prepare for sharp price moves in either direction.

Whether BTC breaks out or tumbles further, the next few weeks could bring high-stakes market action.

The crypto market is in turmoil as Bitcoin price plunges below $80,000, erasing $1 trillion in value within a month. The sell-off comes amid broader economic fears, with traders grappling with inflation concerns, Federal Reserve policies, and uncertainties surrounding the 2024 U.S. presidential election.

Despite previous bullish sentiment, recent market trends indicate a shift toward caution. Investors are now questioning whether Bitcoin’s meteoric rise is sustainable in the face of mounting macroeconomic risks.

BlackRock CEO Sounds Inflation Alarm

Larry Fink, CEO of BlackRock, the world’s largest asset manager, has warned that increasing nationalism—particularly under a potential second Donald Trump presidency—could fuel inflation. Speaking at the CeraWeek conference, Fink cautioned that trade policies under Trump 2.0 may stoke price hikes, reducing hopes for Federal Reserve rate cuts in 2025.

With inflation persisting, the Fed remains hesitant to lower interest rates. Fed Chair Jerome Powell recently reaffirmed a cautious stance, suggesting no immediate rate cuts despite market expectations. This uncertainty has left crypto traders in limbo, as interest rate decisions significantly impact risk assets like Bitcoin.

Recession Fears Weigh on Crypto Markets

Investment banks are raising their recession forecasts, further dampening investor sentiment. Goldman Sachs has increased the odds of a U.S. recession in the next 12 months from 15% to 20%, while Yardeni Research now sees a 35% chance of an economic downturn due to Trump’s aggressive policy agenda.

With economic slowdown fears rising, traditional markets have also suffered declines, contributing to crypto’s sharp downturn. The interconnectedness of global financial markets means Bitcoin and other cryptocurrencies are not immune to these broader macroeconomic shocks.

Crypto Traders Brace for More Volatility

As uncertainty looms, crypto traders are increasingly adopting hedging strategies to protect their portfolios. Sean Dawson, head of research at Derive.xyz, highlighted that traders are turning to downside protection amid heightened volatility across traditional and crypto markets.

Wednesday’s U.S. inflation report will be a key moment, as February’s consumer price index (CPI) data could further shape market expectations. If inflation remains stubbornly high, Bitcoin and the wider crypto market may face even greater pressure in the coming weeks.

The coming weeks will be pivotal for Bitcoin and the entire crypto ecosystem. With inflation fears, recession risks, and uncertainty around U.S. economic policies, traders must navigate a volatile landscape. Whether Bitcoin can regain its momentum or continues its downward trajectory will largely depend on macroeconomic developments and investor sentiment.

Bitcoin tumbled to a low of $80,226, sparking a broad sell-off across the crypto market. Leading altcoins also suffered significant losses, with investor sentiment hitting a multiyear low. The downturn has been fueled by macroeconomic concerns, including the potential imposition of tariffs by former President Trump, which has weighed heavily on risk assets.

Crypto Stocks Suffer Pre-Market Losses

The slump extended beyond digital assets, dragging down crypto-adjacent equities in pre-market trading.

• MicroStrategy (MSTR) and Coinbase (COIN) dropped over 5%.
• Leading bitcoin miners, including MARA Holdings (MARA), Riot Platforms (RIOT), Core Scientific (CORZ), and CleanSpark (CLSK), saw declines of at least 2.5%.
• Coinbase slipped below $205, adding to its woes after failing to secure a spot in the S&P 500.

Investor Sentiment Turns Bearish

The ongoing market weakness has pushed the Crypto Fear and Greed Index to 17, signaling “extreme fear”—its lowest level in years. This suggests that traders remain cautious, with many fearing further downside.

Outlook: Can Bitcoin Rebound?

While some analysts believe this correction is temporary, others warn that further declines could be on the horizon. Bitcoin’s ability to reclaim key support levels will be crucial in determining whether this dip is a buying opportunity or the start of a prolonged downtrend.

The crypto exchange-traded fund (ETF) market had another turbulent week from February 24 to 28, with bitcoin ETFs seeing net outflows of $2.61 billion and ether ETFs losing $335.35 million. This marks the third consecutive week of declining inflows, highlighting investor caution amid broader market uncertainties.

Record $1 Billion Bitcoin ETF Withdrawal

The most significant outflows occurred on February 26, when bitcoin ETFs recorded a single-day withdrawal of $1 billion—the highest in history. This trend pushed the total net assets of bitcoin ETFs below the $100 billion mark, settling at $95.38 billion.

Key contributors to these outflows included:

• BlackRock’s IBIT: $1.17 billion
• Fidelity’s FBTC: $568.65 million
• Grayscale’s GBTC: $188.84 million
• Grayscale’s BTC: $147.93 million
• Valkyrie’s BRRR: $112.84 million
• WisdomTree’s BTCW: $95.10 million

Ether ETFs Also Under Pressure

Ether ETFs followed a similar trajectory, facing a net weekly outflow of $335.35 million. The total net assets of ether ETFs dropped below $9 billion, settling at $8.06 billion.

Some of the biggest losers in the ether ETF market included:

• Fidelity’s FETH: $56.30 million
• BlackRock’s ETHA: $30.16 million
• Bitwise’s ETHW: $20.72 million
• Grayscale’s ETHE: $11.66 million

Ether ETFs have now experienced seven consecutive days of outflows, while bitcoin ETFs saw eight straight days of withdrawals before a slight inflow on February 28.

Market Uncertainty Weighs on Crypto ETFs

Analysts point to several factors contributing to this persistent downturn in crypto ETF inflows:

• Macroeconomic concerns: Ongoing economic uncertainties and new tariffs have dampened investor confidence.
• Security risks: The Bybit hack and other recent crypto thefts have raised concerns about asset safety.
• Regulatory disappointment: Some investors had hoped for pro-crypto policies under President Trump, but expectations have not been met.

What’s Next for Crypto ETFs?

While February was a challenging month for crypto ETFs, market watchers are closely observing March trends to see if inflows return. The upcoming Bitcoin halving event and potential regulatory clarity could shift investor sentiment in the coming weeks.

For now, crypto ETFs remain in a bearish phase, with caution prevailing among institutional and retail investors alike.