The cryptocurrency market crash intensified as gold’s market capitalization soared to $30 trillion, surpassing that of Bitcoin (BTC) and the “Magnificent 7,” the grouping of the world’s largest tech companies. In fact, gold’s market cap is 1.5 times the combined market cap of the Magnificent 7. The decline is largely due to renewed uncertainty following President Donald Trump’s comments about the tariffs on Chinese goods.
The crypto market cap is down almost 6% as of writing, and could fall further with bears in the driving seat. The threat of renewed trade tensions put investors on the back foot and pushed capital into safe assets like gold. Analysts are debating whether the correction is an opportunity or whether prices could sink lower.
BTC’s selloff has accelerated over the past few hours, with the price dropping below $105,000. The flagship cryptocurrency traded above $110,000 on Thursday, but selling pressure intensified during the ongoing session. As a result, BTC fell to $108,000 before plunging below the crucial $105,000 level. BTC is down almost 6% during the current session, trading around $104,650. Meanwhile, Ethereum (ETH) has registered an even bigger decline over the past 24 hours. The altcoin lost the $4,000 level late on Thursday and has fallen to $3,736 during the ongoing session, down over 7%. Ripple (XRP) is down over 8%, while Solana (SOL) is down nearly 9%, trading around $177.
Dogecoin (DOGE) is down almost 10%, while Cardano (ADA) is down over 10% at $0.605. Chainlink (LINK) is down nearly 12% and Stellar (XLM) is down 9%, while Hedera (HBAR) is down 11%. Litecoin (LTC), Toncoin (TON), and Polkadot (DOT) have also registered heavy losses over the past 24 hours.
Gold Market Cap Surges To $30 Trillion
Gold’s market capitalization reached a staggering $30 trillion on Thursday as its value surged to a new all-time high of $4,357 per ounce. Gold’s market cap is now 14.5 times larger than Bitcoin’s (BTC) market cap, and 1.5 times larger than the combined market capitalization of the “Magnificent 7” tech companies (Nvidia, Microsoft, Apple, Alphabet, Amazon, Meta, and Tesla). Unlike a company’s market cap, gold’s market capitalization is calculated by the value of all the gold that has ever been mined. However, it is impossible to know the exact figure.
The price of gold has soared this year, rising 64% since January 1 as traders flock to the asset amid geopolitical tensions, tariff uncertainty, and dollar debasement. Analysts believe capital will eventually find its way to BTC once gold’s rally cools. Crypto analyst Sykodelic stated,
“Gold added over $300 billion to its market cap today. It’s been adding an entire Bitcoin market cap in one week. I don’t understand how most cannot see that as soon as gold stalls, BTC is going to rip.”
Coinbase Announces Investment In Indian Cryptocurrency Exchange
Coinbase Ventures, the investment arm of cryptocurrency exchange Coinbase, has invested an undisclosed amount in CoinDCX, an Indian cryptocurrency exchange. According to an announcement made on Wednesday, the investment valued the exchange at $2.45 billion, allowing Coinbase to expand its operations into India and the Middle East. CoinDCX claims to serve 20 million users in India and the UAE following its acquisition of BitOasis. Coinbase stated in its announcement that CoinDCX’s annual revenue was $141 million, while its yearly transaction volumes were around $165 billion. Assets held by the exchange were valued at $1.2 billion.
Coinbase believes India and the Middle East are key markets and will play a crucial role in the future of crypto. India alone has around $115 million crypto users. The investment comes even as Indian regulators take a hard stance against crypto. India’s Commerce Minister Piyush Goyal expressed skepticism about cryptocurrencies as recently as earlier this month, adding that nothing guaranteed the value of such assets.
New Crypto ETFs Filed This Week
The crypto ecosystem has seen considerable activity this week, with five new ETF applications filed with the Securities and Exchange Commission despite the ongoing government shutdown. The most recent application was from VanEck, which filed an S-1 form with the SEC for the VanEck Lido Staked Ethereum ETF, which will track the performance of stETH, Lido’s liquid staking token. 21Shares also filed for a leveraged crypto ETF with 2x exposure to Hyperliquid’s native token, HYPE. However, the leverage applies only to the single-day performance of the token.
President Trump Hosts Fundraiser For White House Ballroom
US President Donald Trump hosted a dinner for companies that have pledged funds to build a new ballroom in the White House. Attendees reportedly included Gemini co-founders Tyler and Cameron Winklevoss, and executives from Coinbase and Ripple. The dinner was to raise funds for the White House ballroom proposed by Trump in July, expected to cost $250 million. The new ballroom is expected to add 90,000 square feet — 8,361 square meters- to the White House.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) fell to its lowest level since June as selling pressure continued to dominate the market. The flagship cryptocurrency has traded in the red nearly all week and fell below $110,000 on Thursday, settling at $108,198. Selling pressure intensified during the ongoing session as BTC fell to an intraday low of $103,516 before recovering and moving to its current level, down nearly 2% at $106,077.
Cryptocurrency markets faced further stress as regional bank stress spilled over into crypto, echoing a similar pattern that unfolded in 2023. The cryptocurrency market has reacted adversely to concerns over US regional banking stocks, which began falling in March 2023. At the time, BTC and other altcoins registered a sharp flash crash before markets rebounded. Trading resource, the Kobeissi Letter, explained in a post on X,
“Confused about what’s happening with regional bank stocks? Here’s the real issue: In March 2023, regional bank stocks collapsed, the crisis was ‘contained,’ but nothing really changed. Banks that took outsized risk were either ‘backstopped’ by the US government or acquired by JPMorgan. As a result, this further incentivized taking on outsized risk, particularly as deposits over the $250,000 FDIC limit are now inherently ‘insured.’”
The post went on to explain why markets were crashing, stating,
“Today, shares of Zions Bancorp crashed -13% after it disclosed a $50 million charge-off for a loan underwritten by its subsidiary. And, Western Alliance Bank stock fell -12% after it said it’s dealing with a borrower that failed to provide collateral loans in the first position.”
Some traders and analysts warned of a potential drop below the key $100,000 level, with prices potentially falling to $98,000 if this support was breached. Meanwhile, others saw an attempt to fill a daily candle wick from last week that took prices down to $102,000 on Binance. BTC failed to stay above key levels in its latest downturn, with analysts warning there is almost no support until the $101,000 level. Crypto investor Ted Pillows stated,
“BTC has lost the $108,000 support level. Now there’s little to no support until $101,000-$102,000. If Bitcoin manages to reclaim the $110,000 level from here, we could see a bounce back. Otherwise, expect more pain before relief.”
BTC traded in bullish territory last week, and began the previous week with a 1.41% increase to $122,318. The price registered a marginal rise on Saturday before reaching an intraday high of $125,750 on Sunday. BTC ultimately ended the weekend at $123,520, up 0.87%. Buyers retained control on Monday as the price rose 0.97% and settled at $124,720, but not before reaching an intraday high of $126.296. BTC lost momentum on Tuesday, falling almost 3% to $121,393. The price recovered on Wednesday, rising nearly 2% and settling at $123,343. Selling pressure returned on Thursday as BTC fell 1.32% to a low of $119,713 before settling at $121,714.
Source: TradingView
BTC and the crypto market crashed on Friday after President Trump announced 100% tariffs on Chinese goods and new export controls for software. The announcement was made in retaliation for China’s imposition of restrictions on rare earth mineral exports. As a result, BTC plunged to $102,000 on Binance before recovering and settling at $112,980. Selling pressure persisted on Saturday as the price fell almost 2% to $110,768. Despite the overwhelming selling pressure, markets recovered on Sunday. As a result, BTC rose nearly 4% to reclaim $115,000 and settle at $115,067. The price faced selling pressure and volatility on Monday, ultimately registering a marginal increase and settling at $115,274. Selling pressure returned on Tuesday as BTC fell to an intraday low of $109,945. It recovered from this level to reclaim $113,000 and settle at $113,068, ultimately dropping 1.91%. Sellers retained control on Wednesday as the price fell 2% to $110,804. Bearish sentiment persisted on Thursday as BTC fell below $110,000 and settled at $108,198. The price is down over 2% during the ongoing session, trading around $105,73.
Ethereum (ETH) Price Analysis
Ethereum (ETH) slumped below $4,000 on Thursday and fell to an intraday low of $3,678 during the ongoing session before moving to its current level. Markets are jittery amid concerns about regional banking stress in the US. Investor sentiment has been spooked further because nearly $6 billion in Bitcoin and Ethereum options expire today, with traders preparing themselves for further downside. Large-scale options expiries often impact short-term sentiment and heighten investor stress. ETH is currently trading around $3,790, significantly lower than the max pain level of $4,100.
Markets are also uneasy about the Selini Capital crisis, which reportedly saw the fund lose $50 million through a failed basis trade unwind. The incident has weighed heavily on markets, with analysts pointing out the need for Selini to stabilize before a meaningful recovery can happen. Political uncertainty is also adding to the bearish sentiment, with traders frustrated with the Trump administration’s erratic statements on tariffs and sanctions. As a result, investor appetite has fallen.
Comments by Canadian businessman Kevin O’Leary did nothing to ease sentiment. O’Leary recently issued a warning about ETH, claiming the world’s second-largest cryptocurrency often cracks under pressure.
“For over a decade, we’ve talked about going on-chain, and now with real-world adoption finally happening, the cracks are showing.”
O’Leary claimed that the blockchain network got congested, resulting in fees of over $1,000. The Shark Tank host quipped,
“That’s like paying a thousand-dollar toll to drive on a one-lane highway.”
However, Ethereum developers hit back, countering that the actual costs were $22 for a simple swap for an hour. While high, the figures were nowhere close to what O’Leary claimed. Meanwhile, others noted that Ethereum is actually not supposed to handle retail traffic. Influential Ethereum community member Adriano Faria stated,
“O’Leary’s take is like saying airplane wheels are too small. True, but completely missing the point… It is the final settlement layer for the on-chain economy, focused on security, neutrality, and auditability.”
ETH started the previous weekend in positive territory, registering a marginal increase on Friday. However, it fell 0.55% on Saturday and settled at $4,487. Positive sentiment returned on Sunday as the price rose 0.62% to reclaim $4,500 and settle at $4,515. Buyers retained control on Monday as ETH rose almost 4% to cross $4,600 and settle at $4,685. Despite the positive sentiment, the price fell by over 5% on Tuesday, settling at $4,451. ETH recovered on Wednesday, rising 1.68%, but was back in the red on Thursday, dropping 3.47% and settling at $4,369. ETH plunged to an intraday low of $3,444 on Friday after President Trump announced 100% tariffs on Chinese imports and export controls on key software. It recovered from this level to settle at $3,836, ultimately dropping over 12%.
Source: TradingView
Selling pressure persisted on Saturday as the fell 2.21% to $3,752. ETH recovered on Sunday, rising nearly 11% to reclaim $4,000 and settle at $4,158. Buyers retained control on Monday as the price rose over 2% and settled at $4,224. ETH plunged to an intraday low of $3,895 on Tuesday as selling pressure intensified. However, it recovered from this level to reclaim $4,000 and settle at $4,129, ultimately dropping $4,129. Sellers retained control on Wednesday as the price fell over 3%, slipping below $4,000 to $3,988. ETH lost momentum on Thursday despite starting the day in positive territory, falling over 2% to $3,896. The altcoin fell to an intraday low of $3,678 during the ongoing session before moving to $3,800, down 2.50%.
Solana (SOL) Price Analysis
Solana (SOL) slumped to an intraday low of $174 during the ongoing session as the cryptocurrency market registered a sharp drop. The altcoin has traded in the red all week, losing the $200 level on Wednesday and falling nearly 5% on Thursday. SOL is down over 2% during the current session, trading around $180.
Optimism around SOL has vanished, with the altcoin trading around $181, down nearly 9% over the past 24 hours and 19% on the weekly timeframe. The altcoin was trading around $220 a little over a week ago, but has seen selling pressure return. SOL began its latest decline after reclaiming $210 on Monday. However, the price fell after reaching this level thanks to growing pressure from sellers.
SOL’s retreat is part of a broader market downturn, mirroring losses seen across major cryptocurrencies, including BTC and ETH. The latest downturn draws parallels from last Friday’s selloff, which wiped out 20% from Solana’s market cap. SOL’s technical indicators point to further downside, with the RSI nearing oversold territory. The MACD also reveals that bears are in control.
SOL started the previous weekend in the red, dropping nearly 1% on Friday and over 2% on Saturday to settle at $227. The price recovered on Sunday, reaching an intraday high of $237 before settling at $238. Buyers retained control on Monday, rising almost 2% and settling at $232. Despite the positive sentiment, SOL returned to bearish territory on Tuesday, dropping over 5% to $220. Despite the overwhelming selling pressure, the price recovered on Wednesday, rising over 4% to $229. Selling pressure returned on Thursday as SOL fell 3.52% to $221.
Source: TradingView
Selling pressure intensified on Friday as markets tanked. As a result, SOL plunged to an intraday low of $170 before settling at $188, ultimately dropping over 14%. Sellers retained control on Saturday as the price fell almost 6% to $177. SOL made a strong recovery on Sunday, rising nearly 11% and settling at $197. The price continued pushing higher on Monday, rising almost 6% to reclaim $200 and settle at $208. Despite the positive sentiment, SOL lost momentum on Tuesday, falling to an intraday low of $191 before recovering to reclaim $200 and settle at $202. Selling pressure persisted on Wednesday as SOL fell over 4%, slipping below $200 and settling at $192. Price action remained bearish on Thursday as the altcoin fell nearly 5% to $184. SOL dropped to an intraday low of $174 during the ongoing session but has reclaimed $180 and is trading around $181.
Ripple (XRP) Price Analysis
Ripple (XRP) has struggled in recent sessions, with the world’s fifth-largest cryptocurrency unable to decisively claim the $3 level since the beginning of August. Last Friday’s market meltdown saw XRP shed over 15%. While it recovered and reached $2.60 by Monday, bearish sentiment returned, and the price fell to a low of $2.18 during the ongoing session.
While XRP may be struggling, a lot is happening at Ripple. The firm is reshaping itself into a global financial infrastructure provider and has secured several key partnerships this year. It is also pursuing a US banking license, sparking optimism among traders and institutional investors. Ripple has steadily built an international footprint by leveraging key partnerships.
Ripple recently announced a partnership with a leading South African bank. The partnership gives Ripple access to the country’s growing fintech landscape, allowing the bank to integrate Ripple’s custody and settlement solutions and helping clients manage their tokenized assets while complying with local regulations. One analyst noted,
“Ripple isn’t just chasing partnerships, it’s building the rails for tomorrow. The focus on regulated custody solutions shows maturity and long-term thinking.”
XRP registered a sharp drop on Friday along with the rest of the market, plunging to an intraday low of $1.77. However, it recovered from this level to reclaim $2 and settle at $2.37, ultimately dropping 15.29%. The price faced volatility on Saturday as buyers and sellers struggled to establish control. Buyers ultimately gained the upper hand as XRP registered a marginal increase. Bullish sentiment intensified on Sunday as the price rallied, rising over 6% to $2.53. The price continued pushing higher on Monday, rising 3.03% and settling at $2.60.
Source: TradingView
Despite the positive sentiment, XRP lost momentum on Tuesday, falling nearly 4% to a low of $2.38 before settling at $2.50. Selling pressure persisted on Wednesday as the price fell 3.69% to $2.41. XRP faced volatility on Thursday as buyers and sellers struggled to establish control. Sellers ultimately gained the upper hand as the price fell 3.49% to $2.32. XRP is down 1.60% during the ongoing session, trading around $2.29.
Injective (INJ) Price Analysis
Injective (INJ) crashed to an intraday low of $2.795 on Friday. However, it rebounded from this level to settle at $8.604, ultimately dropping 29%. Sellers remained in control on Saturday as the price fell 1.45% to $8.479. INJ recovered on Sunday, rising nearly 13% and settling at $9.571. Buyers retained control on Monday as the price rose 3.68% to $9.921.
Source: TradingView
Despite the positive sentiment, INJ was back in the red on Tuesday, dropping almost 4% to $9.561. The price continued dropping on Wednesday, falling over 5% and settling at $9.059. Sellers retained control on Thursday as INJ fell 4.91% to $8.614. INJ is down over 5% during the ongoing session, trading around $8.155.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.