Bitcoin and the broader crypto market faced sharp corrections as total market capitalization plunged by over 10% in the last 24 hours. Meanwhile, venture capital investors continue to pour funds into DePIN projects, Web3 gaming, and layer-1 RWAs.
Quick Take
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The global crypto market cap dropped 10.28% to $2.76T, with total 24-hour trading volume at $184.38B.
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Bitcoin dominance rose by 0.69% to 60.41% as BTC slid below $84K.
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Major venture capital rounds focused on DePIN, Web3 gaming, and RWA tokenization, with Alchemy, Mavryk, Rho Labs, and ACID Labs securing funding.
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The SEC dropped its lawsuit against Kraken, marking another regulatory shift in the U.S.
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Trump’s crypto reserve plans sent ADA futures soaring, with $26M in open positions on Bitrue.
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XRP retraced most of its recent gains amid a record wave of whale sell-offs.
The crypto market saw a major downturn, with Bitcoin dropping below $84,000. The total market cap fell 10.28% to $2.76T, while total trading volume declined slightly to $184.38B. DeFi volumes stood at $10.27B (5.57% of the total), while stablecoins dominated trading with $171.43B (92.98% of total volume).
Bitcoin’s dominance climbed to 60.41%, signaling investor rotation away from altcoins as uncertainty looms over major regulatory and macroeconomic developments.
Venture Capitalists Bet Big on DePIN, Web3 Gaming, and RWAs
Despite the downturn, venture capital activity remains strong. Alchemy announced a $5M Web3 adoption fund, while Mavryk Dynamics raised $5M to advance layer-1 RWA tokenization. Rho Labs secured $4M for its decentralized rates exchange, and ACID Labs raised $8M from a16z Speedrun for Web3 gaming.
Highlights From Recent VC Rounds in Web3
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Alchemy: Launched a $5M "Everyone Onchain Fund" for Ethereum developers.
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Mavryk Dynamics: Secured $5M to tokenize RWAs, boasting $360M already locked in.
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Rho Labs: Raised $4M to develop a decentralized derivatives market.
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Teneo Protocol: Closed a $3M seed round to democratize social media data.
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Fluent Labs: Secured $8M for Ethereum layer-2 scaling solutions.
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The Game Company: Raised $10M to build cloud gaming infrastructure for blockchain gaming.
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ACID Labs: Received $8M from a16z to scale its Web3 social gaming projects.
SEC Drops Kraken Lawsuit, Signaling Regulatory Shift
The U.S. SEC dismissed its lawsuit against Kraken, a move seen as a step toward regulatory clarity. The case was dismissed with prejudice, meaning no penalties or admissions of wrongdoing were made by the exchange. This follows a series of dropped lawsuits against Coinbase, Gemini, and Uniswap, indicating a changing stance on crypto enforcement in the U.S.
Read more: Uniswap’s Fiat Off-Ramp Now Live in 180+ Countries with $4.2B TVL Amid Regulatory Win
Bitcoin’s Trump Rally Mirrors 2019 ‘Xi Pump’—Will It Hold?
Bitcoin price and open interest over the past seven days | Source: CryptoQuant
Bitcoin’s recent rally following Trump’s crypto reserve announcement has drawn comparisons to the infamous 2019 "Xi pump," where China’s blockchain endorsement triggered a rapid but short-lived BTC surge.
Despite market turbulence, institutional Bitcoin accumulation continues. Japanese investment firm Metaplanet announced a fresh Bitcoin purchase, acquiring 250 BTC worth approximately $21 million at an average price of $84,000 per BTC. This marks Metaplanet's third BTC purchase in 2025, reinforcing its strategy of holding Bitcoin as a treasury asset amid growing institutional adoption.
Bitcoin’s current price action | Source: CryptoQuant
Analysts warn that Bitcoin’s price action remains in a distribution phase, with key support at $91,000 and resistance at $95,000. A failure to reclaim these levels could trigger new lows. However, Metaplanet’s move highlights continued corporate confidence in Bitcoin’s long-term value, potentially providing support to BTC’s price action.
Key Indicators
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BTC closed at $94,222 but struggled to maintain momentum.
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Short-term holder profitability is breakeven, increasing downside risks.
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Metaplanet acquired 250 BTC, signaling growing institutional confidence.
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Market sentiment remains fragile despite Trump’s pro-crypto stance.
Read more: Trump’s Crypto Reserve Plans Sends Bitcoin to $95K, Altcoins Surge, and BTC Dominance Dips Under 60%
ADA Futures Surge 92% Following Trump’s Crypto Reserve Announcement
ADA futures open interest | Source: CoinGlass
Cardano (ADA) futures saw a surge in long positions after Donald Trump announced plans to include ADA in a U.S. strategic crypto reserve alongside BTC, ETH, XRP, and SOL. Open interest in ADA futures on Bitrue soared to $26M, up from a daily average of $15M.
Market analysts believe this could be a speculative play, with long-term sustainability of the rally uncertain. ADA remains below its previous all-time highs, and its ecosystem has yet to deliver the level of adoption seen on Ethereum and Solana.
XRP Whales Dump Holdings as Price Drops Below $2.50
Source: Cointelegraph
XRP retraced 50% of its recent rally, with on-chain data indicating a record level of whale distribution. Analysts noted an increase in XRP reserves on Binance from 2.72B to 2.90B tokens, indicating rising selling pressure.
Despite the pullback, some traders believe XRP could rebound if it holds above the $2.50 support level, while others warn of further downside risk.
Read more: BTC Surges as Trump Expands Crypto Reserve, XRP Rallies 30%, BlackRock Adds $150B Bitcoin: Mar 3
Conclusion
The crypto market faces heightened volatility, with BTC slipping below $84K and altcoins struggling to sustain gains. Despite the downturn, venture capital interest in Web3 gaming and DePIN projects remains strong. Regulatory shifts in the U.S. and Trump’s pro-crypto policies could provide long-term tailwinds, but traders remain cautious about near-term price movements.
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