Token Terminal reports that tokenized stocks have become the leading category of tokenized assets on Ethereum, with xStocks and Ondo Finance leading the sector.
Tokenized stocks have emerged as the fastest-growing category of tokenized assets on Ethereum, according to Token Terminal. xStocks and Ondo Finance assets are leading the expansion of this new asset class on the blockchain.
The growth in tokenized stock offerings reflects expanding demand for blockchain-based access to traditional equities. These instruments allow investors to hold fractional ownership of stocks as ERC-20 tokens on Ethereum, enabling 24/7 trading and programmable settlement distinct from traditional market hours and settlement cycles.
The tokenization of traditional assets represents a key use case for blockchain technology, bridging decentralized finance with conventional securities. Token Terminal’s analysis highlights which protocols and platforms are capturing the largest share of this emerging market segment.
Two Texas Congressional candidates supported by millions of dollars in spending from interest groups aligned with the cryptocurrency industry are headed for runoffs this week in races for the US Senate and House of Representatives.
On Tuesday, Democratic voters in Texas’ 18th congressional district will decide between incumbent Al Green and challenger Christian Menefee to run in November’s general election. Statewide, voters will choose between Texas Attorney General Ken Paxton and incumbent John Cornyn for the Republican primary for US Senate.
Both Tuesday races are runoffs after none of the candidates failed to secure a majority in Texas’ March primaries. The crypto industry, through spending on media by political action committees (PACs), has stakes in both races, which could influence policy and the makeup of Congress going into 2027.
As of Sunday, Protect Progress, affiliated with the Ripple- and Coinbase-backed Fairshake PAC, reported spending $5 million to support Menefee over Green. The PAC spent $2.8 million on ads opposing Green. Menefee also has the endorsement of the Blockchain Leadership Fund, a committee backed by Anchorage Digital and Chainlink Labs, though it had not reported any expenditures as of Monday.
Source: US Federal Election Commission
The outcome of the primaries could influence who will ultimately win Texas’ 18th district and one of the state’s two Senate seats in the November general election, potentially affecting which political party controls Congress in 2027. Under a Republican majority, lawmakers have passed key pieces of legislation supported by the crypto industry, including the stablecoin GENIUS Act.
At least one of the ads funded by Protect Progress to support Menefee did not mention crypto or blockchain, but rather Green’s opposition to US President Donald Trump. Bill King, a former opinion writer for the Houston Chronicle, said in a local FOX26 segment that aired on Sunday:
“I saw 12 television commercials yesterday paid for by the Protect Progress PAC […] and that same group of people are the ones that are primarily funding Trump.”
Related: Texas Lt. Gov. calls for study of crypto, prediction markets
The Fellowship PAC, funded by Wall Street firm Cantor Fitzgerald and Anchorage, reported spending $500,000 to support Paxton over Cornyn for the US Senate seat. The expenditure came about 24 hours after Trump endorsed Paxton, saying that Cornyn had been “very late in backing” him as a Republican candidate for president.
Prediction markets heavily favor Paxton and Menefee
The Kalshi prediction market gave its users 91% and 96% chances on event contracts favoring Menefee over Green and Paxton over Cornyn, respectively.
Source: Kalshi
The platform has consistently provided event contracts favoring the Democratic candidate since February, while Paxton’s odds surged above 90% for the first time after Trump’s endorsement on Tuesday, and stood at almost 96%, at last look on Monday. Bets on that race topped more than $16 million in total volume.
Rival predictions market platform Polymarket gave both candidates similar chances in Tuesday’s runoffs.
Magazine: ETH bears growling, Tom Lee’s buying, XRP to ‘explode’: Market Moves
In its latest market commentary, X analytics account Cryptic Trades called the dip a “fakeout,” noting its proximity to Bitcoin’s lowest levels of 2025, also seen in April that year.
“We saw a brief deviation below the high-timeframe support range aligning with the April 2025 bottoming formation,” it summarized.
BTC/USD one-day chart. Source: Cryptic Trades/X
Cryptic Trades said that BTC/USD needed to reclaim its daily bull market support band — a “strong reversal zone over the last couple of months” — in order to have a bullish bias on low time frames.
“Bulls need to keep holding this area to keep this short/mid timeframe momentum in their favor,” trader Daan Crypto Trades agreed.
Trader and analyst Lennaert Snyder referred to Bitcoin’s trip below $75,000 as a “very nice liquidity sweep.”
“Strong daily close after the sweep and price is taking out the previous daily highs,” he told X followers.
“I’m intraday bullish on Bitcoin, and I’m still eyeing that 79/80 level to retest. Would be great if the 74.2K low could get us there, I’ll watch 79/80K closely for quality shorts after my trigger.”
Trader CW also eyed exchange order-book liquidity for clues as to how high the price might go next.
“$BTC has risen to just before the high-leverage short position zone. The upcoming rise will be a liquidation process for short positions,” they predicted.
“There is a significant amount of short position pressure until 80.5k.”
BTC liquidation heatmap. Source: CW/X
Iran peace deal bets send stocks to new highs
There may finally be some good news for risk assets when it comes to the US-Iran war this week.
A peace deal between the two sides seems closer than ever, and markets are already pricing in the end of the conflict.
US stocks futures surged at the weekly open, with both the S&P 500 and Nasdaq 100 hitting new all-time highs. Japan’s stock market gained 3.5%.
Oil, by contrast, began to fall, with WTI crude nearing $90 per barrel.
CFDs on WTI crude oil one-day chart. Source: Cointelegraph/TradingView
In a post on Truth Social, US President Donald Trump pledged to make a deal that was “good and proper.”
“Unlike those before me who should have solved this problem many years ago, I don’t make bad deals!” he wrote.
Source: Truth Social
Bitcoin’s response was more muted, continuing a trend from last week where stock market records failed to ignite upward momentum for crypto.
Nonetheless, market participants are already betting on the peace deal acting as the next tailwind.
“I think Bitcoin is ready for higher grounds,” trader and analyst Michaël van de Poppe commented on X.
Van de Poppe saw BTC/USD rising above $80,000 should a deal take effect.
“That is likely the plan,” he concluded, seeing risk assets performing strongly across the board.
BTC/USDT one-day chart. Source: Michaël van de Poppe/X
Inflation flips Fed hawkish ahead of PCE data
The deal would also mean good news for US inflation trends, which have surged on the back of high oil prices.
This week, however, both markets and the Federal Reserve will have to contend with April’s Personal Consumption Expenditures (PCE) Index print, which will reflect the full impact of the Iran conflict.
PCE, known as the Fed’s “preferred” inflation gauge, will be the first for its new Chair, Kevin Warsh.
US PCE % change (screenshot). Source: Bureau of Economic Analysis
Expectations remain that policy could tighten to contain inflationary pressures this year. In the latest edition of its regular newsletter, “The Market Mosaic,” trading resource Mosaic Asset Company noted that even Fed officials themselves were changing their tone.
“In a speech last week, Christopher Waller stated that ‘inflation is not moving in the right direction’ and can ‘no longer rule out rate hikes further down the road,’” it reported, referring to a member of the Fed Board of Governors.
“Waller previously was a leading proponent for cutting rates on labor market concerns.”
Fed target rate probabilities (screenshot). Source: CME Group
Data from CME Group’s FedWatch Tool likewise underscores the lack of optimism when it comes to interest-rate cuts before 2027.
While that is ostensibly a headwind for crypto, Mosaic acknowledged that Iran-based inflation upticks could be “temporary,” with stocks primed for further gains.
Binance inflow “intensity” causes alarm
Geopolitical uncertainty has led onchain analytics platform CryptoQuant to warn about a Bitcoin “sell signal.”
In one of its QuickTake blog posts on Sunday, contributor Darkfost flagged nearly 10 days of BTC inflows to the largest global exchange, Binance.
“On May 16th, the weekly average of inflows on Binance stood at 378 BTC. It now reaches 1,190 BTC today, representing a more than 3x increase in less than 10 days,” he revealed.
“The largest single day recorded over 3,600 BTC on May 18th, a relatively high level for a single day that clearly illustrates the intensity of the movement.”
Bitcoin netflows for Binance. Source: CryptoQuant
Darkfost noted that Binance’s Bitcoin reserves had increased by 16,000 BTC in a single month.
“When inflows become dominant and consistent on a platform like Binance, this is traditionally interpreted as a potential sell signal,” he continued.
“Holders transferring their BTC to an exchange most often do so with the intent to sell, whether it be profit taking, reducing exposure, or a more defensive repositioning.”
Last week, Cointelegraph reported on weak US demand causing consistent downside price pressure after the Wall Street open. The Coinbase Premium Index, which measures the difference in price between Coinbase’s BTC/USD and Binance’s BTC/USDT pairs, hit its largest negative values in several months.
Analysis warns of “large liquidation event”
In further bad news for Bitcoin bulls, CryptoQuant contributor XWIN Japan described a cocktail of hurdles that remain unconquered.
Related: Bitcoin price record 90-day uptrend ‘resembles bull market rally:’ New analysis
In addition to the weak demand, institutional capital has been exiting the US spot Bitcoin exchange-traded funds (ETFs).
“US spot Bitcoin ETFs have now seen more than $1.74 billion in cumulative outflows, while the Coinbase Premium has turned deeply negative. Since this metric is often viewed as a proxy for US institutional spot demand, it suggests that large investors are becoming less active buyers,” a QuickTake post read.
Binance’s netflows, meanwhile, come as stablecoin volumes decrease — a sign of waning liquidity and reduced risk appetite.
Traders who remain active, by contrast, are “aggressively long,” and positive funding rates imply that leverage is becoming more popular.
“The problem is that Open Interest remains well below late-2025 highs. This suggests the recent rebound is being supported more by leveraged futures activity than by strong spot demand,” XWIN explained.
Bitcoin open interest-weighted funding rate (screenshot). Source: CoinGlass
Looking ahead, this combination of factors suggests that the market is due for a shakeout.
“Historically, periods with ETF outflows, negative Coinbase Premium, weak spot demand, and crowded longs have often preceded large liquidation events,” the post concluded.
“For now, Bitcoin looks less like a healthy bull market and more like a fragile rebound driven by leverage rather than real demand.”
Indonesia blocked access to Polymarket after the prediction market platform hosted wagers on whether President Prabowo Subianto would leave office before the end of his term.
Indonesia’s Ministry of Communication and Digital Affairs (Komdigi) announced the block on Friday, describing Polymarket as an “online gambling site disguised as a prediction market.”
“The government will not allow any form of online gambling in Indonesia,” ministry official Alexander Sabar said, adding: “Activities like Polymarket involve betting and speculation on uncertain outcomes, thus violating Indonesian law.”
The move adds Indonesia to a growing list of jurisdictions treating prediction markets as gambling products, not merely forecasting tools, as platforms such as Polymarket and Kalshi face mounting legal scrutiny worldwide.
Political bets trigger scrutiny
The government action came days after Polymarket opened a wager tied to Prabowo’s presidency, allowing users to bet on whether the Indonesian leader would leave office early.
One of the markets, which appeared on Polymarket on May 21, lets users bet on whether Prabowo would leave office before several future dates, including May 31, June 30 and Dec. 31, 2026, even though his five-year presidential term is set to run until October 2029.
Source: Polymarket
The market recorded more than $46,000 in trading volume, with traders pricing a 1% chance of him leaving by May 31, 2% by June 30 and 18% by the end of 2026.
The ministry’s statement did not specifically reference the presidential exit prediction market, instead broadly characterizing Polymarket as a gambling platform operating in violation of Indonesian law.
Source: Indonesia’s Ministry of Communication and Digital Affairs (Kemkomdigi)
“As a measure to protect the public, especially the younger generation and users of the national digital space, the Ministry of Communication and Digital has blocked access to the Polymarket platform and similar services that are suspected of facilitating online gambling practices,” it said.
Prediction markets face global pressure
The Indonesian ban adds to growing regulatory pressure on prediction market platforms across multiple jurisdictions.
Supporters say prediction markets function as tools for crowd-sourced forecasting and sentiment tracking, while critics argue they can resemble online gambling and raise concerns around market manipulation as well as insider trading.
Related: CFTC officials who questioned prediction markets were suspended: NYT
India was among the latest countries to restrict access to Polymarket, extending a list of jurisdictions where the platform is blocked to more than 30. Despite the restrictions, Polymarket has recently signaled interest in pursuing regulatory approval in select markets, including Japan.
Magazine: Polymarket seeks Japan entry, Harvard dumps entire ETH position: Hodler’s Digest, May 17 – 23
NEAR Protocol’s token climbed 15% over the past 24 hours to $2.8, extending a month-long rally that has seen the price of NEAR double in the past month.
The move comes amid the success surrounding NEAR Intents, the network’s cross-chain transaction system. The product allows users to request a desired outcome, such as swapping USDC on Ethereum for SOL on Solana, while third-party solvers execute the transaction behind the scenes.
DefiLlama data shows NEAR Intents has processed more than $19 billion in cumulative volume and generated about $32 million in fees. The figures have drawn renewed attention to the protocol after months of limited price movement.
The rally accelerated further after BitMEX co-founder Arthur Hayes described NEAR, Hyperliquid’s HYPE and ZEC as crypto’s “holy trinity” in a post on social media, before suggesting there’s a “long way to go” in its rally.
Near token price performance in last 24 hours (CoinDesk data)
NEAR gained about 30% as traders rotated back into tokens tied to artificial intelligence and blockchain infrastructure earlier in the month, while institutional demand has been growing. The Bitwise NEAR Staking ETP listed in Europe has grown to roughly $40 million in assets under management, after seeing $7 million in inflows in a single week.
Investors are also watching an upcoming June network upgrade that introduces dynamic resharding. The change is designed to automatically split network shards as demand increases, potentially improving scalability during periods of heavy usage.
Despite the recent surge, NEAR remains well below its 2022 peak near $20.
NEAR is a layer-1 blockchain focused on applications, AI infrastructure and cross-chain transactions. The network uses a proof-of-stake model and markets itself as a platform designed to simplify interactions across blockchains while handling large volumes of activity through sharding.
Indonesia’s Ministry of Communication and Digital Affairs has blocked access to Polymarket, saying the crypto-based prediction market amounts to online gambling under local law.
The ministry said it had cut access to the platform and was tracing affiliated social media accounts for possible restrictions across other digital channels.
Alexander Sabar, director general of digital space supervision, claimed that platforms that allow users to wager money on uncertain outcomes remain gambling products, even when they use blockchain technology or crypto assets.
Polymarket lets users trade contracts tied to real-world events, including elections, sports, crypto prices and political outcomes. The platform has grown into one of the largest crypto prediction markets, but regulators in several jurisdictions have treated parts of the business as gambling rather than financial-market activity.
Indonesia’s statement did not name Kalshi, a U.S.-regulated prediction market operator, or other platforms but said authorities would restrict similar services that facilitate online gambling.
The order could extend to other prediction-market platforms if Indonesian regulators determine that they allow users to wager money on uncertain real-world events.
Indonesia’s move follows a broader clampdown on prediction markets in Asia. India recently blocked Polymarket after authorities classified such platforms as prohibited online money gaming, with Kalshi also facing potential scrutiny. Polymarket is separately seeking approval in Japan by 2030, where strict gambling rules limit most forms of betting outside state-sanctioned activities.
The Indonesian ministry said Singapore, Brazil and India have blocked Polymarket, while Taiwan, Thailand, China and Japan have imposed restrictions under local law. The prediction market is also blocked in Ukraine, where there’s no legal way for it to come back.
The regulator urged Indonesians not to access or participate in digital betting activity, including markets that use crypto assets, citing potential financial losses and violations of Indonesian law. The ministry said it would keep coordinating with law enforcement and other stakeholders to monitor similar platforms.
Crypto prices were slightly higher on Monday amid rising odds in prediction markets for a near-term U.S.-Iran peace deal, as Iranian negotiators arrived in Doha for talks.
Bitcoin gained 1.6% in 24 hours to $77,500, ether rose 1.4%, and the broader CoinDesk 20 (CD20) added 1.56%.
Traders on Polymarket pushed the probability of a permanent deal this month to 37%, up from roughly 14% on Friday. The odds for a deal are at 46% by early June and 72% by the end of July. The market has drawn roughly $178 million in volume.
The move follows a Truth Social post from President Trump on Saturday saying the framework agreement was “subject to finalization.” Iran’s chief negotiator, Mohammad Bagher Ghalibaf, Foreign Minister Abbas Araghchi, and Central Bank Governor Abdolnaser Hemmati arrived in Doha earlier today for talks, per CNN.
A diplomat briefed on the visit told CNN that the agenda is focused on the Strait of Hormuz and highly enriched uranium. Meanwhile, Iran’s foreign ministry has described the deal as a memorandum of understanding in a first phase, with broader talks over 30 to 60 days, CNBC reported. Pakistan and Qatar are mediating.
The Strait of Hormuz has been largely blockaded since the U.S. and Israel struck Iran on February 28, though traffic has partially resumed in recent days.
Crude oil fell 5.4% to $91.30 per barrel. Gold rose 1.35% to $4,570 per ounce. The dollar weakened, with the U.S. Dollar Index (DXY) falling around 0.3%.
Trump’s tone remains conditional. “It will only be a Great Deal for all or, no Deal at all — Back to the Battlefront and shooting, but bigger and stronger than ever before,” he wrote Monday.
Read more: Bitcoin trades above $77,000 as oil’s 5% slide pushes Asian equities higher
Ethereum co-founder Vitalik Buterin said the Ethereum Foundation will choose “longevity over breadth,” reduce ETH sales and narrow its focus to CROPS: censorship resistance, capture resistance, openness, privacy and security.
In a lengthy post on X, Buterin detailed that the Ethereum Foundation holds roughly 0.16% of all ETH, well below the 10% to 50% he said it’s common for the central foundations of other blockchains to hold.
Nearly 90% of his own net worth sits in ETH, with the remaining roughly $40 million in onchain fiat already earmarked for open-source biotech, software and hardware initiatives, Buterin added.
His influence within the EF will continue to decrease as the board expands, aligning with his desire to be less influential there. However, he also hedged his words, saying, “This is only my own view. The board is not just me, and I have no extra special powers on the board that the other board members do not.”
He framed the EF as “one node, with a defined purpose, alongside other nodes,” not the center of Ethereum. Addressing throughput, Buterin said it would be a mistake for Ethereum to maximize it.
“Being as fast and as scalable as possible, and only a small epsilon more decentralized than the others, is a route to mediocrity, and if we try it, we will lose.”
Instead, Buterin pointed to Ethereum striving to be “deeply impressive” in what he called the “CROPS dimension.” That involves making Ethereum provably bug-free, which is argued to be within reach given AI-powered verification.
The post landed after at least 8 senior EF contributors left or announced departures in 2026, 5 in May alone, reigniting debate over the foundation’s direction.
Crypto community reacts
Prominent Ethereum voices were supportive of Buterin.
Anthony Sassano, an independent Ethereum educator, angel investor and advisor, replied directly to the post, thanking Buterin. A separate quote tweet from Sassano focused on Buterin’s framing of ETH as the most high-value “product” of the Ethereum blockchain.
Author and early Ethereum advisor William Mougayar quote-tweeted the post: “Basically, Ethereum just got its own Clarity Act over the weekend. It was a crystal clear message, and the road ahead is super clear. Ethereum is untouchable.”
Developer Suhail Kakar also replied directly, calling the post “bullish.” “A foundation voluntarily shrinking its own power is the rarest thing in crypto. genuinely the most cypherpunk thing I’ve read in a long time.”
Meanwhile, core developers picked at the CROPS framework.
Go-Ethereum developer Marius van der Wijden replied that security was being underdiscussed: “When people talk about CROPS, they seem to focus on the CR, OS and Privacy part. The security part is in my opinion the most important! Without a secure L1 none of this makes any sense and we have taken Ethereum’s base layer security for granted by now.”
Consensus layer developer Potuz followed up in the thread, noting that “one of Ethereum’s biggest selling points is the no downtime since genesis” and that the record made every fork a concentrated risk.
Laura Shin, host of Unchained, asked the governance question the post left open: “What’s the process for adding new members to the board?” Buterin did not publicly answer at the time of writing. DeFiPrime founder Nick Sawinyh noted the EF now sounded “less like a cathedral and more like a protocol commons operator.”
Others criticized the cryptocurrency’s performance. Ether has fallen nearly 60% against bitcoin over the last five years, to 0.02738 BTC. Over that period, bitcoin’s price nearly doubled from $35,600 to $77,500 at the time of writing.
Read more: Ethereum’s identity crisis is deepening after high-profile ‘brain drain’ frustrates the community
A crypto whale opened a leveraged Ether (ETH) short position worth more than $100 million, even as Ethereum co-founder Vitalik Buterin pledged fewer token sales via the Ethereum Foundation.
Key takeaways:
The whale may face over $1 million in potential losses as the ETH price rebounds toward short liquidation levels.
Buterin says the Ethereum Foundation will “sell less ETH” despite offloading over 60,000 ETH earlier this year.
ETH whale faces over $1 million in potential losses
As of Monday, the wallet ‘0x50b…’ held a 47,600 ETH short position worth about $100.72 million, according to Hypurrscan data. The trade used roughly 23x cross-margin leverage, with an entry price near $2,094.92.
ETH was trading around $2,115, leaving the position with an unrealized loss just shy of $994,000. The trader had also paid roughly $2,145 in funding, adding to the cost of maintaining the bearish bet.
Ethereum whale’s short position data. Source: Hypurrscan.IO
The position’s liquidation price sat near $2,150, leaving little room for error. A modest ETH move higher could push the whale’s losses past $1 million and potentially wipe out the short.
That puts the whale in a vulnerable position if Ethereum continues to rebound from its weekend low at around $2,000, especially as global risk sentiment improves due to signs of easing US–Iran tensions.
Related: Ethereum traders warn of ‘nasty’ ETH price drop if $2K support breaks
Still, the size of the trade shows that some large traders remain willing to bet aggressively against ETH despite recent attempts by Ethereum’s big names to calm market concerns.
Ethereum Foundation to “sell less ETH,” says Vitalik Buterin
Co-founder Vitalik Buterin pledged that the Ethereum Foundation will “sell less ETH” as part of a broader effort to make the organization leaner, more focused and longer-lasting.
The commitment appeared in a lengthy X post where Buterin defended the foundation’s direction after a wave of researcher departures.
He said the EF is choosing “longevity over breadth,” meaning it will reduce spending, narrow its mission and avoid acting like Ethereum’s central command structure.
The Ethereum Foundation has faced repeated backlash over token sales, with critics arguing that sustained selling can pressure ETH during weak market conditions.
The Foundation sold about 20,000 ETH in 2026, raising more than $45 million, according to data resource Arkham Intelligence. while still holding around 103,000 ETH in liquid treasury assets, and another 70,000 ETH staked.
Ethereum Foundation’s ETH balance. Source: Arkham Intelligence
Nevertheless, Buterin’s reassurance comes as institutional conviction in Ethereum appears to be weakening.
In 2026, several large holders trimmed ETH exposure amid weak price action and a multi-year slump versus Bitcoin.
Harvard Management Company reportedly exited its $87 million Ethereum ETF position after just one quarter, while Goldman Sachs cut its ETH ETF holdings by roughly 70%, leaving about $114 million invested.
Spot Ethereum ETFs have continued to bleed capital, recording more than $295 million in net outflows in May and over $945 million in withdrawals so far in 2026.
ETH US spot ETF net flows. Source: Glassnode
Bankless co-founder David Hoffman, one of Ethereum’s most visible long-time advocates, said he sold all his personal ETH holdings, adding symbolic weight to concerns that even Ethereum-native investors are reassessing their conviction.
Source: X
However, some analysts, including Tanaka, continue to view Ethereum as a strong long-term buy, arguing that its core on-chain economy remains difficult for rival blockchains to match.
Ethereum still anchors much of crypto’s real activity, hosting roughly $43 billion in DeFi liquidity, more than $165 billion in stablecoins, and about 55% of tokenized assets tracked across public blockchains, according to Token Terminal data.
Bitcoin (BTC) has fallen 6.5% from its recent high above $82,000, as a bearish technical structure, weakening demand, and increasing sell pressure now point to the risk of further losses ahead.
Key takeaways:
BTC price risks a drop toward $72,000 as bearish momentum strengthens on higher time frames.
Binance BTC inflows tripled in under two weeks, signaling rising sell pressure and weaker investor confidence in the market.
Bitcoin’s apparent demand fell to 2026 lows, raising risks of deeper losses if spot demand fails to recover in the coming weeks.
Bitcoin bears eye BTC price drop to $72,000
Bitcoin’s failure to hold above key support levels suggested buyers were unable to sustain the upward momentum.
“$BTC has officially lost the 100 & 50d EMA,” analyst CryptoJelleNL said in a recent post on X, adding:
“The local market structure is back to bearish.”
“Bitcoin lost its bullish impulse exactly when macro sharply deteriorated,” fellow analyst Axel Adler Jr said in a Sunday X post, adding:
“The market looks risk-off, and every BTC bounce remains unconfirmed.”
The rejection at $82,000 coincided with the upper trend line of an ascending parallel channel, which has capped BTC’s price action since early February.
The chart below shows that every time the price has been rejected from this trend line, it has lost between 11%-14% of its value, dropping toward the lower support trend line.
If this price behaviour continues, Bitcoin will fall toward the lower boundary of the channel at $72,000, which is 13% below the upper boundary and a 7% drop from the current price.
Meanwhile, the relative strength index has dropped to 48 from near overbought conditions at 69 on May 6, suggesting increasing downward momentum.
“Bitcoin briefly dipped as low as $74.1K, sweeping the May VCPR liquidity zone before seeing a quick reaction,” trader and analyst Anup Dhungana said in his latest analysis on X, adding:
“Losing this support area could send $BTC swiftly back toward the $70K region, while holding it keeps the door open for another recovery attempt.”
MN Capital founder Michael van de Poppe shared a chart showing that if the “crucial” support zone between $75,000 and $76,000 is lost, the price could retreat toward the next lines of defense at $74,000 and $71,400, before potentially retesting the 2026 lows at $60,000.
On the other hand, Van de Poppe said BTC/USD could break to “higher grounds” above $80,000 if “there’s going to be a peace deal in the Middle East” in the coming days.
BTC/USD daily chart. Source: X/Michael van de Poppe
As Cointelegraph reported, the $76,000 level is the critical level to watch, as a close below it would increase the risk of a drop to the multi-month support line around $72,000.
Bitcoin apparent demand hits 2026 lows
Bitcoin’s “warning is flashing” after its Risk Index re-entered “high-risk” territory, according to private wealth manager Swissblock.
“That doesn’t confirm breakdown yet,” Swissblock said in a recent X post, adding:
“But it confirms that selling pressure is no longer being fully absorbed.”
Bitcoin risk index. Source: Swissblock
That high-risk signal also aligns with increasing selling pressure on exchanges, with Binance recording nearly 10 straight days of net BTC inflows. The weekly average inflows rose to 1,190 BTC from 378 BTC on May 16, marking a more than threefold increase in less than two weeks.
“When inflows become dominant and consistent on a platform like Binance, this is traditionally interpreted as a potential sell signal,” CryptoQuant analyst Darkfost said in a QuickTake note on Monday, adding:
“Holders transferring their BTC to an exchange most often do so with the intent to sell, whether it be profit taking, reducing exposure, or a more defensive repositioning.”
Binance exchange’s Bitcoin net flow. Source: CryptoQuant
Meanwhile, Bitcoin’s apparent demand has fallen to around -147,000 BTC, its most negative level since the start of the year and the weakest reading since December 2025.
“This development suggests that demand continues to gradually contract,” Darkfost said in an X post on Sunday, adding:
“Without a meaningful recovery in spot demand, it becomes difficult to imagine Bitcoin sustaining a durable rally.”
Bitcoin’s apparent demand. Source: CryptoQuant
The last time this metric was this low was in December 2025, before another 33% drop to multi-year lows below $60,000 was reached on Feb. 6.
As Cointelegraph reported, Bitcoin’s weakening demand and increasing spot ETF outflows have raised the risk of prolonged consolidation or a drop toward $65,000 in the short to medium term.
