Sebastjan Bele
Updated: March 11, 2025
Reading time: 6 min

Bitcoin Drops Below $80K, Trump’s Crypto Reserve, and SEC Shake-Up

Friday, 28 February, saw a massive sell-off, with Bitcoin dropping below $80,000, adding to the market’s recent volatility.

Amid the turmoil, Trump announced a U.S. Crypto Strategic Reserve, including BTC, XRP, SOL, ADA, and USD, sending Bitcoin soaring 10% before retracing the entire move the next day in what can only be described as historic price action.

Meanwhile, the SEC dropped charges against Kraken and MetaMask, signaling a potential shift in regulatory stance. In a surprising turn, the agency also declared that memecoins are not securities, a major win for the sector that could reignite speculation-driven markets.

At the institutional level, Ark Invest bought another $8 million worth of Coinbase shares while selling a similar amount of its own Bitcoin ETF, continuing its ongoing portfolio reshuffle.

Looking ahead, tomorrow, Friday, March 7, President Donald Trump will host a crypto summit in Washington, D.C., an event that could further shape regulatory discussions and market sentiment.

News:

Markets

Best Performers

This week’s top performer is Cardano (ADA), surging 42.40%, unsurprisingly fueled by Trump naming ADA as part of the U.S. Crypto Strategic Reserve—though the inclusion itself came as a major surprise.

Following closely is Bitcoin Cash (BCH), which saw a strong rally as its transaction rate hit an all-time high of 3.6 TPS, reflecting increasing network activity and adoption.

Cronos (CRO) also broke out of its three-month downtrend after the launch of a proposal aimed at establishing a Cronos Strategic Reserve, providing renewed momentum to the ecosystem.

Meanwhile, the Real-World Asset (RWA) sector continued to gain traction, with Hedera (HBAR) and Ondo (ONDO) rising, as RWAs emerge as one of the fastest-growing narratives in crypto.

Chain Volumes

Ethereum holds the top spot in weekly volume, maintaining its dominance with $22.306 billion in volume, despite a 3.74% decline from the previous week.

Among the biggest movers, Arbitrum surged 30.11%, reinforcing its growing presence in the Layer 2 space. Thorchain followed with a strong 24.54% increase, continuing its momentum from previous weeks. Avalanche also made a comeback, climbing 21.34% in volume as investor interest picked up.

Meanwhile, Solana remained in second place, up 3.36%, holding steady after weeks of heavy sell-offs. BSC (Binance Smart Chain) struggled, posting a -37.18% decline, while Base (-15.11%) and Hyperliquid (-9.53%) also saw notable drops.

In a surprise move, Tron jumped into the top 10, gaining 10.26% in weekly volume, signaling renewed activity on the network.

US Spot ETF Balances

US Bitcoin Spot ETFs

Current weekly inflows = -$2.44 billion

Total Assets Under Management (AUM) = $102.95 billion

US Ethereum Spot ETFs

Current weekly inflows = -$2.58 billion

Total Assets Under Management (AUM) = $6.8 billion

Market Commentary

A familiar pattern seems to be forming—Friday sell-offs followed by bullish Trump announcements on Sunday.

This week, Bitcoin plunged below $80,000, triggering fear across the market. But on Sunday, Trump unexpectedly announced a U.S. Crypto Reserve, including BTC, ETH, and the more

questionable choices of Solana, Ripple, and Cardano. The market initially reacted with a 10% BTC pump, only for the entire move to be erased the next day. The Total Crypto Market Cap stands at $2.98 trillion.

On the traditional market front, risk assets remain under pressure:

S&P 500: -2.28% (weekly)
NASDAQ: Down over 3%
Gold: Slight decline of -0.08%
The Fear & Greed Index sits at 25 (Extreme Fear), while Bitcoin dominance remains high at 60.4%

What’s Next?

Strictly from a price action perspective, Bitcoin needs to clear the $92K resistance before any serious push toward $100K can be considered. Until then, BTC remains stuck in a choppy range, with traders closely watching whether bulls can reclaim momentum.

Meanwhile, Trump’s newly imposed tariffs continue to weigh on broader markets, keeping both traditional and crypto investors in risk-off mode as uncertainty lingers.

However, the next major event to watch is Trump’s crypto summit in Washington, D.C., tomorrow, Friday, March 7. With speculation growing around his pro-crypto stance, the summit could bring fresh policy signals that may impact market sentiment.

Sentiment on CT remains divided—some are calling for a confirmed bear market, while others argue that the bull market is far from over. With uncertainty still in the air, it’s worth preparing strategies for both scenarios as volatility remains high.

Meme of the Week

We hope you enjoyed this week’s edition of Diary of a Market Maker ! Stay tuned for more insights, updates, and market-moving highlights as we continue to keep you informed and entertained in the ever-evolving world of crypto.

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Until next time, happy trading and stay ahead of the curve!

Disclaimer: The information provided in this article is for informational purposes only and does not constitute financial, investment, or other professional advice. All opinions expressed herein are solely those of the author and do not represent the views or opinions of any entity with which the author may be associated. Investing in financial markets involves risk, including the potential loss of principal. Readers should perform their own research and consult with a licensed financial advisor before making any investment decisions. Past performance is not indicative of future results.