Eclipse combines high-throughput execution with Ethereum settlement in a way no other L2 has attempted. Cointelegraph Research breaks down the architecture and the milestones that will define its trajectory.

Need to know what happened in crypto today? Here is the latest news on daily trends and events impacting Bitcoin price, blockchain, DeFi, NFTs, Web3 and crypto regulation.

Japan's tax reform could boost domestic crypto trading by simplifying taxation, aligning digital assets with traditional financial products.

The post Japan plans 20% flat tax on crypto gains in 2026 tax reform outline appeared first on Crypto Briefing.

Goldman's acquisition of Innovator Capital Management could significantly enhance its position in the rapidly expanding active ETF market.

The post Goldman Sachs to buy Innovator Capital Management in push to grow its ETF lineup appeared first on Crypto Briefing.

Dogecoin’s entry into the ETF market has changed the tone of the entire meme-coin sector, possibly opening the door for the likes of Shiba Inu and BONK. What began as a community hype token is now tied to a fully regulated product, and that achievement has pushed attention toward other popular meme coins. BONK and Shiba Inu are now the next names being discussed as institutions explore broader exposure to alternative cryptocurrencies.

BONK Moves Ahead With A Fully Listed ETP In Europe

Although the early inflows into Dogecoin’s ETF launch have been largely more underwhelming than what most expect, the establishment of an exchange-traded product for the king of meme coins opens up conversations about other meme coins. 

BONK is a standout example, taking a decisive step forward with the launch of an exchange-traded product tied to the meme coin on the SIX Swiss Exchange. The debut immediately led to an intraday rally as traders reacted to the token gaining a presence on one of Europe’s most established regulated markets. 

SIX is Switzerland’s largest and Europe’s third-largest stock exchange. Therefore, the ETP gives investors access to BONK without having to manage custody themselves, making it far easier for traditional market participants to gain exposure.

This development builds on BONK’s rising activity within the Solana ecosystem. Its trading volume and market capitalization have been climbing for weeks, and the ETP adds a form of legitimacy rarely given to meme coins. BONK now joins a very small group of community hype tokens that have crossed into regulated investment territory, giving it a stronger foundation as demand from new classes of investors grows.

The new BONK ETP was issued by Bitcoin Capital, a firm known for launching multiple cryptocurrency ETPs across major European markets. “With the Bonk ETP now listed on SIX Swiss Exchange, investing in Bonk has never been easier. Investors don’t need crypto expertise; they can trade Bonk just like any other stock. We’re making community-driven digital assets accessible to everyone, while meeting high security and regulatory standards,” added Marcel Niederberger, CEO of Bitcoin Capital 

Shiba Inu Attracting Institutional Interest

Shiba Inu has not yet secured an exchange-traded product of its own, but the token is steadily carving out its place in the wider fund landscape as major institutions begin weaving it into their early product designs. Even as Shibarium’s activity has cooled in recent weeks, SHIB is still part of broader conversations about regulated exposure.

One of the clearest examples comes from T. Rowe Price, a heavyweight in traditional finance with more than $1.7 trillion in assets under management. The firm recently submitted a filing for an actively managed crypto ETF that lists SHIB among its holdings.

Shiba Inu also appeared in Grayscale’s assessment of cryptocurrencies viewed as structurally viable for future spot-ETF models. These developments indicate that long-term positioning for Shiba Inu is becoming stronger as institutions evaluate which assets fit into their next generation of crypto funds.

The leading Ethereum network is witnessing serious engagement even as its price struggles to undergo a major surge. After a massive wave of both new and old investors, the ETH mainnet utilization has increased drastically, reaching levels of adoption not seen since its inception.

Historic Lift-Off For Ethereum Mainnet Utilization

Ethereum is undergoing a shift in network adoption. In a significant landmark that cements its dominance, the Ethereum Maninnet usage has increased to the point where it feels more like a structural awakening than regular growth. 

Leon Waidmann, the founder of On-Chain Foundation and market expert, reported that the ETH mainnet’s utilization is currently at an all-time high. This kind of spike in network traffic may indicate the return of activity from the periphery to the center of the chain, new applications, or even a resurgence of trust in the network’s long-term prospects.

Data shared by the market expert shows the network’s usage in the past 30 days rose to 1.97mags/s, marking its highest level in history. The chart reveals that the rise to a new peak represents a more than 57% increase in Year-Over-Year (YoY), indicating that ETH is moving with intent once again.

While weak network effects and parasitic Layer 2s are being debated within the community, Waidmann highlighted that the Ethereum Mainnet continues to display strong growth and strength. This robust growth is evidenced by the increase in activity, spiking gas fees, and the surge in the number of ETH being burned.

By combining these key factors about the network, Waidmann claims that ETH could attract more economic load. As a result, the leading altcoin may gradually shed its old skin and take on a more rigid financial function.

Waidmann has declared that ETH could become harder money and a settlement collateral. As a result, ETH is starting to resemble the foundation of a future financial structure rather than just a utility token.

ETH Layer 2s Dominates Network’s Transactions

In the midst of surging network activity and adoption, Ethereum layer 2s are now dominating in terms of transactions at a speed that makes the base layer feel nearly slow in contrast. While the center might still hold, the edges are undeniably where users’ action currently resides.

Last week, Waidmann noted that the total Transaction Per Second (TPS) across the Ethereum network reached over 358.21. Meanwhile, a more significant portion of these transactions was carried out on layer 2 networks. According to the data shared by the on-chain Foundation founder, layer 2s controlled over 95.2% of the overall throughput. 

Such a development implies that execution has largely moved to the layer 2 chains. A major reason for this might be that users, liquidity, and developers are looking for quicker and less expensive channels to carry out transactions, transforming ETH’s scaling stack into the ecosystem’s actual heartbeat.

When Upbit detected unauthorized withdrawals of roughly $36 million in Solana tokens from a hot wallet on Nov. 27, CEO Oh Kyung-seok went on record within hours. He stated:

“The entire amount will be covered by Upbit’s holdings, with no impact on customer assets.”

Six years earlier, Upbit said the same thing after losing 342,000 ETH, worth around $50 million at the time, to North Korea-linked hackers. Both times, customers saw no losses, and both times, the exchange absorbed the hit from its own treasury.

This is the hot wallet insurance model, where exchanges warehouse counterparty risk so that platform-level breaches don’t haircut users.

The system might have three forms: self-insurance from corporate reserves, dedicated emergency funds like Binance’s SAFU, and third-party crime policies with named limits.

The model has become standard practice at Tier 1 centralized exchanges, turning what would have been Mt. Gox-style insolvencies into operational losses that reopen within days.

But “users don’t lose” doesn’t mean markets don’t react. Even when deposits are ultimately safe, immediacy and liquidity are not. Hacks still freeze withdrawals, collapse order-book depth, widen spreads, and trigger reflexive pullbacks by market-makers.

The insurance model changes who eats the loss and how fast platforms can credibly reopen. It doesn’t erase counterparty risk.

Upbit: self-insurance from hacks as a corporate balance sheet

Upbit’s approach is, in effect, self-insurance with no explicit policy limit. The promise depends entirely on the exchange’s solvency and access to capital.

In both the 2019 Ethereum hack and the 2025 Solana breach, Upbit treated hot-wallet losses as operational expenses absorbed by Dunamu, its parent company.

The 2025 incident moved fast. Around 4:42 a.m. local time, roughly 54 billion won in various tokens from the Solana ecosystem tokens drained to an unknown address.

Upbit froze all Solana deposits and withdrawals, shifted remaining assets to cold storage, and froze a portion of the stolen LAYER tokens on-chain.

The exchange said it was working with projects and law enforcement to freeze even more of them, but the core commitment was immediate: no customer losses.

That commitment is credible because Upbit is large and liquid. But it’s not a statutory guarantee. There is no external insurer backstopping the promise, no deposit insurance scheme, and no formal reserve ratio that regulators audit.

The model works until it doesn’t: until a hack is large enough relative to equity that full reimbursement strains or breaks the balance sheet.

Binance and SAFU: a formalized internal fund

Binance created the Secure Asset Fund for Users in July 2018, diverting about 10% of trading fees into dedicated publicly visible cold wallet addresses.

Binance has repeatedly said SAFU is meant for “unexpected extreme cases” such as major hacks. As of press time, the fund was valued at around $1 billion.

When Binance suffered its May 2019 hot wallet breach, resulting in the loss of 7,000 BTC, it paused withdrawals and announced that all affected accounts would be made whole from SAFU, with no user losses.

Internal figures indicate that only about 2% of total exchange funds are in the compromised hot wallet, making it feasible to socialize the loss across the SAFU pool rather than push it to customers.

SAFU is an internal insurance fund: ring-fenced, pre-funded from fees, with an implicit commitment to cover large platform-level hacks, but it’s not a statutory guarantee.

If a breach exceeded the fund balance and Binance’s equity, customers would take losses. But the public visibility of the fund and the fee-funding mechanism make the promise more transparent than Upbit’s balance-sheet approach.

Crypto.com: mixing self-insurance with third-party cover

On Jan. 17, 2022, Crypto.com detected unauthorized withdrawals on a subset of user accounts and halted all withdrawals for about 14 hours.

Later disclosures put the loss at roughly $34 million in BTC, ETH, and other tokens, affecting 483 accounts. The exchange stressed that “no customers experienced a loss of funds” because it either blocked the unauthorized withdrawals in time or fully reimbursed affected users.

Subsequent communications highlighted a new protection program offering coverage of up to $250,000 per account in the event of certain third-party breaches.

Public reporting notes that exchanges like Crypto.com and Coinbase carry crime policies that pay out if the platform itself is hacked, but not if an individual loses funds due to their own credential compromise.

The distinction matters. Crime policies typically cover platform-wide breaches, insider theft, or fraudulent transfers involving the exchange’s own systems. They do not cover phishing, SIM-swaps, or users losing private keys.

Coverage is finite and conditional, with named limits and exclusions that can leave customers exposed if a breach falls outside policy terms or exceeds the limit.

Third-party policies and captive structures for hacks

Coinbase has long disclosed a crime insurance policy with a $255 million limit on its hot wallet balances, placed through Aon with Lloyd’s syndicates.

The policy is designed to cover platform-wide breaches but explicitly excludes losses from someone compromising an individual user’s login.

Gemini took the captive route, launching “Nakamoto Ltd.” in Bermuda to provide $200 million in coverage for Gemini Custody, topping up what the commercial market would offer.

Newer regulated exchanges now market “100% hot wallet insurance” as a selling point. HashKey Global says user assets are protected by comprehensive insurance, including 100% hot wallet insurance, with 90% kept in cold storage.

The spectrum runs from implicit promises backed only by equity and retained earnings, to ring-fenced internal funds, to formal insurance contracts with named limits and exclusions.

The market is maturing: recent research estimates the crypto exchange hot wallet insurance segment at about $1.4 billion in 2024, with projected growth to roughly $12 billion by 2033 as exchanges, custodians, and regulators push for more formalized loss mitigation.

Markets still react when users don’t lose

Even when users are made whole, hacks change how traders price counterparty risk. Bybit’s February 2025 $1.5 billion hack illustrates this perfectly.

Bitcoin market depth on Bybit collapsed from normal levels to about $100,000 immediately after the incident, then recovered to roughly $13 million by the end of the first quarter, in line with pre-hack conditions.

Spreads widened across BTC and the top 30 altcoins, only to tighten again over several weeks as market-makers returned.

Coinlaw data from November 2025 noted that even a technical KRW transfer suspension on Upbit coincided with an estimated 70% drop in liquidity and a sharp fall in Upbit’s share of global top 10 volumes, highlighting how quickly capital can step back from a single venue.

The pattern is consistent: frozen withdrawals, wider spreads, thinner depth, and a reflexive liquidity provider pullback. Even when deposits are ultimately safe, immediacy is not.

Traders who need to move capital or hedge positions face hours or days of illiquidity. Market-makers who provide depth pull back until they are confident the platform is stable.

What the model does and doesn’t solve

Hot wallet insurance greatly reduces the odds that a single exchange hack wipes out customer coins. It changes who eats the loss and how fast platforms can credibly reopen.

Upbit, Binance, and Crypto.com all absorbed platform-level breaches from reserves or internal funds and reopened within days, avoiding the years-long insolvency proceedings that followed Mt. Gox.

But coverage is finite and conditional. It often applies only to platform-level breaches, not to phishing or SIM swaps.

A sovereign guarantee doesn’t back it, the way bank deposits are. And it does nothing to stop the short-term fallout that actually moves markets: frozen withdrawals, wider spreads, thinner depth, and a reflexive pullback of liquidity.

The lesson is that hot wallet insurance is real and functional, but it’s not deposit insurance. It depends on the exchange’s solvency and liquidity, the adequacy of internal funds or external policies, and the platform’s willingness to honor promises when reserves are tested.

For users, the model means counterparty risk is lower than it was in the Mt. Gox era, but it’s not zero. For markets, it means hacks still dominate headlines and price action even when every customer ends up whole.

The post $36 million Upbit hack revives the quiet truth about hot-wallet ‘insurance’ appeared first on CryptoSlate.

US-listed Bitcoin ETFs capped their second-heaviest month of redemptions with a rare late-month shift back into positive flows.

According to SoSo Value data, the 12 US-listed spot Bitcoin funds recorded net creation of roughly $70 million in the final days of November, after four weeks of relentless selling pressure that totalled more than $4.3 billion in net outflows.

Despite the modest nominal reversal, the timing of this brief respite from outflows suggests a critical exhaustion of seller momentum.

Considering this, the market enters December in a fragile equilibrium, caught between a constructive supply shock and a disjointed macroeconomic calendar that threatens to leave policymakers and traders flying blind.

Bitcoin ETFs and their poor November

November served as an actual structural stress test for the mature ETF complex, confirming what the market has long believed: these products are now the unequivocal price-setters for the asset class.

Last month, Bitcoin ETFs recorded $3.48 billion in net outflows, the deepest negative print since February.

The composition of the exit suggests a broad-based tactical retreat rather than a fundamental capitulation.

BlackRock’s IBIT, which is typically the sector’s liquidity vacuum, led the outflows, shedding $2.34 billion. This marks a significant rotation for a fund that has dominated inflows for most of the year.

Fidelity’s FBTC saw $412.5 million in redemptions, while Grayscale’s GBTC continued its slow bleed with $333 million in outflows. Ark Invest’s ARKB and VanEck’s HODL also saw capital flight, recording exits of $205.8 million and $121.9 million, respectively.

Yet, the bearish impulse revealed a silver lining regarding market depth.

Despite a nearly $3.5 billion monthly exit, Bitcoin price action defended the mid-$80,000s, refusing to break market structure to the downside. This resilience implies that while tactical capital retreated to lock in year-to-date gains, underlying demand remained sticky.

Still, the cumulative net inflows for spot Bitcoin ETFs since January 2024 sit at a robust $57.71 billion, and the funds collectively hold approximately $120 billion in assets.

The multiplier effect

The significance of the late-November stabilization is best understood through the mechanics of network issuance, which gives ETFs outsized leverage in price discovery.

Following the 2024 Bitcoin halving, the network’s block subsidy dropped to 3.125 BTC per block, capping daily coin issuance at roughly 450.

At current valuations, this equates to roughly $38 million to $40 million in daily new sell pressure from miners. In this supply-constrained environment, even a “trickle” of ETF inflows can act as a powerful lever.

So, net creations in the $50 million to $100 million daily range are sufficient to absorb the entire daily issuance multiple times over. This means that when flows turn positive, market makers are forced to bid up spot inventory to satisfy creation units, as there is no structural surplus of new coins to dampen the demand.

Conversely, this leverage works against the price during periods of liquidation. The sustained $100 million-plus daily outflows seen throughout November forced issuers to return Bitcoin to the market, requiring liquidity providers to absorb not only the 450 new coins minted daily but also thousands of coins from unwinding ETF baskets.

If the $70 million net inflow seen last week continues, the supply-demand dynamics shift back in favor of price support, removing the artificial supply overhang that defined November.

December’s macro visibility gap

While the internal market structure appears to be healing, the external macro environment presents a unique risk for December.

Bitcoin investors are preparing for an unusual disconnect in the economic calendar as the Federal Reserve’s Federal Open Market Committee (FOMC) meets on Dec. 9–10.

Still, the next Consumer Price Index (CPI) reading will not be released until Dec. 18, following the shutdown-related cancellation of October’s data collection.

This sequence creates a “blind flight” scenario. The Federal Reserve will be forced to set the tone for interest rates and update its economic projections without the most critical data point markets use to anchor inflation expectations.

This is a dangerous ambiguity for Bitcoin, which remains highly correlated to global liquidity conditions and real rates.

Market participants will be forced to extrapolate policy intent from guidance rather than hard numbers. A hawkish tilt from Chair Jerome Powell could rapidly tighten financial conditions, especially if it is delivered without the counter-narrative of inflation data.

In a scenario where the Fed signals “higher for longer” to hedge against the missing data, the conditions that drove November’s drawdown could quickly re-emerge, punishing risk assets before the CPI print can validate or refute the central bank’s stance.

Meanwhile, the macro disconnect is further complicated by seasonality.

December liquidity typically thins significantly as hedge funds and institutional desks lock in annual performance and reduce gross exposure heading into the holiday season. In a thin market, order books become shallower, meaning smaller flow numbers can trigger outsized price moves.

Bitcoin ETFs flow equation

Considering the above, market participants are increasingly framing December through flow bands rather than directional price targets, reflecting how tightly ETF activity now anchors Bitcoin’s trading range.

If net creations hold in the $50 million to $100 million band, the complex would absorb roughly 11,500 BTC for every $1 billion in inflows at an $86,800 reference price, equivalent to 25 to 50 times daily issuance.

However, a move back into outflows within the $50 million to $150 million zone would recreate November’s pressure, but in a market contending with even thinner year-end liquidity.

In that setting, policy uncertainty and reduced market depth tend to amplify volatility, leaving ETF flows as the dominant force shaping Bitcoin’s direction into the new year.

The post Bitcoin ETFs end brutal November with a late $70M inflow appeared first on CryptoSlate.

Meme coins have had a volatile week, with many tokens observing gains while many others suffer losses. The cascading effect of the broader market’s crash could further impact the meme coins that are noting losses.

BeInCrypto has identified three meme coins that investors should watch, considering the market’s movement.

Pippin (PIPPIN)

PIPPIN has delivered one of the strongest performances of the week, soaring 451% over seven days. The meme coin now trades at $0.152, marking a 10-month high.

PIPPIN is holding above the $0.136 support level, and the Parabolic SAR indicates a continuing uptrend with markers positioned below the candlesticks. This setup could drive the price toward $0.193 and potentially $0.255 if bullish momentum remains intact.

Want more token insights like this? Sign up for Editor Harsh Notariya’s Daily Crypto Newsletter here.

If the rally loses strength due to profit-taking, PIPPIN could slip below $0.136 and retreat toward $0.100. Such a move would invalidate the bullish thesis and signal the start of a deeper correction.

Rekt (REKT) 

REKT has emerged as a strong performer despite volatile market conditions, climbing 68% in the past day. The meme coin now trades at $0.0000002892, showing resilience even as broader sentiment leans bearish.

REKT is holding above the $0.0000002866 support level and may attempt an upward bounce if investors provide sufficient backing. A move past $0.0000003347 and $0.0000003775 is essential for the meme coin to revisit the $0.0000004324 local peak.

If market conditions deteriorate further, REKT could lose its immediate support and drop toward $0.0000002287. Such a decline would invalidate the bullish thesis and signal a deeper correction.

MEMECORE (M)

Memecore fell 27% over the past week and is now trading at $1.38, sitting just below the $1.42 resistance level. The meme coin is struggling to regain momentum after sustained market weakness.

Current CMF readings show strong outflows dominating Memecore, signaling fading investor confidence. If this continues, M could lose the $1.25 support and drop toward $1.13 or even $1.00.

However, if bullish momentum returns, Memecore could rebound and push toward $1.69. Clearing this barrier may open the path to $1.88, which would invalidate the bearish outlook and support a stronger recovery.

The post 3 Meme Coins To Watch In The First Week Of December appeared first on BeInCrypto.

Wirex, the global leader in stablecoin payment infrastructure, has announced a strategic partnership with Algorand Foundation to bring USDC on Algorand to more than 7 million Wirex users and 80 million Visa-accepting merchants worldwide. The collaboration marks a significant step toward mainstream adoption of stablecoin payments, combining Wirex’s global card and banking network with Algorand’s blockchain to deliver fast, borderless, and self-custodial payments built directly on-chain.

As part of this collaboration, Wirex is developing an Algorand-native payment infrastructure, where all transactions are processed and settled entirely on the Algorand network. This enables a transparent, scalable, and fully on-chain experience designed for the next generation of programmable and agentic payments.

Together, Wirex and the Algorand Foundation are unlocking the following real-world payment features:

• Wirex users can now hold, send, and spend USDC on Algorand directly within the Wirex app,  benefiting from  Algorand’s efficiency and low fees alongside Wirex’s intuitive user experience.
• Through the Wirex Visa Card, users can spend USDC on Algorand at more than 80 million merchants worldwide, with real-time conversion, zero-FX fees, and global cashback rewards.
• Users can seamlessly move between fiat and stablecoins via ACH, SEPA, FPS, and other local rails, supported by 1:1 fiat-to-stablecoin conversion with no spreads, hidden costs, or friction.
• The integration enables instant, zero-fee cross-border payments, allowing users to send USDC on Algorand to any card globally without traditional remittance fees or settlement delays.
• Developers building on Algorand, from challenger banks to remittance providers to next-generation payment apps, can leverage Wirex’s stablecoin infrastructure to access card issuance, banking connectivity, and FX services through a unified API, accelerating the creation of real-world financial products powered by Algorand.

“This partnership brings stablecoin payments to the mass market,” said Pavel Matveev, Co-Founder of Wirex. “By integrating USDC on Algorand into Wirex’s infrastructure and developing Algorand-native payment rails, we’re enabling 7 million users to transact globally, with 1:1 fiat conversion, zero-fee FX, and instant on-chain settlement. It’s how stablecoins become usable as money, not just digital assets.”

“Algorand was designed for powering instant, real-time transactions on chain,” said Min Wei, Chief Business Officer of the Algorand Foundation. “Partnering with Wirex brings the ability to use USDC on Algorand to millions of users for payments, business transactions, and global remittances. We’re excited to see this expansion of USDC on Algorand in payments.”

This partnership positions Algorand as a core pillar of Wirex’s multi-chain stablecoin infrastructure, connecting blockchain networks with Visa, Mastercard, banks, and global FX providers into a unified, programmable payment layer. Together, Wirex and Algorand are advancing a new global standard for stablecoin-powered payments, one that is fast, transparent, and accessible to everyone.

About Wirex 

Wirex is a prominent UK-based digital payments platform with over 6 million customers spread across 130 countries. It offers secure accounts, making it easy for users to store, purchase, and exchange multiple currencies seamlessly.  As a principal member of both Visa and Mastercard, Wirex goes beyond traditional services, embracing the evolving trends of Web3 to provide mainstream access to digital finance and wealth management. Having processed transactions totalling $20 billion, Wirex aims to contribute to the adoption of a cashless society by facilitating straightforward transactions in various currencies worldwide. Wirex is simplifying digital payments, making it more accessible and convenient for people across the globe.

To learn more: wirexapp.com

About Algorand Foundation

Algorand Foundation’s mission is to power a world where information has integrity and innovative ideas can scale. Launched in 2019, the Algorand blockchain  has grown into a vibrant ecosystem of developers, entrepreneurs, and enterprise partners. Its institutional-grade certainty, low fees, and instant finality appeal to the protocol’s millions of users, and developers appreciate the ability to use common programming languages like Python and Typescript. Builders on Algorand are creating protocols and companies that solve important problems at a global scale: tamper-proof on-chain credentialing, instant payments in war and disaster zones, self-sovereign identity for the disenfranchised, supply-chain traceability for global commerce, and the tokenization of assets.

To learn more and start your journey on Algorand, visit algorand.co.

The post Wirex and Algorand Expand Stablecoin Payments with New USDC Integration appeared first on BeInCrypto.

Large Dogecoin holders have sharply reduced their on-chain activity, with whale transactions falling to their lowest level in more than two months, according to fresh network data shared by on-chain analyst Ali Martinez.

Posting a Santiment chart on X, Martinez stated that “whale activity on the Dogecoin network has dropped to the lowest level in the past two months.” The chart tracks DOGE’s price against the number of transactions larger than $1 million. It shows frequent, tall spikes in high-value transfers in early October 2025, when price was oscillating near the upper end near $0.27.

Dogecoin Whales Plummets Sharply

On the day of the October 10 crash, the largest peak occurred when more than 280 Dogecoin whales made a transaction. This was followed by a progressive decline through late October and November. By November 29, the whale-transaction bar fell to 3 even as price trades around $0.15.

The drop has sparked debate about what it signals for market structure and liquidity. Responding to Martinez, analyst account CryptoGames3D argued that “whale activity dropping on Dogecoin could mean one of two things: either whales are holding tight and waiting, or they’re stepping out of the game; both cases bring risk. With low liquidity from big holders, even modest selling could hit prices hard.” The comment underlines concerns that thinner participation from large entities can make order books more fragile if conditions turn.

In a separate post on November 29, Martinez outlined what he called “key levels for Dogecoin DOGE,” citing “support at $0.08” and “resistance at $0.20.” Those levels are mirrored in a Glassnode cost-basis distribution heatmap he shared, which maps DOGE’s price since early 2024 against realized price bands where supply last moved.

The heatmap reveals a dense cluster of supply around $0.08. A highlighted range between roughly $0.07999 and $0.08145 contains about 27.37 billion DOGE, marking it as a major realized-price support zone. Higher up, a second but thinner band between approximately $0.20103 and $0.20470 holds around 12.22 billion DOGE, forming a significant resistance cohort. The color scale, running from about 5 million to 31 billion DOGE, emphasizes how pronounced the lower cluster is relative to other price areas.

Taken together, the datasets present a tightly framed picture. DOGE is currently trading between a heavy long-term holder cost basis near $0.08 and a resistance pocket around $0.20, while the count of $1 million-plus transfers has compressed to a multi-month low.

At press time, DOGE traded at $0.137.

What to Know:

• A 5% Bitcoin pullback and more than $500M in liquidations show how quickly overleveraged long positions unwind when volatility returns.
• Volatility spikes often drive traders out of crowded perpetual futures trades and into emerging Bitcoin-adjacent themes such as Layer-2 infrastructure and smart contract ecosystems.
• Bitcoin Hyper ($HYPER) is designed to close Bitcoin’s throughput and programmability gaps with an SVM-backed Layer-2 offering sub-second execution anchored to the Bitcoin base layer.
• Rising interest in Bitcoin-native DeFi and high-speed payment rails indicates that Bitcoin Layer-2 narratives may become increasingly influential in the next market cycle.

Bitcoin’s latest Sunday Slam was a sharp 5% intraday drop with over $500M in liquidations, a reminder of how brutal leverage can be when volatility snaps back.

Longs that looked safe on Saturday night were wiped out by Sunday afternoon, as cascading liquidations hit major derivatives venues.

As a trader or longer-term holder, this kind of move is less about the exact candle and more about the narrative rotation it triggers. Every sharp drawdown tends to shake confidence in crowded trades and push capital toward new Bitcoin-adjacent themes that promise outsized upside relative to spot $BTC.

Instead of chasing another overleveraged bounce, some dip-buyers are rotating into early-stage infrastructure plays that could outperform if the next leg up is driven by Bitcoin-native DeFi and smart contracts.

Bitcoin Hyper ($HYPER) is beginning to surface as one of the more aggressive bets: a Bitcoin Layer-2 built around the Solana Virtual Machine (SVM), pitching sub-second execution and high-throughput smart contracts settled back to Bitcoin.

Why Volatile Drawdowns Push Capital Toward Bitcoin Layer-2s

This 5% flush and half-billion in liquidations underlined how fragile overleveraged Bitcoin longs are whenever funding gets crowded.

When volatility returns, it’s the perp traders – not long-term holders – who eat the first loss. And that shock often sends sidelined capital searching for cleaner, earlier-stage narratives tied to Bitcoin’s upside.

Layer-2 projects have become a natural outlet for that rotation. They all promise to make Bitcoin more usable for payments, DeFi, or tokens, but each often makes trade-offs around trust, speed, or composability. Competing efforts are racing to offer low fees, programmable environments, and better user experience while still anchoring to Bitcoin’s settlement layer.

For traders, that ties a familiar high-throughput smart contract stack to the oldest and most battle-tested base layer in crypto.

Bitcoin Hyper Bets on SVM Speed Anchored to Bitcoin Security

Where most Bitcoin scaling efforts focus on payments or simple scripting, Bitcoin Hyper is pitching something bolder: delivering Bitcoin’s reliability and Solana’s execution.

On the execution layer, Bitcoin Hyper runs SVM-based smart contracts, meaning developers used to Solana’s tooling and Rust-based workflows can port or build DeFi, NFT, and gaming applications with minimal friction.

SPL-compatible tokens are modified for this Layer-2 environment, while a decentralized canonical bridge is intended to move $BTC into wrapped representations for use in swaps, lending, and high-speed payments.

Smart money is moving, too. Whale buys include major purchases of $502.6K and $397K. Right now, $HYPER costs $0.013355 per token, and staking is at 40% APY. The next price increase, however, is just a few hours away.

Check out our guide to buying $HYPER to join the presale now.

For dip-buyers who just watched overleveraged longs get wiped out, reallocating into an early Bitcoin Layer-2 narrative like $HYPER is one way to seek higher upside without simply reloading perps.

If you believe the next Bitcoin cycle will be driven less by passive holding and more by on-chain activity, then a programmable, SVM-based Layer-2 becomes a clear speculative venue.

Disclaimer: This article is for informational purposes only and does not constitute financial, investment, or trading advice. Always do your own research and never invest more than you can afford to lose.

Authored by Aaron Walker for NewsBTC – https://www.newsbtc.com/news/bitcoin-dips-5-percent-liquidations-surge-bitcoin-hyper-booms