According to CoinGecko’s quarterly report, the overall crypto market cap fell 18.6% in Q1 2025. Trading volume on centralized exchanges also fell 16% compared to the previous quarter.
This report identified a few positive trends, but most of them contained at least one significant downside. Despite the market euphoria in January, recession fears are taking a very serious toll.
Crypto Suffered Heavy Losses in Q1
The latest CoinGecko report shows just how bearish the first quarter of the year has been. Although the crypto market started January with a major bullish cycle, macroeconomic factors have heavily impacted market sentiment for the past two months.
Crypto Market Cap Fell in Q1 2025. Source: CoinGecko
According to this report, crypto’s total market cap fell 18.6% in Q1 2025, a staggering $633.5 billion. Investor activity fell alongside token prices, as daily trading volumes fell 27.3% quarter-on-quarter from the end of 2024. Spot trading volume on centralized exchanges fell 16.3%, which CoinGecko at least partially attributes to the Bybit hack.
The report mostly focused on concrete numbers, but it pointed to a few specific events that impacted crypto. Markets hit a local high around Trump’s inauguration, thanks to market euphoria over possible friendly policies.
Bitcoin increased its dominance in Q1 2025, accounting for 59.1% of crypto’s total market cap. It hasn’t maintained that share of the market since 2021, symbolizing how much more stable it’s been than altcoins.
Nevertheless, BTC also fell 11.8% and was outperformed by gold and US Treasury bonds.
Bitcoin Slumps Despite Market Cap Dominance. Source: CoinGecko
ountless other areas saw similar results, but they’re too numerous to easily summarize.
That is to say, almost every quantifiable positive development came with at least one major caveat. Solana dominated the DEX trade, but its TVL declined by over one-fifth.
The crypto market has been fluctuating between bullish and bearish sentiment throughout the past week. As July draws to a close, a clear trend remains elusive. While some altcoins struggle to gain traction, others are already reaching new all-time highs.
BeInCrypto has analysed three such altcoins that could reach a new all-time high in the coming days.
Sky Protocol (SKY)
SKY is currently trading at $0.0994, just 6% away from its all-time high (ATH) of $0.1054. Investors have been eagerly awaiting this level for over seven months. The altcoin is showing signs of upward momentum, with the ATH now within reach if current trends continue.
The broader market’s bullish sentiment supports the expectation that SKY could soon reach its ATH. If the altcoin can successfully flip $0.1000 into a strong support level, it will likely surge to the ATH of $0.1054 and potentially exceed this price, further fueling investor optimism.
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On the other hand, if investors begin to cash in on their gains, SKY could face selling pressure. This may lead to a pullback towards $0.0920. If the support at this level fails to hold, it would invalidate the bullish outlook, potentially triggering a deeper decline.
Hyperliquid (HYPE)
HYPE has shown some stability in recent days after a decline to $42. The altcoin is currently trading at $44, which leaves it approximately 12% away from its all-time high (ATH) of $49. This recovery signals a potential for growth if the broader market remains favorable.
For HYPE to reach its ATH, it must first flip $46 into a strong support level. The performance of the broader market will play a crucial role in this. If HYPE can maintain upward momentum and secure $46, a rise to the ATH is within reach.
However, if HYPE fails to secure $46 and faces selling pressure, it could slip back to the support at $42 or lower. Such a drop would invalidate any bullish outlook for the altcoin and could lead to a further decline in price.
Saros (SAROS)
SAROS price is currently at $0.357, showing upward momentum after bouncing off the support at $0.341. The altcoin is roughly 20% away from its all-time high (ATH) of $0.427. This suggests that SAROS has the potential for further gains if the current trend continues.
During uptrends, SAROS has historically risen by 10-12% within a day. Given the current market conditions, if SAROS can secure $0.399 as support, the altcoin could likely reach its ATH of $0.427.
However, if selling pressure intensifies and SAROS falls below the support at $0.341, the price could drop to $0.293. Such a decline would invalidate the bullish thesis and suggest a deeper downtrend, reversing recent gains.
“This was due to an entity(s) on the Binance perpetuals market. That’s what triggered the entire cascade. The initial drop below $5 was triggered by a ~1 million USD short position being market-sold. This caused over 5% of slippage in literal microseconds. That was the trigger. This seems intentional to me. They knew what they were doing,” the analyst stated.
Pi Network: From Chainlink Buzz to Transparency Fears
Pi Network recorded strong optimism this week as its native Pi Coin surged by double digits. BeInCrypto attributed the surge to the announcement of a key integration with Chainlink.
They pitched this strategic collaboration as a gateway to real-world utility. Specifically, it positioned Pi closer to the broader DeFi and smart contract ecosystem. However, the euphoria proved short-lived.
Allegations suggest that, like the OM token, Pi coin lacks full clarity around circulating supply, wallet distribution, and centralized control. To some, these are potential red flags in an increasingly regulation-sensitive industry.
“The OM incident is a wake-up call for the entire crypto industry, proof that stricter regulations are urgently needed. It also serves as a huge lesson for the Pi Core Team as we transition from the Open Network to the Open Mainnet,” wrote Dr Altcoin.
Pi coin reversed gains within days, falling 18% from its weekly high. At the time of writing, PI was trading at $0.6112, up by a modest 0.7% in the past 24 hours, per CoinGecko.
Grayscale’s Altcoin Shake-Up: 40 Tokens Under Review
This week in crypto also showed that institutional investor interest in altcoins is heating up again, with Grayscale leading the charge.
The digital asset manager unveiled its updated list of assets under consideration for the second quarter (Q2) 2025. BeInCrypto reported that the list featured zero altcoins across sectors such as DePIN, AI, modular blockchains, and restaking. Among the notable tokens being eyed are SUI, STRK, TIA, JUP, and MANTA.
The update reflects Grayscale’s growing thesis around emerging crypto trends, particularly as the firm seeks to expand beyond its core Bitcoin and Ethereum products.
This announcement follows a broader strategic overhaul from three weeks ago when Grayscale reshuffled its top 20 list of altcoins by market exposure. Several older names were dropped at the time, while newer narratives like Solana-based DePIN and Ethereum restaking plays were pushed to the forefront.
The expansion into 40 coins signals Grayscale’s recognition of renewed retail and institutional appetite for differentiated assets. However, inclusion in the list does not guarantee a fund launch. It only indicates Grayscale’s active research.
XRP and SWIFT Partnership: Breaking Down the Rumors
There was speculation this week about a possible partnership between Ripple’s XRP and banking giant SWIFT in crypto.
This narrative was based on a misinterpreted document. A series of cryptic social posts exacerbated the speculation, which some took as confirmation of collaboration between the global payments network and the XRP ledger.
However, BeInCrypto’s in-depth reporting sank the rumors. While Ripple has long pursued banking institutions and SWIFT has shown openness to blockchain innovations, there is no verified partnership between the two.
SWIFT’s public-facing projects around tokenization and digital asset settlement do not include XRP.
Despite the debunking, the rumors sparked an important conversation about XRP’s long-term positioning. The token remains a top-10 asset and a favorite among retail investors banking on utility-driven price appreciation.
With Ripple’s legal battles with the SEC nearing resolution and international CBDC partnerships in the works, the project is far from irrelevant.
US Dollar Dives: What the DXY Crash Means for Bitcoin
The US Dollar Index (DXY) hit a three-year low this week, sending ripples through the crypto markets. Historically, a falling DXY has been bullish for Bitcoin, and this week was no different, with BTC reclaiming above the $84,000 range.
The greenback’s weakness reflects growing fears of fiscal deterioration in the US, as rate cuts loom and Treasury debt soars.
Japan’s 10-year bond yields hit multi-decade highs, forcing the Bank of Japan (BoJ) into increasingly precarious interventions. As Japanese liquidity spills outward, crypto and risk assets have become inadvertent beneficiaries.
This macroenvironment is ideal for Bitcoin. Weakening fiat, rising global liquidity, and crumbling bond market confidence create a perfect storm.
To round out Q2 2025, Coinbase is listing four new tokens: Newton (NEWT), Sonic (S), Subsquid (SQD), and POPCAT. The latter two are specifically available in the EU, where Coinbase recently obtained the MiCA license.
With the exception of Sonic, most of these listings had a strange impact on the token prices. These actions seem perfectly explainable, and Coinbase is continuing to build a diversified portfolio of available assets.
Coinbase’s Newest Listings
One of the major listings from this round was Newton Protocol’s NEWT token. The token launched earlier today with an airdrop on Binance Alpha.
Coibase has acted quickly to capture the high enthusiasm surrounding NEWT with a listing on the same date.
Newton (NEWT) is now live on https://t.co/CD3RBjtMAO & in the Coinbase iOS & Android apps with the Experimental label. Coinbase customers can log in to buy, sell, convert, send, receive or store these assets. https://t.co/676miKRrfh
Developed by Magic Labs, Newton Protocol is a crypto UX on-chain automation protocol powered by AI agents. It allows users to delegate complex, cross-chain actions to AI agents.
Over the past few months, Coinbase has seemingly accelerated its rate. Earlier this month, the US-based exchange listed PancakeSwap (CAKE) and Fartcoin – leading to a notable price impact.
Most recently, Coinbase received an MiCA license to enter the regulated EU market. As a part of its entry, the exchange has listed POPCAT and SQD for German residents.
The market impact of these listings was muted, as both tokens have been available on Coinbase in other regions. So, EU listing was highly priced-in.
Subsquid’s SQD token was also listed by Coinbase Global earlier this month, and now it’s available in the German market.
Regardless, the listing is a major boost for Subsquid’s ecosystem growth. The platform aims to power an open database network for AI agents, and increased availability can only help this goal.
Sonic saw notable corrections over the past week due to the high sell-off from airdrop recipients. However, the Coinbase listing has seen a sharp rebound in the altcoin’s price.
Sonic (S) Price Rebound After Coinbase Listing. Source: BeInCrypto
As per usual, Coinbase picked a scattershot of unrelated projects for its latest round of token listings. For example, NEWT and SQD both focus on AI, but they aim to use it in different ways.
At the moment, it doesn’t seem like Coinbase has any other big plans to change tactics for Q3. The exchange will undergo a systems upgrade next month, but it didn’t hint at any new features.
(@CoinbaseAssets) 
