Newton Protocol, a decentralized finance (DeFi) project, recently launched its token NEWT on Binance Alpha, accompanied by a highly anticipated airdrop. However, the airdrop did not yield the expected outcome.
Instead of boosting investor demand and value, it led to a significant price drop of nearly 40%, sparking concerns among holders.
Newton Protocol Has A Long Way To Go
The airdrop associated with the Newton Protocol has received mixed reactions from investors. Some investors have expressed disappointment, labeling the token a potential failure after the airdrop did not generate sustained interest. This has been followed by a sharp price decline and a dump of tokens as market sentiment soured.
On the other hand, some investors are praising Newton Protocol’s creative word-of-mouth/referral strategy. Through the Kaito ecosystem, users have been promoting the token to their networks. This grassroots marketing approach is being viewed as an attempt to build organic growth, according to Kaito Founder Yu Hu.
“Magic Newton are a great example of what we’re increasingly focusing on fostering – yappers bringing real users with real adoption (Kaito ecosystem referrals represent 1/3 of all Newton verified agents). on this note, we are thinking about incorporating opt-in onchain reputation to help further filter out AI slops and reward high-quality real users,” Hu stated.
One key factor that could boost investor confidence is Newton Protocol’s team’s commitment to ensuring a fair and stable market. The protocol has put measures in place to prevent flash selling and pump-and-dump schemes.
All tokens allocated to team members and early investors are subject to a vesting schedule, prohibiting them from being sold until fully unlocked. This move helps create a more stable market environment and discourages speculative behavior.
NEWT Price Has To Stabilize
The recent price movement of NEWT has been largely driven by the airdrop. The price began to fall almost immediately after the launch. In just 12 hours, the token saw a drastic 40% drop, showing a clear disconnect between the anticipated demand and the market’s actual response.
Currently trading at $0.462, NEWT has failed to secure $0.466 as a support level. As the price continues to slide, it is approaching the next critical support at $0.400. If the price falls below $0.400, further losses are likely, with stronger selling pressure expected to drive the price lower. This would indicate that the initial enthusiasm for the token has waned.
However, if the Newton Protocol can regain momentum and secure the $0.466 level as support, it could signal a reversal in price. In this scenario, the altcoin could bounce back to $0.560, which would invalidate the current bearish outlook. This would require sustained buying interest and a more favorable response from the market.
Bitcoin is back to $105,900 after the Israel-Iran ceasefire on Tuesday. However, sudden panic and FUD from newer Bitcoin whales are increasingly fueling volatility for the largest cryptocurrency.
CryptoQuant highlights large realized losses by new whales as a key driver. These investors have sold Bitcoin aggressively under pressure, amplifying market downturns.
How New Whales Drive Bitcoin’s Recent Price Swings
Between June 14 and June 22, whales realized approximately $228 million in Bitcoin losses, according to CryptoQuant analyst JA Maartunn. A significant spike occurred on June 17, with $95 million in losses in a single day.
Most of these losses—nearly $85 million—came from new whales, compared to only $8.2 million from older whale investors.
Another notable spike appeared on June 22, totaling $51 million, more evenly split between new and old whales.
New whales, who recently entered at higher price levels, appear more prone to panic selling amid geopolitical tensions. Their rapid exits intensify price swings and reinforce resistance at critical levels, particularly near $111,000.
Exchange Whale Ratio Shows Selling Pressure
Further supporting this trend, CryptoQuant’s Exchange Whale Ratio remained elevated through much of June.
This indicator is a measure of whale activity on exchanges. A high ratio indicates whales actively depositing Bitcoin to exchanges, typically ahead of selling.
Data shows this ratio rising around Bitcoin’s attempts to break above $110,000. Whales appeared to prepare sell orders at this level, limiting potential upward momentum.
The ratio briefly fell as Bitcoin dipped below $102,000, then climbed again when prices rebounded toward $105,900.
Newer whale investors seem especially sensitive, reacting quickly to negative headlines.
Such rapid selling triggers further volatility. Leveraged traders face margin calls, amplifying price declines and hindering sustained upward momentum.
A recent Cambridge report confirms that the United States now leads global Bitcoin mining, prompting questions about how China will respond. Though the country has long held an anti-crypto stance, Chinese mining pools have historically controlled a substantial portion of the global Bitcoin hashrate.
The US’s current competitive edge and renewed hostility over trade policy might motivate China to recapitulate. BeInCrypto spoke with representatives from The Coin Bureau and Wanchain to understand what might encourage China to change its stance toward digital assets.
US Overtakes China as Top Bitcoin Mining Hub
The US has firmly established itself as the world’s largest Bitcoin mining hub. A recent Cambridge Centre for Alternative Finance (CCAF) report revealed that the US accounts for 75.4% of the reported hashrate.
Global distribution of Bitcoin mining activity. Source: CCAF.
This newest development confirms a notable reversal of power over Bitcoin mining dominance. China emerged as the world’s leading Bitcoin mining nation as early as 2017, leveraging its extensive mining infrastructure and low electricity costs to contribute upwards of 75% of the global hash rate at one point.
Yet, the country would later crack down on the industry.
China’s Crypto Crackdown
In 2019, the National Development and Reform Commission of China (NDRC) signaled its intention to prohibit cryptocurrency mining by releasing a draft law categorizing it as an “undesirable industry.”
Two years later, at least four Chinese provinces began shutting down mining operations. These crackdowns intensified amid concerns over excessive energy consumption.
However, China possesses a proven capacity to adjust to geopolitical shifts that could jeopardize its economic dominance, and the current environment may present such a challenge.
Has Bitcoin Mining in China Truly Stopped?
Even with China’s official stance toward crypto, mining activity has not stopped within the region. In July 2024, Bitcoin environmental impact analyst Daniel Batten reported that the hashrate within China currently accounts for approximately 15% of the global total.
7/8
Bottom lines: 1. 15%+ hashrate still comes from China
2. If you have 200-500 miners and want to do renewable-energy mining, you’re welcome
3. This is particularly in Inner Mongolia, the Texas of China, which has a lot of wasted renewable power they want to monetize pic.twitter.com/r6QUgmLmjT
“Despite the official ban, the infrastructure is already in place: from offshore mining to cross-border trading hubs. With more global momentum behind crypto adoption and the US taking the lead, China may find itself incentivized to lean in more strategically, even if unofficially,” Nic Puckrin, Co-founder of the Coin Bureau, told BeInCrypto.
China also has a geographical advantage over the United States, especially regarding technological advancements.
Crypto mining, especially for proof-of-work cryptocurrencies like Bitcoin, depends on Application-Specific Integrated Circuit (ASIC) equipment to handle the necessary complex calculations for validation and mining.
China’s position as a top exporter of crypto mining hardware, particularly to the US, gives it a potential advantage should it decide to revive its mining sector.
Puckrin believes that the combination of trade friction and the US’s invigorated push for crypto dominance might be sufficient to make China reconsider its position.
“It’s unlikely China will make a public U-turn on its crypto mining and trading ban anytime soon. However, with US-based miners accounting for higher and higher proportions of Bitcoin’s hashrate, China is bound to be paying attention and may well be quietly reassessing its stance,” Puckrin told BeInCrypto.
However, China has strategies beyond restarting its Bitcoin mining industry to undermine the United States’ dominance.
China’s Nuanced Approach Beyond US Influence
Even though China opposes the widespread use of cryptocurrencies domestically, it may still see value in digital assets to counterbalance the US dollar’s global currency dominance.
Several countries worldwide have either adopted or are considering central bank digital currencies (CBDCs) to strengthen their domestic currencies. China is at the forefront of these developments.
“Despite the ban on Bitcoin mining, China has actively participated in the digital asset space, through initiatives like CDBC research and the digital yuan, or e-CNY,” Wanchain CEO Temujin Louie told BeInCrypto.
In fact, China’s efforts to create a digital yuan are partly driven by its desire to de-dollarize its economy and lessen its dependence on the US dollar.
Louie also suggested that whatever move China makes, it won’t solely base its decision on what the US does or does not do.
That said, China’s decisions about digital currency will, in turn, affect how its position on crypto continues to develop.
“Weakening USD dominance, whether exacerbated or caused by President Trump’s approach to tariffs, may embolden China to be more aggressive in [its] efforts to internationalise the yuan, including the digital yuan, or e-CNY. Any change to China’s broader strategy will be reflected in [its] stance towards crypto,” he concluded.
China’s activity in other areas of international trade already proves how nuanced its policy changes tend to be.
Could China’s Conflicting Crypto Policies Signal a Change?
Aside from its appreciation of digital currencies like the e-CNY, China’s stance on crypto has already proven somewhat contradictory. These discrepancies may fuel the belief that the country might just be willing to revert—or at least soften—its total ban on mining.
A month ago, investment firm VanEck confirmed that China and Russia –two countries particularly burdened by US sanctions– are reportedly settling some of their energy trades using Bitcoin.
Russia and China are settling oil trades in BTC. I’ve heard first hand accounts of similar transactions with Venezuela. Full tankers are settled in BTC on the “grey” market. The U.S. Government crossed the Rubicon in 2022 by seizing Russian assets at the Federal Reserve and… pic.twitter.com/Y8OwJROw9W
“With the US dollar increasingly being used as a political lever –particularly in tariffed economies– other nations are actively exploring alternatives. Indeed, many countries around the world, including China and Russia, are already using Bitcoin as an alternative for trading in commodities and energy, for example. This trend is only going to accelerate as digital assets become a more prominent part of the global economy,” Puckrin told BeInCrypto.
According to Puckrin’s analysis of these indicators, China’s “shadow crypto economy” is projected to expand this year, which could result in a reassertion of its power. This resurgence would be primarily in response to de-dollarization efforts, rather than a reaction to US dominance in mining.
“We’ll likely see this activity ramping up in the near future, especially as more countries use crypto to bypass dollar-dominated systems,” he concluded.
It will remain crucial to interpret China’s intentions, especially regarding cryptocurrency, by observing its actions rather than relying solely on its official statements.
Rice Robotics, a firm specializing in AI-powered robots, is partnering with Floki. The company will launch a Floki-themed robot and its own RICE token, which will be airdropped to FLOKI holders.
The minibot will be an AI-powered task assistant that can offer several services to users. Users will receive RICE tokens for interacting with the minibots, as human data can help train the firm’s AI models.
Today, Floki broke new ground with its Rice Robotics partnership, possibly becoming the first major business relationship between these two spheres:
RICE ROBOTICS TO LAUNCH A CUSTOM FLOKI AI-POWERED ROBOT AND THE $RICE TOKEN
AI robotics startup @realRiceAI will launch a custom Floki AI-powered companion robot. The AI-powered companion robot, named the FLOKI minibot M1, will be natively integrated with the RICE AI… pic.twitter.com/6QQjpBFGqO
Rice Robotics is the parent company that produces the robots, but Rice AI focuses on the software and DePin protocol that powers these machines.
The firm will launch its RICE token through TokenFi, a tokenization platform part of the Floki ecosystem.
Initially, waitlist users and FLOKI holders will receive the RICE tokens in the ensuing airdrop. After this, the main way to farm new tokens will be through interacting with physical robots.
Essentially, the FLOKI M1 minibots can help users with tasks in the house, and they will receive RICE tokens for interactions. In other words, the Floki-themed robots will record human data to train AI protocols.
Users will be financially rewarded for using their robotic assistants, which have several practical uses. The program may extend to other minibots in the future.
The FLOKI M1 minibot is a very ambitious project, and Rice Robotics already has a waitlist open. In the past, it has worked with high-profile clients such as Nvidia (which has an interest in robotics), Softbank, Dubai Future Foundation, and 7-Eleven. The minibot itself will be powered by Nvidia’s nano-computer.
The firm raised $7 million in Series A funding earlier this year and counts SoftBank as a major AI customer. One of its key investors is e-commerce giant Alibaba.
It will be very interesting to see whether Floki and Rice Robotics have a successful partnership. This endeavor is truly unlike anything that the crypto industry has seen before.
Robotics and meme coins don’t have much in common on the surface, but they could combine popular appeal with real usefulness.
