Immutable’s (IMX) price has been on a significant downtrend recently, falling to multi-year lows. The token has suffered a sharp decline, and its price is currently hovering around $0.433.
If the current trend continues, there is a possibility that IMX could form a new all-time low (ATL).
Immutable Investors Are Giving Up
The supply of Immutable on exchanges has risen dramatically in the past two weeks. A total of 30 million IMX tokens have been added, increasing the overall supply to 165 million IMX. This surge in supply is worth approximately $13 million and indicates a shift in investor sentiment.
As investors begin to sell off their holdings, this suggests growing skepticism about the token’s future prospects. The trend has led to an increase in selling pressure, which further exacerbates the current price decline.
The overall macro momentum for Immutable appears to be unfavorable at this point. Active addresses, which measure the number of unique addresses engaging with the network, are at a low level. The lack of participation reflects investor hesitation and reduced confidence in the token’s potential.
When fewer addresses are interacting with the network, it generally indicates a lack of new capital entering the market. As a result, this decline in activity has contributed to the negative sentiment surrounding IMX.
IMX price is down nearly 40% over the past two weeks, with the 30 million token sell-off playing a significant role in the decline. At the time of writing, the price is at $0.433, holding just above the critical support level of $0.400. If this support is broken, the price could fall further, potentially reaching $0.375 or below, resulting in a new all-time low.
The continued drawdown suggests that the token may not see a recovery soon unless the market conditions improve. If IMX manages to hold above $0.400, there is a slim chance it could stabilize before testing further resistance levels. However, breaking through the $0.400 support would likely lead to more losses.
For a more optimistic scenario, IMX would need to reclaim the support level of $0.508. This could pave the way for a potential recovery, allowing the price to rise toward $0.684.
A successful breach of these levels could invalidate the bearish outlook and offer some hope for reversing recent losses.
Since US President Donald Trump assumed office, the Securities and Exchange Commission (SEC) has dropped, settled, or paused lawsuits against prominent crypto entities left and right. In stark contrast to the previous administration’s leadership under Chair Gary Gensler, the SEC seems to be parting from its previous crackdown on digital assets.
In an interview with BeInCrypto, Nick Puckrin, Founder of The Coin Bureau, and Hank Huang, Chief Executive Officer at Kronos Research, highlighted the substantial election influence the crypto industry had over Trump’s candidacy as a contributing factor to the SEC’s looser stance on crypto.
The SEC’s Approach Under Trump
The SEC has experienced a clear shift in its approach to crypto lawsuits under Trump’s presidency. Its move away from the aggressive enforcement tactics of its previous leadership has largely characterized this shift.
“When President Donald Trump won the US election, the crypto industry rejoiced. Finally, the ‘regulation by enforcement’ era, which the SEC under the leadership of Gary Gensler was so famous for, was about to come to an end. And the new administration didn’t disappoint. Within just a couple of weeks of Trump’s inauguration, the revamped SEC started dropping lawsuits against crypto firms left, right and center,” Puckrin said.
Two weeks ago, the SEC officially dropped its appeal and XRP lawsuit against Ripple Labs, ending a five-year legal battle. The Commission had originally accused Ripple of conducting an unregistered securities offering worth $1.3 billion through XRP sales.
“After more than four years in limbo, the SEC has officially decided that XRP is not a security (though what it is instead remains to be seen). This case has been weighing heavily on XRP – the fourth largest cryptocurrency with a market cap of roughly $130 billion– so its resolution is a major win,” Puckrin added.
The wider crypto community celebrated the outcome, with many arguing that it will set a precedent for how digital assets are classified in the US. This prediction is warranted, given that the SEC has been on a lawsuit-dropping spree.
The SEC has also dropped several ongoing investigations against OpenSea, Robinhood, Uniswap Labs, Kraken, and Gemini. It has also asked a federal court to issue a 60-day pause over its litigation against Binance. Meanwhile, the Commission settled its investigation into ConsenSys over its Ethereum software products.
These lawsuits surfaced in parallel to a series of crypto-friendly measures meant to foster greater innovation and curb potential regulatory suffocation that had existed during the Biden era.
Will New Leadership Define Clear Crypto Regulations?
A day after Trump assumed office, SEC Acting Chairman Mark Uyeda announced the creation of a dedicated crypto task force led by Commissioner Hester Peirce. The task force was reportedly designed to resolve long-standing ambiguities in the regulatory treatment of digital assets.
In all SEC crypto lawsuits, Commissioner Uyeda has implemented a strategy prioritizing industry engagement to develop regulatory frameworks that balance innovation and investor protection.
Meanwhile, Trump strategically nominated Paul Atkins, a crypto-curious, regulation-light candidate, to replace Gensler as head of the SEC. Just this week, the Senate Banking Committee voted to advance Atkins’ nomination to the full Senate.
Now, only a stone’s throw away from becoming SEC Chair, Atkins is expected to loosen regulatory oversight on crypto.
“With the establishment of a new Task Force and key appointees like Paul Atkins fostering innovation, Trump’s strategic move to create a Bitcoin reserve within the government further underscores his commitment to supporting the industry. The future of crypto regulations will be focused on less oversight and the beginning of a delicate but promising thaw in the regulatory landscape,” Huang added.
Though some say Trump’s handling of crypto affairs has resulted in a never-before-seen triumph, others are weary that his increasing involvement in the industry has turned out to be a recipe for disaster.
The Impact of Crypto Donations on Regulations
Several industry leaders went to great lengths to ensure that Trump became America’s 47th president. Millions of dollars in donations from crypto firms throughout Trump’s campaign illustrated these efforts.
According to a Public Citizen report, over $119 million from crypto corporations went into influencing the 2024 federal elections, largely through Fairshake, a non-partisan super PAC backing pro-crypto candidates and opposing skeptics.
Crypto corporations donated over $119 million to the 2024 federal elections. Source: Public Citizen
Coinbase and Ripple, among others who stand to profit, directly provided over half of Fairshake’s funding. The remaining funds mostly came from billionaire crypto executives and venture capitalists. Notable contributions included $44 million from the founders of Andreessen Horowitz, $5 million from the Winklevoss twins, and $1 million from Coinbase CEO Brian Armstrong.
So far, big crypto’s spending strategy is paying off with a more favorable environment.
Without a clear framework to guide the crypto industry following these dropped lawsuits, this lax approach risks being short-lived. Ultimately, this could tarnish long-term crypto adoption.
“Somehow, all these victories feel somewhat hollow after the reputation of the crypto industry has been tarnished by the billions of dollars in combined losses from meme coin scams. Meanwhile, Hayden Davis, the mastermind behind LIBRA, continues to launch fraudulent meme tokens, despite being on the Interpol wanted list,” he said.
A 2024 report by Web3 intelligence platform Merkle Science revealed that meme coin rug pulls cost investors over $500 million. The February LIBRA incident showed how this trend was carried over to 2025. Nansen data revealed that 86% of investors lost $251 million, while insiders pocketed $180 million in profits.
Though crypto scammers may be charged with related crimes like wire fraud or money laundering, rug pulling is legal. Better said, it’s unaccounted for. No regulation holds crypto insiders responsible for meme coin scams.
“As crypto becomes an ever more mainstream asset class, consumers need to be protected against those who choose to use it for nefarious purposes. One way to do this is through education, and that’s our job as an industry. But deterring scams and extractive behavior is the job of the regulators. And it’s time they stepped up to the task,” Puckrin told BeInCrypto.
If the SEC doesn’t take advantage of this opportunity to curb the consequences that meme coin scams can produce, it will result in an enormous setback for the industry.
Comprehensive Regulation Beyond Dropped Lawsuits
Puckrin illustrated the need for heightened regulatory clarity in crypto by drawing attention to the way the SEC penalizes insider trading in the context of traditional investing.
“In traditional investing, insider trading is a serious crime. In the US, it’s punishable by fines of up to $5 million for individuals and prison sentences up to 20 years. Similarly, federal penalties for engaging with illegal gambling activities include up to five years in prison. Perpetrators of memecoin scams must be punished with the same level of severity, because the result is the same: manipulating markets and cheating unsuspecting investors out of their savings,” he said.
Puckrin clarified, however, that the issue isn’t solely about penalizing fraudsters. Just as the SEC’s past overregulation hindered the industry, the current lack of meme coin rules creates an environment where new scams and exploitative schemes can easily flourish.
“Yes, the removal of lawsuits is great news for blockchain innovation, but something needs to replace it. Indeed, serious cryptocurrency firms have never advocated for an unregulated Wild West. What they want is clarity and rules that are fit for the nascent blockchain industry – not just a copy-and-paste of existing financial regulations that simply don’t work for crypto,” he said.
Although the Trump administration has only been in place for four months, the clock is ticking, and meaningful change takes time.
Unanswered Questions Loom
Puckrin expressed concern over the current administration’s prioritization of lawsuit dismissals instead of working faster to implement transcendental crypto regulation.
“My concern is that regulators will keep kicking the can down the road with crypto regulation, having gained the approval of the industry for dropping the many lawsuits that were stifling its growth. And this is incredibly dangerous,” he told BeInCrypto.
Meanwhile, critical questions that only the SEC can define remain unanswered.
“What are memecoins and who will ensure another LIBRA fiasco doesn’t happen? Are utility altcoins now commodities and if so, will the Commodities Futures Trading Commission (CFTC) regulate them? And, importantly, what do we do about compensating investors who have lost billions to crypto fraud?” Puckrin concluded.
The SEC’s current direction promises a regulated renaissance or a breeding ground for future crises.
With billions lost and critical questions unanswered, the future of crypto hinges on whether the regulatory body will translate its recent shift into a lasting framework that fosters innovation without sacrificing investor protection.
Bitcoin has seen some volatility recently, with its price facing significant challenges. Despite these setbacks, the cryptocurrency is forming a bullish pattern.
Investors, particularly short-term holders (STHs), have shown resilience by moving towards accumulation, which supports the notion of potential recovery in the coming weeks.
Bitcoin Investors Are Hopeful
Bitcoin’s realized losses have been a key indicator of the current market’s struggles. This week, the realized losses across all market participants reached $818 million per day, which is among the highest values in recent times. The only larger recorded loss was the yen-carry-trade unwind on August 5, 2024, which totaled $1.34 billion.
These substantial losses reveal that many investors have been forced to sell their positions below their cost basis, pressured by the ongoing market downturn. Despite this, the significant realized losses suggest that many investors are feeling the weight of the current volatility, yet some continue to hold their positions.
On a more positive note, Bitcoin’s network growth has been on the rise. The number of short-term holders has increased, with 50,000 more wallets on the network compared to a month ago. Specifically, there has been a rise of 37,390 new wallets holding less than 0.1 BTC, and 12,754 wallets holding between 0.1 and 100 BTC.
The growth in the number of Bitcoin wallets reflects strong conviction among these short-term investors. Despite the ongoing price fluctuations, their continued involvement in the market indicates that many are looking beyond the current downturn. This is an important factor in supporting Bitcoin’s potential recovery, as it suggests that the base of holders remains strong and that interest in the cryptocurrency is far from fading.
Bitcoin’s price has shown a 6% recovery in the last 24 hours, trading at $92,776 as of the latest update. The cryptocurrency is nearing the critical resistance level of $93,625, which it has struggled to breach in recent days. A successful breach of this resistance could mark the beginning of a bullish breakout, pushing Bitcoin higher.
If Bitcoin manages to flip $93,625 into support, it could pave the way for a rise towards $95,761. Such a move would also indicate a potential breakout from the descending broadening wedge pattern that has dominated the market in recent weeks. Should this happen, Bitcoin could find itself heading towards the psychologically significant $100,000 mark, marking a strong recovery from its recent volatility.
However, if Bitcoin fails to break through $93,625, it could fall back to the $89,800 support level. A failure to hold at this point could delay the recovery further and even push Bitcoin to test lower levels, with $87,041 acting as a crucial support. A move below this level would invalidate the bullish outlook and extend the current downtrend.
