Coin Metrics Week in Review | February 3 - February 9, 2025

Happy Monday!??Here’s a look at the latest industry updates and highlights for the week ending February 9th. In State of the Market, we saw President Trump’s tariffs send shockwaves through global markets, driving Bitcoin below $100K and triggering widespread liquidations before a partial rebound. Institutional investors capitalized on the dip, with BlackRock ’s ETHA ETF significantly increasing its ETH holdings. Meanwhile, regulatory shifts gained momentum as SEC Commissioner Hester Peirce outlined crypto oversight priorities, and White House AI and crypto czar David Sacks pushed for stablecoin clarity. In DeFi, Uniswap Labs ’s v4 upgrade introduced enhanced liquidity tools, reinforcing its role as a cornerstone of on-chain finance. In State of the Network, we examine the record-breaking activity seen on Solana's network with the launch of the $TRUMP memecoin, fueling trading surges, stablecoin expansion, and a key stress test for the network.?.

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In our 207th issue of State of the Market, we witnessed global financial markets reel as President Trump imposed sweeping tariffs, sparking inflation fears and market volatility. Meanwhile, crypto markets reflected the turbulence, with Bitcoin plunging below $100K and altcoins experiencing steep losses before partial recoveries. Despite the uncertainty, institutional investors seized the opportunity, with BlackRock’s ETHA ETF significantly increasing its ETH holdings.

Here are the top takeaways:

• Tariffs Shake Markets: Trump's tariffs on Canada, Mexico, and China triggered economic fears, pushing Bitcoin to ~$92K and causing steep altcoin losses. A temporary pause eased some pressure.
• Institutional Buying: BlackRock’s ETHA ETF added 100,535 ETH ($276.2M), boosting holdings to 1,352,934 ETH ($3.71B), showing strong investor confidence.
• 微策略 Rebrands: Now "Strategy," the firm deepened its Bitcoin focus despite reporting a $670.8M Q4 net loss on $120.7M revenue.
• SEC's Crypto Plans: Commissioner Hester Peirce outlined key priorities like security vs. commodity classifications and regulatory clarity.
• Stablecoin Regulation: White House AI and crypto czar David Sacks backs a bill by Sen. Bill Hagerty to establish clear stablecoin regulations.
• Uniswap v4 Upgrades: Uniswap introduced "Hooks" contracts, enabling flexible liquidity and trading mechanisms to drive DeFi innovation.

Read State of the Market

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In the 297th issue of State of the Network, we examine the impact of the $TRUMP memecoin launch on Solana, which drove record trading volumes, increased stablecoin supply, and provided a stress test for the network. Meanwhile, global markets reacted to President Trump’s new tariffs, triggering over $2B in crypto liquidations.

Here are the top takeaways:

• $TRUMP Fuels Solana Surge: The launch of $TRUMP sparked a surge in trading, pushing exchange volumes to $20.5B and boosting active wallets to 6.5M (+25%).
• Stablecoin Growth: Solana’s stablecoin supply expanded to $12B, with USDC making up 81%, enhancing liquidity across the ecosystem.
• Network Under Pressure: Total fees rose to $30.6M amid congestion, with mean fees spiking but median fees staying stable, showcasing Solana’s resilience.
• Market Volatility and Liquidations: Trump’s new tariffs on Canada, Mexico, and China rattled global markets, sending Bitcoin below $100K and causing $2B in crypto liquidations.
• Meme Coin Rotation: Liquidity quickly shifted from $TRUMP to $MELANIA, reflecting the cyclical nature of the memecoin sector.
• DeFi Innovation: Solana’s ecosystem, including platforms like Pump.fun and Moonshot, saw increased engagement, reinforcing its status as a retail-driven blockchain.

Read State of the Network

Source: Coin Metrics Network Data Pro

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Until next week,

The Coin Metrics Team