Reason to belief
Strict editorial coverage that focuses on accuracy, relevance, and impartiality
Created by business consultants and meticulously reviewed
The highest requirements in reporting and publishing
Strict editorial coverage that focuses on accuracy, relevance, and impartiality
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
According to CoinGecko’s 2025 Q1 Report, the cryptocurrency market, led by Bitcoin, misplaced practically one-fifth of its worth within the first quarter of 2025, absolutely negating the beneficial properties made in direction of the top of 2024.
Related Reading
Total market worth witnessed a drop of $3.8 trillion to $2.8 trillion, an 18.6% decline over the quarter. This sharp plunge marked the turnaround earlier than the inauguration of Donald Trump as US president, in stark distinction to final yr’s ramp up. Trading quantity additionally suffered some contractions, because the day by day volumes dropped to $146 billion, a lower of 27%.
Bitcoin Rules Market While Others Decline
Bitcoin insulated itself moderately from the turbulence in different cryptocurrencies in order that its market share reached practically 60%, the best in 4 years. Bitcoin achieved peak valuation at $106,182 in January shortly after inauguration however plunged nearly 12% to complete the quarter at $82,514.
Compared with Bitcoin throughout this era, gold and US Treasury bonds have been conventional safe-haven investments with decrease efficiency.
Compared to Ethereum, nonetheless, the state of affairs was a lot worse. Its worth fell by 45%, basically wiping out all beneficial properties in 2024. Its market share dropped to nearly 8%, the bottom it has been because the finish of 2019.
As it has been noticed by most analysts, this downturn is just not one thing new since an increasing number of actions have shifted towards “Layer 2” networks constructed atop Ethereum and never utilizing the Ethereum most important community.
Meme Coins Crash After Major Scam
The beforehand red-hot meme coin area obtained a impolite wake-up name in early 2025. Following a increase in Trump-themed tokens, the business was severely damage when the Libra token – launched by Argentina’s President Javier Milei – proved to be a scam.
The mission was deserted by builders after that they had taken buyers’ funds, shattering confidence in such tokens. By late March, new token launches on the platform Pump.enjoyable per day had dropped by over 50%.
DeFi Industry Loses More Than A Quarter Of Its Value
Not even the decentralized finance (DeFi) business was exempted. Overall cash in DeFi tasks dropped 27% to $48 billion in the course of the first quarter. Ethereum’s dominance within the DeFi area declined to 56% by quarter-end.
Related Reading
Not every thing was detrimental, although. Stablecoins resembling Tether (USDT) and USD Coin (USDC) grew to become extra standard with buyers searching for a safer wager because the market tanked.
Solana additionally remained in its management place, holding 39.6% of all decentralized alternate (DEX) buying and selling throughout Q1, courtesy principally of meme coin mania. Even Solana’s management, nonetheless, began to wane on the finish of the interval because the meme coin mania declined.
The dramatic shift in market sentiment exhibits how shortly cryptocurrency fortunes can change. After a promising finish to 2024, the brand new yr introduced a harsh actuality examine for crypto buyers, with practically $1 trillion in market worth disappearing in simply three months.
Featured picture from Pexels, chart from TradingView
