Activity on Solana has spiked as new AI tech makes it easier than ever to 
launch memecoins. Meanwhile, Ethereum is plugging away at future-proofing and 
bringing down fees.

Active Solana addresses spike 115%, four in 10 merchants take Bitcoin: Month in Charts

Following the passage of the virtual asset service providers (VASP) Act (Act 
1154), the Bank of Ghana has launched the National Virtual Assets Literacy 
Initiative. Strengthening Oversight and Consumer Protection The Bank of Ghana 
(BOG) recently launched a cryptocurrency awareness initiative dubbed the 
National Virtual Assets Literacy Initiative (NAVALI). The launch of NAVALI is 
a […]

Ghana Further Formalizes Digital Asset Sector with Education Campaign

After surging toward the $100,000 mark a few days into the new year, the price 
of Bitcoin looks set to end January in stark contrast to how it started the 
month. On Thursday, January 29, the flagship cryptocurrency fell to a multi- 
month low of around $81,500, with the general market sentiment worsening over 
the past few weeks. Going into the weekend, the price of Bitcoin has somewhat 
cooled off, recovering above the $93,000 level on Friday, January 30. 
Interestingly, the latest on-chain data suggests that the market leader is 
only on the verge of another violent price movement. BTC Setting Up For A 
Violent Liquidation Cascade In a Quicktake post on the CryptoQuant platform, 
CryptoOnchain shared insights into the current on-chain condition of the 
Bitcoin price. According to the market quant, the Bitcoin Estimated Leverage 
Ratio (ELR) witnessed a notable upswing on Binance, the world’s largest crypto 
exchange, while price was undergoing its most recent correction. Related 
Reading: Bitcoin Needs Deeper Liquidity Before A Real Recovery Takes Shape: 
Analysts For context, the Estimated Leverage Ratio is an on-chain metric that 
tracks the ratio between open interest and the reserve of an exchange 
(Binance, in this case). This metric measures the average amount of leverage 
used by the traders in a particular market or exchange. A higher ELR signals a 
higher market risk, suggesting that small price movements could lead to 
significant liquidations. According to data from CryptoQuant, CryptoOnchain 
highlighted that the Bitcoin Estimated Leverage Ratio recently spiked to a 
critical level of 0.188 when the price fell to around $81,500, indicating that 
the Open Interest is exceptionally high relative to the exchange’s reserves. 
Furthermore, CryptoOnchain shared that the divergence between rising leverage 
and falling prices is a classic “bearish divergence” signal in the derivative 
market. “It indicates that despite the price weakness, traders are 
aggressively increasing their leverage positions,” the on-chain expert added. 
What’s more, CryptoOnchain revealed that when the market becomes heavily over- 
leveraged during a price correction, it implies that the traders are either 
“buying the dip” with high leverage or increasingly taking short positions. 
The market quant said this setup usually precedes a “violent liquidation 
cascade.” Overall, CryptoOnchain concluded that the market is currently in a 
high-tension zone, with the combination of peak leverage and low prices 
suggesting that a “squeeze” is imminent. The analyst, however, clarified that 
the direction of the next violent movement depends on the dominant side (bulls 
or bears) of the market. Bitcoin Price At A Glance As of this writing, the 
price of BTC stands at around $84,200, reflecting a nearly 1% jump in the past 
24 hours. Related Reading: Here’s Why The Bitcoin And Ethereum Prices Are 
Still Trading Sideways Featured image from iStock, chart from TradingView

Bitcoin Estimated Leverage Ratio Spikes To New High — Fresh Volatility Ahead?

The October crash highlights the urgent need for stricter risk management and 
transparency in crypto markets to prevent systemic failures.
The post OKX CEO blames irresponsible USDe yield campaigns for October flash 
crash appeared first on Crypto Briefing.

OKX CEO blames irresponsible USDe yield campaigns for October flash crash

The US Treasury has sanctioned two UK-registered crypto exchanges tied to 
Iran’s financial system, marking the first time Washington has targeted 
digital asset platforms.

Cryptocurrency price in EUR