In recent market activity, Dogecoin (DOGE) has experienced a 3% decrease, while both Bitcoin (BTC) and Ether (ETH) have remained relatively unchanged over the past 24 hours. This movement comes as tariff concerns among traders appear to be easing, yet the specter of a potential U.S. recession has crept into betting markets, with odds of a downturn in 2025 estimated between 40% and 60%.
Augustine Fan, head of insights at SignalPlus, expressed to CoinDesk via Telegram, “Prominent financial figures have started to warn that the US is heading into an imminent recession. Our view is that it probably doesn’t matter, as sentiment often frames reality, not the other way around.”
The recent developments in the cryptocurrency landscape indicate a beneficial adjustment as volatility in equities surpasses that of Bitcoin, amidst a risk-off trading environment. Fan noted, “A beggar-thy-neighbour policy with tariffs has pushed spot gold to ATHs, with BTC finally regaining some of its long-lost ‘store of value’ narrative.”
Data from CoinDesk 20 (CD20) reveals that major cryptocurrencies have seen a nearly 2% decline, with DOGE leading the losses. Among the notable losers are Solana’s SOL, Tron (TRX), and Cardano’s ADA, each dropping by as much as 2.5%. In contrast, BNB Chain’s BNB and XRP showed little movement while Bitcoin remains resilient, hovering around the $85,000 threshold.
In more positive news, Mantra’s OM token surged 20% within a day, trading at 63 cents during Tuesday’s morning hours in Asia, recovering from a drastic sell-off that saw it plummet by 90% within an hour on Sunday. The company’s CEO discussed an upcoming recovery plan, although market participants are cautiously optimistic regarding its potential.
On a similar note, the Story Protocol’s IP token fell by 20% before rebounding over 30% shortly afterward, as the market braced for potential sell-offs similar to the aforementioned OM incident.
In another development, VeThor’s VTHO saw an impressive 37% increase after UFC CEO Dana White joined the protocol as a strategic advisor, raising hopes for greater mainstream recognition and adoption of this RWA-focused token. More details can be found on their official Twitter channel: VeChain Twitter.
Moreover, Singapore-based QCP Capital shared insights via their Telegram broadcast, asserting that BTC risk reversals remain skewed toward puts through June, reflecting a cautious stance in the immediate term. They noted a positive shift in long-term sentiment, citing aggressive buying of Bitcoin call options for March 2026 with strike prices at $100,000—a notable interest that now carries a notional value of nearly $1.2 billion.
Despite the current state of caution, some traders believe that the challenging sell-offs related to tariffs may soon be behind us, leading to more positive sentiments in the near future. Jupiter Zheng, a partner at HashKey Capital, highlighted the Federal Reserve’s readiness to intervene and stabilize markets should a crisis arise due to tariffs, bolstering current market resilience.
As the U.S. navigates ongoing trade negotiations with various nations, there is a collective sense of hope that the most turbulent period could soon be behind us, paving the way for a more stable market outlook.
