Bitcoin-Native Startups Thrive Amid Sector Capital Decline
Despite a broader downturn in capital allocation to the cryptocurrency sector in 2024, Bitcoin-native startups have emerged as a bright spot, witnessing a notable surge in funding. This positive trend underscores the enduring appeal and potential of Bitcoin-focused ventures, even as the overall market grapples with challenges.
Bitcoin-Native Startups Witness Funding Surge Amid Capital Decline
Despite an overall decline in capital allocated to the sector in 2024, Bitcoin-native startups saw a significant boost in funding. According to a new report by Trammell Venture Partners (TVP), the number of unique Bitcoin-native companies funded rose 27.5% year-on-year, with the number of individual transactions growing 31.8%. However, the total amount of capital raised across these deals fell 22.1% compared to 2023, totaling $234 million for the year. The report focused specifically on early-stage Bitcoin-native software startups, excluding mining operations and atypically large or late-stage funding rounds. A ’Bitcoin-native’ company was defined as one founded on the principle that Bitcoin serves as a foundational global monetary asset.
Bitcoin Hashrate Hits Record 972 EH/s; US Miners Capture 30% Market Share
Bitcoin’s network activity is reaching new heights, with the hashrate surpassing a historic milestone of 972 exahashes per second (EH/s). This surge indicates a growing commitment from miners despite unfavorable market conditions and highlights the network’s enhanced security and resilience. Publicly traded mining companies in the United States are gaining a stronger foothold in the global mining landscape, capturing 30% of the market share.
Whales Bet Against BTC Price as Bitcoin Futures Hit $100B Surge
Bitcoin Futures have reached record highs, with trading volumes surging past $100 billion, even as the Bitcoin (BTC) price traded below $85,000. This rise reflected renewed interest from both institutions and retail traders. However, larger bearish undertones took over the market as whales started establishing short-term positions, indicating an approaching market correction. Despite positive indicators across on-chain and derivative platforms suggesting that market momentum will remain positive, the recent whale trend may point towards an upcoming market adjustment. Market-leading whales are actively using futures platforms to create short positions, reflecting their expectation of limited price growth. Retail traders, on the other hand, maintain their long-position investments, signaling Optimism for rising prices.
Analyst Confirms $200,000 Year-End Price Target for Bitcoin Despite Tariff Pressures
Bitcoin’s price has faced pressure due to newly announced U.S. tariffs, but analysts remain confident in its long-term outlook. Despite today’s market decline, some experts predict BTC will rise to new highs before the end of the year. Bitwise’s Head of Research Ryan Rasmussen has confirmed the firm’s $200,000 year-end price target for Bitcoin, stating that the recent market turbulence is merely a temporary setback. Rasmussen believes that once the market recovers from this volatility, it will start to pull back to the upside. He analogizes good news as dry powder stored for when this uncertainty eventually subsides.
Bitcoin’s Market Dominance Holds Strong Despite Minor Dip
Bitcoin remains the top cryptocurrency, holding a $1.6 trillion valuation despite a 1.8% price drop to $83,078. Jack Dorsey, CEO of Block, emphasized that Bitcoin must evolve beyond being just a store of value to remain relevant as a widely used payment method. Dorsey confirmed ongoing work to integrate Bitcoin payments into Square and Bitkey, though he noted it’s not as simple as flipping a switch. On April 3, Dorsey stated his company remains dedicated to making Bitcoin accepted in its Square terminals and Bitkey platform.
