Bitcoin and Ethereum Q1 Returns Both Record Worst Performance in 7 Years

On April 2nd, the Ethereum researcher mikeneuder.eth put forward EIP-7922. The purpose of this is to improve the Ethereum validator exit queue, enhance the exit flexibility and efficiency, and ensure the security of the system. It is reported that currently, Ethereum adopts a fixed exit limit for each epoch (approximately 16 exits), which ensures economic security (by controlling the number of exits to prevent security degradation). However, when the demand for exits surges, validators need to wait for a long time, increasing liquidity risks and financial costs. EIP-7922 proposes to dynamically adjust the exit quantity based on recent actual exit situations (for example, if the exit quantity has been low in the past two weeks, more exits can be allowed currently, thereby reducing waiting times), replacing the fixed limit. This proposal is currently in the draft stage.

On April 2nd, the Nasdaq-listed mining firm Bitfarms announced on the X platform that it has reached a preliminary agreement on a $300 million private debt financing with the Macquarie Group to provide funds for the initial development of the HPC project at Panther Creek in Pennsylvania. The initial funding amount is $50 million, and the maximum drawdown after the final documentation is signed is $300 million. It is expected that the Macquarie Group will fund the initial construction of the Panther Creek data center on a nondilutive basis.

On April 2nd, according to The Block's report, Analyst K33 said that tariffs continue to be a key factor influencing the market. The U.S. employment data to be released later this week may bring more volatility. (Goldman Sachs currently anticipates that Trump will announce an average 15% reciprocal tariff on all U.S. trading partners.) K33 Research Director Vetle Lunde and Senior Analyst David Zimmerman pointed out in a report on Tuesday. They noted that the increase in tariff expectations is reflected in the defensiveness of Chicago Mercantile Exchange traders. Futures premiums have dropped to 5%, while open interest has plunged to an 11-month low of 133,790 bitcoins. The offshore perpetual futures funding rate also indicates market caution, with the average rate over the past 69 days not reaching or exceeding neutral levels. The analysts stated that they expect the tariff announcement to have a significant impact on the market, and the correlation between stocks and Bitcoin is expe

On April 2nd, the Trump Media & Technology Group (DJT.O) filed an application to issue an extra 134 million common shares and submitted a filing to sell up to 8.4 million shares of stock. Currently, the Trump Media & Technology Group (DJT.O) has seen a 6% decline in pre-market trading. (FX168)

April 2: Aurelie Barthere, who is the Chief Research Analyst at Nansen, mentioned that based on Nansen's data, there is a 70% likelihood that cryptocurrency prices will reach a bottom from now until June. Currently, the trading prices of BTC and ETH are respectively 15% and 22% lower than this year's highs. Given this data, the forthcoming discussions will act as significant market indicators. Once the most difficult part of the tariff negotiations comes to an end, a more definite opportunity for cryptocurrencies and risk assets to bottom out will present itself.

On April 2nd, Glassnode announced on social media that although the wealth share held by BTC investors who purchased the cryptocurrency 3 to 5 years ago has decreased by 3 percentage points since Bitcoin reached its peak in November 2024 of this cycle, it still remains at a historical high. The cost basis of this group of investors ranges from the low of $3,600 in 2020 to the high of $69,000 in 2021. This shows that the majority of investors who entered the market between 2020 and 2022 are still holding. In contrast, among investors who bought BTC 5 to 7 years ago, more than two-thirds had exited their positions by December 2024 when the peak was reached.