Market Wrap: Bitcoin, ETH and DeFi Assets Fall as Investors Focus on Downside

An influential survey shows 60% of respondents thought bitcoin could hit $10,000 before it recovers


blockworks exclusive art by axel rangel


key takeaways

  • Bitcoin fell back sharply after rallying to $22,000 last Friday
  • The upcoming release of the US CPI report and the kickoff of the second quarter’s earnings season add to uncertainty

Bitcoin fell to well below $21,000 Monday after climbing to $22,000 last Friday. The cryptocurrency dropped 2.2% to $20,489, while ether (ETH) dipped 3.1% to $1,140 as of 4:00 pm ET Monday. 

Major cryptoassets’ slide came after the Bloomberg MLIV Pulse survey found that 60% of respondents thought bitcoin (BTC) would head lower to $10,000 while 40% saw it climbing to $30,000.

[stock_market_widget type=”accordion” template=”chart” color=”#6F24CA” assets=”BTC-USD,ETH-USD” start_expanded=”true” display_currency_symbol=”true” api=”yf” chart_range=”1mo” chart_interval=”1d”]

Among the sectors hit hardest today was decentralized finance (DeFi). Uniswap’s token was down 8.17% to $5.83, while Maker’s token fell by 4.09% to $917.02. Aave’s token dropped 2.59% to $75.47.

US equities also skidded, with the DJIA closing 0.5% lower at 31,173.84, while the S&P 500 dropped 1% and Nasdaq was down 2.3%.

[stock_market_widget type=”accordion” template=”chart” color=”#6F24CA” assets=”^IXIC,^DJI,^GSPC” start_expanded=”true” display_currency_symbol=”true” api=”yf” chart_range=”1mo” chart_interval=”1d”]

Despite Monday’s slide in the major indexes, Nicholas Colas, co-founder of DataTrek Research, believes there could be more upside, at least in the short term. “The current move higher for US large caps may have a little further to run, but we are already most of the way through the ‘typical’ 2022 bear market rally (up 6% versus 7 – 11%),” he wrote in a note Monday.

Oil prices tentatively resumed their downward trend as China’s new wave of Covid-19 cases rises. WTI Crude Oil for August delivery was down 1.38% to $103.34 per barrel, while Brent Crude (ICW)’s price fell by 0.7% to $106.27 for September delivery, according to Wall Street Journal’s real-time data. 

The euro is still gradually closing in on parity with the USD as experts warn of an impending economic slowdown in Europe. 

“Germany, the industrial powerhouse of Europe, is facing a dramatic drop-off in production thanks to the Russian threat to cut off natural gas, and France just nationalized its national utility company to keep energy costs down.” Michael Rosmer, CEO and co-founder of DeFiYield, told Blockworks. “This is going to ripple through all markets, not just crypto, but crypto and equities will likely face the most volatility as a result,” he said. 

“Even more investors will flee to safe-haven assets, meaning that without positive news to counterbalance Europe’s economic struggles, investors could be due for further pain,” Rosmer added. 

Top Stories

3AC Co-Founders Remain Silent, Creditors go to Court

  • Crypto hedge fund Three Arrows Capital’s founders Su Zhu and Kyle Davies “have not yet begun to cooperate with the Foreign Representatives in any meaningful manner,” a court document filed last Friday showed. 
  • In a court hearing Tuesday, Zhu and Davies were mute and unseen on a Zoom call. 

What Could Crypto M&A Look Like in This Year’s Second Half?

  • Mergers and acquisitions activity in the crypto industry in the first half of 2022 surpassed last year’s record pace. 
  • “Many companies may not be able to get through [the current market downturn] depending on how much money they’ve raised and the resources they have,” Kavita Gupta, founder of the Delta Blockchain Fund, told Blockworks.

Funding Roundup: Despite Bear Market, Money Is Still Pouring Into Crypto

  • Nexo expressed interest in buying Vauld to accelerate its presence in Asia from Celsius. 
  • Rubix, layer-1 blockchain protocol for peer-to-peer data transfer and transactions, landed a $100 million investment from LDA Capital.

Don’t miss the next big story – join our free daily newsletter.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Top Icon.png


Osmosis thrived in H2 2023 on the back of increased DeFi activity deriving from recently launched Cosmos-related projects and better market conditions. With new value accrual mechanisms for the native token, Osmosis is well-positioned to continue its strong performance in 2024.



Though the opposing flow trend is likely to slow over time, industry watchers note, bitcoin fund assets could one day eclipse the $90 billion gold ETF space


Celestia had the first mover advantage. EigenDA has staked ether. What sets Avail apart?


Bitcoin moved 1% higher Monday morning in New York, Matrixport analysts say $62,000 could happen next month


It’s hard to believe right now that crypto — even with all of its flexibility and massive capabilities — could ever be like cash on the internet


Michael Saylor announced Monday morning that MicroStrategy bought 3k more bitcoin after the X account was compromised over the weekend


Plus, Pudgy Penguins grows its brand and a group of Autoglyphs sell for $14.5 million