Injective surged 13% following a mainnet upgrade approval aimed at scaling its EVM and liquidity architecture.
Ethereum locked over 50% of its total supply in staking, tightening liquid circulation while advancing privacy upgrades.
Bitcoin ETFs saw $133 million outflows and options markets show rising downside hedging ahead of expiry.
The crypto market saw major developments through protocol-level upgrades, institutional repositioning, and heightened derivatives activity. While some altcoins are posting double-digit gains on ecosystem developments, Bitcoin and broader venture-backed tokens continue to navigate structural headwinds.
After Injective (INJ) announced it passed its IIP-619 proposal, the token rose 13%, paving the way for a mainnet upgrade.
The proposal aims to enhance Injective's real-time Ethereum Virtual Machine (EVM) system through MultiVM performance improvements, better real-world asset (RWA) asset integration using Chainlink oracle feeds, and new shared liquidity layer development.
INJ currently trades within a falling wedge pattern that has been active since mid-October.
The asset needs a decisive break above the wedge resistance to open the path toward the psychological $5 level. The RSI shows an uptrend toward the neutral 50 level, indicating that bearish market condition is fading.
The Ethereum network has crossed a major structural threshold as over half of its total coin supply has been locked in the proof-of-stake contract for the first time in 11 years.
This decreases the available market supply for trading, as approximately 120 million ETH exists after burn adjustments.
Validators must exit the system before users can access their staked ETH, creating a restriction for available supply for circulation. Analysts note that staking participation tends to increase during slower market cycles as yield-seeking behavior replaces speculative trading.
Simultaneously, Ethereum is advancing privacy-focused infrastructure. The ERC-5564 proposal introduces stealth address capabilities, which permit users to create private on-chain transactions while still enabling system auditors to verify their activities.
Also Read: BlackRock ETH Slips Below $2,000 as ETHB Staking ETF Nears
Bitcoin spot ETFs recorded $133.27 million in net outflows on February 18, according to SoSoValue, with none of the 12 funds posting inflows.
BlackRock’s IBIT led withdrawals at $84.19 million, followed by Fidelity’s FBTC at $49.07 million.
The second highest was Fidelity's ETF FBTC, with a daily net outflow of $49.07 million.
The total ETF assets stand at $83.63 billion, representing 6.31% of Bitcoin’s market cap.
Also Read: Bitcoin Price Prediction 2026-2030: Can the Digital Gold Outpace Fiat Weakness
El Salvador expanded its Bitcoin reserves amid the decline, increasing its total holdings to 7,565 BTC valued at around $520 million.
The government maintains its strategy to acquire one Bitcoin each day while it takes advantage of buying opportunities that arise during market downturns.
The data from on-chain transactions shows that whales are moving their assets to exchanges, which indicates that large holders are selling.
However, El Salvador’s buying activity has partially absorbed sell-side pressure during periods of localized capitulation.
Venture-backed crypto tokens are underperforming in 2025, with 85% trading below their launch price, according to DeFi Edge data.
Fundraising has dropped sharply from the 2022 peak, when firms raised nearly $17 billion in Q2 alone. New fund formation is now at a five-year low.
Although $8.5 billion was deployed last quarter, most of it came from 2022-era capital rather than fresh commitments.
Investors are increasingly prioritizing revenue generation and liquidity over VC branding. As speculative momentum fades, the market is shifting toward fundamentals-driven valuation models.
Heavy options positioning is signaling rising demand for downside protection in Bitcoin ahead of the February 27 expiry.
The $40,000 put option has become the second-largest strike by open interest, with approximately $490 million in notional value, reflecting a strong appetite for crash protection after Bitcoin’s nearly 50% decline from its October highs.
BTC is currently trading around $66,000, prompting traders to hedge against the risk of further downside.
Data from Deribit shows that roughly $7.3 billion in Bitcoin options notional value is set to expire at month-end.
Meanwhile, around $566 million is positioned at the $75,000 strike, which also represents the “max pain” level, the price at which the greatest number of options would expire worthless.
1. Why did Injective surge 13%?
The rally followed approval of its IIP-619 mainnet upgrade proposal aimed at improving scalability and RWA integration.
2. What does 50% of ETH locked mean for the market?
It reduces liquid supply, potentially tightening circulation and supporting long-term price stability.
3. Are Bitcoin ETF outflows bearish?
Short-term outflows suggest caution, but cumulative inflows remain structurally strong.
4. Why is the $40K Bitcoin put significant?
It signals strong demand for downside protection ahead of the February options expiry.
5. Why are 2025 tokens underperforming?
Reduced VC funding and tighter liquidity conditions are shifting focus toward fundamentals over hype.
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