Cardano’s ADA Leads the Way Down While Bitcoin Profit-Taking Spreads; ProShares Revises XRP ETF Plans

Crypto Markets React to Global Economic Uncertainty as Bitcoin Faces Selling Pressure

Bitcoin (BTC) and other leading cryptocurrencies took a hit on Wednesday, with major tokens losing over 3%, as global economic concerns mounted. Despite a strong 5.4% GDP growth in China for the first quarter, Chinese stocks in Hong Kong extended their losses, falling as much as 2.9%, which added to the overall market’s risk-off sentiment.

The latest crypto market downturn came as traders engaged in profit-taking after a rally on Tuesday. Bitcoin, for instance, dropped from $84,200 to around $83,500. Other major coins, including Ether (ETH) and Cardano (ADA), lost up to 5%, leading the charge in losses across the market.

XRP, despite showing consistent declines, saw some positive news as ProShares amended its spot XRP ETF filing, targeting a launch date of April 30 in the U.S. This move is expected to provide a much-needed boost to XRP’s sentiment, but the token still faced steady declines in price.

On-chain data from CryptoQuant revealed that large investors’ selling pressure has eased significantly. Sales from big Bitcoin holders have fallen from about 800,000 BTC per day in late February to just 300,000 BTC on average. This decrease in selling came as investors have largely accepted the losses in Bitcoin prices since late February.

However, while large investors are not actively adding to their positions, their holdings decreased by around 30,000 BTC over the past week, signaling a slowdown in their accumulation rate. The monthly accumulation rate has dropped from 2.7% at the end of March to just 0.5%, the slowest growth since February 20.

The broader market weakness mirrored the slump in Chinese equities, as the impact of tariffs and global trade concerns continue to weigh on investor sentiment. Despite China’s strong GDP growth, the economic uncertainty surrounding trade policy has dampened risk appetite, affecting both traditional and crypto markets.

James Toledano, COO at Unity Wallet, shared his concerns about growing recession fears in the U.S., pointing out that economic growth projections have been sharply revised downward. “Although equities may have priced in some risks, there is still uncertainty, and we haven’t yet seen the bottom in markets,” Toledano said.

Nevertheless, Toledano sees Bitcoin’s decentralized nature as a potential hedge against the ongoing global economic challenges. “With traditional markets facing significant volatility, Bitcoin’s appeal continues to grow, even if risks remain elevated. The uncertainty in global economic policies, particularly in the U.S., might just boost Bitcoin’s attractiveness as an alternative store of value.”