Bitfinex report: Bullish hesitation leads to increased crypto volatility, macroeconomic indicators do not indicate market direction

Odaily News After briefly reclaiming the $90,000 mark last week, Bitcoin has now entered a new range of volatility between $85,000 and $92,000, with uncertainty continuing to hang over the market. Prices surged early last week amid speculation about the US Strategic Bitcoin Reserve and the White House Crypto Summit, but as the news became confirmed, traders took a "sell the news" approach and the market quickly erased the gains. The options market also exacerbated last week's volatility, with $3 billion worth of Bitcoin and Ethereum contracts expiring on Friday, further driving price fluctuations. Many traders suffered heavy losses last week, with actual losses for market participants reaching $818 million per day, with February 28 and March 4 being among the largest single-day losses in this cycle, and current macroeconomic indicators do not point to a clear direction for future market developments.
Meanwhile, the SEC’s cryptocurrency working group will hold a roundtable on March 21 to clarify the security status of digital assets, suggesting that regulatory guidance will shift to a more structured approach. In Japan, the Liberal Democratic Party is implementing tax reforms that favor cryptocurrencies, reducing capital gains taxes to 20% and classifying cryptocurrencies as a distinct asset class. The reforms also propose tax deferrals for swaps between cryptocurrencies and equal tax treatment for derivatives to encourage digital asset investment.