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S&P 500 index forecast: SPX forms risky patterns ahead of NVIDIA earnings

The S&P 500 indexhas crashed in the last three straight days as focus shifts to the upcoming NVIDIA earnings and Donald Trump’s tariff decisions. SPX slipped to a low of $5,955 on Tuesday, down by over 3% from its highest point this year. So, is the SPX index a good buy now or is it riskying a bigger drop in the coming days.

NVIDIA earnings ahead

The most important catalyst for the S&P 500 index on Wednesday will be the NVIDIA earnings, which will provide moe details about the artificial intelligence industry.

Analysts expect that NVIDIA will publish strong top line and bottom line numbers. The average estimate is that its revenue jumped by 72% in Q4 to $38.16 billion, bringing the annual figure to $129 billion. Based on NVIDIA’s history, chances are that the figure will be about $40 billion. 

The company’s earnings will also be strong, with the average earnings per share for the final quarter being 85 cents, higher than the 52 cents it made a  year earlier. NVDA has a long history f beating the analysts forecasts.

These results are important for the S&P 500 index for two main reasons. First, the index is market cap weighted, and NVDA is the second-biggest one after Apple. As such, a big crash or rebound would have an impact on it.

Second, NVIDIA is the most important company in the artificial intelligence (AI) industry today since it makes the most advanced semiconductors. Its chips are used by large companies like Microsoft, Google, and Amazon to train their most advanced AI models.

Therefore, a sign that the AI industry is slowing will lead to a big shock that will affect other firms in the space. For example, Palantir Technologies has become a $200 billion company because of its focus on the AI space. 

More corporate earnings ahead

NVIDIA is the most important company in terms of the S&P 500 index performance this week. Still, there are several more important companies that will publish their results. 

Salesfoce, the biggest company in th customer relations management (CRM) industry will be another one that will publish their numbers. Its results will provide more information about the artificial intelligence business and its overall growth.

The other top firms to watch this week will be TJX Companies, Lowe’s,  Synopsys, CRH, Snowflake, eBay, Dell, Monster Beverages, HP, and Warner Bros. Discovery.

Broadly, this has been a good earnings season as the average earnings growth was 16.9%, the highest level since 2021.

Tariff news ahead

The other key S&P 500 news will be on tariffs, which Donald Trump has vowed to implement on friendly and foe countries. Tariffs on Mexico and Canadian goods will take place in May. The same is true with those on steel and aluminium. 

These tariffs will have a big impact on companies in the S&P 500 index since many of them do a lot of business internationally. For example, automakers like General Motors and Ford will be affected by tariffs on imports and those on steel and alumium. All these factors explain why the fear and greed index has moved to 23.

S&P 500 index analysis

S&P 500 index chart by TradingView

The daily chart shows that the SPX index formed a triple-top chart pattern at $6,127, and whose neckline was at $5,777. This is a highly popular pattern that often leads to more downside.

The index has also formed a rising wedge pattern, comprising of two rising and converging trendlines. There are signs that the MACD and the Relative Strength Index (RSI) have formed a bearish divergence pattern.

Therefore, the stock will likely have a bearish breakdown, with the next target being at $5,7777, the lowest swing on January 13. 

The post S&P 500 index forecast: SPX forms risky patterns ahead of NVIDIA earnings appeared first on Invezz

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Dow Jones DIA ETF may crash as the fear and greed index tumbles

The SPDR Dow Jones Industrial Average (DIA) ETF has pulled back in the past few days as a sense of fear spreads in the market. It has formed a double-top chart pattern, pointing to further downside as the fear and greed index moves to the extreme fear zone. The blue-chip ETF was trading at $436 on Tuesday, down from the year-to-date high of $450.

DIA ETF crashes as the fear and greed index falls

The DIA ETF is at a significant risk as the fear and greed index, which is tracked by CNN Money moves to the extreme fear zone of 23. 

Most of its sub-indices are in the extreme fear zone. For example, the market momentum, which looks at the S&P 500 index in relation to the 125-day moving average has tilted downwards in the past few days. 

The stock price strength, which looks at the number of new 52-week highs or lows on the NYSE has moved to the extreme fear point. Put and call options ratio and safe haven demand are in the extreme fear region, while junk bond demand and stock price breadth are in the fear region.

The Dow Jones and other American indices tend to drop sharply when there is a sense of fear in the market since many investors sell and others remain in the sidelines.

Most of this fear is because of Donald Trump’s policies on trade. He has restarted his trade war with other countries by placing huge tariffs on them. These tariffs will hurt all companies in the Dow Jones index.

Salesforce and NVIDIA earnings

The next potential risk or catalyst for the Dow Jones index is the upcoming Salesforce and NVIDIA earnings. These numbers are notable since they are the some of the biggest components in the fund.

NVIDIA earnings will have the biggest catalyst because of the importance of its business since it is the biggest manufacturer of chips that are widely used in the artificial intelligence industry. Its chips are widely used by companies like Microsoft and Google to train their AI models. 

The average estimate is that NVIDIA’s revenues rose by 72% in the fourth quarter to $38.16 billion, bringing the annual figure to $129 billion. A strong NVIDIA report and guidance will be a good thing for the Dow Jones index and its DIA ETF.

The other big company that will publish its numbers is Salesforce. Analysts anticipate that its revenue figure will be $10.04 billion, a 8% jump from a year earlier. Its annual revenue will be $37.8 billion, higher than the $34.8 billion it made last year. CRM stock is the worst-performer in the DIA ETF this year as it crashed by 8.5%. NVIDIA stock has also fallen by 5.7% this year. 

The other top laggards in the fund are Merck, UnitedHealth Group, Honeywell, Caterpillar, and Microsoft. On the other hand, the top gainers in the fund are Amgen, IBM, Johnson & Johnson, Coca-Cola, and 3M.

DIA ETF stock analysis

DIA chart by TradingView

The daily chart shows that the DIA ETF stock has come under pressure in the past few days and is at risk of more downside. It has crashed from a high of $450 to the current $436. It formed a double-top pattern whose neckline is at $418. A double-top is a highly risky company. 

The MACD and other oscillators have all pointed downwards. Therefore, the Dow Jones ETF will likely continue falling as bears target the next key support level at $418, the neckline of the double-top pattern and the 23.6% retracement point. A drop below that level will point to more downside, potentially to the 50% retracement level at $382.

The post Dow Jones DIA ETF may crash as the fear and greed index tumbles appeared first on Invezz

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Avoid the QQQ ETF, buy this Nasdaq 100 ETF alternative instead

The Invesco QQQ ETF has become one of the best-performing funds in the United States in the past few decades by tracking the Nasdaq 100 index. It has soared from about $40 during its inception and moved to the current $513. While QQQ is a good blue-chip ETF, there is a better alternative to consider known as the Vanguard Infomation Technology (VGT).

What are the QQQ and VGT ETFs?

The Invesco QQQ ETF tracks the Nasdaq 100 index that focuses on the biggest technology companies in the world.

QQQ has a total expense ratio of 0.20% and is one of the most actively traded funds in the market today. It averages about 30 million shares traded daily.

Most companies in the fund are in the technology space, which account for about 60%. The other big categories are consumer discretionary, health care, industrials, telecommuncations, and consumer staples. The common denominator is that all these firms have a technology angle into them.

The biggest companies in the QQQ ETF ae Apple, NVIDIA, Microsoft, Amazon, Broadcom, and Meta Platforms. It has over $324 billion in assets, making it one of the biggest funds in the USA.

The VGT ETF, on the other hand, is a large fund that tracks the top firms in the technology industry. Akey difference with QQQ is that it has more companies. In this, it has 316 companies, while the QQQ fund has just 100.

The top companies in the VGT ETF are Apple, NVIDIA, Microsoft, Broadcom, Salesforce, Oracle, Cisco, and accenture. 

Why VGT ETF is a better buy

There are three main reasons why the VGT ETF is a better fund that the QQQ. First, it is a cheaper fund to invest in because it has an expense ratio of 0.09% compared to QQQ that charges 0.20%. This 0.11% spread can make a big difference over time.

For example, assume that you have a $1 million in the two funds. The VGT ETF will cost you $900 a year to maintain. A similar amount with the QQQ will cost you $2,000. This $1,100 difference can go a long way, especially when you are considering holding them for a long time. 

Second, the VGT ETF has a long track record of beating the QQQ fund. Its five-year total return was 156% compared to QQQ’s 146%. The same performance happened in the last three years as the total return was 53% compared to the QQQ’s 51%.

Therefore, while the past performance is not always a good predictor of future gains, there are chances that the VGT fund will keep beaing the QQQ in the future. Also, since the biggest constituents are the same, there is a high likelihood that they will always have a close correlation.

Top catalysts for the Vanguard IT Index Fund ETF

There are two main catalysts that may drive the VGT ETF in the near term. The first one is the upcoming NVIDIA earnings that will provide more information about the health of the AI industry. 

There is a general risk among market participants that the AI sector is slowing since companies that have investe huge sums of money are not seeing incremental growth rate. For example, Microsoft is not making a lot of money through its Copilot product that it offers its customers because of its high costs.

The other risk for the AI industry is that DeepSeek has disrupted it by proving that one can build advanced AI models using cheaper chips. Therefore, these earnings will provide more color about the sector. 

The VGT ETF will also react to US tariff news, which Donald Trump has already confirmed will happen. These tariffs will likely have an impact on all American companies.

The post Avoid the QQQ ETF, buy this Nasdaq 100 ETF alternative instead appeared first on Invezz

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Here’s why the LVMH share price may rebound this year

The LVMH share price has rebounded in the past few months as investors anticipate that the recent weakness in the luxury sector is fading. The stock was trading at €685 on Wednesday, down by over 10% from the highest point this year, but up by 21% from its lowest point in November. This performance has helped to push Bernad Arnault’s net worth to $15.5 billion.

LVMH business may stabilise this year

LVMH is the biggest brands in the luxury industry. It owns popular companies like Christian Dior, Louis Vuitton, Marc Jacobs, Sephora, and Bulgari. 

Its business model is different from other luxury groups in that it operates across multiple segments. While fashion and leather goods is its biggest business, it is also a big player in areas like selective retailing, watches and jewerly, and wines and spirits.

This business model helps the company’s different brands to offset each other. A weakness in selective retailing may be offset by a jump in the fashion and leather goods and watches segment. 

LVMH and other luxury businesses struggled in 2024 as the sector went through a significant slowdown because of China and Europe.

This trend may start to change this year now that the Chinese economy is starting to recover. The most recent data showed that the economy expanded by 5.4% in the fourth quarter, bringing the yearly gain to 5%.

The Chinese stock market is doing well, with the Hang Seng Tech Index surging by double digits in the past few months. This surge may incentivize many people in the country to spend money on luxury items. 

LVMH share price also crashed in 2024 as other markets like in Europe and the United States weakened. Its Tiffany brand has also not done well in the past few years.

LVMH earnings download

The most recent annual results showed that the company experienced some weakness in 2024 as uts total revenue dropped to €84.68 billion. Most of the decline was in its wines and spirits business whose revenue dropped by 11% to €5.8 billion. 

Its fashion and leather business dropped by 3% to €41 billion, while the watches and jewerly one slowed by 3%. This slowdown was partially offset by a small increase in the perfumes and cosmetics and selective retailing business.

Most of LVMH’s business was from Asian countries, followed by the United States and Europe. Also, most of the sales were invoiced in the US dollar.

Analysts are optimistic that the company will resume growing this year. The average estimate is that its revenue will grow by 4% in the current quarter to €21.5 billion. They expect it to deliver about €89 billion in annual revenue, a 5.7% annual increase. 

This performance would make LVMH a relatively undervalued company considering that it has a forward price-to-earnings ratio of 23, and an enterprise value/EBITDA of 13.6.

LVMH share price analysis

LVMH chart by TradingView

The daily chart shows that the LVMH stock price has wavered in the past few weeks. It has dropped from €762 to €685. Along the way, it has formed a symmetrical triangle pattern, which is part of a bullosh flag. A bullish flag is one of the most bullish patterns in the market.

LVMH share price has also formed a golden cross pattern, which happens when the 50-day and 200-day moving averages cross each other. Therefore, there are rising odds that it will rebound with the triangle part of the pennant pattern nearing its confluence level. If this happens, the next point to watch will be at 762. That means that the LVMH may jump by about 12% from the current level.

The post Here’s why the LVMH share price may rebound this year appeared first on Invezz

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XRP price prediction: here’s why Ripple coin may crash soon

The XRP price may be at a significant risk of a big crash this year even as it faces major catalysts in the coming months. Ripple has formed the head and shoulders chart pattern, a popular bearish sign in the market that points to double-digit losses in the coming weeks. 

XRP price has formed a risky pattern

The daily chart shows that the XRP price has formed a high-risk chart pattern that may push it much lower in the coming weeks. 

It has formed a head and shoulders pattern whose neckline is at $2 and the head is at the year-to-date high of $3.40. The right and left shoulders are at $2.88. 

XRP price has also crashed below the 50-day Exponential Moving Average (EMA), a sign that bears are gaining momentu. Therefore, a drop below the important support level at $2 will validate this view and point to more downside in the coming weeks. 

Such a crash may move to the key support at $1.1395, the 78.2% Fibonacci Retracement level. The price target is about 50% below the current level. The bullish view will become invalid if the coin rises above the right shoulder at $2.74, which also coincides with the 23.6% Fibonacci Retracement level. 

XRP price chart | Source: TradingView

Wyckoff Theory suggests Ripple may crash

There is another reason that explains why the XRP price may crash soon: Wyckoff Theory. This theory, which is about 95-year old today, explains how asset prices move over time. 

According to Richard Wyckoff, an asset will likely stay in a consolidation phase for months or even years. In Ripple’s case, this consolidation, which is a form of accumulation, happened for over three years.

The Wyckoff Theory states that an asset then moves into a markup phase. This phase starts when there is a small spark that triggers a surge, leading to more demand than supply or the Fear of Missing Out (FOMO). 

In XRP’s case, the spark was Donald’s victory and the expectation that the Securities and Exchange Commision (SEC) would drop charges against Ripple. These hopes led to a surge in positive social sentiment about XRP and a surge to $3.41. 

The XRP price has now been in the distribution phase of the Wyckoff Theory in the past few weeks. This phase is characterized by a lack of trend and some volatility as bulls and bears battle it out. Some unique patterns like a head and shoulders pattern and a rising wedge typically emerges in this phase. 

Therefore, a break below the head and shoulders neckline will usher in the next stage, which is known as the markdown. While the markup is characterized by FOMO and animal spirits, the markdown is known for panic selling. 

Good XRP news has been priced in

The XRP price may crash even when Ripple receives some good news. The first good news will come from the SEC, which will likely abandon its appeal against Ripple Labs. It has already tossed lawsuits against companies like Coinbase and Uniswap, and is reviewing other similar lawsuits. Uniswap said: 

“The conclusion of our investigation is not only welcome – and just – relief for Uniswap Labs, but also for the broader DeFi community of builders, users, and developers working toward a better financial system for all of us.”

The other good news is that the SEC will move ahead and approve a spot Ripple ETF later this year. Such a fund will likely lead to more inflows from Wall Street investors as we have seen with Bitcoin and Ethereum.

The XRP Ledger is also growing and continuing to attract more developers. Therefore, the XRP price may crash because these good news have already been priced in by market participants. In other words, they will not catch any investor by surprise when they happen. 

The post XRP price prediction: here’s why Ripple coin may crash soon appeared first on Invezz

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Alibaba launches AI model Wan 2.1 for video and image generation

Alibaba has made its latest artificial intelligence model for video and image generation, Wan 2.1, publicly available, a move that is expected to accelerate adoption and intensify competition in the AI space.

The Chinese e-commerce giant announced on Wednesday that the model is now open-source, making it accessible to researchers, developers, and businesses worldwide, Reuters reported.

This decision follows a growing industry trend where major tech firms are releasing AI models to the public to drive innovation and expand their influence in the AI ecosystem.

Wan 2.1 is designed to generate high-quality images and videos from text and image inputs.

Alibaba has released four different versions of the model—T2V-1.3B, T2V-14B, I2V-14B-720P, and I2V-14B-480P—each capable of handling varying levels of complexity.

The “14B” in the naming structure indicates that some versions of the model can process up to 14 billion parameters, allowing for more sophisticated and accurate outputs.

These models are now available on Alibaba Cloud’s ModelScope and AI platform Hugging Face, catering to a broad audience, including academic researchers and commercial enterprises.

Alibaba’s move comes as competition in the AI industry heats up.

Earlier this year, AI startup DeepSeek made waves by releasing a low-cost open-source AI model that delivered performance comparable to industry leaders such as OpenAI.

Alibaba is aiming to position itself as a key player in the AI landscape by offering an advanced, publicly available model that could attract developers and businesses looking for alternatives to proprietary AI systems.

The company has been actively enhancing its AI capabilities.

In January, it introduced the latest version of its AI-powered visual generation model, initially named Wanx before being shortened to Wan.

The model has since secured a top spot on VBench, a leaderboard for video generation models, where it excels in features like multi-object interaction and complex scene composition.

Beyond AI model releases, Alibaba is making significant financial commitments to its cloud and AI infrastructure.

The company announced this week that it will invest at least 380 billion yuan ($52 billion) over the next three years to strengthen its capabilities in cloud computing and artificial intelligence.

This investment aligns with its broader strategy to remain competitive against global tech giants, particularly in the fields of generative AI and machine learning.

Additionally, Alibaba has previewed its upcoming reasoning model, QwQ-Max, which it plans to make open-source upon full launch.

This move reinforces the company’s commitment to democratizing AI research while expanding its influence in the global AI industry.

The post Alibaba launches AI model Wan 2.1 for video and image generation appeared first on Invezz

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Tesla is no longer a trillion-dollar company: what investors need to know

Tesla’s post-election stock surge has nearly vanished as shares of the electric vehicle giant tumbled over 8% on Tuesday, pushing its market capitalization below $1 trillion for the first time since early November.

The decline, fueled by investor concerns over weakening demand, political risks, and competition from Chinese EV makers, has erased most of the gains Tesla had enjoyed following President Donald Trump’s election victory.

Adding to the sell-off, a new report from China has sparked fresh anxiety among Tesla shareholders.

The report suggests Tesla’s long-anticipated upgrade to its semi-autonomous driving software has disappointed users in China, with many claiming the new “Navigate on City Streets” feature falls short of CEO Elon Musk’s ambitious self-driving promises.

Meanwhile, domestic competitors like BYD and Xiaomi are offering advanced driver-assistance technology at significantly lower costs—or even for free—putting further pressure on Tesla’s market position.

Investor sentiment and Musk’s increasing involvement in Washington

As head of President Trump’s newly formed Department of Government Efficiency (DOGE), Musk has gained access to critical government systems, sparking controversy over his influence on policies that could benefit his businesses, including Tesla.

His political activism and alignment with Trump have also led to growing opposition, with organized protests emerging at Tesla stores and service centers in multiple countries.

Tesla’s recent financial performance has done little to reassure investors.

The company’s fourth-quarter earnings report showed a sharp 8% decline in automotive revenue compared to the previous year, with operating income plunging 23%.

Tesla attributed the decline to falling average selling prices across its aging vehicle lineup, including the Model 3, Model Y, Model S, and Model X.

In California, Tesla’s largest US market, sales fell 11.6% in the last quarter of 2024, according to the California New Car Dealers Association.

The stock has now dropped 25% since the start of 2025, underperforming the Nasdaq Composite, which is down just 1.5% year-to-date.

Tesla shares are also trading more than 35% below their all-time high from December, wiping out over $100 billion from Musk’s net worth.

Despite the losses, Musk remains the world’s richest person with an estimated fortune of around $380 billion.

Tesla’s stock had surged 15% immediately after Trump’s election victory, in part due to Musk’s high-profile backing of the former president.

Musk reportedly contributed $290 million to Republican candidates and causes in 2024, with the majority directed toward securing Trump’s return to the White House.

However, as investor optimism fades and competitive pressures mount, Tesla now faces a challenging road ahead in both the US and international markets.

The latest setback in China could be particularly costly.

While Tesla continues to push its semi-autonomous driving capabilities, Chinese EV makers are rapidly gaining ground by offering competitive technology at more affordable prices.

With BYD already outselling Tesla globally in total EV sales and Xiaomi’s new SU7 model attracting significant interest, Tesla’s position in the world’s largest EV market is under growing threat.

The post Tesla is no longer a trillion-dollar company: what investors need to know appeared first on Invezz

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Here’s why the LVMH share price may rebound this year

The LVMH share price has rebounded in the past few months as investors anticipate that the recent weakness in the luxury sector is fading. The stock was trading at €685 on Wednesday, down by over 10% from the highest point this year, but up by 21% from its lowest point in November. This performance has helped to push Bernad Arnault’s net worth to $15.5 billion.

LVMH business may stabilise this year

LVMH is the biggest brands in the luxury industry. It owns popular companies like Christian Dior, Louis Vuitton, Marc Jacobs, Sephora, and Bulgari. 

Its business model is different from other luxury groups in that it operates across multiple segments. While fashion and leather goods is its biggest business, it is also a big player in areas like selective retailing, watches and jewerly, and wines and spirits.

This business model helps the company’s different brands to offset each other. A weakness in selective retailing may be offset by a jump in the fashion and leather goods and watches segment. 

LVMH and other luxury businesses struggled in 2024 as the sector went through a significant slowdown because of China and Europe.

This trend may start to change this year now that the Chinese economy is starting to recover. The most recent data showed that the economy expanded by 5.4% in the fourth quarter, bringing the yearly gain to 5%.

The Chinese stock market is doing well, with the Hang Seng Tech Index surging by double digits in the past few months. This surge may incentivize many people in the country to spend money on luxury items. 

LVMH share price also crashed in 2024 as other markets like in Europe and the United States weakened. Its Tiffany brand has also not done well in the past few years.

LVMH earnings download

The most recent annual results showed that the company experienced some weakness in 2024 as uts total revenue dropped to €84.68 billion. Most of the decline was in its wines and spirits business whose revenue dropped by 11% to €5.8 billion. 

Its fashion and leather business dropped by 3% to €41 billion, while the watches and jewerly one slowed by 3%. This slowdown was partially offset by a small increase in the perfumes and cosmetics and selective retailing business.

Most of LVMH’s business was from Asian countries, followed by the United States and Europe. Also, most of the sales were invoiced in the US dollar.

Analysts are optimistic that the company will resume growing this year. The average estimate is that its revenue will grow by 4% in the current quarter to €21.5 billion. They expect it to deliver about €89 billion in annual revenue, a 5.7% annual increase. 

This performance would make LVMH a relatively undervalued company considering that it has a forward price-to-earnings ratio of 23, and an enterprise value/EBITDA of 13.6.

LVMH share price analysis

LVMH chart by TradingView

The daily chart shows that the LVMH stock price has wavered in the past few weeks. It has dropped from €762 to €685. Along the way, it has formed a symmetrical triangle pattern, which is part of a bullosh flag. A bullish flag is one of the most bullish patterns in the market.

LVMH share price has also formed a golden cross pattern, which happens when the 50-day and 200-day moving averages cross each other. Therefore, there are rising odds that it will rebound with the triangle part of the pennant pattern nearing its confluence level. If this happens, the next point to watch will be at 762. That means that the LVMH may jump by about 12% from the current level.

The post Here’s why the LVMH share price may rebound this year appeared first on Invezz

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Bitcoin Pepe presale raises $3.5M as Ethereum’s leadership shifts

Bitcoin Pepe (BPEP), a meme-driven layer 2 project built on Bitcoin’s blockchain, is gaining traction in early 2025.

The project, which blends Bitcoin’s security with meme coin culture, has raised $3,548,385 in its presale.

Structured in 30 stages, with a 5% price increase at each phase, Bitcoin Pepe has drawn significant investor interest.

As of February 26, 2025, BPEP is priced at $0.0255, with the next stage set to increase it to $0.0268.

Investors who entered early could see returns of up to 300% if later stages sell out.

The tokenomics of Bitcoin Pepe closely follows Bitcoin’s scarcity model, with a fixed supply of 2.1 billion tokens.

Of this, 50% is allocated to presale buyers, 15% to staking rewards, and 10% to liquidity pools.

Unlike inflationary meme coins, BPEP’s staking model burns unsold tokens to maintain price stability post-launch.

Bitcoin Pepe’s emergence marks a shift in the meme coin sector, which has historically been dominated by Ethereum-based projects.

By leveraging Bitcoin’s $2 trillion market cap, BPEP is positioning itself as the first major meme coin built on Bitcoin’s layer 2.

Bitcoin Pepe vs. Ethereum meme coins

Ethereum has long been the dominant blockchain for meme coins, but high gas fees and network congestion have created opportunities for alternatives.

Bitcoin Pepe seeks to address these inefficiencies by operating on a Bitcoin layer 2 network using Proof-of-Stake (PoS) for faster transactions.

This structure enables it to process transactions at speeds comparable to Solana’s 65,000 transactions per second while maintaining Bitcoin’s security.

The introduction of the PEP-20 token standard differentiates Bitcoin Pepe from Ethereum-based meme coins.

This standard allows for the seamless creation of new meme coins and decentralized exchange (DEX) functionality directly on Bitcoin’s blockchain.

The project plans to launch a meme-focused DEX and NFT marketplace by Q2 2025, aiming to challenge Ethereum’s dominance in the decentralized finance (DeFi) and non-fungible token (NFT) spaces.

By contrast, Ethereum-based meme coins remain constrained by Ethereum’s high transaction costs. While Ethereum continues to develop scalability solutions, Bitcoin Pepe is capitalizing on the immediate benefits of Bitcoin layer 2.

Bitcoin Pepe’s upcoming milestones

Bitcoin Pepe’s next major milestones will determine its long-term viability.

The project’s mainnet launch is scheduled for Q2 2025, alongside listings on centralized exchanges such as BitMart and KuCoin.

These listings could improve liquidity and accessibility, giving BPEP a broader investor base.

Market analysts at ICO Bench project that Bitcoin Pepe could reach $0.02181 in 2025, representing a modest 4% increase from its presale valuation.

While meme coins often experience extreme volatility, Bitcoin Pepe’s positioning on Bitcoin’s blockchain could provide it with a level of resilience that many of its Ethereum-based counterparts lack.

For investors, Bitcoin Pepe represents a high-reward bet on Bitcoin’s expansion beyond its traditional role as a store of value.

Its success will depend on whether it can deliver on promised infrastructure upgrades while sustaining community engagement.

Ethereum’s leadership change

While Bitcoin Pepe makes its debut, Ethereum is experiencing internal changes.

Aya Miyaguchi, who has served as the Ethereum Foundation’s Executive Director since 2018, announced she is stepping down to take on a new role as the foundation’s president.

The decision comes at a time when Ethereum has faced increasing competition from rival layer 1 blockchain such as Solana.

Miyaguchi’s tenure saw key developments, including Ethereum’s transition from proof-of-work to proof-of-stake in 2022.

In her new position, she will focus on strengthening Ethereum’s institutional relationships.

Her transition follows a challenging 12 months for Ethereum, during which its market share has declined as competitors have gained ground.

The timing of Miyaguchi’s move raises questions about Ethereum’s future direction.

While she stated that the decision was made a year ago, recent criticism of Ethereum’s sluggish progress in scaling solutions may have influenced the announcement.

As Ethereum navigates leadership changes, Bitcoin Pepe is emerging as a contender in the meme coin space, leveraging Bitcoin’s infrastructure to challenge Ethereum’s dominance in decentralized applications.

The coming months will determine whether Bitcoin Pepe can capitalize on its early momentum or whether Ethereum’s established ecosystem will maintain its grip on the meme coin market.

The post Bitcoin Pepe presale raises $3.5M as Ethereum’s leadership shifts appeared first on Invezz

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Solana plunges over 50% from all-time high as memecoin trading activity fades

Solana’s recent price collapse has shaken investor confidence, with the blockchain experiencing its worst month since the FTX crash in November 2022.

SOL has plunged over 50% from its recent highs in January, shedding 38% in the past 30 days alone.

While broader market conditions have played a role, the primary trigger has been the sharp decline in memecoin trading, which once fueled Solana’s on-chain activity.

The network’s memecoin ecosystem, particularly through Pump.fun, had generated significant transaction volume, bringing in $577 million in fees.

Recent data indicates that momentum has faded, with daily trading volume plummeting 94% in just one day—from $89.5 million on 25 February to a mere $5.03 million on 26 February.

Source: CoinMarketCap

This collapse has had a cascading effect on Solana’s decentralized finance (DeFi) ecosystem, as liquidity rapidly exits the network.

DeFi outflows surge

Solana’s DeFi sector has suffered a steep decline, with total value locked (TVL) dropping from $12 billion in mid-January to $7.13 billion as of late February, a loss of nearly $5 billion.

This exodus has been driven by fading memecoin enthusiasm, investor caution, and increased migration to rival networks.

Raydium, Solana’s leading decentralized exchange and home to many of Pump.fun’s meme coins have seen its TVL shrink by 50% over the past month.

The liquidity crunch has been further exacerbated by capital outflows to competing ecosystems.

Over $500 million has been bridged from Solana to Ethereum, Arbitrum, and Sonic in the last 30 days, reflecting declining trader confidence in Solana’s ability to sustain its once-booming on-chain activity.

The majority of newly minted meme coins on Pump.fun have crashed 80–90% from their peaks, leaving traders with massive losses.

This has deterred new entrants and further reduced speculative activity, a crucial driver of Solana’s recent success.

SOL struggles at key levels

The sell-off has sent SOL tumbling to $142, down 15% in the past seven days. Bulls are struggling to establish a support level, with $140 serving as a critical threshold.

If the price falls below this level, SOL could drop further, with the next major support zone between $125 and $130. A breakdown below this range would mark Solana’s lowest price since August 2024.

Despite these challenges, analysts note that recovery is possible if SOL can reclaim the $150 mark and if TVL outflows begin to stabilize.

With weak investor sentiment and continued capital flight, the likelihood of a swift rebound remains uncertain.

Token unlock adds pressure

Adding to the bearish outlook, an upcoming token unlock on 1 March is expected to release 11.2 million SOL tokens into the market, increasing selling pressure.

Historically, large unlock events have led to further price declines as investors offload tokens.

Institutional adoption remains another hurdle. While there has been speculation about a potential Solana ETF, the probability of approval in the near term appears low.

Unlike Bitcoin and Ethereum, which have drawn institutional backing, Solana still faces regulatory uncertainty. This limits its potential for a major institutional catalyst that could drive demand and offset the current downturn.

For now, Solana’s future hinges on whether memecoin activity can recover, DeFi inflows can return, and market sentiment can shift. Until then, the risk of further downside remains significant.

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