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US Spot Bitcoin ETFs Attract $471 Million as BTC Approaches $70,000; LiquidChain Proposes Layer-3 DeFi Development
On Monday, U.S. spot Bitcoin ETFs attracted $471 million, representing their highest single-day inflow since February 25 and contributing to Bitcoin’s movement back toward the $70,000 mark.
This development indicates a resurgence in institutional interest, even as macroeconomic uncertainties persist. Traders are increasingly preparing for a significant volatility event as mid-Q2 approaches, with markets also considering a more stable interest-rate environment and potential de-escalation of tensions in the Middle East.
As investment flows back into the cryptocurrency sector, some investors are diversifying beyond Bitcoin into infrastructure initiatives aimed at enhancing blockchain scalability. Among these is LiquidChain (LIQUID), a Layer 3 network focused on high-frequency trading and sophisticated decentralized applications.
Bitcoin had been consolidating for several weeks within the $65,000 to $68,000 range, but recent market movements indicate an improvement in sentiment. The $70,000 level, once seen as a psychological barrier, is now being monitored as a support level, while 24-hour trading volume has surged by 35% to $52 billion.
Analysts continue to highlight a potential supply squeeze, as ETF issuers are acquiring Bitcoin at a faster rate than new coins are being mined. Michaël van de Poppe (@CryptoMichNL), founder of MN Consultancy, noted that Bitcoin is demonstrating strength and that the market might be entering a new expansion phase.
https://twitter.com/CryptoMichNL/status/204122794227395017641227942273950176
On-chain metrics have also reinforced this more optimistic perspective. The Cumulative Value Days Destroyed (CVDD) floor has recently reset, a sign often interpreted as an indication that long-term holders have finished a distribution cycle and that a new floor may be emerging.
Concurrently, Bollinger Bands on the daily chart are at their narrowest levels in years, suggesting reduced volatility. Historically, similar conditions have preceded price movements of 40% or more, prompting traders to focus on the potential for a sharp breakout rather than ongoing sideways trading.
Why scalability plays are drawing attention
While Bitcoin continues to serve as the primary store-of-value asset in the market, an increased risk appetite is also benefiting projects associated with network capacity and execution speed. This environment has brought Layer 3 protocols like LiquidChain (LIQUID) into the spotlight for investors.
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LiquidChain is developing a Layer 3 network that operates atop existing Layer 2 systems, concentrating on decentralized finance and gaming applications. The project aims to unify Bitcoin, Ethereum, and Solana within a single execution layer that spans the three largest blockchain ecosystems.
According to the project, its infrastructure employs ZK-rollup technology to deliver sub-second block times and minimal gas fees while leveraging the security of the underlying networks. This architecture is designed to accommodate high-throughput applications that are more challenging to run efficiently on conventional chains.
The LIQUID token is intended for gas fees, governance, and staking within the ecosystem. LiquidChain reports that early users can already engage in staking with rewards of up to 42% APY, and interest has grown ahead of a mainnet launch anticipated later this quarter. The project also states that its community has expanded by over 50% in the past month.
LiquidChain access and staking options
Individuals interested in the project can visit the official LiquidChain website, connect a compatible crypto wallet, and explore the available documentation and community resources.
The platform claims to support various wallets and provides bridging from major Layer 2 networks. It also directs users to the Best Wallet app, accessible via the Apple App Store and Google Play, for integrated support for ecosystem tokens, including LIQUID.
After obtaining tokens, users can take part in early staking, which the project indicates currently offers up to 42% APY.
For updates, users can follow LiquidChain on X and join the official Telegram group.
Visit LiquidChain.
The post US Spot Bitcoin ETFs Draw $471M as BTC Nears $70K; LiquidChain Pitches Layer-3 DeFi Buildout appeared first on Cryptonews.
