Trakx Weekly Update: March 31

Key Crypto Market Figures

CTIs Weekly Performance

The crypto market largely held steady for much of last week, but this stability proved short-lived as prices began to decline towards the weekend. As a result, our benchmark Top10 Crypto CTI lost 6% of its value over the prior seven days. The AI Agents CTI experienced the most significant drop, falling nearly 12% despite the emergence of a new viral AI trend (see below). Notably, our defensive Inflation Hedge CTI performed strongest, gaining 0.2% over the week, and alongside the Bitcoin Momentum CTI, it was the only crypto index to avoid losses.

Mounting Trade Tensions

Recent weakness in crypto prices reflects growing investor concerns ahead of a planned White House announcement of extensive tariffs. As expected, President Trump is slated to announce measures targeting all countries that charge fees on US exports, potentially including long-standing economic allies like the UK and the EU. Beyond the direct economic impact of a trade war, investors are also wary of the significant geopolitical implications, particularly given the sensitive timing of these announcements amidst ongoing negotiations to end the Ukraine/Russia conflict.

Ghibli Goes Global

Over the past week, a flood of animated images – largely inspired by Studio Ghibli – has dominated social media feeds. This surge was triggered by the release of OpenAI’s 4o model, an AI image generation tool that allows users to create animations based on outlines and stylistic guidance. Studio Ghibli, the creators of beloved films like My Neighbor Totoro, was the most popular choice. The flood of Ghibli-esque images – even the White House got in on the act) – inspired a number of meme coin creators to mint Ghibli-themed cryptocurrencies on the Ethereum and Solana blockchains to capitalize on the viral interest. Despite a somewhat uninspired name, the GHIBLI token quickly gained traction, reaching a market cap of $21 million within 24 hours. However, this strong performance wasn’t sustained by the broader AI-related token market, which fell sharply as investors reduced their risk exposure.

Bpifrance Invests In Crypto

Finally, the French state-owned investment bank, Bpifrance last week announced a €25mn fund to invest directly in digital assets. Targeting unlisted, innovative tokens, the initiative aims to bolster France’s blockchain ecosystem, including DeFi, tokenization, and AI-driven tools. The announcement marks Bpifrance’s first dedicated crypto fund, building on its prior €150 million in blockchain investments. As such, it signals France’s ambition to lead Europe in the digital asset space, and represents a welcome break from the crypto-spectic approach often adopted by EU policymakers.

Sources: Trakx, Coingecko, Alphavantage

Market Trends

• Bitcoin Nears $81K; XRP, ADA Slide as Traders Brace for Tariff War Escalation: CoinDesk
• Ghibli memecoins surge as internet flooded with Studio Ghibli-style AI images: Cointelegraph
• France’s Public Investment Bank Bpifrance to Invest $27 Million in Crypto: Decrypt
• As GameStop buys bitcoin, Michael Saylor vows to burn his own private keys: Protos
• Who is Paul Atkins? SEC pick with FTX links will oversee Trump’s crypto empire: DLNews

Trakx News

• Following the success of USDC Earn, developed in partnership with OpenTrade, Trakx is now launching EURc Earn—a euro-backed, yield-bearing stablecoin. Stay tuned for the full announcement on our blog and social media!
• Last Friday Lionel participated as a speaker to Nextgen Patrimoine in Paris, an event dedicated to French CGPs (Family Office & Investment Funds).
• Ryan Shea published the March crypto monthly update From Reservations To Crypto Reserves looking at the implications of the US establishing a strategic crypto reserve.

Trakx CTIs Performance

Sources: Coingecko and AlphaVantage

*Return of bitcoin is calculated since 01/05/2020, while CTIs performances were calculated since their respective launch date.
**Includes simulated performance.
***The risk signal is determined according to the historical volatility level, the higher the riskier.

Trakx is a global fintech company creating new standards for digital asset investments. Through our trading platform, we offer thematic Crypto Tradable Indices (CTIs) and customised solutions, providing sophisticated investors with a high degree of compliance, custody and liquidity.

TRAKX SAS,  10 rue de Penthièvre, Paris, 75008, FRANCE – French société par actions simplifiée Paris Trade and Companies Register number 850 626 078. Crypto Asset Service Provider (CASP) Registered with the Autorité des Marchés Financiers (AMF) under number E2021-020

Disclaimers: No Investment Advice. Index returns and statistics are for illustration only. Index returns do not reflect any transaction costs or expenses. Past performance does not guarantee future results. The information provided in this newsletter does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the newsletter content as such. Trakx.io does not recommend that any cryptocurrency should be bought, sold, or held by you. Readers shall conduct their own due diligence and consult their financial advisors before making any investment decisions.