Crypto markets hit multi-week lows amid macro pressure and regulatory developments

Crypto markets declined to multi-week lows this week, as escalating geopolitical tensions in the Middle East dampened investor confidence and triggered a broader risk-off sentiment across global markets.

According to Simon Peters, Crypto Analyst at eToro, rising oil prices have led traders and investors to scale back expectations for interest rate cuts this year. “Bond yields have been climbing, with the benchmark 10-year US Treasury returning to levels last seen in July 2025, adding further pressure on risk assets, including crypto,” he said.

Looking ahead, markets are closely watching the upcoming US non-farm payrolls and unemployment data. Peters noted that regardless of the outcome, volatility may persist. “A strong labour market could reinforce a hawkish Federal Reserve stance, while weaker data may heighten stagflation concerns—both scenarios potentially prompting further rotation out of risk assets,” he added.

Chiliz (CHZ) Surges on World Cup Momentum

Despite the broader downturn, Chiliz (CHZ) emerged as one of the week’s top performers, rising 27%. The move is largely attributed to renewed speculation around fan token activity ahead of the FIFA World Cup.

Chiliz, the company behind Socios.com, operates a blockchain-based fan engagement and rewards platform. The recent introduction of a deflationary mechanism—where 10% of fan token sales revenue is used to buy back and burn CHZ—may continue to support price growth as the ecosystem expands.

CLARITY Act Advances in the US

On the regulatory front, the proposed CLARITY Act saw a significant breakthrough, with an agreement in principle reached between the White House and key US Senators regarding stablecoin yield provisions.

The latest draft prohibits passive yield on stablecoin balances, limiting direct competition with traditional bank deposits, while still allowing rewards linked to specific activities such as payments and trading.

Senator Tim Scott, Chair of the Senate Banking Committee, confirmed that bipartisan support is in place, with further discussions ongoing with industry stakeholders. The Committee is targeting the second half of April for markup, after which the bill would need to be reconciled with existing legislation before proceeding to a full Senate vote.

With US midterm elections approaching, pressure is mounting to advance the legislation swiftly.

Franklin Templeton Expands into Tokenised ETFs

Institutional adoption of blockchain technology continues to accelerate, with Franklin Templeton announcing a partnership with Ondo Finance to launch tokenised versions of its exchange-traded funds (ETFs).

The initial rollout will include five ETFs covering US equities, gold, and fixed income. These tokenised assets will be accessible via crypto wallets and tradeable 24/7 across Europe, Asia-Pacific, the Middle East, and Latin America.

Following the announcement, Ondo Finance’s native token (ONDO) rose to a weekly high before retracing in line with broader market declines.

Leadership Shift in US Crypto Policy

In parallel, David Sacks has stepped down from his role as White House AI and Crypto Czar after completing his 130-day term. During his tenure, Sacks played a key role in advancing the GENIUS Act, which established a regulatory framework for stablecoins in the US.

He also supported initiatives including the creation of a strategic bitcoin reserve and a digital asset stockpile. Sacks will now serve as co-chair of the President’s Council of Advisors on Science and Technology (PCAST).