Weekends always bring relief, but the crypto market never sleeps. On October 18, 2025, Bitcoin rebounded to $118,000 after a big drop on Friday, Ethereum rebounded to $4400, and the market value stabilized at $4.15 trillion. Despite the record-breaking 19 billion dollar clearing storm last Friday (9 times the February crash), traders are recovering from panic, and the “weekend rebound” post on X is full of optimism. Platforms such as MEXC have launched new stablecoin pools in response to the 1:1 reserve requirement of the GENIUS Act, while TVL of Asian DeFi has soared by 40% to $161 billion, with India and Vietnam leading the way.
CoinGecko’s Q3 report shows that the market value of stablecoins has reached a new record of $287.60 billion, with an annual growth rate of 18.3% and an annualized return of 28% for DeFi. Last night, I saw Elon Musk’s tweet on X suggesting “crypto loss compensation”, which immediately sparked a heated discussion – is this rebound the prelude to Upć or a brief respite? In this weekend special, we will delve into the aftermath of the crash, new changes in stablecoin regulation, and investment opportunities in DeFi in Asia. If you are considering adding positions over the weekend, this guide will help you grasp the market pulse. Let’s interpret the market dynamics together!
1. Aftershocks of Friday’s crash: a rebound signal behind 19 billion liquidation
On October 10-11, the crypto market suffered the largest liquidation in history: 19 billion dollar leverage positioning evaporated, and bitcoin fell to a low of $104,800, down 14% from the weekly high of $122,600. According to Derive.xyz data, traders frenziedly bought put options, betting that bitcoin would fall to $115,000 or $95,000 when it expired on October 31, while Ethereum bottomed out at $3,600 on October 17. Geopolitical tensions (such as the escalation of the US-China trade war) and the plunge of the US stock market were the fuses, and the crypto market began to decouple from the “gold safe haven” and collapsed like stocks. The X is full of the sound of “liquidation like a tsunami, 19 billion ashes”.
However, the weekend rebound came: Bitcoin rebounded to $118,000 (+ 3% weekly increase), Ethereum rose 1.93% to $4400, and the market value was $4.15 trillion. 21Shares analyst Matt Mena called it the result of a “positive liquidity shock” – the government shutdown delayed the release of BLS employment data, the Fed’s interest rate cut expectations increased, and a weaker dollar benefited risky assets. JPMorgan sees Bitcoin as gold and predicts it will rise to $165,000, while Tim Draper shouted “must buy”. The optimists on X believe that “the crash is a washing out, and the 28% increase in Upjan is just around the corner!” However, the decline in ADP wages (the largest drop in two years) suggests a recession shadow, and the overbought signal of the RSI reaching 80 may also mean that the support level of the 117,000 dollar may be tested again.
2. New regulations for stablecoins: GENIUS Act ignites the global DeFi spark
This weekend’s regulatory news can be described as heavyweight: The GENIUS bill was passed by the US Senate Banking Committee on October 3rd with 18 votes in favor and 6 votes against, and is sprinting for a full House vote. The bill signed by Trump on September 19th requires stablecoin dollar anchoring to have a 1:1 reserve, prohibits algorithmic stablecoin variants, and establishes a federal publishing framework – Tether and Circle are applying for USAT/USDC compliance. SEC Chairperson Paul Atkins called this a “historic milestone,” while Trump said it was “the biggest revolution since the Internet.” Before October 20th, the Ministry of Finance will collect feedback on Anti Money Laundering (AML), sanctions, taxation, etc. ANPRM also focuses on tokenized national bonds and cross-border flows.
Why is it causing a sensation? Data shows that stablecoins handled $2.70 trillion in transfers last year (more than the sum of Visa and Mastercard), and the clarity of the bill could unlock trillion-dollar inflows. Banks such as BNY Mellon are also expected to publish stablecoins without asset burdens. According to CoinGecko’s Q3 report, the market value of stablecoins has set a new record of $287.60 billion, a year-on-year increase of 18.3%, while DeFi’s TVL has reached $161 billion (an increase of 40.2%). There is also a lot of discussion on X: “GENIUS = Stablecoin Superhighway – 300 billion Market Value is Just around the corner!” Moody’s warned that emerging markets’ use of stablecoins to hedging inflation could lead to instability, while the IMF-FSB and G20 emphasized the need for cross-border coordination.
3. Asian DeFi craze: India and Vietnam lead, TVL soars 40%
The DeFi market in Asia performed well this weekend: TVL surged 40% to $161 billion, with India and Vietnam contributing 69% of the growth. Data shows that 26% of Indian ETF holders plan to enter the cryptocurrency market by 2025, while Vietnam indirectly participates in cryptocurrency investment through Hong Kong channels. Kazakhstan launched the KZTE stablecoin anchored to Solana, and Thailand’s ETF has also begun to expand beyond Bitcoin. Russia regulates stablecoins and securities, Armenia plans to ban cash exchange for cryptocurrency in 2026, and the UAE has also joined the CARF report. The G7’s stablecoin framework and the IMF-FSB’s G20 roadmap are expected to be coordinated in December 2025, but the European Systemic Risk Board (ESRB) has warned that the risk of cross-border capital outflows cannot be ignored.
On X, there is a lively discussion among Asian voices: “MiCA European Union fence, GENIUS US highway – is it fragmentation or integration?” I invested $100 through MEXC’s DeFi pool and earned a 5% return in 7 days – the Asian craze is indeed exciting!
4. Industry Pulse: Acceleration, but Hackers and Hype Lurk
These changes are not groundless – accelerated adoption is quietly happening. The clarity of the GENIUS Act has opened the door for mainstream stablecoin remittance applications, with an expected global savings of $10 billion in transfer fees; CLARITY’s ICO path has also ignited a new wave of “ICO 2.0”. The MiCA registration system has increased trust in the European Union, and Hong Kong has introduced regulatory measures to prevent illegal flows. PwC pointed out that the US has become more friendly to cryptocurrency, and the crypto market in the Asia-Pacific region has also achieved breakthroughs at the grassroots level (India ranks first in Chainalysis). The use of cryptocurrency in Latin America has also grown by 63%. By the end of 2025, global crypto revenue is expected to reach $45.30 billion with 861 million users. 28% of US people hold cryptoassets, and 60% are optimistic about the benefits brought by Trump’s policies. Galaxy’s forecast predicts that Bitcoin will rise to $185,000 and Ethereum’s staking rate will exceed 50%.
However, the shadow of the industry is also increasing: during Q1, Cetus suffered a $223 million hack, Coinbase also suffered a $20 million ransom; FTX’s $1.60 billion loss case will be closed on October 30th. Since 2013, more than 12,000 cryptocurrencies have died, and 99% have not been traded; Quantum Computing predicts a 50/50 risk until 2030. Q3 unlocked $224 million SUI, EIGEN, and ENA projects.
The real voice on X: ‘GENIUS Act green light allowed, but hacker risks also need to be vigilant: safety first.’ In order to avoid risks, I deposited 50% of my assets in MEXC cold wallet to prevent hacker attacks.
5. Your positioning spotlight: what rules mean for trading
The GENIUS Act has lowered the entry threshold for the stablecoin market, while CLARITY has relaxed the restrictions on ICOs, bringing more opportunities to small coin investors. MiCA’s registration requirements will promote the popularity of compliant currencies, while Hong Kong’s regulatory policies have made the Asian market more diverse. For you, this means more liquidity and lower FUD risk – but remember, always maintain in-depth market research (DYOR).
Disclaimer : This article is for informational purposes only and does not constitute financial advice. The crypto market is highly volatile and carries significant risks, including principal losses. Please do your own research and consult a financial advisor. Data as of October 18, 2025 and subject to change.
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