TechFlow News: On March 31, BIT (formerly Matrixport) released its daily chart, stating, “In our report dated February 25, we noted that when Circle’s stock price fell to around $63, short positions were highly concentrated, and short covering could drive a rapid rebound. Weeks later, the stock briefly surged to $125. In our daily report on March 16, we assessed that this short squeeze had largely run its course. Since then, the stock has declined approximately 28% cumulatively—confirming our assessment.
CLARITY Act has recently seen key developments: A compromise draft proposes restricting platforms from offering yield on idle stablecoin balances. For Circle, this may narrow the expansion potential of certain interest-bearing products; however, once the regulatory framework is finalized, USDC’s compliant status will become clearer. The proposal has not yet been finalized, and amid slowing stablecoin growth and low market activity, there is no clear near-term catalyst. According to our fundamental framework, as the stock price gradually approaches levels below $80, Circle’s valuation has re-entered a range worthy of attention.”
