The Crypto Basic

Lawmakers in North Carolina have introduced a bill that could integrate Bitcoin into the state’s financial framework.

Specifically, the proposal would allow a portion of public funds to be invested in Bitcoin. The move is part of an effort to modernize financial management and explore digital assets as a long-term store of value.

If adopted, the move would position North Carolina among a growing number of states that are reconsidering traditional asset allocation models.

Key Points

• North Carolina lawmakers have introduced Senate Bill 327, aiming to allow the State Treasurer to invest in Bitcoin.
• Under the bill, up to 10% of public funds could be invested, with strict rules governing its use and liquidation.
• Governance measures include oversight by a specialized Treasurer division and a Bitcoin Economic Advisory Board to ensure security and accountability.
• Bitcoin could potentially be used to support public projects, back bonds, and fund economic development initiatives.

Bill Framework and Legislative Progress

The proposal, known as the North Carolina Bitcoin Reserve and Investment Act, has been filed as Senate Bill 327. It comes with the support of Senators Brad Overcash and Todd Johnson.

Notably, the bill has already passed its first reading in the state Senate and now awaits review by the Rules and Operations Committee. If it advances, the legislation would authorize the State Treasurer to allocate up to 10% of public funds into Bitcoin.

How the Bitcoin Reserve Would Operate

Under the framework, the Treasurer’s office would assume direct control of the reserve, providing unified oversight. Additionally, Bitcoin funds would be secured in offline wallets that require multiple signatures for access.

Furthermore, the bill calls for the creation of a specialized division within the Treasurer’s office to oversee custody and day-to-day management of the assets.

To strengthen accountability, a Bitcoin Economic Advisory Board would be established. This means that a panel of industry experts would provide strategic guidance and conduct monthly audits to review balances, system integrity, and overall performance.

Acquisition Strategy and Usage Limits

Alongside governance measures, the legislation outlines a structured approach to acquiring and managing Bitcoin. Purchases will take place on authorized U.S. exchanges, with timing aimed at maximizing market opportunities. The legislation also supports bulk-buying strategies.

In addition, the Treasurer is directed to explore Bitcoin mining as a potential way to expand state holdings over time.

Despite these investment plans, strict limits would govern the use of the reserve. Funds could only be deployed during periods of significant financial strain, for sanctioned investment opportunities, or to support public works and initiatives that promote economic growth.

The proposal also allows expenditures for research, educational programs, and business initiatives related to Bitcoin.

Strict Controls on Liquidation and Transparency

At the same time, the bill introduces significant safeguards around liquidation. For instance, disposal of any Bitcoin assets is contingent upon receiving approval from two-thirds of members in both legislative chambers.

Beyond serving as a reserve asset, the Bitcoin holdings could also be used to back bonds, thereby offering an alternative financing mechanism for public projects.

To ensure transparency, the Treasurer would be required to publish quarterly reports detailing the reserve’s value, status, and performance. These reports would be publicly accessible online.

Part of a Broader U.S. Trend

In a broader context, North Carolina’s proposal reflects a wider national trend toward exploring Bitcoin as a component of public finance. States such as Texas, Arizona, and New Hampshire have already taken steps in this direction.

Meanwhile, similar proposals are under consideration in Illinois and Michigan, with ongoing reviews in Pennsylvania and Utah. However, efforts in Florida and Montana have stalled.

Taken together, these developments highlight a growing interest among states in diversifying financial reserves and also considering Bitcoin as a potential hedge against economic uncertainty.

Into the Cryptoverse founder Benjamin Cowen argues that despite innovation across the crypto market, value ultimately consolidates back into Bitcoin over time.

He shared this view in a recent X post. He highlighted Bitcoin’s first-mover advantage, deep liquidity, and growing institutional recognition as factors that keep it at the center of the ecosystem.

Key Points

• Benjamin Cowen asserts that crypto value consistently rotates back to Bitcoin.
• While altcoins often outperform during bull phases, he emphasizes that Bitcoin ultimately reabsorbs liquidity in later cycles.
• Although Bitcoin has retraced much of its recent gains, it still maintains roughly 57% market dominance.
• Sustained ETF inflows and ongoing corporate accumulation continue to reinforce Bitcoin’s long-term leadership.

Everything in Cryptoverse Bleeds Back to Bitcoin

According to Cowen, assets across the cryptoverse, including major altcoins and emerging protocols, tend to “bleed back” into Bitcoin within a cycle or two. His commentary suggests that while altcoins may outperform Bitcoin in the short term, capital often flows from these projects to Bitcoin over the long term.

Historically, this pattern unfolds in stages. First, Bitcoin rallies strongly as fresh capital enters the market. Afterward, investors rotate profits into altcoins in search of higher returns.

However, investors rotate that capital back into Bitcoin for stability, causing altcoin prices to bleed significantly. This cycle helps BTC reasserts dominance, absorbing liquidity from overhyped projects.

Historical Context

For instance, in November 2024, Bitcoin surged from about $70,000 to $100,000 amid macro-driven momentum. Meanwhile, capital rotated into major altcoins like Solana, which climbed to an all-time high near $295 in January 2025.

Nonetheless, Bitcoin regained momentum months later, eventually reaching a record $126,000 in October 2025 as both institutional and retail demand intensified. However, Solana failed to reach a new peak during the same period.

In the current bear market, while Bitcoin trades about 44% below its peak, Solana is down nearly 70%. Other altcoins, such as Shiba Inu, are faring much worse, trading at losses of over 90% from their highs.

Present Condition

This week, a similar dynamic emerged during a market relief rally. Although Bitcoin gained less than 10% over the week, altcoins such as Hyperliquid and XRP posted stronger double-digit gains. Even so, Cowen’s thesis suggests that, over time, such outperformance often fades as capital rotates back into Bitcoin.

Meanwhile, the broader market has pulled back. Bitcoin slipped below $70,000, while Ethereum dropped under $2,150. Despite this decline, Bitcoin continues to dominate the market, trading around $69,459 with a $1.38 trillion market cap and 57.74% dominance.

This strength is further supported by sustained institutional inflows into Bitcoin ETFs, alongside continued accumulation by firms like Strategy.

Market veteran Benjamin Cowen insists Bitcoin will not receive any capital rotation from gold, as it typically drops whenever gold struggles.

The crypto market has faced another roadblock to the latest recovery effort that began on Feb. 28, with Bitcoin (BTC) eventually losing the pivotal $70,000 psychological level after reaching $76,000 earlier this week.

Interestingly, the ongoing pullback experienced by Bitcoin occurs alongside a price crash suffered by gold (XAU), the largest asset in the world. This adds weight to a long-standing belief held by Benjamin Cowen, who insists capital rotation will not flow from gold to Bitcoin.

Key Points

• Bitcoin has faced a roadblock to the latest recovery push, recently collapsing below $70,000, as it dropped 8.78% from the $76,000 peak earlier this week.
• The recent Bitcoin correction comes amid a similar turbulence in the gold market, as the precious metal crashes 8.54% this week alone.
• Cowen believes Bitcoin’s drop alongside gold’s market struggles confirms his theory that capital will not rotate from metals to Bitcoin.
• The market veteran’s suggestion contradicts the belief among Bitcoin enthusiasts that BTC could eventually rally after capital rotates from precious metals.
• Despite Bitcoin’s struggles, the crypto firstborn has begun gaining ground against gold after six consecutive weeks of declines.

Bitcoin Meets Roadblock Amid Latest Rebound

Cowen, who serves as the CEO of Into The Cryptoverse, discussed this amid Bitcoin’s latest pullback. For context, Bitcoin engineered its latest recovery campaign after initially collapsing in response to the escalation of the Israel-Iran conflict on Feb. 28.

Following a drop to $63,000, BTC rebounded almost immediately and maintained the uptrend until it faced its first roadblock at $74,000, corrected mildly, and then resumed the rally. After reaching $76,000 on March 17, Bitcoin has now corrected 8.54% from this peak, trading below $70,000.

Bitcoin’s Pullback Occurs Alongside Gold’s Crash

Benjamin Cowen pointed out that the latest Bitcoin pullback appears to be occurring alongside similar turbulence in the gold market. Citing this phenomenon, he reiterated his long-term belief that, for now, Bitcoin will not witness any capital rotation from gold.

For context, with Bitcoin dropping below $70,000, gold has extended a decline that began on the back of the Israel-Iran war, shattering its appeal as a safe haven for now. 

Specifically, gold has recorded two consecutive weeks of declines, and is on track to see a third one for the first time since last November. During this period, gold has collapsed 12.5%, losing the psychologically important $5,000 level, now trading for $4,616 per ounce. 

“No Rotation”

With gold correcting, crypto enthusiasts believe capital could rotate from the precious metal to Bitcoin, supporting Bitcoin’s price action, but that has not played out as expected. Amid this occurrence, Cowen called attention to a suggestion he made in late January, 

Notably, at the time, precious metals like gold and silver recorded impressive rallies, with gold reaching an all-time high of $5,597 on Jan. 29, and silver hitting a peak of $121 on the same day. Typically, after metals record such rallies and then pull back, capital often rotates into Bitcoin, giving the crypto market a boost.

While Bitcoin investors expected this phenomenon to occur when gold and silver correct, Cowen insisted that it may not play out this time. He pointed out at the time that just as capital did not rotate from Bitcoin to altcoins last year to kickstart the altcoin season, capital will also not rotate from metals to Bitcoin.

There was no rotation from BTC to ALTs.

Just like there will be no rotation from metals to crypto.

I do not make the rules.

— Benjamin Cowen (@intocryptoverse) January 28, 2026

This suggestion faced pushback from market enthusiasts, who argued that it would turn out wrong. Interestingly, a day later, when gold dropped 4%, BTC also collapsed 4%, and Cowen ensured to highlight this. Now, gold is struggling, and Bitcoin has joined in the turbulence, prompting another response from the market veteran.

Bitcoin Gaining Ground Against Gold

However, despite Bitcoin’s latest pullback, market data confirms it has indeed continued to gain ground against gold. After witnessing six consecutive weeks of declines against gold from January to February 2026, Bitcoin has flipped the trend, recording two consecutive weekly gains.

Up 4.32% against gold this week, Bitcoin is now on track to print the third consecutive bullish weekly close, as it recovers from 12 ounces of gold early this month to 15 at press time. However, BTC/XAU still faces potential resistance at the middle and higher Bollinger Bands stationed at 18 and 26, with the price still well below them.

Bitcoin is not falling as much as other major assets in the global market, showing resilience in the midst of the oil boom due to geopolitical tension.

Notably, Bitcoin is struggling, as are most other global assets. The only exception here is oil, which has been barreling nortahward. However, BTC’s correction comes with a glimmer of positivity, as it has held up better than most analysts expected.

Key Points

• Today, Brent oil surpassed $116, continuing its price expansion over the past few weeks.
• In contrast, Bitcoin is down over 3% in the past 24 hours, falling below the $70,000 price mark again.
• However, Bitcoin is not falling as much as other major assets in the global market, showing resilience in the midst of the oil boom due to geopolitical tension.
• After facing a clear rejection near the $76,000 resistance on Tuesday, Bitcoin has drifted lower toward a key support zone between $69,000 and $70,000.
• If prices stabilize here, it could create conditions for another push higher, especially if broader market sentiment improves.
• If this support does not hold, attention shifts lower, with $60,000 and lower as the possible targets.

Oil, the Shining Light in a Bloody Market

Today, Brent oil surpassed $116, continuing its price expansion over the past few weeks. The growth followed a recent strike on oil refineries and gas plants in the Middle East.

Globally, oil prices have risen considerably as geopolitical tensions and supply concerns continue to support prices. Analyst Michael van de Poppe highlighted that the natural mineral has been the only shining light in a gloomy market. 

According to him, all assets, except oil, have been selling off in the past 24 hours. This divergence highlights the current uncertainty across global markets, as capital shifts toward oil, which analysts have tipped to become increasingly scarce as geopolitical tensions persist.

Bitcoin Correcting Too, but There’s a Catch

In contrast, Bitcoin has entered a corrective phase. The premier asset is down over 3% in the past 24 hours, falling below the $70,000 price mark again, after a string of bullish price action pushed it to $75,000 earlier in the week.

However, the pullback remains relatively controlled compared to broader market weakness, van de Poppe suggested. He noted that BTC has not corrected as much as he presumed, signaling its resilience in the face of uncertainty.

Data backs this sentiment. Specifically, gold is down over 9% in two days, correcting nearly 6% alone today. Silver is looking even worse, dipping 10% since the start of today. This means that the asset has now dropped 15% since Wednesday.

The US stock market is also bleeding, with $120 billion wiped out yesterday alone. The broader corrective move relative to Bitcoin highlights the cryptocurrency’s fair downside.

Key Bitcoin Support to Watch for a Rebound

After facing a clear rejection near the $76,000 resistance on Tuesday, Bitcoin has drifted lower toward a key support zone. The area between $69,000 and $70,000 is emerging as an important level for BTC, as it is critical for its short-term direction.

This zone has previously served as a strong resistance, and holding above it suggests the current move is a healthy retracement. Holding it suggests the current downtrend is a mere retest rather than the start of a deeper decline.

Van de Poppe highlighted that if prices stabilize here, it could create conditions for another push higher, especially if broader market sentiment improves. Notably, a strong reaction in this region would indicate that buyers are still active despite broader market uncertainty.

What Happens If Support Fails

If this support does not hold, attention shifts lower. The analyst mentioned the next major support at the low $60,000s and even below. This area could act as a point where whales step in again to prevent further downtrend.

Meanwhile, this would see BTC reenter the range between $69,000 and $63,000 that defined its move for weeks between early February and March. In the meantime, the apex cryptocurrency trades at $69,800, aligning with the lower end of the support band. This keeps the hopes of a rebound alive.