Gate Research Institute: Rapid deleveraging after high-level fluctuations | Increasing security risks of IDE in Vibe Coding scenarios

Cryptocurrency Asset Overview

BTC (-2.48% | Current Price 92,639.9 USDT)

BTC experienced a rapid deleveraging event amid high-level fluctuations. From the trend perspective, the price surged earlier and then entered a consolidation phase, with short-term moving averages (MA5, MA10) gradually flattening and beginning to turn, while the medium-term MA30 remains relatively flat; this quick dip on the 1-hour chart was mainly triggered after breaking below the consolidation range’s lower boundary, activating stop-losses and leverage liquidations (over $220 million in margin calls in the past 4 hours). The long lower shadow indicates significant support around $92,000. Looking ahead, as long as BTC holds above $92,000, the trend may enter a range-bound consolidation between $92,000 and $96,000; the immediate resistance levels are at $95,000–$96,000, which are key for short-term rebounds. Only if the price re-establishes stability above this zone can the market attempt to challenge previous highs again; otherwise, it will mainly digest the volatility through oscillation.

ETH (-2.78% | Current Price 3,200.36 USDT)

ETH followed BTC’s decline, showing a more passive and relatively weaker structure. After rebounding to around $3,350–$3,400, ETH also entered a sideways phase, with short-term moving averages (MA5, MA10) flattening and turning downward, while MA30 remains flat with no upward momentum, indicating no strong trend formation. Subsequently, driven by BTC’s decline, ETH broke below the consolidation range’s lower boundary, triggering short-term stop-losses and contract liquidations, with a quick dip on the 1-hour chart and a long lower shadow, with a low around $3,180, showing some support in that zone. Going forward, $3,180–$3,200 is the most critical short-term support zone. As long as this area is not effectively broken, ETH may enter a range-bound consolidation between $3,200 and $3,350. The first resistance for a rebound is at $3,320–$3,350, with stronger resistance at $3,380–$3,400. Only if ETH re-establishes stability above this zone can it regain strength and trend upward; otherwise, it will continue to follow BTC’s oscillation and correction, making independent outperformance unlikely in the short term.

GT (-2.5% | Current Price 10.09 USDT)

GT’s decline this round also occurred at the end of a high-level oscillation, but its structure is relatively weaker than BTC and ETH. From the trend, GT has been operating below its downward moving averages (MA5, MA10) and the medium-term MA30 after the initial decline, with rebound heights increasingly limited, indicating low market participation and insufficient trend-driven buying. In the context of overall market deleveraging, GT broke below the consolidation range’s lower boundary and experienced a rapid dip, with a low of around $10.04 on the 1-hour chart, with some support near $10.00. Looking ahead, $10.00–$10.05 is the most critical psychological and technical support level. If maintained, GT may enter a weak consolidation zone between $10.00 and $10.40. The first rebound resistance is at $10.30–$10.40, with stronger resistance at $10.55–$10.60. Only if it reclaims this zone can the trend gradually recover; otherwise, it will mainly oscillate at low levels and follow the overall market weakness.

Daily Gainers and Losers

Overall, the current decline shows strong synchronicity, mainly driven by contract liquidations and portfolio rebalancing. BTC and ETH both fell over 2%, with core assets experiencing significant deleveraging after high-level oscillations; meanwhile, SOL, XRP, and some high-beta altcoins saw amplified declines, indicating that risk appetite has rapidly contracted in a short period, with funds fleeing more volatile assets first. In the short term, the market may enter a phase of oscillation and correction, with altcoins remaining relatively weak. Whether the market can re-ignite a broader rally depends on BTC’s ability to hold key support levels and regain upward momentum.

DUSK *DUSK Network (+81%, Circulating Market Cap $99.8 million)

According to Gate data, the current price of the BOT token is $0.2, up over 80% in 24 hours. Dusk Network (DUSK) is a privacy-focused blockchain platform aimed at providing compliant zero-knowledge proof solutions for financial applications, supporting securities tokenization and RWA (Real World Asset) use cases.

The rise of DUSK is mainly driven by fundamental breakthroughs, coupled with capital inflows and market momentum. Recent catalysts include the launch of its mainnet, which boosted market confidence, and a partnership with Chainlink for integration, enabling RWA tokenization. Additionally, a partnership with the Dutch licensed exchange NPEX allows issuing securities worth up to €200 million, further promoting institutional adoption. Meanwhile, spot trading volume surged to hundreds of millions of dollars in the past 24 hours, with contract holdings increasing by over 80%, indicating significant capital inflow.

NAM *Namada (+103%, Circulating Market Cap $3.12 million)

According to Gate data, the current price of the NAM token is $0.00318, up over 100% in 24 hours. Namada (NAM) is a multi-chain privacy Layer 1 blockchain using Proof of Stake (PoS) consensus, supporting IBC protocol, integrated with the Cosmos ecosystem, providing asset-agnostic privacy protection suitable for cross-chain asset transfers and DeFi applications.

Namada’s rise is mainly driven by technical breakthroughs and capital inflows under low liquidity conditions, but its fundamentals lack strong support. Traders note that NAM has broken out of a descending wedge pattern, signaling a bullish trend. As a small-cap asset, a small amount of buying can significantly move the price, with market activity likely driven by retail FOMO. Overall, there are no major fundamental news; the rally appears to be driven by speculative activity in low market cap assets.

FRAX *Frax (+29%, Circulating Market Cap $104 million)

According to Gate data, the current price of FRAX is $1.12, up over 29% in 24 hours. Frax (FRAX) is the governance token of Frax Finance, a decentralized stablecoin system known for its partially algorithmic stability model, supporting RWA integration, and expanding DeFi applications through Layer 2 solutions like Fraxtal.

FRAX’s rise is mainly driven by rebranding and ecosystem expansion. The renaming from FXS to FRAX was completed on January 15, 2026, and was listed on major exchanges like Gate, increasing visibility and liquidity. Recent catalysts include the launch of FraxNet, an account-based platform supporting the minting, redemption, and yield generation of frxUSD across 20+ blockchains, enabling self-service access.

Hot Topics

ETH staking queue hits a new high since August 2023, fully cleared

According to ValidatorQueue data, since entering 2026, the number of Ethereum validators queued for staking has significantly increased, with the number of ETH waiting to be staked growing more than fivefold since the beginning of the year, reaching 2,582,000 ETH, the highest since early August 2023, with a waiting time exceeding 44 days. Meanwhile, the validator exit queue has been completely cleared, after peaking at over 2.6 million ETH in September 2025, now down to zero, indicating a structural reversal in staking fund flows.

Price pressure persists, but long-term locking willingness on the staking side has markedly increased. This contrasts with recent ETH corrections and market deleveraging, yet shows opposite directional fund behaviors. The significant growth in queued staking and the disappearance of the exit queue suggest that there is no long-term capital withdrawal during the decline; instead, more ETH is actively being locked and delayed from entering circulation.

Should protocols cease evolution? Divergence between Ethereum and Solana’s roadmaps

Recently, Ethereum co-founder Vitalik and Solana co-founder Toly engaged in intense discussions about whether protocols should stop evolving. Vitalik emphasizes the walkaway test and ossification, essentially addressing a fundamental question: if all core developers leave, can the chain still exist as a trusted infrastructure long-term? He believes that truly mature blockchains should resemble fundamental tools in the physical world—once core rules are established, changes should be minimized, maximizing decentralization and censorship resistance through protocol robustness. Ethereum thus leans toward creating a “permanently available minimal trusted core,” reducing innovation to client, parameter, or application layers, rather than continuously modifying consensus and core protocols.

In contrast, Solana adopts the opposite stance, viewing “evolution capability” as its core competitive advantage. Toly’s position is almost entirely opposite; he does not see “developers leaving with confidence” as the goal but considers continuous evolution as vital for protocol vitality. In Solana’s worldview, if the protocol stops iterating based on real user and developer needs, it’s equivalent to abandoning competition. As long as the network continues to create real utility and enables developers to profit, it will naturally attract contributors, potentially driven by AI/LLM governance and resource allocation in the future. Under this mindset, the protocol is not a “finalized tool,” but a system that must be constantly upgraded; the key is not whether it is modified but whether it solves real problems and can say “no” to worthless proposals. This is not a debate between conservatism and radicalism but two distinct paths: Ethereum chooses stability for ultimate trustworthiness, while Solana opts for continuous evolution to maintain competitive relevance.

Vibe Coding craze: invisible security risks from IDE auto-execution

As more people use VS Code, Cursor, Antigravity, and other derivative IDEs for Vibe Coding—cloning projects, rapidly testing code—they often overlook the IDE’s own “automatic execution” capabilities. SlowMist founder Cos points out that the core risk lies in enabling Allow Automatic Tasks: when you open a project directory, commands hidden in .vscode/tasks.json may silently execute—turning a simple GitHub clone into a supply chain attack if crafted by malicious actors.

A low-cost, effective way to reduce risk is to disable Allow Automatic Tasks via CTRL + SHIFT + P to access settings, or directly set task.allowAutomaticTasks to off in user settings JSON, blocking most hidden attack paths that trigger on open. This setting generally does not impact most development workflows, as most developers do not need IDEs to run tasks automatically upon opening directories. If using Cursor, further enable Workspace Trust, which prompts for confirmation when opening new directories, even if trusted, preventing automatic execution of .vscode/tasks.json. As AI programming accelerates development efficiency, security boundaries must shift to the IDE layer; otherwise, the most dangerous attack is not what’s in the code but what gets executed without your explicit command.

References:

• Gate, https://www.gate.com/trade/BTC_USDT
• Farside Investors, https://farside.co.uk/btc/
• Gate, https://www.gate.com/trade/ETH_USDT
• Farside Investors, https://farside.co.uk/eth/
• Gate, https://www.gate.com/crypto-market-data
• Investing, https://investing.com/indices/usa-indices
• Investing, https://investing.com/currencies/xau-usd
• CoinGecko, https://www.coingecko.com/en/cryptocurrency-heatmap
• ValidatorQueue, https://www.validatorqueue.com/
• X, https://x.com/toly/status/2012541454669783314?s=20
• X, https://x.com/evilcos/status/2012724893235003803?s=20

[Gate Research Institute](https://www.gate.com/learn/category/research) is a comprehensive blockchain and cryptocurrency research platform providing in-depth content, including technical analysis, hot topics, market reviews, industry research, trend forecasts, and macroeconomic policy analysis.

Disclaimer Investing in cryptocurrencies involves high risk. Users are advised to conduct independent research and fully understand the nature of assets and products before making any investment decisions. Gate is not responsible for any losses or damages resulting from such investment decisions.