Crypto investor sentiment suffered a blow this week as Mantra's OM token plummeted over 90% on April 13, prompting comparisons to previous market collapses. The dramatic fall, from about $6.30 to below $0.50, raised allegations of market manipulation and revealed significant liquidity issues, especially during weekends. Gracy Chen, CEO of Bitget, noted that such concentrated wealth and opaque governance can lead to sharp price volatility. Furthermore, a report from Coinbase indicated the crypto market may be in a bear phase, with the altcoin market cap dropping 41% since December 2024. Coinbase's global research head, David Duong, suggested the onset of a new 'crypto winter' due to negative market sentiments. Meanwhile, decentralized finance (DeFi) borrowing has surged despite a 43% decline in the crypto lending market since 2021. Notably, AI tokens and memecoins dominated investor narratives in Q1 2025, accounting for 62.8% of the market's interest, indicating a lack of new trends in the space.

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