Global crypto adoption declined in the first quarter as retail activity weakened under mounting macroeconomic and geopolitical pressures. TRM Labs' Q1 Global Crypto Adoption Index showed an 11% year-over-year drop in retail crypto volumes, to $979 billion — the sharpest pullback since the 2022 bear market and the second consecutive quarterly contraction.
The downturn was largely driven by a stronger US dollar, higher interest rates and a broader risk-off environment, all of which weighed on retail participation. These pressures coincided with a 22% drop in the price of Bitcoin during the quarter, following a late-2025 peak above $126,000.
The outbreak of the Iran war in late February further rattled global markets, disrupting energy flows and pushing investors in advanced economies away from speculative assets like crypto.