Tariffs & Rates Cause Tension

DAILY MARKET OVERVIEW

Market on Edge Again

👋 Hey, Crypto Enthusiasts! The market turned cautious after Powell held rates and inflation came in hot, and today’s news made things worse.

🇺🇸 Trump’s Tariff Announcement

Trump came out swinging today, officially announcing new tariffs with rates between 10% and 41%, set to go live on August 7. Markets didn’t love it.

This only adds to inflation fears. Higher tariffs = more expensive goods = more pressure on prices.

And Trump isn’t exactly holding back:

In short? Trump wants rate cuts now, and he’s not happy Powell isn’t playing along.

🤔 Large Open Interest

A significant amount of open interest has accumulated across the market over the recent run-up, particularly in Ethereum.

• That means a lot of leveraged positions have been placed by traders over the past few weeks.
  

• If this kind of setup were to unwind. It’s likely to lead to a choppy and downward market for the next few weeks, possibly months.

The market wasn’t prepared for such a defensive Fed stance, and it needs time to digest. Until then, expect some turbulence.

⚠️ Even Saylor’s Taking a Step Back

MicroStrategy (MSTR), which holds a massive Bitcoin position, just shifted tone as well.

Their estimated value per share (called mNAV) is based on how much BTC they hold and some other financials. Right now, it’s trading at about 2x its estimated NAV.

But Saylor says:

So, unless the stock price moves higher, he’s not selling shares, and if he’s not selling shares, he’s not buying more Bitcoin (at least for now).

Another potential source of BTC demand is sidelined.

📉 Where Do We Go From Here?

The market sold off after Powell gave little indication of a September rate cut.

• However, today’s weaker-than-expected job data suggests the labor market is softening more than initially thought.
  

• That slightly raises the odds the Fed could be forced to cut rates in September, offering a glimmer of hope that sparked a modest market rebound.

There’s also a chance Trump finds a way to replace Powell with someone who will cut rates, which could revive markets, but for now, caution is the name of the game.

THIS NEWSLETTER IS BROUGHT TO YOU BY:
OPENWALLET

Next-level security for your digital assets

Experience top security with Open Wallet. Your wallet blends user-friendliness with strong security.

SOCIAL SENTIMENT

Turning Defensive Across the Board

🛡️ Traders are clearly shifting gears. Longs are flipping to shorts, and altcoins are getting hit the hardest.

How low can we go?

• BTC: Eyes are on the $112K–$113K range. This is a key support zone. If we bounce quickly, that’s a good sign. If the price grinds and closes below it? We’ve got a problem.
  

• ETH: Needs to hold $3300–$3400. A break below would signal real weakness.
  

• Altcoins: Even riskier right now. Many could see much deeper corrections. This is not the time for leverage.

👀 Our Strategy Now

We’re staying defensive.

This isn’t the time to chase green candles or rotate into high-risk setups. With macro uncertainty rising and leverage piling up, we’re reducing exposure, watching key levels, and staying patient.

We believe this could turn into a prolonged period of choppy price action, but in the short term, the weak job data may lift sentiment and trigger a modest rebound.

NEWS OVERVIEW

The Latest Crypto Headlines 📰 

Coinbase Buys 2,509 BTC and Plans Tokenized Stock Trading
Coinbase added $222M in BTC to its treasury and plans to launch tokenized stocks and prediction markets for U.S. users.

Crypto Exchange Volume Surges to $1.7 Trillion in July
Global crypto exchange volume jumped 55% month-over-month, with Binance leading and DEX volume hitting its highest level since January.

Solana CME Futures Triple in Volume as ETF Hopes Grow
Solana futures trading hit $8.1B in July amid rising interest and ETF momentum, even as CME’s BTC and ETH products remain dominant.

Bitcoin Ends July at All-Time High Monthly Close of $115,644
Despite a late dip, Bitcoin logged its highest monthly close ever, signaling strong investor confidence and market resilience.

YOUTUBE INFLUENCER SUMMARY

Summary From The Top Influencers 📷️ 

Bankless – SEC Announces "Project Crypto." This Changes Everything. (01.08.2025 Summary)

David and Haseeb explain how the SEC’s new initiative could mark the biggest U.S. policy shift in crypto’s history.

• The SEC now says most crypto tokens are not securities, potentially ending years of legal uncertainty for U.S. projects
  

• Project Crypto introduces five reforms, including support for onchain settlement, self-custody, and a single license for multi-asset trading
  

• Ethereum is positioned to benefit most, as major institutions like Coinbase, Circle, and Robinhood are building directly on ETH infrastructure
  

• U.S.-based crypto startups may soon be able to launch tokens legally without hiding teams or using offshore entities

The video ends on a bullish note, framing this as a turning point where U.S. regulation finally aligns with the open-source ethos of crypto.

Jesse Eckel – Altseason Timing Just FLIPPED (Here's What It Means) (01.08.2025 Summary)

Jesse updates his altseason model after key macro shifts, pointing to a longer 5-year crypto cycle with peak gains pushed into 2026.

• The Fed now appears unlikely to cut rates in 2025, while the Treasury’s liquidity drain and rising dollar pressure risk assets
  

• Massive catalysts are stacking for 2026: tax cuts, potential $600 stimulus checks, and a dovish Fed
  

• Altcoin ETFs for Solana, XRP, Dogecoin, and others are expected in late 2025, bringing mainstream exposure and media attention
  

• A major bank rule change (ESLR) could free up over $1 trillion in lending capacity, unlocking credit and global liquidity

The video ends on a confident note, predicting a delayed but explosive altseason starting late 2025 and peaking during a 2026 macro melt-up.

CRYPTO MEMES