They Keep Buying Bitcoin!

DAILY MARKET OVERVIEW

Monday Crypto Watchlist

👋 Hey Crypto Enthusiasts! Markets are moving as Bitcoin rebounds slightly, Trump’s tariffs continue to shake up the global economy, and major players continue stacking BTC. Meanwhile, crypto investment products see $1.3B in weekly inflows, defying macro fears.

Bitcoin Recovers to $98K After Tariff-Driven Dip

Bitcoin rebounded slightly today, climbing slightly above $98,000 after a rough weekend in which it lost over 4% due to escalating U.S.-China trade tensions.

• The drop was triggered by President Trump’s 25% tariffs on steel and aluminum imports and 10% tariffs on Chinese goods.

• Investors are also awaiting U.S. Consumer Price Index (CPI) data on Wednesday, which could determine whether inflation remains sticky and impacts the Federal Reserve’s interest rate policy.

• While Bitcoin is often viewed as a hedge against inflation, gold hit record highs while Bitcoin briefly dipped below $92,000.

If inflation remains high, the Fed may delay rate cuts, which could keep pressure on Bitcoin and other risk assets. The next few days will be key in determining whether Bitcoin can hold its ground as "digital gold" or if macroeconomic factors will continue to drive volatility.

Strategy Buys Another 7,633 BTC, Expanding Holdings to $46 Billion

Michael Saylor’s Strategy (formerly MicroStrategy) acquired 7,633 Bitcoin for $742 million last week, continuing its aggressive accumulation strategy.

• The company now holds 478,740 BTC, worth over $46 billion, controlling more than 2.2% of Bitcoin’s fixed 21 million supply.

• Bitcoin purchases were funded through stock sales totaling $742 million.

• The company’s total Bitcoin holdings were acquired at an average cost of $65,033 per BTC.

Strategy’s continued accumulation reinforces the narrative that corporations are beginning to view Bitcoin as a treasury reserve asset rather than a speculative investment. The company’s capital-raising strategy suggests that it is positioning itself to take advantage of future price appreciation, despite short-term volatility. As institutional interest in Bitcoin grows, more companies may follow Strategy’s lead.

More U.S. States Considering Bitcoin Reserves

With Donald Trump back in the White House, several U.S. states are actively exploring adding Bitcoin to their financial reserves.

• Nine states are currently evaluating proposals, including Texas, Pennsylvania, Ohio, New Hampshire, Wyoming, Massachusetts, Illinois, Oklahoma, and Utah.

• Pennsylvania’s bill proposes investing 10% of state funds into Bitcoin, while Texas plans to store Bitcoin in cold storage as a long-term hedge.

• Wyoming and Massachusetts have also introduced bills allowing their treasuries to hold Bitcoin as a strategic reserve.

A growing number of lawmakers believe that Bitcoin could serve as a safeguard against economic instability, much like gold. If these states move forward with Bitcoin reserves, it could mark a major shift in how digital assets are perceived at the government level. A successful state-led adoption could also lay the groundwork for a future federal Bitcoin reserve, a concept that Trump and several policymakers have floated in recent months.

Crypto Investment Products See $1.3 Billion in Weekly Inflows

Despite recent market volatility, institutional investors are continuing to allocate capital to crypto investment products.

• Crypto investment funds saw $1.3 billion in net inflows last week, nearly doubling from the previous week’s $747 million.

• This marks the fifth consecutive week of net inflows, bringing total inflows for the year to $7.3 billion.

• Ethereum-based funds outpaced Bitcoin funds for the first time this year, attracting $793 million in net inflows, while Bitcoin-based funds added $407 million.

• U.S.-based funds led the trend, accounting for $1 billion in total inflows.

Even with price fluctuations and macroeconomic uncertainty, institutional capital continues to flow into crypto markets. The sustained inflows suggest that major investors are taking a long-term view on digital assets, rather than reacting to short-term market moves. With Bitcoin and Ethereum ETFs now widely available, traditional investors have more access to crypto than ever before, further solidifying its role in mainstream finance.

Final Thoughts

• Bitcoin is navigating a complex macroeconomic environment, with trade wars, inflation, and monetary policy shaping its trajectory.

• Corporate and state-level adoption continues to expand, reinforcing Bitcoin’s position as a long-term store of value.

• Institutional capital keeps flowing into crypto, despite volatility and geopolitical uncertainty.

Bitcoin’s role in the global financial system is evolving rapidly - whether as a corporate treasury asset, a state reserve, or an institutional investment vehicle.

Will more states adopt Bitcoin reserves? How will macro trends impact Bitcoin’s growth? Stay tuned as 2025 unfolds.

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

Meme Coin Mayhem 😱 

Over the weekend, the altcoin market remained mostly stagnant, but the Solana meme coin space continued to see wild, unpredictable moves. Here are some of the biggest developments:

• DaBaby’s Meme Coin Rug Pull – Popular American rapper DaBaby launched a meme coin, only for it to be rug-pulled shortly after, leaving traders with nothing. The incident highlights the growing trend of celebrity-backed crypto scams.
  

• Central African Republic’s President’s Meme Coin Soars – The president of the Central African Republic launched a meme coin that skyrocketed to a staggering $900 million market cap within a single day. The rapid rise and potential risks surrounding this project have raised eyebrows across the crypto community.
  

• Pump.fun Airdrop Rumors Heating Up – Speculation is growing on X that pump.fun may be planning an airdrop. If true, it could drain liquidity from other tokens, particularly on Ethereum, as traders rush to position themselves for potential rewards.
  

• Kanye West’s ‘Ye’ Coin Controversy – Rumors swirled that Kanye West was launching a meme coin called “Ye.” However, the rapper quickly backed out, instead, he exposed how celebrities are often bribed to promote scam projects under the guise of being hacked.

The meme coin frenzy continues to showcase both the explosive potential and extreme risks of the space, with Solana at the center of the latest action. Beware of celebrity meme coins!

NEWS OVERVIEW

The Latest Crypto Headlines 📰 

Gold Hits Record High as Bitcoin Struggles
Gold reaches $2,902 per ounce, up 17.5% YTD, as central banks increase purchases. Bitcoin gains 5.1% but faces macro volatility.

CAR Memecoin Raises Suspicion Amid Dubious Launch
Central African Republic’s President allegedly launches a memecoin, but concerns over insider control and token dumping fuel scam fears.

VC-Backed Crypto Projects Face Backlash
Berachain’s BERA token faces criticism for insider allocations as investors debate the impact of VC funding on token economics.

Proton Expands Into Crypto with Bitcoin Wallet
Proton, the privacy-focused tech firm behind Proton Mail, launches a self-custodial BTC wallet, enabling secure transactions with email integration.

YOUTUBE INFLUENCER SUMMARY

Summary From The Top Influencers 📷️ 

Lark Davis - Has Crypto Bottomed Yet? (10.02.2025 Summary)

The big question on everyone’s mind: Has crypto finally hit its bottom? According to Lark Davis, we’re either there or getting very close, but risks could still shake things up. Let’s break down his take.

Bitcoin: The Market's Backbone

• Where We Are: Bitcoin is holding strong around $97,000, and while that sounds great, Lark warns of a potential breakdown if key levels don’t hold. "If Bitcoin drops below $90,000, it’s going to be an extinction-level event for altcoins."

• Fed's Role: The Federal Reserve recently dropped vague hints about ending quantitative tightening (QT), but Lark reminds us, "The Fed loves giving itself wiggle room - they never give definitive timelines. Still, this points to QT ending by June, which is huge for risk assets like Bitcoin."

• Stuck in Neutral: Bitcoin’s price has been eerily stable, closing at almost the exact same level for four days in a row. Lark calls it "extreme market indecision."

Lark’s Advice:

• Watch Bitcoin’s ability to hold $90,000. It’s the key support level.

• If we break above $100,000, it could signal the next big rally. For now, patience is key.

Altcoins: Bleeding, But Not Dead

• A Tough Market: Altcoins are still getting crushed. Lark highlights how retail sentiment is in the gutter, saying, "Sentiment is dead, man. It’s so bad right now, but that’s often when the best opportunities come up."

• The Bright Spots:

  • Litecoin: Lark sees potential in Litecoin, which has been boosted by ETF rumors. "It’s had a nice breakout, and the hype is real. If you’re trading Litecoin, watch for strength to continue."

  • Solana: Testing a key resistance zone. If it breaks out, Lark believes it could move quickly. "It’s a logical place for rejection, but if it pushes through, it’s game on for Solana."

  • Speculative Plays: Meme coins like Fart Coin still have attention. Lark jokes, "Believe it or not, hot air rises - Fart Coin might just break out!"

• Golden Cross: Lark points out a key long-term bullish signal (a 100-200 moving average crossover) is forming. "This has marked altcoin recoveries in the past. It’s not guaranteed, but it’s a good sign."

Lark’s Advice:

• Focus on projects showing strength, like Litecoin or Solana, but use tight stop-losses if you’re trading.

• "Don’t go all in on speculative plays. This market is still too risky."

Macro Trends: Are the Winds Changing?

• What’s Happening: Lark points out that financial conditions in the U.S. are loosening despite high interest rates. "The market is weird right now - tight monetary policy, but easy money on the ground. This kind of setup could be great for crypto later this year."

• Liquidation Reset: Last week, billions were wiped out in liquidations. While painful, Lark sees this as a reset. "It’s cleared out the overleveraged traders, which could give the market room to breathe."

• Retail vs. Institutions: Lark highlights a critical sentiment divide. "Retail is bearish as hell, but pro investors are quietly bullish. That’s usually a good sign for those willing to stick around."

Lark’s Advice:

• Keep an eye on Fed policy. If QT ends, it could trigger a rally.

• Use this time to research and plan. "The best opportunities come when nobody else wants to buy."

Final Thoughts

Lark is optimistic but realistic. "This might not be the bottom, but we’re close. The market still has risks, but the potential for recovery is building."

Lark’s Parting Tips:

1. For Bitcoin, $90,000 is the line to watch. Below that, it gets ugly. Above $100,000, things could heat up quickly.

2. For Altcoins, focus on resilience, like Litecoin or Solana, and avoid overexposure to speculative plays.

3. Stay Smart. "Don’t use excessive leverage. The market is too unpredictable, and one wrong move can wipe you out."

Data Dash - WTF Is Going On With Bitcoin? | It's Time To Pay Attention... (10.02.2025 Summary)

Nicholas Merten from DataDash is back to answer the big question: What the heck is happening with Bitcoin?

For nearly three months, Bitcoin has been stuck in a range. Is it gearing up for another rally, or are we about to see a serious correction? According to DataDash, we need to look at ETF inflows, MicroStrategy’s moves, and key support levels to figure out what happens next.

Bitcoin: Normal Pullback or Warning Sign?

Bitcoin’s sideways movement isn’t unusual, and DataDash says this kind of consolidation is completely normal and healthy after a major rally.

"People assume Bitcoin should always go up, but after big runs like we saw between September and December, the market needs time to breathe. These consolidation periods allow for the next rally to build."

At the same time, the market is testing a major resistance-turned-support level from 2021. If it holds, this could be the foundation for Bitcoin’s next breakout. If it doesn’t, things could get ugly.

What’s Holding Bitcoin Back?

• ETF Inflows Slowing Down: In late 2024, Bitcoin ETFs were driving massive demand, adding up to 120,000 Bitcoin in just two months. But February has been much weaker, with only 1,800 Bitcoin added so far.

• MicroStrategy’s Buying Power is Fading: "They were a major force behind Bitcoin’s rally, sometimes buying more than ETFs. But their ability to raise money is slowing down, and that could impact demand."

• Supply vs. Demand is Everything: "At the end of the day, price depends on whether there are more buyers than sellers. Right now, that balance is shifting."

Key Levels to Watch

• The 21-Day Moving Average: Bitcoin needs to reclaim this level soon to stay strong.

• $80,000–$90,000: If Bitcoin breaks lower, this is the next major support zone.

• $120,000: If Bitcoin moves higher, this is where DataDash sees the next major resistance and a likely profit-taking zone.

Altcoins: Some Strength, But Still Struggling

Altcoins have been in a brutal downtrend, and while some are showing early signs of life, most still haven’t proven themselves.

"A lot of altcoins have dropped 35%–50% in the past few months. Some are finally stabilizing, but we need to see real strength before getting too bullish."

What Looks Interesting?

• Solana: "Starting to coil up against key moving averages, which is a good sign."

• Fetch.ai (FET): "Down over 85% from its highs -exactly the kind of deep discount I look for in strong projects."

• Render (RNDR): "AI plays are still relevant, and Render is showing signs of reclaiming key levels."

Even with some promising setups, DataDash warns:

"If you’re going to trade altcoins, focus on the ones that are showing real strength. A lot of them are still just chopping around."

Meme Coins: No Clear Reversal Yet

Even large-cap meme coins are struggling:

• Dogecoin and Pepe: Still facing resistance at key moving averages.

• No strong uptrend yet: Despite heavy corrections, these coins aren’t showing clear signs of recovery.

"Meme coins will always have their moments, but right now, they don’t look strong."

Final Thoughts: Time to Buy or Time to Wait?

DataDash isn’t calling for a crash, but he’s cautious.

"Bitcoin might hold here, but if it loses key levels, a deeper correction is totally possible. We could easily see a 25% pullback, and that wouldn’t be anything out of the ordinary."

What He’s Watching Next:

1. ETF inflows: If buying pressure picks up again, Bitcoin’s rally could resume.

2. MicroStrategy’s stock premium: If it improves, they might start buying more Bitcoin again.

3. Altcoins reclaiming key levels: If they start outpacing Bitcoin, that could signal a new trend.

Biggest Takeaway?
"If Bitcoin holds, we might get another push higher. But if it starts breaking down, don’t be surprised to see a drop to $80,000–$90,000 before things stabilize."

CRYPTO MEMES