Miners Pivot to AI

DAILY MARKET OVERVIEW

The Market Stays Weak

👋 Hey, Crypto Enthusiasts! Not much has changed on the surface, but there's a lot happening beneath it.

❌ Money has stopped flowing in.

Bitcoin ETFs, the big price driver of last year, have seen flat or negative net flows over the past 30 days. Institutional positioning on the CME shows commercials increasingly net short, which historically is not a picture where you'd expect prices to go higher. Until that flips, expecting a sustained rally is wishful thinking.

The broader market isn't helping either. The S&P near all-time highs sounds good, but it's actually bad news for crypto right now. It means investors don't need to rotate into risk assets. Capital is comfortable where it is.

📆 Watch Wednesday's unemployment figures and Friday's CPI closely. Inflation has been quietly cooling, with real-time trackers approaching deflationary territory. If unemployment ticks higher and CPI ticks lower in the same week, markets will start pricing in Fed rate cuts more aggressively. That's the macro catalyst crypto needs, but it's still months away from translating into sustained buying pressure.

💨 Miners are abandoning Bitcoin to chase AI.

Bitcoin miner company Cango sold 4,451 BTC ($305M) over the weekend to repay a Bitcoin-backed loan as it pivots into AI compute. Bitfarms has gone further, rebranding entirely as Keel Infrastructure and walking away from Bitcoin mining to focus on AI data centers in the US.

When miners who are supposed to be long-term Bitcoin holders start selling hundreds of millions to chase a different industry, it adds consistent sell pressure to an already fragile market. It also signals clearly where institutional capital sees better returns right now. Until this trend reverses, it's a headwind for Bitcoin's price recovery.

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SOCIAL SENTIMENT

Vitalik's Vision: Ethereum as the Internet of AI

While the market bleeds, Ethereum co founder Vitalik Buterin shared a new post about how he sees Ethereum fitting into an AI driven future. Instead of racing toward superintelligent AI, Vitalik argues that the more important question is how AI is used and who controls it.

In his view, Ethereum’s role is not to build AI itself, but to become the trust and coordination layer around AI systems.

He highlights three main ideas 3️⃣ 

• Trustless AI interaction: People should be able to use AI without handing over all their data and identity to big centralized companies. This includes local AI models, privacy friendly payments for AI services, and cryptographic verification so users stay in control of their data.

• Economic coordination between AI agents: Ethereum could let AI systems pay each other, post deposits, and build reputations onchain. This makes it possible for AI to operate in more open and decentralized systems instead of everything being controlled by a single company.

• AI assisted governance and markets: Many ideas like prediction markets and decentralized voting struggle because humans have limited time and attention. AI can help scale human decision making, helping people analyze and verify information, rather than replacing humans entirely.

The core idea is that Ethereum shouldn't just be a financial rail. It should be the infrastructure that keeps AI systems accountable, decentralised, and resistant to power concentration.

This won't move ETH's price tomorrow. But as AI continues to dominate the broader technology conversation, Ethereum positioning itself as the trust layer for AI agents is a narrative worth watching closely heading into the next cycle.

NEWS OVERVIEW

The Latest Crypto Headlines 📰 

Circle Ventures Backs edgeX Ahead of Token Launch
Circle Ventures invested in decentralized trading platform edgeX ahead of its token launch, with plans to bring USDC and CCTP to EDGE Chain.

South Korea Probes Bithumb After $43B Bitcoin Error
South Korea launched a full investigation into Bithumb following a massive fat-finger incident that exposed serious internal control failures.

MegaETH Launches Real-Time Mainnet Claiming 50,000 TPS
MegaETH debuted its mainnet with claims of 50,000 transactions per second and 10-millisecond blocks, targeting ultra-low-latency onchain apps.

SEC’s Uyeda Says Tokenization Rules Should Avoid Roadblocks
SEC Commissioner Mark Uyeda said regulators should not block tokenization progress and should adapt existing securities rules to onchain markets.

YOUTUBE INFLUENCER SUMMARY

Summary From The Top Influencers 📷️ 

Paul Barron – Crypto ENDGAME Sooner than you Think (10.02.2026 Summary)

In this video, Paul Barron argues that crypto is approaching a major turning point. Sentiment is extremely low, volatility is high, and macro pressure is building, but Paul believes these conditions usually appear right before markets change direction. His view is that crypto is moving from chaos toward clarity, and that shift could redefine the entire market.

Key Points

• Paul says crypto sentiment is near extreme fear, which historically appears near major bottoms

• Public frustration with crypto shows how washed-out confidence has become

• Volatility, fragmentation, and uncertainty are becoming the dominant market themes

• Global pressure on US debt and treasuries could force more money printing

• That environment often pushes investors toward hard assets and risk assets

• Regulation and market clarity are slowly forming, especially around stablecoins

• Paul believes Bitcoin, Ethereum, and XRP could all benefit as systems evolve

• Banks and institutions are preparing to enter crypto faster than most people expect

Final Takeaway
Paul’s outlook is that crypto’s “endgame” is not collapse, but transformation. Extreme volatility, regulatory shifts, and institutional movement suggest the market is being rebuilt rather than abandoned. While the path may stay messy, he believes crypto is positioning itself for a much bigger role in the financial system sooner than most expect.

Jesse Eckel – This Is Why I Haven’t Given Up on Crypto (10.02.2026 Summary)

In this video, Jesse Eckel talks honestly about staying in crypto while feeling wrong, early, and frustrated. Prices are down, sentiment is terrible, and he openly admits his timing has been off. Still, Jesse explains why he believes the crypto story is far from over and why he is willing to hold through the pain.

Key Points

• Jesse says being early in crypto feels exactly like being wrong, doubt, drawdowns, and criticism

• He admits missing several market bottoms, but says that does not mean crypto is broken

• When markets are adjusted for real value, like gold, stocks and Bitcoin have struggled since 2021

• This suggests the economy has been weak beneath the surface, even if prices look high

• Macro indicators show things have been slowly improving over time

• Crypto usually performs best when money is flowing freely and people are willing to take risk

• Jesse is not trying to trade short-term moves, he is waiting for a full bull market cycle

• He believes the biggest gains come during short, extreme bull runs, not during calm periods

Final Takeaway
Jesse hasn’t given up on crypto because he believes the worst conditions are slowly passing. Even if the timing is messy and painful, he is betting that patience during hard periods is what leads to real gains when the next crypto bull run finally arrives.

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