💸 $830 Billion Is About To Get Injected Into The Market!
💎 Is This A Sign That Altcoins Still Have Life?
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📰 $830 Billion Is About To Get Injected Into The Market!
💎 Is This A Sign That Altcoins Still Have Life?
🐸 MEMEoirs of a Degen!
📢 Biggest Announcements
💭 Banter’s Take
GM Degens,
Flatness prevails as Bitcoin isn't moving!
But the altcoins have seen better days…
However, with the US government about to tap into some of the cash it's held on the side things could get a boost soon.
Let's dive in!
🌍 Market Catch-Up
Top 100 coins Daily Performance - Banter Bubbles
Source: CoinMarketCap
📰 News of the Day
$830 Billion Is About To Get Injected Into The Market!
Bitcoin seems really flat, as the weekend has come and gone, and it has gone in no direction whatsoever, not even down after more news around US President Trump getting ready to impose more tariffs on countries that also have high tariffs for the US.
Trump said he's going to announce reciprocal tariffs on Tuesday or Wednesday, which will take effect almost immediately. Canada, Brazil, Mexico are some of the countries which are going to see high tariffs on steel and aluminum.
However, crypto isn't dropping on such news. Might the worst have already come and gone and be priced in? Nobody can know that, and none of this is financial advice. You all need to do your own research.
We have CPI coming up on Wednesday, followed by PPI, but one of the biggest events of the week is going to be Coinbase's (COIN) earnings. The market expectation is for stable inflation, coming in at around 2.9%.
One of the biggest things everyone's talking about right now though is the Treasury General Account (TGA). The U.S. government is about to draw down the Treasury General Account to inject liquidity into the markets due to reaching the debt ceiling.
When the government hits the debt ceiling and can no longer issue new debt, it resorts to using its cash reserves at the Federal Reserve, which is the TGA. This drawdown effectively injects this amount of liquidity back into the markets because the money, which was previously sitting idle in the TGA, is now being spent, thereby increasing the available funds in the financial system. Tomas's figure below of $830 billion is the total amount currently in the TGA.
So is this a big event, or is it just another piece of hopium for the crypto hopeful?
We will soon find out, but as Bitcoin and the stock markets are holding up relatively well to all the tariff FUD, the altcoins are not, as they are taking massive hits. However, if you look deeper, you see the altcoin market is showing some strange signs of life…
💎 Degens’ Den
Is This A Sign That Altcoins Still Have Life?
There have been a few on-chain runners come and go, with the most recent one being what people thought was a joke or a scam initially.
The Central African Republic launched a memecoin named Central African Republic Meme (CAR), announced on X by President Faustin-Archange Touadéra. The coin rapidly reached a market cap of $527 million, but its legitimacy is being questioned due to potential deepfake videos and security concerns about the presidential account. No official confirmation or denial has been issued by the government, amidst reports of account suspension and potential scams.
Meanwhile, on the largest altcoin around, Ethereum (ETH), there are massive, I mean aggressively large amounts of ETH shorts opening up. People are questioning why this is happening, but even though there is no hard evidence, it is highly likely that the same is happening here as what happens with Bitcoin when it's got its initial spot ETFs being approved. It could very well be institutions hedging their positions, a.k.a. opening ETH shorts while they are holding massive amounts of spot ETH. According to The Kobeissi Letter, short positioning in Ethereum is now up +40% in one week and +500% since November 2024.
Lastly, one of the big things that people are talking about is a potential pump[dot]fun token being released. Unfortunately, for all the hopefuls, the co-founder of pump[dot]fun came out to debunk these rumors.
🐸 MEMEoirs of a Degen!
A classic.
Fitting for the day.
📢 Biggest Announcements
Ethereum Average Gas Price Drops to $0.04
Japan to Reclassify Crypto as Financial Products, Approve Bitcoin Spot ETF, and Implement Tax Cuts
💭 Banter’s Take
Bad news is not feeding the bears right now. And many think that is a good sign that sentiment is shifting.
See you all tomorrow!