👉 GENIUS Act: These Altcoins Could Benefit Most!
Last Days Before The New Bitcoin All-Time High?
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📰 Last Days Before The New Bitcoin All-Time High?
💎 GENIUS Act: These Altcoins Could Benefit Most!
🐸 MEMEoirs of a Degen!
📢 Biggest Announcements
💭 Banter’s Take
GM Degens,
Bitcoin is pushing higher and is on the cusp of breaking out, but can it? There’s a bearish and a bullish side to consider. With some major upcoming catalysts, it could get the push it needs to reach a new all-time high (ATH).
Meanwhile, the GENIUS Stablecoin Act is nearing final approval, which could be extremely bullish for certain coins.
Let’s dive in!
🌍 Market Catch-Up
Top 100 coins Daily Performance - Banter Bubbles
Source: CoinMarketCap
📰 Question of the Day
Last Days Before The New Bitcoin All-Time High?
Over the last few days, Bitcoin has seen volatile candles with wicks liquidating many traders as it continues to range between $100,000 and $105,000.
On the four-hour chart, per CME, there’s been an open and close above this range, which could mean acceptance and encourage buying, potentially sending the price higher. Bitcoin needs to hold $104,400 as support to position itself for a full breakout.
However, things are looking overheated at these levels. Our analyst Alex says there’s bearish divergence on Bitcoin, though it’s not fully confirmed but could still play out. Nothing is certain, as he notes. Ali shares a similar view, as you see in the post below.
But things look bullish overall with the Bitcoin Golden Cross forming. As seen in October 2023 and October 2024, if history repeats, it could push Bitcoin past its previous ATH.
Then, there is a more speculative reason for a pump, driven by media coverage and leading to retail hype, which could lead to price spikes. That is the Bitcoin Conference (May 27-29, 2025, Las Vegas).
While broader market sentiment outweighs this events, it could still have an impact. Interestingly, if Bitcoin pumps into the conference, it would align with the M2 global money supply chart it’s currently seemingly tracking. Though not an exact science, we estimate a potential new all-time high around May 26 based on that chart. This could either mean the catalysts above drive Bitcoin to follow M2, or Bitcoin’s M2 makes them a reality. Bullish sentiment dominates, with bearish signals limited to technical analysis that still needs validation. If Bitcoin breaks to a new high around this date, it would further solidify the M2 tracking thesis, as championed by some of the big players, like Raoul Pal.
But, this may be the most significant event we got yesterday…
GENIUS
The GENIUS Stablecoin Act of 2025 has cleared a key Senate vote and now moves to the floor for debate. Don’t take this lightly! This is a big deal.
The act regulates stablecoins by requiring 1:1 backing with safe assets like U.S. Treasury bills (T-Bills) or cash equivalents, under Federal Reserve or state oversight. Stablecoins backed by T-Bills create massive demand for U.S. debt, legitimizing crypto in traditional finance, reinforcing the U.S. dollar’s dominance, and potentially driving broader adoption and stability across all of crypto. The legislation will now move to the debate and amendment process on the Senate floor.
The act is also bullish for the U.S. economy and T-Bills.
As Senator Bill Hagerty noted, stablecoin issuers could become the largest holders of U.S. Treasuries globally. Tether, the top stablecoin issuer, already holds $102.5 billion in T-Bills (Q3 2024), ranking it the 18th-largest holder of U.S. debt, ahead of Germany and Australia. If the bill passes, T-Bill demand could surge.
The act requires stablecoin issuers to hold high-quality assets like T-Bills, though exact percentages aren’t specified. With markets volatile, issuers might allocate higher percentages of their reserves to T-Bills for security and liquidity. This is all particularly bullish for altcoins like Frax, which we’ll explore next.
Final Thoughts
Bitcoin is on the verge of a new all-time high, with bullish catalysts aligning. If it breaks out, it would continue tracking the M2 money supply, reinforcing this thesis and suggesting a potential local top in August, per the M2 chart.
The GENIUS Stablecoin Act could benefit many altcoins, as we’ll discuss below.
We remain cautiously bullish. And time may be running out to allocate to Bitcoin at these levels, based on current data. As always, this is not financial advice—do your own research.
💎 Degens’ Den
GENIUS Act: These Altcoins Could Benefit Most!
The GENIUS Act is bullish for crypto overall, but certain projects stand to gain more.
Here’s a look:
Ethereum (ETH)—aka “The obvious one!”
As the leading smart contract platform hosting DeFi protocols like Aave, Curve, Frax, and Ethena, Ethereum benefits from increased stablecoin adoption. The act’s regulatory clarity will likely spike transaction volumes in Ethereum’s DeFi ecosystem, boosting demand for ETH for gas fees, staking, and governance.
Ethereum is performing well, with a golden cross also imminent, as Nehal notes below. This is typically bullish, but ETH is at levels similar to previous pumps, raising questions about whether it could hit $4,000 again.
Then we have some beta plays. Mostly protocols on Ethereum.
Aave (AAVE)
AAVE is a DeFi lending protocol supporting stablecoin lending and borrowing, including its GHO stablecoin. Increased stablecoin volumes could drive demand for AAVE tokens for governance and staking. As stablecoins grow, AAVE will act as a sink for deposits as they offer strong yields with a strong backing of security. Average borrow interest rates are 5.6% for the year.
Curve (CRV)
CRV has been the most reactive token after the news, being the outperformer for the day. After all it’s a decentralized exchange optimized for stablecoin trading. Higher stablecoin adoption could increase trading volumes, enhancing fees and rewards for CRV holders.
Frax (FRAX)
Frax issues fxUSD, a stablecoin backed by T-Bills and BlackRock’s BUIDL fund, align with the GENIUS Act’s requirements. Given its position in the market, it could benefit greatly.
Ethena (ENA)
Ethena offers USDe and USDtb stablecoins, backed by crypto collateral and T-Bills. USDe supply is back into growth for the first time in ~3 months with $300m added in the last few days. And the Ethereal Dex has reached $1.23B in TVL pre-deposits, 40% of Hyperliquid’s (HYPE) entire TVL.
This goes really deep, and there are more tokens that could benefit. If you don’t want to miss any of them, check out Ran’s show today! 👇
The Daily Candle
“Following a weak rejection at resistance, SOL has failed to reclaim the Yearly Open and is now rolling over as BTC trades at all-time highs. The chart shows signs of weakness—we’re watching for a breakdown.” Kyle
Catch Kyle’s Solana (SOL) trade today in The Daily Candle!👇
🐸 MEMEoirs of a Degen!
📢 Biggest Announcements
Circle Eyes IPO While in Talks for Potential Acquisition by Ripple, Coinbase
Ethereum Exchange Supply Drops Below 4.9% for First Time Ever
SEC Delays Decision on 21Shares, Bitwise, VanEck, and Canary Capital Solana ETF Proposals
Tron’s Justin Sun to Attend Trump Gala as Major TRUMP Token Holder
DOJ Investigates Coinbase (COIN) Over Customer Data Theft
Class-Action Lawsuit Filed Against Michael Saylor’s Strategy for Allegedly Misleading Statements
💭 Banter’s Take
Things are ramping up, and the outlook is mostly bullish, but an unexpected Black Swan event could shift the narrative. What could it be? Nobody knows, but for now, most indicators point upward. “Sell in May and go away” is fading, though it could still play out with 11 days left in the month.
See you all tomorrow!