Key Highlights:
- Gold reached a historic peak above $3,500 while long-term Bitcoin holders are cashing out or transitioning into Ethereum.
- In the last 24 hours, exchanges saw a liquidation of $370 million in crypto futures as Bitcoin surprised many by rising instead of falling.
- World Liberty Financial (WLFI), affiliated with Donald Trump, proposed a buyback-and-burn strategy to enhance market confidence, reframing its token structure from oversupply to scarcity.
Long-term bitcoin holders are taking profits.
Gold surged past $3,500 per ounce early Tuesday, coinciding with Bitcoin’s lackluster performance, trading around $111,403.49. Lookonchain reported that a whale address, 0xFf15, exchanged 425 BTC (approximately $46.5 million) for over 10,500 ETH recently.
Additionally, long-term holders moved a staggering 97,000 BTC last Friday as profit-taking intensified.
Derivatives Positioning
- Crypto futures liquidation totaling $370 million occurred alongside Bitcoin’s price rise, contradicting bearish market forecasts.
- This liquidation influenced the open interest across most major cryptocurrencies, while open interest in Bitcoin notably increased by over 1%.
- XRP showed potential recovery signals with a pattern known as a “spinning bottom,” but overall open interest in USD/pair contract markets fell by nearly 6% amidst sluggish trading volumes.
- Perpetual funding for major cryptocurrencies remains slightly positive, indicating bias towards long positions.
- On platforms like CME and Deribit, trading sentiment reflects a mix of cautiousness and speculative interest.
Token Talk
- WLFI is introducing a buyback program linked to its liquidity on various blockchains, aiming to stabilize its market position after facing security breaches. Hackers previously exploited vulnerabilities, impacting user assets significantly.
The challenges WLFI faces underline the fragile nature of its launch strategy, with heavy scrutiny from the community regarding the sustainability of its offerings and ongoing risks.
