Reincarnation Community News on May 25th

1. [U.S. Digital Asset Strategy Accelerates Implementation] (Importance: 25%)

Content: U.S. Treasury Secretary Yellen confirmed the inclusion of digital asset development into the national strategy, planning to promote institutional entry through tax incentives and regulatory sandboxes, while jointly studying the feasibility of a central bank digital currency (CBDC) with the SEC.

Analysis: The policy benefits directly stimulate expectations of institutional funds entering the market, but caution is needed against the market taking the opportunity to shake out positions before the policy is implemented. BlackRock's Bitcoin ETF's single-day net inflow rebounded to $120 million, but it is still weak compared to the average daily $280 million last month, indicating a strong wait-and-see sentiment.

2. [Miner Credit Expansion Exposes Leverage Risk] (Importance: 20%)

Content: Riot Platforms increased its credit line with Coinbase to $200 million, with a borrowing rate of the federal funds rate +4.5%, and Bitcoin as collateral.

Analysis: The miners' leverage behavior reflects the industry's anxiety about the competition for computing power after the halving, but the collateralization rate has dropped to 120% (the industry warning line is 150%), and a BTC drop below $105,000 may trigger a chain liquidation.

3. [SEC and Treasury Secretly Plan Blockchain Underlying Transformation] (Importance: 20%)

Content: The SEC Crypto Working Group discussed asset tokenization solutions with the Plume team, focusing on studying the compliance framework for on-chain government bonds and stocks, and plans to allow qualified investors to participate in the private equity market through on-chain securities.

Analysis: The policy shift may activate the $200 billion RWA (Real World Asset Tokenization) market, but the direct impact on BTC in the short term is limited, and attention should be paid to the pace of entry of traditional financial institutions.

4. [Whale Long-Short Game Enters High-Risk Zone] (Importance: 15%)

Content: James Wynn holds 11,588 BTC long orders (worth $1.266 billion), with a liquidation price of $105,179, while another anonymous whale on Hyperliquid holds $820 million in short orders, with a liquidation price of $110,200.

Analysis: The long and short main forces form a "death cross" in the $107,000-$110,000 range, with a liquidation volume of $320 million at the 1-hour level. If the price breaks through $109,800 or falls below $105,000, a unilateral market will be triggered.

5. [Cetus Theft Exposes DeFi Systemic Risks] (Importance: 10%)

Content: SlowMist confirmed that the Cetus vulnerability originated from smart contract arithmetic overflow. Hackers used 1 token to leverage $230 million in assets. The average 24-hour decline of SUI ecological tokens reached 45%. Holds at 52.3%