The Daily: El Salvador's bitcoin stash hits fresh peak as BTC whipsaws near all-time highs, Strategy faces class action lawsuit, and more
I hope you had a good weekend, folks. Bitcoin BTC +0.20% 's whipsawing price action on Sunday and Monday cleared out both longs and shorts. But is this the final shakeout before all-time highs — or will potential daily bearish divergence play out and drag the crypto market into another correction?
In today's newsletter, El Salvador's bitcoin stash hits a fresh peak, Strategy and co-founder Michael Saylor face a class action lawsuit, Bybit enables USDT-paired equities trading, and more.
Meanwhile, altcoins retreat amid macro volatility following Moody's U.S. credit rating cut. El Salvador's bitcoin stash hits fresh peak El Salvador's bitcoin portfolio has hit over $357 million in unrealized profit as the foremost cryptocurrency's price whipsaws near its all-time high.
President Nayib Bukele reaffirmed his commitment to buying BTC despite the country's $1.4 billion deal with the IMF, which included an agreement to scale back some of El Salvador's bitcoin-related activities. The country's bitcoin stash now totals 6,181 coins and reached a peak portfolio value of more than $650 million, according to Bukele, as bitcoin surged above $106,000 on Monday before correcting. El Salvador's bitcoin holdings were acquired for a total of $287.1 million, giving it an approximate 125% unrealized gain overall and 12.2% year-to-date. In June 2021, El Salvador became the first country to formally adopt bitcoin as a legal tender, as proposed by Bukele, to promote financial inclusion. Since then, the country has been steadily accumulating bitcoin — a strategy Bukele previously emphasized will continue regardless of international pressure or market cycles.$BTC
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History of Currency. How was gold and silver used in ancient times? Silver was measured by weight. Gold was made into thin sheets the size of chewing gum, rolled or folded, and cut with scissors for weighing and use. The more troublesome aspect was distinguishing between genuine and counterfeit. Ordinary people couldn't tell, and generally took it to a money exchange to convert it into local common copper coins. Therefore, ancient money exchanges were particularly numerous. If you couldn't carry a thousand taels of silver, you would be given a deposit book (silver note). Payment upon presentation of the note. Direct use of gold and silver was rare, usually only in special circumstances, such as maritime trade, purchasing land, or large gifts. However, using gold and silver was very cumbersome. Later, Europe invented the silver dollar, mainly by Britain, Spain, and Mexico. The significance of the silver dollar is to establish a standardized measurement unit, as silver dollars cannot be counterfeited. Because, to create the same shape and weight, it is nearly impossible to use fake metals. This thoroughly resolved the standard for trade payments. Later, someone started scraping some silver filings from the edges of silver dollars. Thus, Newton invented the serrated edge for the silver dollar. In fact, most people will go through many experiences in stock trading; it mainly needs to be combined with one's own experiences. Before doing subtraction, one must first complete the addition. The commonly seen theories in the market should at least be learned a few times in a rough manner. Only by grasping a complete picture of the elephant can one have the ability to do subtraction! Just like many people say, 'If you don't date a dozen girlfriends, how do you know that the one you want to accompany for life is actually Cuihua?' $BTC
Today's News: 1. Hyperliquid profits exceeded $21.128 million, with whales depositing 2.3 million USDC to open a 40x short position on BTC; 2. James Wynn increased his 40x BTC long position to 7,764.264 coins, valued at $832 million; 3. KULR Tech increased its Bitcoin holdings to 800 BTC, valued at $78 million; 4. New York City Mayor Eric Adams established a cryptocurrency advisory committee; 5. Texas passed a Bitcoin reserve investment bill, awaiting the governor's approval to take effect; 6. The probability of the Federal Reserve maintaining interest rates unchanged in June is 94.7%; 7. Gold returned to $3,300, reportedly as Israel prepares to attack Iranian nuclear facilities; 8. The open interest in Bitcoin contracts hit a record high of $72 billion; 9. Google released the new Veo 3 AI model, which can generate video and audio files simultaneously; 10. Musk: Plans to stay at the White House for a few days every few weeks, currently no plans to merge Tesla with xAI; 11. The SEC delayed its decision on XRP and Dogecoin ETF proposals and is seeking public opinion; 12. BlackRock made its first bet on Bitcoin, purchasing $1.08 million in the IBIT fund; 13. The three major U.S. stock indexes collectively closed lower, with the Dow down 0.27%, Nasdaq down 0.38%, and S&P 500 down 0.39%, with most large tech stocks declining, Amazon and Google down over 1%; 14. NBA star Thompson's $82 million contract in 2015 remains unpaid in Bitcoin, missing out on a potential gain of $31.75 billion; 15. Santiment: The Bitcoin spot ETF saw a net inflow of over $6.6 billion in the past 5 weeks, typically seen as a bullish signal; 16. Bancor is suing Uniswap for infringing on its DEX smart contract technology patent; 17. lconfirmation founder Nick Tomaino posted on platform x that crypto loans are about to be mainstream, and it's now possible to use BTC to obtain loans, just like using a house for a mortgage. 18. Yesterday, the U.S. Bitcoin ETF saw a net inflow of 6,387 BTC, and the Ethereum ETF saw a net inflow of 8,404 ETH; 19. Michael Saylor: Bitcoin is changing the equity capital markets; 20. Data: Binance wallet's daily trading volume exceeded $5 billion; 21. The UK will immediately suspend negotiations on a free trade agreement with Israel.
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The time frames where "Pump-Dump" phenomena are likely to occur
1. Overlap of the US - Asia session (around 22:00 – 01:00 VN time) • Reason: At this time, the US market is active while the Asian market is just starting to open (Japan, South Korea). • Nature: Usually has high trading volume, likely to experience unusual strong fluctuations.
2. Overlap of the European - US session (around 19:00 – 23:00 VN time) • Reason: This is the time when both the European and US markets are active. • Nature: Extremely high trading volume, likely to experience fast "pump" then rapid "dump" if unexpected news arises.
3. Before and after the US announces economic data (20:00 – 21:30 VN time, depending on the day) • Examples: CPI, FOMC, employment, Fed interest rates,… • Nature: Prices fluctuate very strongly just before and after the announcement of the data, susceptible to price manipulation.
4. Early morning (2:00 – 5:00 AM VN time) • Reason: The market has low liquidity, easily manipulated by "sharks". • Nature: Quick, unexpected "pump" or "dump" events. Many stop-loss orders are triggered.
5. Weekend (especially from Friday evening to Monday morning) • Reason: Traditional financial institutions are closed, low liquidity, retail traders dominate. • Nature: Very likely to experience unusual fluctuations due to lack of control from big players.