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$77K likely the Bitcoin bottom as QT is ‘effectively dead’ — Analysts

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Bitcoin is unlikely to revisit the $77,000 price level anytime soon after the Fed signaled a slowdown in quantitative tightening (QT), says BitMEX co-founder Arthur Hayes.

On March 10, Bitcoin (BTC) dipped near the $77,000 level for the first time since November, according to CoinMarketCap data.

“Was BTC $77k the bottom, prob,” Hayes said in a March 20 X post after declaring that QT is “basically over” following the Fed’s March 19 announcement that starting in April, it will slow its securities sell-off by reducing the monthly Treasury cap from $25 billion to $5 billion. 

Bitcoin is up 3.53% over the past seven days. Source: CoinMarketCap

This could ease liquidity pressures and support risk assets like Bitcoin, as QT involves central banks selling assets to reduce the money supply and possibly raise interest rates. 

“The next thing we need to get bulled up for realz is either SLR exemption and or a restart of QE,” Hayes added.

The Supplementary Leverage Ratio (SLR) exemption was a temporary rule during the COVID-19 pandemic that allowed banks to exclude US Treasury securities from their SLR calculations. Meanwhile, quantitative easing (QE) is a monetary policy that aims to stimulate the economy and encourage more spending.

Echoing a similar sentiment to Hayes, Real Vision chief crypto analyst Jamie Coutts said in a March 19 X post that “QT is effectively dead.” Coutts explained that “treasury volatility” has calmed down following the US dollar’s drop earlier this month, a positive signal for boosting liquidity.

Other optimists included Axie Infinity co-founder Jeff “JiHo” Zirlin, who said the Fed slowdown is “great for both crypto and equity markets.”

“The Fed has significant leeway to loosen up, providing more support for businesses + markets,” Zirlin said, while Bitcoin venture capitalist Mark Moss said that with QT ending, “the dam is going to break.”

Related: Bitcoin risks new ‘death cross’ as BTC price tackles $84K resistance

Meanwhile, crypto market sentiment has spiked following the Fed’s comments. 

The Crypto Fear & Greed Index, which tracks overall sentiment, has moved into “Neutral” territory at 49 after lingering in the “Fear” area since Feb. 26.

Despite Bitcoin being down nearly 22% from its January $109,000 all-time highs, Infinex founder Kain Warwick told Cointelegraph that it is a “normal mid-bull correction.”

“I would need to see a much larger breakdown to flip bearish,” Warwick said. “My baseline thesis is the four-year cycle holds once again, which means we keep grinding up through the rest of the year.”

Magazine: Classic Sega, Atari and Nintendo games get crypto makeovers: Web3 Gamer

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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‘Hawk tuah girl’ Haliey Welch says FBI probed her ‘memecoin disaster’

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Haliey Welch, better known as the “Hawk tuah girl,” says the Federal Bureau of Investigation briefly probed her after her “memecoin disaster” — the failed launch of a token in her image that she promoted. 

Welch said in a May 21 episode of her “Talk Tuah” podcast that the FBI showed up at her grandmother’s house looking to speak to her over the Hawk Tuah (HAWK) crypto token, which many crypto commentators have called an exit scam.

“After the coin launch, the feds came to granny’s house and knocked on her door, and she called me, having a heart attack, saying: ‘The FBI is here after you, what have you done?’”

Welch said she handed over her phone to the FBI and met with agents who “interrogated me, asking me questions and everything else related to crypto.”

“They cleared me, I was good to go,” Welch said. 

Welch went viral for her response about an oral sex technique in a vox pop interview posted to YouTube in June. 

The HAWK memecoin, based on her viral catchphrase, launched in early December and almost immediately lost 90% of its value and blockchain analytics firm Bubblemaps’ alleged insider wallets and snipers bought up and dumped massive quantities of the token at launch.

Haliey Welch speaking on her Talk Tuah podcast about the HAWK memecoin. Source: YouTube

Welch said on her podcast that the Securities and Exchange Commission also asked for her phone, and she sent it off “for two or three days” before she was cleared.

Welch’s lawyer James Sallah told TMZ in March that the SEC “closed the investigation without making any findings against, or seeking any monetary sanctions from, Haliey.”

“I trusted the wrong people”

Welch admitted knowing very little about crypto before the HAWK memecoin and said she “trusted the wrong people” for the launch.

She claimed a company, which she said she couldn’t name for legal reasons, was in full control of her X account, which posted videos of her promoting the memecoin.

Welch said she was sent lines to record on video, which were then posted on her X account by someone she trusted but could also not legally name.

She added that on the day of HAWK’s launch, she “kind of knew something was up” and was pulled into a room where a team of people told her to talk on a livestream with YouTuber Stephen Findeisen, better known as Coffeezilla.

“Coffeezilla got on there and they’re like ‘Mute it, mute it,’” Welch said. “Nobody warned me about this guy at all, like nobody at all, they didn’t tell me he was like a crypto wizard, that’s exactly what he is — he ate me the fuck up.”

Related: Justin Sun to attend Trump’s dinner with memecoin backers

Welch said she was only paid a marketing fee and “did not make a dime from the coin itself,” which she said had been totally spent on legal and public relations fees.

A now-deleted post where Welch shared the HAWK token’s tokenomics before it launched. Source: X

Despite being cleared of any legal wrongdoing, Welch took some accountability, admitting that she let many of her fans down who invested in the coin:

“It makes me feel really bad that they trusted me, and I led them to something that I did not have enough knowledge about. I did not have enough knowledge about crypto to be getting involved with it. And I knew that, but I got talked into it, and I trusted the wrong people.”

A group of HAWK buyers sued the alleged creators of the token in December, claiming Alex Schultz, the token’s backing Tuah the Moon Foundation, the token launchpad overHere Limited, and its founder Clinton So promoted and sold HAWK as an unregistered security.

Welch wasn’t named as a defendant.

Magazine: ‘Normie degens’ go all in on sports fan crypto tokens for the rewards

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NYC Mayor Eric Adams launches crypto advisory council

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New York City Mayor Eric Adams says he will create a digital advisory council to attract jobs and investment to the Big Apple and position it as the “crypto capital of the globe.”

“This is not about chasing memes or trends,” Adams told the inaugural New York City Crypto Summit on May 20. “We want to use the technology of tomorrow to better serve New Yorkers today.”

“We have experts right here, and they are going to help us navigate solutions that serve our city,” he added. “The age of tokenization, which includes crypto and blockchain and other fintech innovations, that age is here, and we’re going to continue to move forward with it.”

Adams didn’t share further details on the advisory group, but said a council chair and key policy recommendations would follow in the next few weeks.

We’re taking the next step in becoming the Crypto Capitol of the WORLD, hosting our city’s first-ever Crypto and Digital Assets Summit! Join us LIVE as we get started: https://t.co/iwO6ThkaSB

— Mayor Eric Adams (@NYCMayor) May 20, 2025

On May 12, Adams announced financial services company Figure and private equity firms Traction and Scale would be assisting the city in its crypto efforts.

New York City will also be exploring whether certain services and taxes can be paid via crypto, according to Adams, along with using blockchain tech to manage sensitive information such as birth certificates and death records.

“Bringing blockchain security capabilities to the city means that birth certificates and death records can remain private but accessible to New Yorkers and their next of kin,” Adams said.

“We want to bring jobs of the future to our city today. That means supporting the development of a more diverse, equitable, inclusive tech ecosystem. We must embrace this emerging technology and build on the success of our economy,” he added.

Crypto legislation proposed in New York 

New York State lawmakers have already introduced several bills to regulate crypto. In April, Assemblyman Clyde Vanel introduced a bill to amend the state’s financial law to allow New York State agencies to accept crypto as payment. 

However, the legislation is yet to reach the state’s full House or Senate.

New York state Senator James Sanders Jr proposed the Blockchain Study Act in February, which would create a crypto task force to investigate the current state of crypto in the State. It has yet to advance past the House. 

Related: Wintermute opens New York office, citing improved US crypto rules

Adams made digital assets a large part of his policy platform after assuming office in January 2022 and announced a plan to accept his first three paychecks in Bitcoin (BTC).

He was indicted on corruption charges over alleged illegal donations from the Turkish government, but Justice Department officials stepped in and directed local authorities to intervene. The case was dismissed with prejudice on April 2, meaning it can’t be reopened.

An increasing number of US states are also working on crypto-related legislation, with at least 18 considering bills to establish a strategic Bitcoin Reserve. Two states, New Hampshire and Arizona, have successfully passed the legislation, according to Bitcoin Reserve Monitor.

Magazine: Crypto City: Guide to New York

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Strive targets 75,000 Bitcoin from Mt. Gox claims to build Bitcoin treasury

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Vivek Ramaswamy’s Strive is looking to build its Bitcoin holdings by purchasing distressed Bitcoin claims at a discount, starting with claims tied to 75,000 Bitcoin at the bankrupt crypto exchange Mt. Gox.

Strive said in a May 20 regulatory filing that it partnered with 117 Castell Advisory Group LLC to target claims to Bitcoin (BTC) that have received definitive legal rulings but are still awaiting distribution.

The company said buying the claims would allow it to purchase Bitcoin at a discount and grow its Bitcoin per share ratio ahead of its planned reverse merger with Asset Entities — which is expected to be completed sometime mid this year.

Strive hasn’t disclosed any Bitcoin holdings but claims it will face fewer restrictions on purchasing Bitcoin than companies going public through Special Purpose Acquisition Company mergers.

Advantages of going public via a reverse merger compared with a SPAC merger. Source: Strive

Strive said it would need shareholder approval to pursue Mt. Gox claims. The company said it intends to lodge a filing with the Securities and Exchange Commission to outline the full terms of the proposed transaction. A proxy statement would then be sent to shareholders to seek their approval.

Strive would need to obtain shareholder approval relatively soon, as Mt. Gox is expected to fully repay its creditors by Oct. 31.

The Japan-based Mt. Gox was the largest Bitcoin exchange before it collapsed in 2014 from a security breach that resulted in the theft of approximately 750,000 Bitcoin.

Strive’s pivot to become a Bitcoin treasury company reflects a broader industry trend as more firms look to hold Bitcoin on their balance sheets as a long-term strategic asset.

Related: Bitcoin ETFs bought 6x more than BTC miners produced last week

Twenty One Capital is another newly launched Bitcoin treasury firm that has received backing from the likes of Tether, SoftBank and Cantor Fitzgerald. The Jack Mallers-led firm plans to launch with 42,000 Bitcoin once it completes a blank-check merger with Cantor Equity Partners.

Asset Entities shares rise again on Mt. Gox plans

Asset Entities (ASST), a social media marketing company that Strive announced it would merge with on May 7 to create a Bitcoin investment company, has seen its shares close May 20 trading up 18.2% to $7.74, Google Finance data shows.

The latest share price bump brings its market cap to $122.1 million, and ASST is now up 1,170% since Strive announced its merger plan.

Strive is expected to own 94.2% of the combined entity once the reverse merger is complete, while Asset Entities will hold the remaining 5.8%.

The merged companies will be named Strive and Asset Entities, and will still trade under the ASST ticker.

Magazine: Danger signs for Bitcoin as retail abandons it to institutions: Sky Wee

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