James Wynn, known for his billion-dollar bitcoin bet earlier this year, has returned to the market with a new strategy. This time, he has opened a 3x leveraged long position on Aster (ASTER) worth over $16,000, entering at $1.97, despite being recently liquidated on the same token. This move appears to be a hedge related to Wynn's farming of the anticipated $ASTER airdrop, which he believes could be historic. His previous high-stakes trading on Hyperliquid included a $1.2 billion long on bitcoin, which resulted in a $17.5 million loss before he flipped to a billion-dollar short position, ultimately netting $25 million in profit.
Bitcoin and ether exchange-traded funds (ETFs) faced significant outflows, with Bitcoin funds shedding $418 million and ether experiencing $248 million in redemptions. This trend highlights a growing concern among investors as the broader market struggles. The outflows come at a time when Bitcoin's price has been under pressure, recently testing critical support levels. Analysts are closely monitoring these ETF movements, as they can significantly impact market sentiment and liquidity.
Institutional interest in Solana (SOL) is on the rise, with several major asset managers filing updated S-1 forms for spot Solana ETFs. Analysts predict that approvals could come by mid-October, potentially boosting SOL's market momentum. The recent launch of the REX-Osprey Solana Staking ETF, which garnered $12 million in first-day inflows, signals strong institutional demand. This development could position Solana as a key player in the institutional adoption of cryptocurrencies.
Bitcoin's price has recently slipped below critical support levels, raising concerns about potential further declines. Analysts are watching the $104,000 to $108,000 range closely, as a sustained drop could lead to deeper losses, with $60,000 identified as a long-term support level. This market pressure is compounded by macroeconomic factors and significant ETF outflows, which have contributed to a cautious sentiment among traders. The interplay between institutional actions and market dynamics will be crucial in determining Bitcoin's next moves.
Crypto mining firm TeraWulf (WULF) is planning to raise $3 billion in debt to expand its data center operations in a deal supported by Google. The company is working with Morgan Stanley to arrange the funding, which could launch as early as next month through high-yield bonds or leveraged loans. Google’s support may help TeraWulf secure a stronger credit rating than would be typical for the firm, as it recently increased its backstop for TeraWulf to $3.2 billion, now holding a 14% stake in the company.
Trump-backed WLFI has burned $1.43 million in tokens after a $1.06 million buyback funded by DeFi fees, with another 3.06 million tokens remaining unburned.
Kraken is reportedly in advanced talks to raise between $200 million and $300 million from a strategic investor, which could value the crypto exchange at $20 billion ahead of a planned public listing. The exchange is expanding aggressively, with over $1.5 billion in 2024 revenue and a recent $500 million funding round completed at a $15 billion valuation. Kraken is also stepping up its political involvement, pledging $2 million to pro-crypto PACs supporting industry-aligned candidates.
Bitcoin sentiment turned positive as buyers absorbed miner outflows, with a reported 120,000 miner exodus and a $60 million inflow, while BTC hovered around $109,000.
A German AI start-up is reportedly in funding talks at a $4 billion valuation.
The crypto market experienced a significant downturn this week, with a total loss of $240 billion in market capitalization, dropping from $4.12 trillion to $3.88 trillion. Bitcoin (BTC) led this decline, falling from approximately $115,700 on September 20 to around $109,500 by September 27, marking a notable decrease of about 5.3%. Additionally, the market saw $6 billion liquidated as traders faced the brunt of the volatility, particularly impacting major cryptocurrencies like Ethereum (ETH) and XRP, which also posted steep declines during this turbulent period.
In a related development, Ethereum is facing mounting risks as it recorded a $7 billion outflow amidst rising leverage in the market. This situation indicates a potential fragility beneath the current bullish momentum, raising concerns among investors about the sustainability of recent price movements. The mixed signals from Ethereum's market dynamics suggest that traders should remain cautious as the market adjusts to these changes.
Amidst the market turbulence, Bitcoin's Bollinger Bands have reached their tightest levels on record, indicating a potential volatility spike ahead. Historically, such a squeeze often precedes a significant price movement, suggesting that traders should prepare for possible volatility in the coming weeks. As October approaches, often referred to as "Uptober" by Bitcoin enthusiasts, there is a growing anticipation for a rebound, especially given Bitcoin's historical performance during this month.
The XRP Ledger (XRPL) has reached a significant milestone, recording $1 billion in monthly stablecoin volumes. This achievement highlights the growing traction of the XRPL in the decentralized finance (DeFi) space, particularly among institutional participants. Ripple's focus on enhancing the XRPL's capabilities is evident as it aims to facilitate a compliant blockchain credit infrastructure, further driving institutional adoption of DeFi solutions.
In addition to stablecoin volumes, Ripple is working on unlocking momentum for real-world assets on the XRP Ledger. This initiative is part of Ripple's broader strategy to establish a robust framework for institutional DeFi, emphasizing compliance and infrastructure development. The combination of these efforts positions the XRPL as a competitive player in the evolving landscape of decentralized finance.
The stablecoin sector has seen a significant increase, with the market expanding by approximately $3.969 billion, marking a 1.36% rise. This growth brings the total market capitalization of fiat-pegged tokens close to the $300 billion milestone, specifically at $295.797 billion. Tether's USDT remains the dominant player, accounting for 58.68% of the total stablecoin market, bolstered by an influx of $2 billion.
The U.S. government is facing a potential shutdown, which could stall momentum in crypto policymaking. Congress has until September 30, 2025, to pass a budget bill to avoid this shutdown. The current political landscape shows that while Republicans control both chambers of Congress, they require Democratic support to move forward, complicating the legislative process for crypto market structure bills.
Should a shutdown occur, it is expected to delay progress on critical crypto legislation, including market structure regulations. The likelihood of such legislation passing this year is already diminishing, and a government shutdown could further hinder regulatory efforts, particularly those involving the Senate Banking Committee's draft bill.
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