Dear reader,
Trade Tensions Return, the Fed Holds, and Crypto Reacts
This week, global financial markets were rattled by a mix of renewed trade hostilities and a pivotal Federal Reserve decision. Risk-off sentiment defined equity and currency movements worldwide. Meanwhile, the cryptocurrency sector underwent a broad sell-off, highlighting how tightly digital assets remain linked to macroeconomic shifts.
Global Markets: New Tariffs and Central Bank Divergence
President Trump’s announcement of new tariffs on key trading partners triggered immediate market volatility. Canada was hit with a 35 percent levy, while India, Taiwan, and Switzerland also faced steep increases. The result was a sharp sell-off in global equities, with Europe’s Stoxx 600 down 1 percent and Asian indices logging their worst week since April. Global supply chain concerns resurfaced as operating cost fears pushed investors toward safe havens. The VIX volatility index jumped 8 percent to 16.7.
In the United States, the Federal Reserve kept interest rates unchanged at 4.25 to 4.5 percent for the fifth consecutive meeting. Notably, two members dissented—a rare development that signaled growing tension within the central bank. While inflation remains above target, the new tariffs have added fresh uncertainty. The U.S. dollar strengthened, Treasury yields rose, and attention turned to upcoming labor and manufacturing data for direction.
Cryptocurrency Market: Macro Pressures Drive Digital Asset Repricing
Bitcoin and Ethereum Under Pressure
Bitcoin dropped 2.4 percent this week, trading between $115,000 and $119,000. It marked the lowest level since mid-July as liquidations accelerated and sentiment turned cautious. The Crypto Fear & Greed Index fell from 84 to 75, reflecting a clear shift in investor mood.
Ethereum followed with a weekly decline of 4 to 6 percent, hovering between $3,600 and $3,900. Both institutional and retail investors trimmed exposure, while momentum indicators showed declining strength across the board.
Mixed Performance Among Leading Coins
Solana initially resisted broader weakness but closed lower, ranging from $168 to $192. XRP, still up more than 50 percent year-to-date, saw weekly prices fluctuate between $2.93 and $3.26. Cardano stood out with modest gains around $0.83, while BNB moved with the broader market, occasionally bouncing on opportunistic buying.
Altcoins: Capital Rotation Highlights Risk Aversion
Altcoins faced heavier selling, with many projects down 5 to 8 percent over the week. Higher-risk tokens linked to decentralized finance and NFTs led the declines. Market participants showed little interest in dip-buying as liquidity dried up and forced liquidations continued to pressure prices.
Memecoins: Selective Interest Amid Volatility
While speculative energy remains strong, memecoin performance varied sharply. Ecosystem-driven tokens such as Pudgy Penguins and Bitcoin Hyper saw higher trading volume thanks to NFT integration and active community engagement. In contrast, purely speculative plays like SolSuke lost ground, falling 29 percent after a recent spike.
A presale for a new token, $SATOSHI, attracted attention from retail traders. However, the broader risk-off environment limited early price momentum.
This Week’s Headlines
SEC approves in-kind redemptions for spot Bitcoin and Ethereum ETFs, increases options limits: “Today’s approvals continue to build a rational regulatory framework for crypto, leading to a deeper and more dynamic market, which will benefit all American investors,” SEC Chairman Paul Atkins said.
Bitcoin miner MARA’s adjusted EBITDA jumps over 1,000% in record quarter: The miner’s Bitcoin holdings also rose 170% year on year to 49,951 BTC.
Bitcoin Briefly Dips to $114.5K as Tariff Fears and Profit-Taking Hit Markets
Hong Kong to begin 6-month transition period for new stablecoin rules: Hong Kong will begin enforcing its new stablecoin regulations on Friday, with a six-month transition period allowing temporary licenses for issuers.
Metaplanet Files to Raise $3.6B via Preferred Stock Program to Fund Bitcoin Treasury: Metaplanet files to raise $3.6B via preferred stock program targeting 210,000 Bitcoin by 2027 as trading volume hits $12.65B amid 430% BTC yield surge.
Tom Lee’s Ethereum Treasury BitMine Approves $1 Billion Stock Buyback: The largest Ethereum treasury firm, which holds more than $2 billion worth of ETH, announced the repurchase plan that will be open-ended, allowing periodic buybacks of its common stock.
Robinhood Price Target Doubled by JPMorgan on Crypto and Tokenization Bets: Robinhood’s crypto expansion and introduction of EU tokenized equities spur a long-term valuation boost, analysts said.
Notable Deals and Fundraising
D2X Raises €4.3M from Circle, CMT Digital to Expand Institutional Crypto Derivatives: The capital injection will fuel product development and support onboarding for institutional clients seeking a regulated path into crypto derivatives trading.
Female-founded semiconductor AI startup SixSense raises $8.5M: It has raised $8.5 million in Series A bringing its total funding to around $12 million. The round was led by Peak XV’s Surge (formerly Sequoia India & SEA), with participation from Alpha Intelligence Capital, FEBE, and others.
Palo Alto Networks agrees to buy CyberArk for $25 billion: Cybersecurity giant Palo Alto Networks announced on Wednesday its intent to acquire identity management and security company CyberArk for $25 billion. The deal, a mix of cash and stock, marks Palo Alto’s entrance into the identity security space, according to a company press release.
ETH Strategy Raises $46.5M for Ethereum Staking & Liquidity Operations – ETH to $4,000 Next? ETH Strategy raises $46.5M for Ethereum staking operations as DeFi’s first MicroStrategy-style treasury protocol targets $4,000 ETH.
Remittix presale raises $17M after revealing next-gen Web3 wallet beta launch date: Remittix, the new DeFi platform bridging crypto and mainstream finance, has publicly disclosed the beta go-live date of its web3 wallet next generation. The announcement has rekindled investor interest, pushing the Remittix presale to over $17 million raised, with over 563 million tokens sold thus far as of this week.
Tron Inc. seeks $1B to grow TRX holdings as stock rallies: The former penny stock is riding a 1,300% rally post-merger, as it looks to deepen its crypto treasury strategy with a billion-dollar funding push.
Bitcoin miner Phoenix Group launches $150M crypto treasury for BTC, SOL: Phoenix Group launched a $150 million crypto treasury with Bitcoin and Solana, becoming the first Abu Dhabi Securities Exchange-listed company to hold digital assets on its balance sheet.
Have a great week!
The SPIRIT Blockchain Team
