Analysis: BTC Touches Key Support Level, Volatility Decreases but Defensive Positions Still Prevail

BlackRock announced the launch of two tokenized money market products: the on-chain share class of the BlackRock Select Treasury Based Liquidity Fund (BSTBL) built on the Ethereum blockchain, and the BlackRock Daily Reinvestment Stablecoin Reserve Vehicle (BRSRV). According to the announcement, BSTBL is a tokenized share class of an existing money market fund, allowing investors to transfer holdings via approved wallets while complying with regulatory requirements. BNY Mellon will serve as the transfer agent and tokenization service provider for BSTBL. BRSRV, meanwhile, is a new tokenized money market fund tailored for institutional digital asset investors, supporting daily dividend reinvestment and multi-blockchain access, and applicable to various digital asset use cases including stablecoin reserve management. Securitize will act as the transfer agent and tokenization service provider for this fund. Both products aim to generate returns for investors while maintaining liquidity and principal stability by investing in cash, short-term U.S. Treasury securities, and overnight repurchase agreements backed by U.S. Treasuries. Jon Steel, global head of product and platforms at BlackRock’s Cash Management division, noted that U.S. money market funds have surpassed $8.4 trillion in total assets, with investors consistently prioritizing liquidity, capital preservation, and yield. As demand for high-quality reserve assets rises among stablecoins and other tokenized financial products, tokenized money market funds will offer clients a new option connecting traditional finance and digital markets. Currently, BlackRock’s Cash Management Group manages nearly $1.1 trillion in cash strategy assets.

According to market data from BIT (Bit.com), at the opening of US stock markets, the Dow Jones Industrial Average rose 0.52%, the S&P 500 gained 0.33%, and the Nasdaq advanced 0.3%. Alibaba (BABA.N) climbed 3.5% following the release of its Qianwen 3.8-MAX artificial intelligence model, while SpaceX (SPCX.O) fell 3%. Storage-related concept stocks declined, with Micron Technology (MU.O) down 5% and SanDisk (SNDK.O) dropping 5%.

Crypto KOL Ansem recently stated in a post that this cycle will be "very, very crazy". He pointed out that in the previous cycle, roughly 90% of retail investors became exit liquidity for smart money, as centralized exchanges only listed meme coins when their market cap reached billions, suffered from long-term infrastructure instability, and lacked user-friendly mobile apps. This cycle is a stark contrast: retail investors can buy any popular on-chain asset with one click across multiple chains in under a minute, and frictions in speculating on low-market-cap tokens have fallen to an all-time low. Centralized exchanges, having missed out on massive trading volumes, are now more proactive in listing tokens; Coinbase has integrated its native Coinbase Wallet, allowing users to participate in new token launches instantly. Ansem believes meme coin trading volume will not only attract retail capital but also draw developers: open blockchains enable skilled developers to quickly turn their ideas into immediate liquidity using AI tools like Fable. He is bullish on tokenization and innovative applications, and specifically noted that tokens capable of continuously capturing and compounding attention (such as ANSEM) will see significant gains in the bull market. Ansem argues that an on-chain supercycle has arrived.

According to monitoring by AI Yi, a mysterious crypto whale has been steadily accumulating crypto assets recently, having bought more than $220 million worth of ETH and WBTC since July. On-chain analyst AI Yi detected that this address withdrew 200 BTC from Binance four hours ago. As of now, the whale has withdrawn a total of 74,265 ETH and 1,400 WBTC from exchanges, with average costs of approximately $1,770 and $63,887 respectively. The position currently has an overall unrealized profit of around $3.8 million, with the ETH holding in profit while the WBTC holding remains in unrealized loss.

Per EmberCN’s monitoring, crypto treasury firms took divergent moves last week: Bitcoin-focused treasury firm MicroStrategy sold BTC again for the first time in a month, while Ethereum-focused treasury firm Bitmine continued adding to its ETH holdings. Data shows MicroStrategy sold 1,638 BTC last week at an average price of ~$63,957 per coin, totaling ~$105 million. The sale price was $11,462 lower than its average cost basis, resulting in an actual loss of ~$18.77 million. As of now, MicroStrategy holds 842,138 BTC, with an average cost basis of $75,419 per coin, translating to an unrealized paper loss of ~$10.829 billion, or a 17% loss. Meanwhile, Bitmine purchased 10,399 ETH last week at an average price of ~$1,909 per coin, investing ~$19.85 million. The firm currently holds 5,797,813 ETH, with a total value of ~$10.674 billion, an average cost basis of $3,371 per coin, an unrealized paper loss of ~$8.871 billion, or a 45.4% loss. According to statistics, Bitmine has maintained a consecutive weekly ETH purchase streak since launching its Ethereum treasury strategy.

As market focus shifts to the spate of earnings releases this week, U.S. stock index futures opened higher on the first trading day of the month. Additionally, Monday’s decline in oil prices also lifted market sentiment. Matt Orton, chief market strategist at Raymond James, said: “Earnings will remain the market’s top priority; roughly 15% of S&P 500 components by market capitalization are set to report their earnings.” He noted that the energy, healthcare, utilities, and industrial sectors are worth watching, as they “have benefited from recent market rotation.” He added that earnings from these sectors “will help determine whether this relative strength is sustainable from a fundamental perspective.” (Jinshi)