Headline
▌Trend Research Completely Liquidates ETH
According to Arkham data, Trend Research, owned by Yi Lihua, transferred its last approximately 534 ETH to Binance yesterday, worth about $1.11 million, completing a complete liquidation. Subsequently, Trend Research transferred its last 0.148 ETH to trading platforms, selling a total of 658,168.58 ETH in 8 days, worth $1.354 billion, with a cost price of approximately $3,104.36 and an average selling price of $2,058.05. This round resulted in a total loss of $688 million. Trend Research has given back all of its previous profit of $315 million, recording a total loss of $373 million.
▌Jack Dorsey's Block Plans to Lay Off Up to 10% of its Staff
Jack Dorsey's Bitcoin payments company, Block, is undergoing a broader restructuring. The company has begun notifying hundreds of employees that their positions may be eliminated in their annual performance reviews, with the layoffs potentially reaching as high as 10%. Block initiated a restructuring plan in 2024 aimed at improving efficiency and streamlining its product line. The company is working to more closely integrate its peer-to-peer payment platform, Cash App, with its merchant services division, Square. Block is scheduled to release its quarterly earnings report on February 26. Analysts predict that Block's fourth-quarter profit will reach $403 million, with revenue reaching $6.25 billion.
Blockchain Applications
▌Ark Invest Increases Bullish Holdings and Reduces Coinbase Holdings on Friday
Cathie Wood's Ark Invest increased its holdings of Bullish stock by $10.7 million and reduced its holdings of Coinbase stock by $22 million on Friday. Transaction disclosures show that Ark Invest purchased a total of 393,057 Bullish shares through three of its exchange-traded funds. On the same day, it sold 134,472 Coinbase shares.
Blockchain Applications
▌Ark Invest Increases Bullish Holdings and Reduces Coinbase Holdings on Friday
Cathie Wood's Ark Invest increased its holdings of Bullish stock by $10.7 million and reduced its holdings of Coinbase stock by $22 million.
▌Musk Reportedly Used Two-Step Merger Process to Complete SpaceX's Acquisition of xAI
According to sources familiar with the matter, Musk used a common two-step merger process in the SpaceX-xAI acquisition deal. This move achieves two goals at once: it avoids repaying billions of dollars in debt, provides tax benefits to shareholders, and also protects SpaceX from any legal liability related to xAI. The deal, officially announced this Monday, creates a $1.25 trillion company that plans to go public later this year, providing funding for Musk's vision of a space data center. Sources who requested anonymity because details of the deal have not yet been disclosed said that Musk did not completely merge and integrate the two companies, but instead decided to retain xAI as an independent entity, making it a wholly owned subsidiary of SpaceX. Currently, xAI operates the social media platform X and has developed the Grok chatbot.
▌Cathie Wood: Crypto Market May Be Approaching Potential Bottom Range
ARK Invest CEO Cathie Wood, nicknamed "Sister Wood," stated, "The key to diversifying asset allocation is introducing new assets with low correlation to existing assets, and Bitcoin fits this bill. The addition of low-correlation assets can improve risk-adjusted returns in the long run. Therefore, I think institutions are indeed taking cryptocurrencies seriously. Previously, they may have hesitated because of the 'four-year cycle' narrative. Regardless of whether a four-year cycle exists, the market has indeed experienced a significant drop and is currently approaching what many technical analysts consider a potential bottom range. Near the bottom, the market typically experiences sharp fluctuations. In hindsight, people often say, 'I wish I had bought at that low. The V-shaped rebound has been quite significant.' Of course, this is not a promise of any kind, but it looks like several factors are gradually aligning."
▌Arthur Hayes: There's No Secret Conspiracy to Sell Crypto Market; Future Will Only Rise
▌Vitalik: ETH is both a store of value and one of the most important applications on Ethereum
Ethereum founder Vitalik Buterin stated in an article on the X platform, "ETH is a store of value and one of the most important applications on Ethereum."
▌Yi Lihua: Market Cycles Remain Valid, Still Optimistic About the Next Bull Market Opportunity
Liquid Capital founder Yi Lihua stated in an article that, firstly, he acknowledges that market cycles remain valid. With the strong performance of US stocks and the new phase of DAT/ETFs, the consensus in the crypto community has not been broken, coupled with a market that is easily manipulated. However, conversely, the crypto market entering a bear market is also the best time to position oneself, just as we profited from positioning ourselves during the previous bear market. The future is bright, and we remain optimistic about the next bull market opportunity in the industry. We will continue to work hard building; pessimists are right, optimists win.
▌Yi Lihua: Market Cycles Remain Valid, Still Optimistic About the Next Bull Market Opportunity
Yi Lihua, founder of Liquid Capital, stated that, firstly, market cycles remain valid. With the strong performance of US stocks and the new phase of DAT/ETFs, the consensus in the crypto community has not been broken, coupled with the fact that the market is easily manipulated.
▌Yi Lihua: Market Cycles Remain Valid, Still Optimistic About the Next Bull Market Opportunity
▌Bessenter: Expects the Fed to Take No Quick Action on Balance Sheet
US Treasury Secretary Bessenter stated that gold appears to be experiencing a typical speculative sell-off; he sees the cyclical components of the market in an expansion phase; and he expects the Federal Reserve to take no quick action on its balance sheet. He believes Warsh will remain very independent.
Golden Encyclopedia
▌What are Long and Short Positions?
Long and short positions represent opposing strategies used by investors and traders to anticipate price movements of an asset under consideration. In the cryptocurrency space, the concepts of going long and short still apply to traditional financial markets. To profit from a rise in cryptocurrency prices, going long means buying it and expecting its value to increase over time.
In contrast, shorting in the cryptocurrency market means selling a cryptocurrency you don't actually own in anticipation of a price drop, then buying it back at a cheaper cost to close the position and profit from the price decline. Cryptocurrency traders and investors use these strategies to navigate the high volatility and speculative nature of digital assets and capitalize on opportunities in both bullish and bearish market conditions. In cryptocurrency trading, a long position begins by buying an asset in the hope that its price will rise, while a short position begins by disposing of an asset (usually borrowed) in the hope that its price will fall. Closing a position means buying the asset at a lower price to gain profit, while exiting a long position means selling the asset at a higher price to lock in profits. Entry and exit points are crucial for the successful implementation of these strategies. Cryptocurrency long positions have the potential to generate substantial profits through price appreciation, but they also come with significant risks of market volatility and potential losses. Despite these risks, cryptocurrency long positions have the potential to generate significant returns. The opportunity to profit from price increases is the primary benefit. Short positions in cryptocurrencies can be rewarding by betting on price declines, but they also carry significant risks due to market volatility, unlimited potential losses, and unpredictable price increases. Successfully shorting cryptocurrencies requires precise timing, meticulous risk management, and continuous market monitoring to navigate inherent volatility and maximize potential gains while limiting losses.
Kikyo
Weatherly
Alex
Miyuki
Catherine
Anais