Bitcoin fell to $107,700 (-2.7%) on Tuesday, after failing to hold $110,000, as the total crypto market cap fell to $3.64 trillion.
Spot ETFs continue net redemptions: Ethereum ETFs −$146 million (third day of outflows) and Bitcoin ETFs −$40.47 million (fourth day of outflows).
Long-term holder (LTH) sales remain elevated; DATs and ETFs have absorbed much supply but cannot do so indefinitely with continued LTH distribution capping near-term upside.
Macro: Trump signs critical minerals/rare-earths deal with Australia, a strategic policy tailwind for mining and hardware supply chains, but trade friction with China is still a downside risk.
Miner supply is tight but not scarce enough to trigger a true shock. At the same time, Bhutan’s steady, programmatic sales are adding a visible, state-linked supply stream that the market is absorbing without clear signs of stress.
As Bitcoin mining rewards collapse post-halving, the industry's largest miner bets on energy arbitrage from AI infrastructure rather than block rewards.
The $2 billion market cap erasure highlights the gap between booming USDC usage and investor concerns over regulatory uncertainty and centralization risks.
