Economic Outlook - The U.S. economy is showing multiple signs of decline, including a weakening labor market, persistent inflation pressure, and growing political uncertainty, which may lead to heightened volatility across financial markets in 2026 [1][12] - The labor market is losing momentum, evidenced by rising jobless claims and falling job openings, with initial job claims reported at 231,000 against an expectation of 212,000, and job openings at 6.5 million versus an expected 7.1 million [8][9] Interest Rates and Stock Market - Declining interest rates typically support equities; however, this cycle is different as rate cuts driven by slow growth, weak corporate earnings, and layoffs could damage stock prices instead of lifting them [2][3] - The current economic conditions suggest a potential recession or very low economic growth, despite lower stock market valuations being generally positive for interest rates [3] Investment Trends - Rising economic and political anxieties are pushing both individual and institutional investors toward alternative assets, such as industrial and precious metals, with over 20% of global financial assets still in cash [5][6] - Safe haven assets like gold, silver, and industrial metals are experiencing increased demand as investors seek alternatives to traditional stocks and bonds [6] Market Dynamics - Recent equity strength has been concentrated in artificial intelligence and crypto stocks, which are described as increasingly unstable, leading to a more defensive stance among investors [4] - The metals market is influenced by algorithmic trading, with 90% of futures volume generated by automated systems, causing metals to move together in response to price patterns and macro signals [7] Federal Reserve Challenges - The Federal Reserve is described as "stalemated," facing persistent inflation while economic momentum fades, with producer price inflation remaining near 3% [10][11] - The increasing unemployment and layoffs, coupled with smaller companies' reluctance to hire, place the Fed in a difficult position between combating inflation and preventing a recession [11]

Group 1 - Elon Musk indicated that SpaceX may launch Dogecoin to the moon next year, which initially caused a rally in DOGE but was followed by a decline [1][2] - The DOGE-1 satellite mission, funded entirely by Dogecoin, has faced delays, with the new target launch date set for the second half of 2026 [3] - The initial rally of DOGE was around 4%, outperforming Bitcoin and Ethereum before the gains were reversed due to broader crypto market weakness [2][3] Group 2 - Dogecoin is currently testing critical support at $0.10, a psychological level that, if broken, could lead to panic selling towards $0.08-$0.09 [6] - The token is trading below all key exponential moving averages (EMAs), indicating a "death zone" of resistance that limits any potential rally [6] - A descending trendline around $0.12-$0.13 continues to cap rallies, with the Parabolic SAR confirming an active downtrend [7] Group 3 - Shiba Inu has experienced a 5% decline, showing even greater technical weakness compared to Dogecoin [8] - The Supertrend indicator is signaling bearish conditions, with a level approximately 23% above current prices [9] - Shiba Inu is testing critical support around $0.000007, which has been a key psychological floor [10]

Market Overview - US stock futures showed a cautious rebound after a week of losses, with S&P 500 futures rising 0.4% and Nasdaq 100 futures increasing by approximately 0.6% [1] - Despite the rebound, both the S&P 500 and Nasdaq Composite are set for weekly losses, having entered negative territory for 2026 [2] Cryptocurrency Market - Bitcoin climbed back above $65,000 after hitting a 16-month low, although it is on track for its worst weekly performance since 2022 [3] - Strategy (MSTR), significantly impacted by the crypto downturn, reported a quarterly loss but saw its stock rise over 6% as bitcoin prices recovered and the CEO downplayed debt concerns [4] Technology Sector - Amazon (AMZN) shares fell 8% following its earnings report, which included plans for a substantial increase in spending to at least $200 billion by 2026, despite a forecast for lower operating income [5] - Concerns about the impact of new AI tools on legacy tech were dismissed by Big Tech CEOs and analysts, contributing to a tentative risk-on sentiment in the market [2] Automotive Industry - Stellantis (STLA) announced a charge of over €22 billion ($26 billion) to scale back its electric vehicle (EV) initiatives, leading to a more than 20% drop in its shares [6] - The automotive sector is facing challenges, highlighted by a $60 billion loss for Chinese carmaker BYD this week, indicating broader issues in the EV market [6] Labor Market - The release of the January jobs report has been postponed to the following Wednesday, amid emerging signs of labor market troubles, including a drop in job openings to the lowest level since 2020 and a surge in layoff announcements [7]

Group 1 - ETF investors are demonstrating resilience during bitcoin's recent drawdown, with only 6.6% of Bitcoin ETF assets exiting despite a more than 40% price drop [5] - ETF holders are structurally different from crypto-native traders, treating bitcoin as a small allocation in their broader portfolios, which have benefited from strong equity markets [5] - Historical parallels are drawn between bitcoin and gold ETFs, with both experiencing significant drawdowns but eventually recovering [3][5] Group 2 - Volatility in the bitcoin market is expected to persist, but ETFs may help anchor bitcoin's position in traditional finance [4] - The selling pressure in the bitcoin market is primarily driven by leveraged traders and long-time holders rather than ETF investors [5] - Bitcoin's 17-year history shows a pattern of recovery to new highs after major downturns, indicating that selloffs do not signify the end of the asset's viability [5]

Core Insights - The altcoin market sentiment remains negative, yet Midnight (NIGHT), Hyperliquid (HYPE), and Monero (XMR) are showing signs of accumulation and strength driven by specific catalysts [1][2] Group 1: Token Analysis - Midnight (NIGHT) is advancing its Q1 2026 roadmap with a focus on the 'Kūkolu' phase, which aims to deliver a stable mainnet and privacy-first applications, with a current price of $0.047 and a potential rebound level at $0.053 [3] - Hyperliquid (HYPE) has seen its Chaikin Money Flow (CMF) rise above zero, indicating a shift towards inflows, with a current price of $33.74 and a significant increase in open interest on its decentralized perpetuals exchange from $260 million to $793 million [4] - Monero (XMR) is trading around $305 after a 30% correction, with its Money Flow Index (MFI) suggesting that selling pressure is nearing exhaustion, maintaining a strong narrative focused on privacy and fungibility [5][6] Group 2: Market Context - The broader altcoin market is experiencing extreme fear, but capital is rotating towards projects with clear development milestones, indicating a flight to quality within specific narratives [2][5] - The outperformance of NIGHT, HYPE, and XMR is not coincidental, as they represent targeted investments in maturing crypto sub-sectors that are demonstrating independent strength against a risk-off macro backdrop [6]

Core Viewpoint - The company is navigating a volatile market environment while maintaining operational stability and planning a strategic shift from a passive "DAT" model to a more active "DeFi Development Corporation" approach by 2026 [5][9]. Market Environment - The market is described as unusually volatile, with Bitcoin potentially facing its largest single-day decline since the FTX collapse if it closes in "double digits" for the day [1]. Operational Updates - The company ended January with approximately 2.2 million SOL on its balance sheet and reported an SPS of 0.0743, with DFDVX generating over $30 million in trading volume during the month [4][7]. - The company has expanded its on-chain yield and treasury infrastructure through new integrations, including HILO, Mooncake, Solstice, Yield Vault, and Jupiter Lend [3][7]. Capital Allocation Strategy - The company has executed unannounced buybacks at discounts and is cautious about ATM and preferred issuance due to weak market conditions, avoiding margin debt [6][12]. - Management is considering a strategic shift to actively deploy capital into early projects and support hackathons, with a target push in 2026 [6][9]. Governance and Organizational Updates - Hadley Stern, previously chief commercial officer at Marinade Finance, has been added to the board, bringing institutional experience [2][16]. - The company is working on a U.K. initiative to create a more approval-oriented regulatory environment, aiming to have a vehicle ready for market turnaround [17]. Risk Management - The company argues that most DATs are not heavily leveraged and that its leverage is structured as unsecured debt, minimizing risks associated with margin calls [18].

Crypto Needs Support. But Congress Is Going About It The Wrong Way. - Barron'sSkip to Main ContentThis copy is for your personal, non-commercial use only. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com.# Congress Is Punching Holes in America's Financial DefensesByJohn M. GriffinandAmit SeruShareResize---ReprintsThe (Heather Di ...

Core Insights - AI agents are now hiring humans for real-world tasks, creating a new job market where humans can be "rented" by AI for various tasks [2][3] - The platform RentAHuman.ai allows humans to set hourly rates between $50 and $175 and get paid in stablecoins for their services [2] - The rapid adoption of the platform saw signups grow from 130 to over 50,000 within a day, indicating high demand and interest [3] Industry Developments - The launch of RentAHuman.ai represents a significant shift in the crypto space, as it seeks to find a practical use case beyond trading and speculation [5] - The integration of AI agents with blockchain technology is highlighted as a solution for instant, borderless payments, enabling efficient transactions between AI and human workers [7] - The current infrastructure of traditional payment systems is inadequate for the volume and granularity required for agent-to-agent commerce, which blockchain can effectively address [7] Technological Innovations - The platform utilizes the Multi-Call Protocol (MCP) to allow AI systems to access human labor with a single API call [3] - Circle's CEO has developed a prototype for an AI Agent x Human employment app that includes features like milestone-based projects and onchain treasuries [4] - The decentralized nature of these innovations, including dispute resolution mechanisms, showcases the potential for blockchain in facilitating AI-human interactions [4]

Group 1 - Institutions are increasingly viewing top cryptocurrencies as strategic assets, indicating a shift from retail to institutional interest in crypto [1] - Spot Ethereum ETFs have seen inflows after a period of significant outflows, suggesting renewed interest from institutional investors [2][4] - The approval of spot Ethereum ETFs by the US SEC in July 2024 has allowed institutions to gain exposure to Ethereum without managing private keys, with major asset managers like BlackRock and Fidelity involved [3] Group 2 - On February 3, spot Ethereum ETF issuers experienced inflows of over $14 million, with BlackRock being the preferred choice for institutions, accounting for over $42 million of the inflow [4] - January 2026 marked a reversal in the trend of outflows, with over $353 million redeemed from spot Ethereum ETFs, which was significantly lower than the $616 million redeemed in December [5] - ETF flows are closely monitored as they reflect investor sentiment, and the recent inflows suggest a cooling of fear among large investors, potentially stabilizing prices [6]

New York — WisdomTree’s crypto business is no longer an experiment but core to the firm’s strategy and on the verge of turning profitable, CEO Jonathan Steinberg said in a fireside chat at the Ondo Summit in New York on Tuesday. “We want to continue to scale,” Steinberg said. “Last year, we went from like $30 million in assets to about $750 million in assets," adding that he firm doesn't currently make money on its digital asset efforts but is "in line of sight of taking this to a profitable business.” ...