Anndy Lian's Blog, page 12

Markets plunge into September chaos: Tech titans tumble as global tensions ignite

Anndy Lian
Markets plunge into September chaos: Tech titans tumble as global tensions ignite

As the calendar flips to September 1, 2025, the global financial landscape reflects a cautious start to the month, with major US stock markets shuttered for the Labour Day holiday. This closure comes on the heels of a turbulent end to August, where Wall Street grappled with a tech-fuelled downturn that capped off the month on a sour note.

Asian markets, stepping in to kick off the week’s trading, have largely followed suit by opening lower, echoing the unease from Friday’s US session. Investors are navigating a complex web of influences, from persistent inflation pressures and tariff anxieties to the allure of artificial intelligence advancements and the anticipation of Federal Reserve policy shifts.

This mix signals a market at a crossroads, poised for potential rebounds driven by technological innovation but vulnerable to macroeconomic headwinds that could prolong volatility. The story here is not just about numbers on a screen but about how these forces interplay to shape investor confidence in an increasingly interconnected world.

US stocks stumble: Tech sell-off steals the spotlight

Turning first to the US markets, the recap from August 29, 2025, paints a picture of restrained optimism giving way to broader concerns. The S&P 500 closed down 0.64 per cent at 6,460.26, slipping from its recent record highs amid losses in key artificial intelligence-related stocks.

The Nasdaq Composite, heavily weighted toward technology, fared worse, declining 1.15 per cent to 21,455.55, underscoring the sector’s outsized influence on overall market performance. Even the Dow Jones Industrial Average, typically more insulated from tech swings, edged lower by 0.3 per cent.

This session marked the end of a fourth consecutive winning month for the S&P 500, which still managed a 1.4 per cent gain for August, but the Friday pullback highlighted emerging cracks in the rally. Tech giants bore the brunt of the selling pressure, with Nvidia shares tumbling over three per cent following reports of heightened competition from Chinese firm Alibaba’s advanced chip development.

Dell Technologies’ stock plummeted nearly nine per cent after the company’s third-quarter profit guidance disappointed analysts, despite robust demand for AI infrastructure. Marvell Technology’s shares cratered 19 per cent on a weak sales forecast, further amplifying the sector’s woes. On a brighter note, Affirm Holdings surged 11 per cent after reporting a quarterly profit, offering a rare counterpoint in an otherwise downbeat day for growth stocks.

Inflation fears and tariff turmoil: The hidden market killers

Beyond the tech sell-off, broader economic signals contributed to the muted sentiment. The University of Michigan’s consumer sentiment index dipped in August, as respondents expressed growing fears over inflation. The core Personal Consumption Expenditures index, the Fed’s preferred inflation gauge, held above the two per cent target in July, muddying the waters for a potential September rate cut. Tariff uncertainties loomed large, with Caterpillar’s comments on potential earnings impacts from higher duties weighing on industrial sentiment.

This tariff narrative is particularly under-appreciated. While they aim to protect domestic industries, they risk inflating costs across supply chains, potentially stifling the very growth they’ve helped foster in areas like manufacturing and tech hardware. The market’s reaction suggests investors are starting to price in these frictions, especially as global trade tensions simmer.

Despite these headwinds, the month’s overall gains, S&P up 1.4 per cent, Dow up two per cent, Nasdaq up 1.6 per cent, indicate resilience, buoyed by strong AI-driven earnings from select mega-caps. However, the divergence between winners like Affirm and losers like Marvell suggests a selective market, where only the strongest narratives prevail.

Asia awakens to red screens: Tech restrictions fuel the fire

Shifting focus to the Asia-Pacific region on this September 1 morning, markets have opened with declines, mirroring the weakness in US tech and broader global jitters. Japan’s Nikkei 225 fell 0.26 per cent to 42,718.47, dragged down by tech and export-oriented stocks amid ongoing concerns about trade data. South Korea’s Kospi index dropped around two per cent in early trading, hit hard by losses in memory chip giants Samsung Electronics and SK Hynix, which slid after the US Commerce Department revoked their authorisation to ship certain goods from China without licenses.

This move exacerbates US-China tech tensions, directly impacting supply chains for semiconductors critical to AI and consumer electronics. Hong Kong’s Hang Seng Index showed mixed results, leaning lower at around 24,858.82, influenced by regional volatility. A standout exception was Alibaba, whose shares surged 13 per cent on news of its more advanced AI chip, providing a rare boost in an otherwise subdued session.

In China, the CSI 300 index hovered flat, but auto makers faced headwinds, with BYD reporting its first quarterly profit drop in over three years due to aggressive domestic discounting. India’s Sensex and Nifty indices dipped slightly, pressured by foreign capital outflows and tariff concerns stemming from global trade dynamics.

From my perspective, Asia’s performance highlights the ripple effects of US policy; restrictions on tech exports not only harm specific companies but also erode broader market confidence, potentially slowing the region’s recovery from post-pandemic sluggishness. However, Alibaba’s gain hints at China’s push for self-reliance in AI, which could reshape the competitive landscape over time.

Gold’s golden surge: Safe havens shine amid the storm

Several other key drivers are at play, amplifying the market’s choppy mood. Gold prices have continued their ascent, touching new all-time highs in late August, fueled by expectations of a Fed rate cut and escalating geopolitical uncertainties.

This safe-haven rally reflects investor caution, as lower interest rates typically weaken the dollar and boost non-yielding assets, such as gold. Overall sentiment remains volatile, as it is influenced by the robust AI earnings of some firms, offset by disappointments from others, and further complicated by trade tensions. This duality captures the market’s current paradox: technological progress offers long-term promise, but near-term risks from inflation and tariffs could trigger sharper corrections if unresolved.

Bitcoin’s brutal breakdown: Crypto kings crumble under pressure

Diving deeper into cryptocurrencies, Bitcoin has extended its decline, falling 0.96 per cent to around US$108,253 over the past 24 hours, marking a 4.19 per cent weekly drop. Three primary factors are driving this: a macro risk-off sentiment, where simultaneous outflows from Bitcoin and gold ETFs signal broad investor caution amid Fed policy ambiguity; a technical breakdown below the critical US$118,000 support level, activating stop-loss orders and bearish indicators like a MACD of -1,931.67 and RSI at 32.47; and a liquidation cascade, with US$24.45 million in Bitcoin liquidations amplifying the downside momentum.

The Fear & Greed Index at 39 underscores prevailing fear, discouraging buy-the-dip activity. Looking ahead, upcoming data like August Non-Farm Payrolls and the Fed Beige Book could provide policy clues, but a close below US$107,000 might test lower Fibonacci levels around US$117,958.

In my view, Bitcoin’s sensitivity to macro shifts highlights its maturation as an asset class, once seen as uncorrelated, it’s now intertwined with traditional markets, offering hedge potential but also exposing it to the same uncertainties. While some forecasts eye US$125,000 by September or even US$221,000 by year-end, the risk of deeper pullbacks looms if institutional demand wanes.

Ethereum’s edge of collapse: Liquidations loom large

Ethereum, meanwhile, has underperformed the broader crypto market, dipping 0.77 per cent to US$4,407 in the last 24 hours. Key pressures include liquidation risks near US$4,400, where over US$1 billion in long positions could unravel if breached, following US$108 million in network-wide liquidations; a bearish technical setup, with ETH struggling below its seven-day simple moving average of US$4,444 and showing MACD divergence at -54.73; and macro caution ahead of US jobs data and Fed signals.

The RSI at 52.74 indicates neutral momentum, but failure to hold US$4,400 risks a drop to the 50 per cent Fibonacci retracement at US$4,155. On the upside, a rebound above US$4,550 could squeeze shorts and target US$4,550 resistance. Ethereum’s ecosystem remains vibrant, with upcoming upgrades like Fusaka enhancing scalability, but competition from faster blockchains like Solana poses threats.

Personally, I see Ethereum’s trajectory as more promising than Bitcoin’s in the medium term; its DeFi dominance and staking mechanisms provide utility beyond speculation, potentially driving it toward US$5,000-US$10,000 by year-end if rate cuts materialise and institutional inflows resume. However, liquidation clusters and technical weaknesses demand vigilance.

The volatile road ahead: Will markets rebound or crash further?

In wrapping up this analysis, the markets on September 1, 2025, embody a delicate balance of hope and hesitation. The US holiday pause offers a moment for reflection, but Asia’s early slides suggest the tech sell-off’s aftershocks persist. With gold shining as a refuge and cryptos navigating their own storms, investors must weigh AI’s transformative potential against inflation’s stubborn grip and tariff-induced frictions.

I believe the path forward favours adaptability; those who pivot toward resilient sectors like AI infrastructure while hedging against policy risks stand to thrive. However, if tariffs escalate or inflation reaccelerates, we could see prolonged turbulence, reminding us that in finance, as in life, equilibrium is fleeting. The coming weeks, with key data releases and Fed decisions, will likely dictate whether this is a mere dip or the onset of a deeper recalibration.

 

Source: https://e27.co/markets-plunge-into-september-chaos-tech-titans-tumble-as-global-tensions-ignite-20250901/

The post Markets plunge into September chaos: Tech titans tumble as global tensions ignite appeared first on Anndy Lian by Anndy Lian.

Global Game Theory: How America’s Bitcoin Policy Is Reshaping the World

Anndy Lian
Global Game Theory: How America’s Bitcoin Policy Is Reshaping the World

Bitcoin Conference Asia – Hong Kong, August 28, 2025- At the heart of Bitcoin Conference Asia’s main stage, a powerful conversation unfolded under the theme *“Global Game Theory: The Response to America’s Changing Bitcoin Policy.”* With the United States now positioning itself as a self-declared “Bitcoin superpower,” the ripple effects are being felt across continents, from Singapore to Pakistan, from policy corridors to crypto exchanges. This panel, moderated by Greg McCarty, Co-Founder and Co-President of the Bitcoin Policy Institute, brought together four influential voices shaping the global Bitcoin narrative: Anndy Lian, blockchain advisor and author; Jeremy Tan, Singaporean political candidate and Bitcoin advocate; Bilal Bin Sakib, Minister of State for Blockchain and Crypto in Pakistan; and Nentur Chao, Global CEO of Bitmart Exchange.

What emerged was not just a discussion about regulation or technology but a geopolitical reckoning. As the U.S. accelerates its pro-Bitcoin agenda, countries and companies worldwide are reevaluating sovereignty, financial infrastructure and national identity through the lens of digital gold.

Greg McCarty opened the panel with a bold statement. In the last twelve months, the world has seen a massive shift in global Bitcoin policy and it started in Washington. He outlined a series of transformative developments since early 2025. The United States now has a firmly pro-Bitcoin administration that has issued executive orders declaring its intent to become a global Bitcoin superpower. The country has established a strategic Bitcoin reserve worth ten billion dollars. It has passed the Genius Act, a landmark piece of stablecoin legislation, and is moving forward with comprehensive cryptocurrency market structure legislation. Support for the industry is now unified across Congress, federal agencies and the executive branch.

This is not merely a policy shift. It is a strategic signal to the world. Bitcoin is now recognized as a national asset of critical importance. The implications are profound. Countries can no longer afford to treat Bitcoin as a speculative or fringe technology. It has entered the realm of monetary sovereignty, energy policy, youth empowerment and international diplomacy.

Bilal Bin Sakib, representing Pakistan, the fifth most populous nation on Earth with 250 million people and a youth population that makes up 70 percent of the total, shared his country’s ambitious vision. Pakistan is turning its challenges into opportunities by transforming liabilities into digital gold. With between forty and fifty million active crypto users and two thousand megawatts of excess electricity, the nation is redirecting surplus power toward Bitcoin mining. The government has announced a national Bitcoin strategic reserve using bitcoins seized by law enforcement. It has also created the Pakistan Virtual Asset Regulatory Authority, an independent body separate from the central bank and securities commission, to foster innovation in the crypto space.

Sakib emphasized that Pakistan’s strength lies in its human capital. The country is the third largest freelancer market in the world. If Pakistan’s youth were their own nation, they would rank as the tenth largest country globally. With fifty thousand IT graduates entering the workforce each year, the foundation is set for a homegrown tech revolution. The goal is not just to participate in the global crypto economy but to lead it by building billion dollar protocols from within Pakistan. At the same time, the country faces serious socioeconomic challenges, including one hundred million unbanked citizens. Blockchain technology offers solutions not only for financial inclusion but also for improving government efficiency and combating counterfeiting. Bitcoin is important, but blockchain is the infrastructure that will power the future.

Jeremy Tan, who ran for Parliament in Singapore on a platform advocating for Bitcoin in national reserves and became the best performing independent candidate in fifty years, framed Bitcoin as a matter of national survival. Singapore lacks natural resources and depends heavily on its status as the fourth largest foreign exchange hub in the world. But if financial liquidity begins to migrate on chain through stablecoins, yield protocols and decentralized markets, the rationale for maintaining physical financial centers comes into question.

Tan pointed to a troubling statistic. Singapore had only one initial public offering on its local stock exchange in the past year. As capital flows increasingly toward Bitcoin and decentralized platforms, traditional financial hubs may find themselves obsolete. He also highlighted a cultural truth common across East Asia. There is a deep seated preference for hard assets such as property. However in land constrained societies like Singapore and Hong Kong, this pursuit of real estate has created a generational burden where each new cohort must pay more than the last. This dynamic is unsustainable, especially in an era of artificial intelligence and economic uncertainty.

Bitcoin offers an alternative. It is a scarce, portable and globally accessible hard asset. But adoption requires education. Tan recently visited El Salvador and met with President Bukele and his team, including Stacy Herbert of the Bitcoin Office. He was impressed by their national education campaigns that teach children the nature of money from an early age. This is something often taken for granted in Asian cultures. Tan believes that financial literacy must be prioritized, not only for youth but also for government officials and bureaucrats who shape policy. Many in power hold strong opinions about Bitcoin, but those views are often based on misinformation or fear. Without proper understanding, progress stalls. To address this, Pakistan and El Salvador have begun a joint initiative in Bitcoin diplomacy, sharing frameworks and training government officials to make informed decisions.

Nentur Chao of Bitmart Exchange, which serves over twelve million users worldwide, provided a real time perspective from the private sector. He confirmed that the shift in U.S. policy has created a positive halo effect across the industry. Institutional adoption is accelerating, with public companies increasingly adding Bitcoin to their treasuries. However, user behavior tells a more complex story. After a surge in trading volume during the first quarter of the year, spot Bitcoin transactions have declined by twenty to twenty five percent. Derivatives trading, on the other hand, has remained steady, indicating that institutions continue to use these tools for hedging and strategic positioning. Among retail traders, eighty percent of derivative positions are closed within twenty four hours, pointing to a high frequency, speculative mindset.

Beyond the data, Chao shared a deeper trend. Governments around the world are reaching out to exchanges and industry leaders not to impose restrictions but to learn. He has participated in numerous closed door discussions with quasi governmental bodies seeking to understand market risks, compare regulatory models and refine their own policy drafts. There is a clear demand for knowledge, but a notable lack of coordination between nations. Countries are working in isolation, repeating the same mistakes and missing opportunities for collaboration.

Chao praised Hong Kong’s Leap 2.0 regulatory framework as a leading example of forward thinking policy. From the outset, the framework allows for the tokenization of real world assets such as government bonds, ETFs, commodities and renewable energy credits. This creates immediate utility and attracts institutional capital. It moves the ecosystem from zero to one quickly and enables further innovation. Such an approach, he argued, is essential for any jurisdiction that wants to be a serious player in the digital asset economy.

Anndy Lian offered a measured but strategic perspective. While he applauds the speed of U.S. policy development, he cautioned that not every country is ready to follow the same path. Legislation in America is advancing at an extraordinary pace, but much of Asia is still in a catch up phase. Nations like Japan, South Korea and the Philippines are making progress, but they are doing so step by step. First, they are tokenizing traditional assets such as stocks and corporate equity. Then they are establishing stablecoin regulations. Only after these foundations are in place will they consider holding Bitcoin in national reserves.

The key, Lian emphasized, is building a strong foundation. You cannot construct a sustainable Bitcoin economy on weak regulatory or educational ground. He criticized what he called performative policy making, where high profile figures visit a country, take photos and leave without substantive dialogue. This is public relations, not policy. What is missing is a serious, standardized global conversation. He proposed the creation of an international body for digital assets, similar to the International Civil Aviation Organization or the Bank for International Settlements. Such a body could establish baseline regulatory standards for exchanges, custody solutions and stablecoins, allowing countries to collaborate rather than compete in confusion.

Lian also urged governments to take decentralized finance and decentralized networks seriously. Too many policymakers view DeFi as a haven for illicit activity, but this reflects a lack of understanding. These systems represent the next evolution of finance and must be studied, regulated wisely and integrated thoughtfully.

As the panel drew to a close, each speaker offered a vision for the next phase of Bitcoin adoption. Nentur Chao highlighted Hong Kong’s Leap 2.0 framework as a model for enabling real world utility from day one. Anndy Lian called for the creation of a global regulatory body to bring coherence to a fragmented landscape. Jeremy Tan proposed that every country establish a dedicated Ministry of Blockchain and Bitcoin to serve as a single point of contact for international coordination. Bilal Bin Sakib reiterated that Bitcoin must be used to solve real problems, from financial inclusion to youth unemployment and government inefficiency.

Greg McCarty tied these threads together by reflecting on the mission of the Bitcoin Policy Institute. The organization was founded because no one else was doing the difficult work of educating policymakers. You cannot make sound decisions about a technology you do not understand. For years, the institute focused simply on explaining what Bitcoin is and how it works. Only after that foundation was laid could they begin advocating for strategic reserves and national adoption.

The takeaway is clear. The Bitcoin revolution is not just about code or capital. It is about clarity, education and long term thinking. As the United States leads with bold policy, the rest of the world is not merely copying but adapting, innovating and building solutions suited to their unique contexts. From Pakistan’s energy to digital gold pipeline to Singapore’s existential pivot, from Hong Kong’s institutional on ramps to global calls for cooperation, the game has changed.

Bitcoin is no longer a question of if but of how. And the rules of this new global game are being written in real time, not in Washington alone, but in boardrooms, parliaments and classrooms across Asia and beyond.

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Eric Trump is headlining a Bitcoin conference and China just silenced its top officials

Anndy Lian
Eric Trump is headlining a Bitcoin conference and China just silenced its top officials

Investors are grappling with mixed signals from the United States economy, where durable goods orders have shown resilience despite a decline. At the same time, President Donald Trump’s bold move against a Federal Reserve governor underscores the fragility of institutional independence. Meanwhile, equity markets exhibit regional disparities, foreign exchange rates fluctuate ahead of key data releases, and commodities reflect broader risk appetites.

In the realm of digital assets, where intriguing narratives unfold, particularly around Bitcoin Asia 2025 in Hong Kong, political sensitivities have led to notable withdrawals, even as corporations like Japan’s Metaplanet and the US-based KindlyMD double down on Bitcoin as a strategic reserve. From my perspective as a journalist who has covered financial markets and geopolitical intersections for over a decade, these events highlight a pivotal tension.

While political pressures threaten to stifle innovation in hubs like Hong Kong, the inexorable march of corporate adoption of Bitcoin suggests that decentralised finance may ultimately transcend national rivalries, offering a hedge against traditional economic uncertainties.

US economic data: Resilience amid slowdowns

Starting with the macroeconomic backdrop, US durable goods orders for July 2025 decreased by 2.8 per cent to US$302.8 billion, marking a continuation of the downward trend from June’s revised 9.4 per cent decline. This figure, however, beat economists’ expectations of a four per cent decline, providing a sliver of relief amid concerns over manufacturing slowdowns. The Commerce Department attributes part of the earlier volatility to firms front-loading imports in May to sidestep impending tariffs, a strategy that now appears to be unwinding.

Complementing this, the Dallas Federal Reserve’s business activity index rose 4.8 points to 6.8 in August, its highest level since January, with revenue indices increasing to 8.6 and employment remaining steady at 1.2. These metrics indicate a stabilising labor market and improving business sentiment, as evidenced by the outlook index turning positive at 4.3 for the first time in six months.

On the housing front, the S&P CoreLogic Case-Shiller 20-City Home Price Index rose 2.1 per cent year-on-year in June, decelerating from May’s 2.8 per cent and aligning with forecasts, the slowest growth since July 2023. High mortgage rates and an abundance of inventory have curbed buyer enthusiasm, yet this moderation could help ease inflationary pressures.

In my view, these data points collectively suggest an economy in transition, resilient enough to avoid recession but vulnerable to policy shocks, which brings us to the escalating drama at the Federal Reserve.

Political turbulence at the Federal Reserve

President Trump’s attempt to oust Governor Lisa Cook has injected unprecedented political turbulence into monetary policy. Trump announced her removal effective immediately, citing allegations of mortgage document falsification from her pre-Fed days, framing it as sufficient “cause” under the Federal Reserve Act.

Cook, the first Black woman on the Fed Board and a vocal advocate for economic equity, has vowed to challenge this decision legally, with her attorney, Abbe Lowell, asserting that the president lacks the authority to fire her without due process. The Fed itself has reaffirmed that governors can only be removed for cause, not at will, and Cook plans to seek a court injunction to retain her position until her term ends in 2038.

This confrontation, the first of its kind in the Fed’s 111-year history, has markets on edge, with some analysts fearing it could erode the central bank’s independence, reminiscent of the pressures of the 1930s era. Trump’s economic adviser, Kevin Hassett, has even suggested that Cook take a leave of absence during the litigation, while Democrats downplay the fraud claims as minor.

From where I stand, this episode exemplifies Trump’s aggressive approach to reshaping institutions, potentially destabilising rate-cut expectations just as the Fed eyes Nvidia earnings, GDP revisions, and PCE inflation data. It risks politicising monetary decisions at a time when the economy needs steady hands, and if successful, it could set a precedent that undermines global confidence in US financial governance.

Equity markets: Diverging trends across regions

Shifting to equities, the US markets demonstrated buoyancy despite the Fed turmoil. The S&P 500 advanced 0.4 per cent on Tuesday, buoyed by Nvidia’s 1.1 per cent gain ahead of its earnings and Eli Lilly’s 5.8 per cent surge on promising diabetes drug results. The Dow Jones rose 135 points, and the Nasdaq matched the S&P’s climb, with industrials outperforming amid declines in energy and consumer staples.

Post-market, MongoDB jumped 30 per cent on beating revenue estimates. In contrast, European stocks faltered, with the Stoxx 50 down 1.1 per cent and France’s CAC 40 plunging 1.6 per cent amid deepening political instability. Prime Minister Francois Bayrou’s call for a September 8 confidence vote has heightened jitters, as opposition parties pledge to topple his government, exacerbating concerns over weak growth and geopolitical risks.

Commerzbank tumbled over six per cent following a downgrade from Bank of America, though Orsted rebounded by two per cent. In Asia, Hong Kong’s Hang Seng index slipped 1.2 per cent to 25,525, reversing a two-day streak, influenced by US futures dips and Trump’s threats of 200 per cent tariffs on China over rare-earth magnets, alongside retaliation against nations that regulate US Big Tech.

Haidilao fell 2.8 per cent on missed earnings, with broader losses in biopharma and semiconductors. Singapore’s Straits Times edged up 0.1 per cent to 4,256.49, led by Mapletree Logistics Trust’s 3.4 per cent rise, though DBS Bank declined one per cent. Thomson Medical Group soared nearly 40 per cent on news of a massive Johor project.

Overall, these movements reflect a bifurcated global sentiment: US optimism driven by tech, countered by European and Asian caution amid trade wars and domestic politics.

Currencies, commodities, and fixed income signals

In the foreign exchange market, the US dollar softened as markets anticipated Nvidia’s results and upcoming data, with firmer-than-expected durable goods and consumer confidence providing some support. G10 currencies strengthened against the US dollar, with GBP/USD at 1.3480, bolstered by Bank of England hawk Catherine Mann’s stance on holding rates, and EUR/USD steady at 1.1640 despite French fiscal risks arising from Bayrou’s vote.

AUD and NZD gained modestly but were capped by risk aversion, as Reserve Bank of Australia minutes hinted at a 25-basis-point cut and further easing. USD/JPY briefly touched 147.00 on the Cook news before retreating. Looking ahead, economic calendars feature Australia’s CPI, Germany’s GfK consumer confidence, France’s unemployment claims, US mortgage rates, and a speech by Raphael Bostic of the Fed.

Commodities mirrored this caution: oil plummeted sharply, its worst drop since early August, while gold rallied as a safe haven. The fixed income market saw the 5-year to 30-year Treasury yield spread widen to its steepest level since 2021, signaling expectations of long-term growth amid short-term uncertainties. These dynamics underscore a market poised for volatility, where political noise amplifies economic signals.

Bitcoin Asia 2025: Political shadows in Hong Kong

Turning to cryptocurrencies, the spotlight falls on Bitcoin Asia 2025, scheduled for August 28-29 in Hong Kong, one of the world’s premier crypto gatherings. Withdrawals from key figures have overshadowed the event: Eric Yip Chee-hang, director of Hong Kong’s Securities and Futures Commission, and legislator Johnny Ng Kit-chong, both initially slated to speak but now absent from the agenda.

Sources indicate an informal directive to avoid the conference due to Eric Trump’s confirmed appearance as a keynote speaker, aiming to prevent any perception of aligning with or flattering the Trump administration amid escalating US-China tensions. This move, as analyst Lau Siu-kai noted, reflects Beijing’s caution in a city caught between superpowers, especially after US tariffs up to 145 per cent on Hong Kong exports.

Eric Trump, executive vice president of the Trump Organisation and a self-proclaimed “Bitcoin maxi,” is set to discuss Bitcoin’s global potential and Asia’s role, fresh from visits to Japan and predictions of BTC reaching US$175,000 this year. The Trump family’s crypto ties, including ventures in mining and advocacy for US-friendly regulations, have fuelled past criticisms of conflict of interest.

In my opinion, these withdrawals are symptomatic of Hong Kong’s precarious position: aspiring to be a crypto hub with new stablecoin regulations and fintech initiatives, yet constrained by Beijing’s oversight and US antagonism. I will still be speaking at this event. I do not find the atmosphere charged, but it also presents an opportunity to emphasise crypto’s borderless nature, potentially bridging divides.

Corporate Bitcoin treasuries on the rise

Amid this, corporate Bitcoin adoption surges. Japan’s Metaplanet Inc., rebranded as a “Bitcoin treasury company,” plans to raise US$1.2 billion through an overseas share issuance, allocating US$835 million for BTC purchases between September and October, targeting 210,000 BTC (approximately one per cent of the total supply) by 2027.

Currently holding 18,991 BTC worth US$2.1 billion, the firm, led by ex-Goldman Sachs executive Simon Gerovich, uses BTC to hedge yen weakness and inflation, with additional funds for its “Bitcoin Income Business” via covered calls. Similarly, US healthcare firm KindlyMD (ticker: NAKA) filed a US$5 billion at-the-market equity offering to bolster its Bitcoin treasury, following an initial purchase of 5,744 BTC valued at US$635 million.

Shares dipped 12 per cent to US$8.07 post-announcement, amid BTC’s 10 per cent fall from mid-August highs to US$111,250. This echoes MicroStrategy’s playbook, popularised by Michael Saylor, where firms view BTC as an inflation hedge despite the risks associated with volatility.

Bitcoin price trends and the road ahead

Bitcoin itself declined 0.5 per cent to US$111,219 over 24 hours, extending a seven day 2.7 per cent drop, driven by technical breakdowns below key moving averages, US$131 million in ETF outflows, and weak buying momentum. Yet, advocates argue its long-term value persists.

In my opinion, these corporate pivots amid political headwinds demonstrate Bitcoin’s maturation from a speculative asset to a corporate staple, potentially insulating it from events like the Hong Kong withdrawals. For Asia, particularly Hong Kong, navigating US-China frictions will be key; the conference could catalyse discussions on regulatory harmony, but only if participants prioritise innovation over ideology.

As global tensions rise, crypto’s decentralised ethos offers a compelling alternative, one that might ultimately redefine treasury management and cross-border finance. This evolving story, blending economics, politics, and technology, reminds us that in an interconnected world, no market operates in isolation.

 

Source: https://e27.co/eric-trump-is-headlining-a-bitcoin-conference-and-china-just-silenced-its-top-officials-20250828/

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Annum Capital Publishes Stablecoin Report for Family Offices

Anndy Lian
Annum Capital Publishes Stablecoin Report for Family Offices

Annum Capital, a leading financial services group in Hong Kong, today released “Flying Cash: Rise of Stablecoins” – a report that discusses historical precedents and ongoing evolution of stablecoins and provides insights for family offices and wealth managers at a time when technological maturity, regulatory clarity, and rising institutional demand are converging to drive the rise of stablecoins.

This report is co-authored by Annum Capital, Deane Consulting and Anndy Lian, and supported by global firms including Schroders Capital, FTSE Russell, FactSet, Aberdeen, Marex, Synpulse as well as Hong Kong’s local institutions such as Family Office Association of Hong Kong (FOAHK), China Family Office Research Institute, uSmart, Easyview, and Turoid.

This report examines the evolution of asset-backed, privately-issued instruments of value transfer, drawing parallels from financial innovations in ancient China (e.g. “flying cash” in Tang dynasty) to more recent incarnations including stablecoins.The report narrates the birth of USDT and USDC, and recounts how stablecoins have gone mainstream when the stars were finally aligned. The report reviews global regulatory stance towards stablecoins, from initial ambivalence to gradual encouragement to potential jurisdictional competition on the horizons.The economic implications of stablecoins are explored, including digital dollarization in emerging markets, new dynamics in the US deficit calculus, challenges to policy independence, and how the reduced friction in payment can impact the velocity of money and market volatilities.The report also surveys the broader digital assets ecosystem – issuers, exchanges, infrastructure providers, custodians, corporate adopters, and early movers in Hong Kong.

This report is the first publication of the Annum Capital Digital Finance Whitepaper Series, a multi-year collaboration project between Annum Capital and its partners in traditional and digital finance.

Click to download the report: https://www.annum.com.hk/wp-content/uploads/2025/08/Annum-Capital_Stablecoin-Report_August-2025.pdf

 

About Annum Capital

Annum Capital is a Hong Kong-based financial services group with market leadership in external asset management (EAM), fund management, index investing, private markets, and strategic advisory.

About Deane Consulting

Founded by Andrew Deane, a well-known publisher and specialist adviser in the wealth management sector, Deane Consulting works with companies in the wealth eco-system across Asia, Middle East and Europe on strategic topics.

About Anndy Lian

Anndy Lian is an all-rounded business strategist in Asia. He has provided advisory across a variety of industries for local, international, and public-listed companies and governments. He is an early blockchain adopter and experienced serial entrepreneur, book author, investor, board member, and keynote speaker.

Disclaimer:

This report – “Flying Cash: Rise of Stablecoins” – is intended solely for informational purposes for family offices and wealth managers. It has not been reviewed or approved by any regulatory authority in Hong Kong or elsewhere.

Any reference to specific cryptocurrencies, tokens, digital assets, financial instruments, insurance or investment products, platforms, or companies is provided solely for illustrative or informational purposes. Such references do not constitute, and should not be interpreted as, an offer, solicitation, endorsement, or recommendation to transact in any of the products or entities mentioned, nor do they represent the formation of any legal or advisory relationship.

This report does not constitute investment advice or advertisement or invitation to acquire, dispose of or trade any assets or products referred to in this report. Nothing in this report should be relied upon as a basis for making any investment decision. This report does not constitute and should not be regarded as financial, investment, legal, or tax advice.

This report is intended for readers in Hong Kong and is to be distributed only in jurisdictions where local laws and regulations allow its distribution.

This report is based on resources as of July 2025 that the authors reasonably believe to be reliable. The authors do not give any warranty on the accuracy of the information contained in this report and accept no liability of any kind for any damage or loss of any nature arising from or in connection with this report.

© 2025 Annum Capital. All rights reserved. This press release and the report referenced herein are protected by copyright and other intellectual property laws. No part of this material may be reproduced, distributed, transmitted, displayed, published, or broadcast in any form or by any means, including photocopying, recording, or other electronic or mechanical methods, without the prior written permission of Annum Capital.

 

Check out the press release at:
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Read the report at:
https://www.annum.com.hk/wp-content/uploads/2025/08/Annum-Capital_Stablecoin-Report_August-2025.pdf

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Anndy Lian humorously explores fashion parallels with Tom Lee

Anndy Lian
Anndy Lian humorously explores fashion parallels with Tom Lee

Anndy Lian, a noted figure in the cryptocurrency world, has sparked a light-hearted conversation on Twitter about fashion similarities with Fundstrat’s Tom Lee. Lian playfully engages his followers in a discussion, drawing parallels between their choice of eyewear.

However, the crux of the tweet lies in the subtle nod to their differing cryptocurrency preferences: Lee is known for his bullish stance on Ether, while Lian favors BNB. This distinction highlights the diverse investment strategies within the crypto community, reflecting the dynamic nature of this market.

 

Source: https://tradersunion.com/news/market-voices/show/456067-anndy-lian-fashion-crypto/

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September’s market curse: Are you ready for the volatility storm?

Anndy Lian
September’s market curse: Are you ready for the volatility storm?

Traders across Wall Street pushed stocks higher on Tuesday, demonstrating remarkable resilience in the face of unsettling developments at the Federal Reserve.

The S&P 500 climbed by a modest but significant 0.42 per cent, clawing back the losses from Monday and hovering tantalisingly close to its recent peaks just shy of 6500. This uptick came even as news broke of a dramatic overhaul at the Fed, where President Trump moved to oust Governor Lisa Cook amid allegations of mortgage fraud, marking an unprecedented intervention in the central bank’s governance.

Investors appeared to dismiss the potential for instability, focusing instead on the broader economic signals that suggested stability amid uncertainty. This shakeup, the first time in the Fed’s 111-year history that a president has fired a governor, has sparked legal battles and widespread concern among economists about the erosion of the institution’s independence.

Cook has vowed to challenge the dismissal in court, arguing that it violates the Federal Reserve Act’s protections against removals without cause. The market’s reaction stayed muted, with buyers stepping in to support equities and prevent a deeper slide.

Technical tensions in US stocks

This Fed turmoil unfolds against a backdrop of mixed technical indicators for stocks. The S&P 500 has struggled to dip below its 20-day moving average of 6392, a key support level that has held firm since the lows in April. Bulls have defended this threshold aggressively, underscoring the short-term upward bias in prices.

However, momentum oscillators tell a different story. The Relative Strength Index and Moving Average Convergence Divergence have formed lower highs compared to the overbought peaks seen in July, signalling a clear negative divergence from the price action. Such patterns often indicate exhaustion among buyers, where the enthusiasm that drove the rally begins to wane, setting the stage for a period of consolidation or correction.

History supports this cautionary view, as August and September have long earned notoriety as the most volatile months for US equities, with September posting the weakest average returns of any month. Over the past century, the S&P 500 has declined in September more often than not, with an average loss of about 0.7 per cent, driven by factors like end-of-quarter portfolio rebalancing and seasonal slowdowns in economic activity.

As summer winds down, traders brace for erratic swings, and this year proves no exception, with the VIX volatility index spiking by an average of 8.4 per cent in August alone based on data stretching back to 1990.

Global markets react cautiously

Global markets reflected this tentative mood, with movements remaining largely subdued as of mid-morning in Tokyo. Japan’s Topix index slipped by 0.2 per cent, reflecting ongoing concerns about yen strength and export competitiveness.

In contrast, Australia’s S&P/ASX 200 edged up by 0.2 per cent, buoyed by gains in mining stocks amid stable commodity prices. Hong Kong’s Hang Seng advanced 0.3 per cent, supported by tech sector rebounds, while mainland China’s Shanghai Composite dipped 0.1 per cent on worries over slowing manufacturing data.

European futures pointed to a modest opening, with Euro Stoxx 50 contracts rising 0.3 per cent, as investors awaited further clarity on monetary policy from the European Central Bank. These incremental shifts highlight a world economy grappling with uneven recovery, where regional divergences persist amid shared pressures from inflation and geopolitical tensions.

Currencies stay range-bound

Currencies traded in a narrow range, underscoring the lack of decisive momentum in foreign exchange markets. The Bloomberg Dollar Spot Index held steady, as traders weighed the implications of the Fed’s internal strife against hints of potential rate adjustments.

The euro remained unchanged at US$1.1633, finding support near its recent lows but failing to break higher amid eurozone growth concerns. The Japanese yen weakened by 0.2 per cent to 147.65 per dollar, continuing its slide as carry trades unwound.

Meanwhile, the offshore yuan showed little movement at 7.1492 per dollar, stabilised by People’s Bank of China interventions but vulnerable to US tariff threats. These currency dynamics reflect a broader wait-and-see approach, where participants hold back from bold positions until the dust settles on US policy directions.

Crypto turbulence intensifies

Cryptocurrencies faced sharper headwinds, with Bitcoin holding flat at US$111,294.45 after a bruising week that exposed the sector’s vulnerability to macroeconomic shifts. Ether dropped 0.6 per cent to US$4,562.26, pulling back from its recent highs. The primary cryptocurrency endured a gruelling decline last week, sliding gradually before plummeting to a multi-week low just under US$112,000 on Friday, ahead of Federal Reserve Chair Jerome Powell’s much-anticipated speech at the Jackson Hole symposium.

Powell’s remarks, which hinted at forthcoming rate reductions to support a cooling labor market while maintaining inflation targets, initially ignited a surge in Bitcoin, propelling it above US$117,000 within minutes. However, the gains proved fleeting, as the asset retraced to around US$115,000 over the weekend.

The real shock arrived Sunday evening, when Bitcoin tumbled several thousand dollars to below US$111,000, a level last visited on July 10. This abrupt drop wiped out roughly US$200 billion from the cumulative market capitalisation of all cryptocurrencies, bringing it to US$3.930 trillion.

Alternative coins followed suit, with Ethereum retreating from a fresh all-time high of US$4,950 to just over US$4,600, and Ripple struggling below the US$3 mark after rejection at US$3.1. Assets like Solana, Cardano, Tron, Dogecoin, Stellar, and Chainlink posted similar declines, while Sui, Litecoin, Aave, Pepe, Ena, Mantle, Okb, Uniswap, and Ethereum Classic suffered steeper losses of up to eight per cent.

Powell’s speech shifts market sentiment

Powell’s address provided critical context for these movements, emphasising a shift in risks where upside inflation pressures have diminished but downside employment threats have grown. He declared that the time has arrived for policy adjustments, with the direction toward easing clear, though the pace remains data-dependent.

Unemployment stands at 4.3 per cent, up from early 2023, but job gains persist, and inflation has cooled to 2.5 per cent over the past year. This dovish tilt initially fuelled optimism in risk assets, including cryptocurrencies, as lower rates typically encourage investment in speculative sectors.

Yet, the subsequent pullback in Bitcoin and its peers illustrates the market’s sensitivity to perceived over-optimism, with traders locking in profits amid fears of delayed cuts due to the Fed’s ongoing boardroom drama.

A precarious moment for markets

In my opinion, this moment feels precarious. Traders have shrugged off the Fed shakeup for now, but history warns against complacency. When presidents encroach on central bank autonomy, as Trump has by targeting Cook and nominating allies like Stephen Miran, it risks politicising decisions that should prioritise economic data over electoral timelines.

Past attempts to influence the Fed, such as during the Nixon era, led to inflationary spirals and eroded public trust. If Cook’s legal challenge succeeds or drags on, it could paralyse the board, delaying critical actions like rate cuts and amplifying volatility.

Stocks may remain buoyant near records, but the negative divergences in technicals suggest a digestion phase is looming, especially in the notoriously choppy August-September window. Investors should trim risk now, avoiding aggressive bets on equities until clarity emerges.

In cryptocurrencies, the volatility serves as a stark reminder of the asset class’s immaturity. Bitcoin’s wild swings around Powell’s speech mirror patterns from 2021 and 2024, where dovish signals sparked brief euphoria followed by sharp corrections. The sector’s US$3.93 trillion market cap, while impressive, remains dwarfed by traditional markets and prone to sentiment-driven dumps.

Ethereum’s retreat from its peak highlights how even strong performers falter when broader risk appetite wanes. That said, if the Fed delivers cuts in September despite the turmoil, crypto could rebound strongly, as cheaper borrowing often funnels capital into high-growth areas.

My advice aligns with the prudent strategy outlined in recent analyses: steer clear of over-leveraged positions in the near term, but position to capitalise on any volatility-induced dips ahead of the historically favourable October-to-March period for stocks and digital assets alike. The Fed’s independence hangs in the balance, and markets that ignore this do so at their peril.

Ultimately, sustainable growth demands policy rooted in expertise, not executive fiat, and the current path threatens to undermine that foundation.

 

Source: https://e27.co/septembers-market-curse-are-you-ready-for-the-volatility-storm-20250827/

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Markets at a crossroads: Trump’s Fed clash, Powell’s pivot, and global ripple effects

Anndy Lian
Markets at a crossroads: Trump’s Fed clash, Powell’s pivot, and global ripple effects

On this late summer day in 2025, financial markets around the world display a mix of caution and optimism as investors digest a flurry of economic data, geopolitical tensions, and corporate developments. The overarching narrative centres on anticipation for key upcoming events like Nvidia’s earnings report and the personal consumption expenditures inflation figures, which could sway Federal Reserve decisions on interest rates.

At the same time, President Donald Trump’s bold move to dismiss Federal Reserve Governor Lisa Cook injects fresh uncertainty into the mix, highlighting ongoing frictions between the White House and the central bank. Stocks in the United States closed lower yesterday, with the S&P 500 dropping 0.3 per cent to around 6,439, the Dow Jones Industrial Average shedding 349 points to finish at approximately 44,150, and the Nasdaq 100 declining 0.4 per cent amid sector rotations that hit consumer staples, health care, and utilities hardest.

This pullback follows a strong rally last week, driven by dovish comments from Fed Chair Jerome Powell at the Jackson Hole symposium, where he signalled potential rate cuts as early as September. Traders now price in an 86 per cent likelihood of such a move, reflecting hopes that lower borrowing costs will bolster economic growth amid signs of cooling inflation.

Trump’s move against the Fed

Turning to the macroeconomic landscape, Trump’s announcement yesterday afternoon marks a significant escalation in his longstanding feud with the Federal Reserve over monetary policy. He cited allegations of mortgage fraud against Cook, a claim that has drawn sharp rebukes from Democrats and raised questions about the independence of the central bank. Cook, for her part, quickly responded that she intends to continue her duties, setting the stage for potential legal battles.

This development comes at a delicate time, as the Fed navigates dual mandates of price stability and maximum employment. Experts view the action as an attempt by Trump to exert more influence over interest rate decisions, particularly after he has repeatedly criticised the Fed for not cutting rates aggressively enough to support his economic agenda.

The president posted the removal letter on his Truth Social account, accusing Cook of deceitful conduct in financial matters and expressing a lack of confidence in her ability to serve. While markets initially shrugged off the news, with the dollar paring some losses, the incident underscores broader concerns about policy interference that could erode investor trust in the institution responsible for steering the world’s largest economy.

Economic indicators and housing trends

Recent economic indicators paint a picture of an economy that remains resilient but shows pockets of weakness. New single-family home sales in July slipped 0.6 per cent to a seasonally adjusted annual rate of 652,000 units, which beat economists’ expectations of 630,000 but represented a slowdown from June’s revised 4.1 per cent gain.

The median sales price dropped to US$403,800, down 5.9 per cent year-over-year, suggesting builders are offering incentives like price cuts and mortgage rate buydowns to attract buyers in a high-interest environment. This data aligns with broader housing market trends, where affordability challenges persist despite a gradual easing in mortgage rates.

Meanwhile, the Dallas Fed’s Texas Manufacturing Outlook Survey for August revealed a dip in activity, with the general business activity index falling to -1.8 from 0.9 in July, indicating a mild contraction in the sector. Production slowed to 15.3 from 21.3, though it stayed above long-term averages, and new orders turned positive at 5.8 for the first time since January.

Employment held steady at 8.8, with one in five firms adding staff while 11 per cent reduced headcounts. Capacity utilisation and shipments provided some bright spots, with the latter surging to a three-year high of 14.2. These figures highlight regional disparities, as Texas grapples with energy sector fluctuations and supply chain issues, yet overall sentiment points to cautious optimism for future growth.

The Chicago Fed National Activity Index edged lower to -0.19 in July from -0.18 in June, marking the fourth consecutive month of below-trend economic activity. Only one of the four broad categories, production worsened, while three others continued to drag on the index, underscoring persistent headwinds in employment, sales, and personal consumption.

This subpar performance reinforces the narrative of a cooling economy, which bolsters the case for Fed rate cuts but also raises flags about potential recession risks if growth stalls further. Investors closely monitor these metrics, as they influence expectations for monetary policy adjustments that could ripple through asset classes.

Regional markets: US, Europe, and Asia

In equities, European markets mirrored the US downturn yesterday, with the STOXX Europe 50 falling 0.8 per cent to 5,444 and the broader STOXX 600 declining 0.5 per cent to 559. Banks bore the brunt of the losses, as investors reassessed rate-cut probabilities following Powell’s remarks.

Notable movers included BBVA down two per cent, BNP Paribas dropping 3.5 per cent, and UniCredit slipping 0.4 per cent after it converted its stake in Commerzbank to shares. On the positive side, JDE Peet’s soared 17.5 per cent amid a 15.7 billion euro takeover bid by Keurig Dr Pepper.

In comparison, Puma climbed 16 per cent on speculation of a potential acquisition by the Pinault family. These corporate deals inject some buoyancy, but the overall retreat reflects trimmed bets on aggressive Fed easing, even as European Central Bank officials hint at their own policy shifts.

Asian markets provided a counterpoint, with substantial gains in Hong Kong and mainland China yesterday. The Hang Seng Index surged 1.9 per cent to 25,830, its highest level since October 2021, fuelled by US rate-cut hopes and fresh stimulus from Beijing. The People’s Bank of China injected a net 465.7 billion yuan into the system, the largest daily addition since July, boosting liquidity and propelling tech stocks higher.

The Hang Seng Tech Index rose three per cent ahead of Nvidia’s earnings, with standout performers like KE Holdings up 5.6 per cent, Galaxy Entertainment gaining 5.3 per cent, Lenovo advancing 3.9 per cent, Meituan climbing three per cent, and Tencent rising 2.4 per cent. Consumer, property, and financial sectors also benefited from Shanghai’s decision to scrap property taxes for first-time homebuyers.

In China, the Shanghai Composite climbed 1.51 per cent to 3,884, a 10-year high, while the Shenzhen Component gained 2.26 per cent to 12,441. This rally stems from easing US-China trade tensions, policy support expectations, and positive spillover from Wall Street’s recent surge.

Investors now await the upcoming purchasing managers’ index and industrial profit data for further clues on China’s recovery trajectory. Top gainers included Cambricon up 11.4 per cent, China Northern Rare Earth advancing 9.9 per cent, and Hygon Information soaring 12.9 per cent.

Currencies, commodities, and fixed income

In foreign exchange markets, the US dollar staged a rebound, with the DXY index climbing to 98.20 amid broader currency fluctuations. The euro weakened against the greenback, reflecting divergent monetary policy outlooks between the Fed and the European Central Bank.

This strength in the dollar comes despite Trump’s Fed actions, which initially pressured the currency but later saw it pare losses as gold trimmed gains. Commodities extended their upward momentum, with oil prices touching US$65 per barrel after four straight days of gains. Brent crude eased slightly today after surging nearly two per cent yesterday on concerns over Russia-Ukraine supply disruptions, but the overall trend points to tightening global inventories and geopolitical risks supporting higher prices.

In fixed income, demand for short-term US Treasuries remained robust, with three- and six-month bills attracting strong bids at recent auctions. Yields on the 10-year note hovered around 4.26 per cent last week, down modestly as investors sought safety amid equity volatility.

Crypto sector shifts and Ethereum’s momentum

The cryptocurrency sector experienced significant turbulence, with digital asset investment products recording US$1.43 billion in outflows last week, the heaviest since March, according to CoinShares. Trading volumes in exchange-traded products jumped to US$38 billion, 50 per cent above the 2025 average, reflecting heightened activity amid shifting sentiment tied to US monetary policy signals.

Early-week outflows reached US$2 billion, but inflows of US$594 million materialised later following Powell’s dovish Jackson Hole speech. Bitcoin suffered the most, with US$1 billion in outflows, while Ethereum saw US$440 million exit, though the latter rebounded strongly mid-week. Month-to-date, Ethereum boasts US$2.5 billion in net inflows compared to Bitcoin’s US$1 billion outflows, adjusting year-to-date figures to 26 per cent of assets under management for Ethereum versus 11 per cent for Bitcoin.

This divergence suggests institutional investors are reallocating toward Ethereum, drawn by its role in layer-two networks and growing adoption through exchange-traded funds. Altcoins showed mixed results, with XRP attracting US$25 million, Solana US$12 million, and Cronos US$4.4 million, indicating selective confidence in ecosystems with robust user bases.

Tom Lee from Bitmine highlight Ethereum’s potential, predicting prices could reach US$10,000 by year-end 2025, with upside to US$12,000-US$15,000 in bullish scenarios. Lee draws parallels to Bitcoin’s 2017 surge, emphasising Ethereum’s utility in decentralised finance and corporate treasury strategies.

He points to key support levels around US$4,300, where buyers have historically intervened, and notes that holding above US$4,067 could stabilise the asset short-term. Breaking US$5,100 might trigger a rally toward US$5,450, levels that guide strategic trading rather than impulsive moves.

Beyond speculation, Ethereum positions itself as a foundational element in digital finance, attracting hedge funds, family offices, and corporations for long-term holdings rather than quick trades. In a volatile market, Lee’s counsel emphasises patience, adherence to plans, and vigilance on price thresholds to navigate dips as buying opportunities.

Outlook: Navigating opportunity and risk

From my perspective, today’s dynamics reveal an economy at a crossroads. Trump’s intervention in the Fed risks politicising an institution designed for independence, potentially leading to market instability if it erodes global confidence in US policy.

The resilient economic data, better-than-expected home sales, and positive new orders in manufacturing suggest the foundation remains solid, supporting Powell’s case for measured rate cuts. Asian gains underscore how interconnected global markets have become, with China’s stimulus providing a buffer against US uncertainties.

In crypto, the shift toward Ethereum signals maturing investor preferences, favoring utility over pure store-of-value narratives like Bitcoin’s “digital gold.” Overall, while short-term volatility looms with Nvidia’s report and PCE data, the broader outlook favours growth if policymakers avoid missteps.

Investors who focus on fundamentals over headlines stand to benefit, as these events test the durability of the post-pandemic recovery. This intricate web of factors demands careful navigation, but it also offers opportunities for those attuned to the nuances.

 

Source: https://e27.co/markets-at-a-crossroads-trumps-fed-clash-powells-pivot-and-global-ripple-effects-20250826/

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Powell’s pivot: How Jackson Hole reshaped markets and what comes nex

Anndy Lian
Powell’s pivot: How Jackson Hole reshaped markets and what comes nex

The financial landscape presents a compelling narrative of shifting tides and strategic recalibration as we navigate the final stretch of August. Recent developments emerging from Jackson Hole have fundamentally reshaped market expectations, creating a domino effect across asset classes that demands careful dissection.

Federal Reserve Chair Jerome Powell’s carefully calibrated remarks last Friday did far more than hint at potential policy shifts; they effectively slammed the door on prolonged restrictive monetary policy while opening a wide window for immediate easing.

This pivot represents a significant departure from the Fed’s previous stance and carries profound implications for investors globally. Market participants responded with characteristic speed, pushing major US indices to fresh record highs as the S&P 500 gained 1.52 per cent and the tech-heavy Nasdaq surged 1.88 per cent.

The Dow Jones Industrial Average joined this upward trajectory, climbing 1.89 per cent to touch uncharted territory, a development underscored by the US government’s strategic investment in a major semiconductor manufacturer, which provided additional tailwinds for industrial and technology sectors.

Inflation cools, optimism rises

This renewed optimism stems directly from Powell’s acknowledgement that inflation has sufficiently cooled to warrant policy adjustment. His speech deliberately avoided the cautious hedging that characterised previous communications, instead emphasising the Fed’s readiness to act decisively should inflation continue its descent toward the two per cent target.

The immediate market reaction proved remarkably consistent across fixed income and currency markets. Treasury yields tumbled across the curve with the benchmark 10-year note falling 7.4 basis points to 4.254 per cent, while the two-year note dropped 9.5 basis points to 3.696 per cent. This yield compression reflects investor conviction that the current restrictive policy stance is temporary.

Concurrently, the US Dollar Index retreated 0.92 per cent as capital flowed toward risk assets while gold prices rebounded one per cent on the dual catalysts of dollar weakness and heightened rate cut anticipation. These movements collectively signal a powerful shift in market psychology where the so-called Fed put, the implicit promise of central bank support during market stress, has been reactivated with unusual clarity.

Earnings season exposes a split reality

The earnings season provides a critical counterpoint to this macro optimism, revealing a more nuanced corporate reality beneath the surface. While the much-discussed Magnificent Seven technology giants delivered robust results exceeding lowered expectations, the broader market tells a different story. Analysis of S&P 500 earnings revisions shows a troubling pattern of downward adjustments for the remaining 493 companies.

This bifurcation creates a dangerous illusion where headline index performance masks underlying weakness in the economic mainstream. Investors now turn their attention to the final wave of quarterly reports from key technology players, including Nvidia, CrowdStrike, Snowflake, and Autodesk, alongside consumer stalwarts Lululemon and Dollar General.

These results will serve as crucial stress tests for both the technology sector’s growth trajectory and consumer resilience amid persistent inflationary pressures. The market eagerly awaits these reports not merely for individual company performance but for what they reveal about broader economic health and corporate pricing power.

Asia’s liquidity pressures and regional sentiment

Asian markets present their own complex dynamics, particularly Hong Kong’s interbank rate market, which has exhibited unusual volatility. The one-month Hong Kong Interbank Offered Rate Hibor has surged dramatically from 1.0 per cent on August 11 to 2.77 per cent as of August 22.

This sharp increase reflects significant tightening in short-term liquidity conditions, likely driven by seasonal funding demands and potential regulatory adjustments. Such movements warrant close monitoring as they can transmit stress through global financial channels.

Despite these regional headwinds, Asian equity markets opened higher during early trading sessions today, suggesting regional investors remain influenced by the broader risk-on sentiment emanating from Powell’s comments. Yet US equity index futures currently indicate a potential pullback at today’s open, introducing an element of caution that underscores the market’s fragile equilibrium.

Crypto’s reaction: from Bitcoin to Ethereum

The cryptocurrency sector experienced particularly dramatic fluctuations following Powell’s speech, creating a fascinating case study in market psychology and whale behaviour. Bitcoin initially surged above US$67 000 following the dovish Fed commentary as traders anticipated lower interest rates would boost risk asset valuations.

However, this rally proved short-lived with the digital asset subsequently declining approximately two per cent. Blockchain analytics firms identified significant movement by large holders shifting substantial Bitcoin positions into Ethereum, a trend that accelerated over the weekend.

Lookonchain data revealed one prominent wallet recently converted part of its 100,784 Bitcoin holdings to acquire 62,914 Ethereum tokens while simultaneously establishing a large derivatives position. This strategic rotation by major players suggests a fundamental reassessment of digital asset allocation priorities, where Ethereum increasingly appears as the preferred vehicle for institutional exposure to the crypto ecosystem.

Ethereum’s technical indicators present both opportunity and warning signs that demand careful interpretation. The cryptocurrency’s 30 day Market Value to Realised Value MVRV ratio has reached 15 per cent a threshold historically associated with profit taking and potential corrections.

Analytics firm Santiment explicitly warns that this constitutes a danger zone that could trigger selling pressure if Ethereum fails to break US$5,000 in the near term. Yet this short-term caution contrasts with the more favourable long-term MVRV ratio of 58.5 per cent, indicating substantial unrealised gains for patient holders.

Additional bullish signals include the declining supply of Ethereum held on exchanges, which suggests growing investor confidence and reduced immediate selling pressure. Combined with rising staking participation and expanding decentralised finance DeFi activity, these fundamentals position Ethereum as the structural cornerstone of the crypto economy rather than merely a speculative alternative.

Strategic imperatives for investors

For investors navigating this complex environment, several strategic imperatives emerge clearly.

First, the renewed viability of the Fed puts creates a tactical opportunity to accumulate quality assets during periods of volatility. Well-capitalised investors should view market pullbacks as entry points for fundamentally strong companies, particularly those demonstrating pricing power and resilient cash flows.

Second, the rotation from Bitcoin to Ethereum observed among major holders warrants serious consideration as it reflects a maturation of institutional crypto strategies. Dollar cost averaging into Ethereum provides a prudent approach to managing volatility while maintaining exposure to the asset’s long-term potential.

Third, investors should actively hedge existing cryptocurrency positions using options or futures contracts to protect against potential corrections, especially given the current MVRV warning signals.

Fourth, attention must remain fixed on Ethereum’s technological roadmap, where continued protocol upgrades like further implementation of EIP 4844 will drive sustainable value creation beyond mere speculation.

The road ahead: Volatility and value

The coming weeks will test the durability of this optimistic market posture as investors confront key data points, including the August CPI inflation report, consumer sentiment figures, and potential developments on trade policy. Historical precedent suggests September often brings increased market volatility; the current environment differs significantly from past cycles due to the Fed’s explicit commitment to policy normalisation.

While technical indicators show investor positioning has become somewhat extended, introducing near-term correction risks, the fundamental backdrop of potential rate cuts, combined with resilient corporate earnings, supports continued market advancement. The critical distinction this time involves the quality of the underlying assets driving the market.

Unlike previous cycles, where broad-based speculation fuelled gains, the current environment rewards careful stock selection focused on companies with demonstrable earnings power and sustainable competitive advantages.

This nuanced market landscape demands intellectual rigour and disciplined analysis from investors. The days of indiscriminate buying are over, replaced by an era requiring a granular understanding of both macroeconomic currents and individual company fundamentals.

Powell’s Jackson Hole speech has reset market expectations in profound ways, creating both opportunity and risk that will define investment outcomes for the remainder of 2024. Investors who combine patience with strategic precision while avoiding emotional reactions to short-term volatility will best position themselves to navigate the complex months ahead.

The market’s message is unambiguous: lower rates are coming, but their arrival does not guarantee universal gains. Success will belong to those who recognise that the Fed’s policy shift merely creates favourable conditions; the real work of identifying enduring value remains squarely the investor’s responsibility.

As we move toward September’s pivotal Federal Reserve meeting, the financial world watches with bated breath, knowing that the decisions made in the coming weeks will reverberate through markets for years to come.

 

Source: https://e27.co/powells-pivot-how-jackson-hole-reshaped-markets-and-what-comes-next-20250825/

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Keep Calm: Hong Kong’s Stablecoin Rules Explained

Anndy Lian
Keep Calm: Hong Kong’s Stablecoin Rules Explained

Let’s be clear about Hong Kong’s new stablecoin regime. After months of poring over statutes, speaking with regulators, and sifting the louder myths from the quieter facts, the signal is finally audible through the noise. Much of the commentary mistakes a drizzle for a monsoon. If you’ve been fretting about whether Tether suddenly needs a Hong Kong license, or whether buying USDT at a neighborhood shop has become illicit, exhale. What follows is a plain-English guide to what the rules actually do—no hedging, no techno-mystique, just the architecture as written. Think of it as a field note from someone who’s read the fine print so you don’t have to.

Here’s the frame: the Stablecoins Ordinance took effect on August 1. Serious teams moved ahead of that date because the Hong Kong Monetary Authority (HKMA) spent years laying the groundwork and finalized its guidance only recently. The core principle is straightforward. If you’re issuing new fiat-referenced stablecoins—think USDT or USDC-style instruments pegged to a sovereign currency—you need the HKMA’s blessing. No license, no minting in Hong Kong. Full stop.

The biggest misconception is scope. These rules are not a blanket on every imaginable interaction with a stablecoin. They are tightly aimed at issuance—the moment a token is created and enters circulation. When the law describes “regulated activity,” it means minting, not downstream trading. If baking bread is issuance, groceries and restaurants are secondary markets. The ordinance regulates the bakery, not the bodega. Swapping USDT at a Hong Kong OTC desk or trading it on a local exchange does not, by itself, breach the rulebook. A great many people have been panicking over the wrong thing.

Which brings us to Tether and Circle, the familiar elephants in the room. Do USDT and USDC need Hong Kong licenses? No. And it’s not a matter of corporate intransigence; it’s baked into the statute. The ordinance targets stablecoins issued in Hong Kong and pegged to the Hong Kong dollar. USDT and USDC are minted offshore and reference the U.S. dollar. Unless those firms decide to launch a brand-new HKD-pegged product from within Hong Kong—a prospect for which they’ve shown no appetite—they fall outside the framework as written. That’s not defiance; it’s design.

So what counts as “in Hong Kong”? Not where someone clicks “mint” on a laptop. The analysis looks at the whole enterprise: legal domicile, where operations are run, where reserves are held, and how and to whom the product is marketed. A Cayman-registered firm that runs its day-to-day from a central office, holds reserves with local institutions, and pushes its product to Hong Kong users is very likely within the HKMA’s remit. Blockchains may be borderless; businesses are not.

That naturally leads to the term “active promotion.” The Securities and Futures Commission (SFC) has long drawn a line here: marketing to Hong Kong residents without the right approvals is risky. But “active promotion” is more than merely having a website that loads in Kowloon. It looks like targeted campaigns at Hong Kong users, accepting local payment rails, publishing Chinese-language materials aimed at this market, running roadshows or community events here, and regularly pitching local platforms or investors. If your sales team courts Hong Kong exchanges and you host meetups in central, that’s active promotion. If your site is globally visible but you do nothing to cultivate Hong Kong users, you’re far less exposed. Intent matters; you can’t “accidentally” market to Hong Kong.

Another point lost in the rumor mill: the HKMA can’t conjure new obligations by fiat. Any expansion of regulated activities must be announced through the Hong Kong Gazette. This is not creeping, back-channel rulemaking. It’s a transparent process with public notice. So if someone warns you that “OTC desks might be randomly banned next month,” they’re trading in speculation, not law. The ordinance sets the perimeter; widening it requires due procedure.

On licensing, this is where theory meets practice. Unlike many financial licenses, you don’t just download an application packet and hit “submit.” You first sit down—formally—with the HKMA. That pre-application conversation is a filter. Supervisors will test your model: how you mint and redeem, how reserves are safeguarded, how audits work, and how you’d handle stress. Why the gatekeeping? Because Hong Kong doesn’t intend to franchise dozens of interchangeable issuers. The HKMA has said as much: the market cannot sustain a crowd of “USDC-but-with-a-new-name” projects. They want serious operators with real systems, not façades.

Teams that have gone through these preliminaries report a consistent hierarchy of concern: protect users first, everything else second. Reserve quality sits at the top—cash and cash equivalents that are liquid, high-grade, and cleanly custodied. Segregation is scrutinized: are customer assets bankruptcy-remote? Redemption mechanics are stress-tested: can users get out, at par, under pressure? One applicant spent multiple meetings walking through their audit pipeline—frequency, independence, scope. The message is blunt: if you cannot prove, not merely promise, that your token is fully and transparently backed, don’t queue up.

What about non-HKD stablecoins? The current rules are deliberately narrow: they explicitly target HKD-pegged products. A U.S. dollar-referenced coin issued from Hong Kong is not automatically captured unless it’s being actively marketed here as a payment instrument. That leaves a gray band that the HKMA will almost certainly address over time. For now, a euro-pegged token issued in Hong Kong but aimed solely at European users likely sits outside the scope. Start touting it to Hong Kong consumers as a way to pay for dim sum, and you’ve crossed into regulated territory.

This targeted approach distinguishes Hong Kong from the EU’s MiCA, which sweeps far more broadly. Hong Kong’s priority is the stability and credibility of the Hong Kong dollar. That’s strategically sensible. You do not want a proliferation of unofficial “digital HKD”s fragmenting the monetary system. It also means day-to-day usage of the big, dollar-referenced incumbents—USDT among them—remains largely unaffected. Markets haven’t convulsed because, for most users, little changes in the near term. The sharper impact will be on would-be issuers of local-currency tokens.

Timing matters. The ordinance cleared LegCo in May and took legal effect on August 1. With the law now in force, the pre-application and formal filing process is underway. Expect the first approvals, if any, to arrive no earlier than early 2026. The HKMA has signaled—as clearly as regulators ever do—that speed will not be the metric. That’s a feature, not a bug. Fast-tracked licensing has gone poorly elsewhere; Hong Kong is opting for methodical vetting.

For ordinary residents, the near-term impact is modest. Your ability to buy USDT or USDC is not suddenly curtailed. The meaningful change will come if local firms begin offering HKD-pegged tokens for everyday payments. Those products will require HKMA approval, and rightly so. Imagine taxi apps, supermarkets, or utility providers each pushing their own “digital HKD.” Without guardrails, you’d get fragmentation and confusion. The ordinance is an anti-chaos measure as much as a pro-innovation one.

A final plea against absolutism: this framework is neither an existential threat to crypto nor a magic wand for financial modernization. It is a pragmatic, bounded attempt to protect monetary stability while creating a lane for credible innovation. When the HKMA says the market can support only a handful of issuers, it isn’t stinginess; it’s prudence. You don’t need twenty digital Hong Kong dollars. You need one or two that the public can trust.

The deeper story is cultural. Hong Kong is pivoting from crypto spectacle to institutional plumbing. After the carnage of 2022, the city is choosing guardrails first and productization later. That may feel slow to the “move fast and break things” set, but ask anyone burned by opaque reserves and imploding pegs whether deliberation is a vice or a virtue. This is what learning looks like.

So, practical advice. First, map your activity honestly against the ordinance: are you issuing or merely facilitating use? Second, if issuance is anywhere in scope, start or continue the pre-application dialogue with the HKMA now; it’s already in effect. Third, treat Telegram lore and X threads as background noise and rely on the published guidance. The statute itself reads like legal spaghetti, but the HKMA’s plain-language materials are, refreshingly, actually plain.

The regime is not perfect—no regime is—but it is necessary. Stablecoins now function as critical rails for the broader digital-asset economy; leaving them ungoverned invites familiar disasters. By focusing on the HKD, Hong Kong is protecting its monetary core without strangling optionality elsewhere. The real test will come when the first applications are approved or rejected. That’s when we’ll see just how tight the screws really are. Until then, trade the anxiety for accuracy. When the subject is money, clarity isn’t a luxury—it’s the whole point. We’ve done enough guessing. It’s time to deal in facts.

 

Source: https://intpolicydigest.org/keep-calm-hong-kong-s-stablecoin-rules-explained/

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Bitcoin’s big moment: Can crypto shine as stocks stumble before Jackson Hole?

Anndy Lian
Bitcoin’s big moment: Can crypto shine as stocks stumble before Jackson Hole?

Investors face a muted global risk sentiment, with attention firmly fixed on the Jackson Hole symposium starting today and culminating in Federal Reserve Chair Jerome Powell’s speech tomorrow.

This annual gathering in Wyoming often sets the tone for monetary policy, and with recent data showing a cooling US labour market and persistent inflation concerns, markets anticipate signals on potential rate cuts. President Donald Trump added fuel to the fire by demanding Federal Reserve Governor Lisa Cook resign over mortgage fraud allegations, a move that underscores ongoing tensions between the administration and the central bank.

Such political pressure could amplify volatility, especially as the Fed navigates a delicate balance between supporting growth and taming prices. In my view, this environment highlights the fragility of investor confidence, where policy missteps could trigger sharper corrections, but also opens opportunities for resilient assets like cryptocurrencies to shine amid traditional market wobbles.

US stock markets extended their downward trajectory yesterday, reflecting waning enthusiasm for technology stocks, particularly in artificial intelligence sectors that drove much of the earlier rally. The S&P 500 dipped 0.24 per cent, the Nasdaq fell 0.67 per cent, and the Dow Jones eked out a modest 0.04 per cent gain.

Consumer discretionary stocks lagged significantly, dropping 1.2 per cent, as the administration broadened tariffs on steel and aluminum to include various consumer goods. This expansion aligns with Trump’s protectionist agenda, which he has touted as a way to bolster domestic manufacturing, but it risks escalating trade tensions and inflating costs for businesses and consumers alike.

These tariffs represent a double edged sword: they protect certain industries in the short term but could stifle broader economic momentum, especially if retaliatory measures from trading partners emerge. Recent data from Schwab’s market update shows major indexes sputtering after a featureless session, with tech arresting its slide but only inching up, underscoring limited buying interest amid elevated price-to-earnings ratios. Investors appear cautious, weighing the potential for a soft landing against the reality of slowing growth.

Bond markets offered a slight reprieve, with US Treasury yields inching lower. The 10-year yield slipped one basis point to 4.28 per cent, while the two-year yield also declined one basis point to 3.74 per cent. This modest dip reflects expectations of easing monetary policy, as traders bet on rate cuts to support the economy. The spread between the 10-year and two-year yields remains a focal point, with the Federal Reserve Bank of St. Louis data indicating positive values that could imply future growth, though negative spreads have historically signalled downturns.

In my opinion, these yield movements suggest markets price in a dovish Fed pivot at Jackson Hole, where Powell’s speech could confirm or dash hopes for a September rate cut. Previews from Investing.com highlight all eyes on Powell as the Fed navigates a policy tightrope amid stagflation fears. If history serves as a guide, insurance cuts like those in 2019 have boosted equities, but reactive cuts during recessions often coincide with weaker returns.

Currencies and commodities presented a mixed picture. The US Dollar Index closed largely unchanged at 98.22, providing little directional cue. Gold climbed 0.9 per cent to US$3,345 per ounce, benefiting from a softer dollar and safe-haven demand ahead of Jackson Hole. Brent crude advanced 1.6 per cent to US$67 per barrel, spurred by reports of a six-million-barrel drop in US crude inventories.

Oil prices gained slightly in Asian trading, with larger-than-expected declines in crude and fuel supporting the uptick, as noted by Reuters. I see gold’s resilience as a hedge against uncertainty, particularly with geopolitical risks like the ongoing Russia-Ukraine talks between Trump and Putin potentially easing sanctions on Russian oil. Commodities like these often thrive when traditional assets falter, and the current setup reinforces their role in diversified portfolios.

Asian markets mirrored the global unease, closing mixed yesterday with sharp losses in export-reliant economies. Japan’s Nikkei fell 1.51 per cent, and Taiwan’s index dropped 2.99 per cent, driven by a weak July export report from Japan. Early trading today showed most indices opening higher, but caution prevails.

Bloomberg reports updated stock indexes in Asia-Pacific, with China e-commerce stocks’ 230 per cent rally at risk amid concerns. These declines stem from tariff fears and slowing global demand, yet the rebound in early sessions indicates bargain hunting. US equity futures point to a lower open, aligning with the broader wait-and-see approach before Jackson Hole.

Shifting to cryptocurrencies, recent insights from Glassnode illuminate intriguing divisions among Bitcoin investors. The “First Buyers” group increased their stakes by 10 per cent, seizing opportunities during market dips, while “Conviction Buyers” also bolstered holdings by 10 per cent, adopting a cautious yet hopeful stance.

Profit-Takers offloaded 5.4 per cent more assets to capitalise on gains, and Loss Sellers emerged, shedding positions amid creeping losses. Glassnode’s on-chain analysis reveals short-term holders selling at a loss for the first time in seven months, a trend that rings alarm bells but could signal a necessary market reset.

X posts from Glassnode highlight limited realised losses, suggesting newer Bitcoin investors defend their cost basis near US$112,000.

From my standpoint, these shifts underscore Bitcoin’s maturing ecosystem, where long-term holders exhibit resilience, but short-term volatility tests newcomers. The STH-SOPR dipping below 1 mirrors past corrections, yet the average unrealised loss of 10.6 per cent among short-term holders indicates panic selling that might create buying opportunities for institutions.

Institutional interest remains a cornerstone of Bitcoin’s stability, with anticipated ETF inflows amplifying demand despite macroeconomic headwinds. US spot Bitcoin ETFs recorded US$3.37 billion in net inflows last week, pushing Bitcoin from US$116,000 to US$124,000 before a pullback.

Cumulative inflows stand at US$54.85 billion, with assets under management at US$150.9 billion, even as recent outflows hit US$643 million. Trump’s executive order allowing cryptocurrency in 401(k) plans opens the door for broader adoption, potentially injecting billions from retirement savings.

The Department of Labor rescinded 2022 guidance discouraging crypto in plans, democratising access to alternative assets. I believe this policy shift marks a pivotal moment, bridging traditional finance and crypto, though risks like volatility persist for retirement investors.

Bitcoin’s consolidation ripples through altcoins like Ethereum and Solana, with Bitcoin’s market dominance at approximately 58.89 per cent. CoinMarketCap charts show Bitcoin dominance at 59.62 per cent, a slight uptick reflecting its safe-haven status. Ethereum ETFs outpaced Bitcoin inflows for five straight days, with corporate treasuries accumulating ETH amid falling exchange supply. This interdependence means Bitcoin’s stability bolsters altcoins, but a breakout above key resistance could trigger broader rallies. Solana, in particular, benefits from its speed and low fees, positioning it for growth if institutional flows diversify.

Hong Kong’s foray into spot Bitcoin and Ether ETFs adds an international dimension, with recent debuts showing cautious investor appetite. MicroBit Capital Management launched ETFs tracking US dollar prices of Bitcoin and Ether, with the Bitcoin ETF (stock code 3430) rising 0.1 per cent to HK$7.82 (US$1.00) and the Ether ETF (3425) up 2.8 per cent to HK$8.03 (US$1.03).

Trading volumes reached about HK$29.68 million (US$3.80 million), per SoSoValue, contrasting with US euphoria but aligning with new stablecoin rules. Pando Finance teamed with OSL Exchange for its Bitcoin ETF launch on July 18, powered by CME CF benchmarks. Hong Kong’s stablecoin regime, effective August 1, requires licenses for issuers, with the first batch expected early next year. The HKMA’s public registry for licensed issuers enhances transparency. I regard this as a strategic move to position Hong Kong as a crypto hub, potentially attracting Asian capital and fostering innovation in fiat-backed stablecoins for trade and payments.

Overall, these developments paint a picture of interconnected markets navigating uncertainty. Traditional assets grapple with tariffs and policy risks, while cryptocurrencies demonstrate resilience through institutional backing and regulatory progress. Jackson Hole could catalyse shifts: a dovish Powell might ignite risk appetite, lifting stocks and crypto, whereas hawkish tones could strengthen the dollar and pressure yields. X discussions emphasise the symposium’s importance, with investors parsing every nuance.

In my experience, such events often precede turning points, and with Bitcoin’s on-chain metrics showing conviction among long-term holders despite short-term pain, I remain optimistic on its trajectory. The US allowing crypto in 401(k)s could unleash trillions in fresh capital, bridging generations of investors. Yet, caution prevails—volatility remains high, and diversified approaches win in the long run. As we await Powell’s words, markets hold their breath, but history favours those who adapt swiftly to emerging trends.

 

Source: https://e27.co/bitcoins-big-moment-can-crypto-shine-as-stocks-stumble-before-jackson-hole-20250821/

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