Bitcoin and major cryptocurrencies traded largely sideways on Monday as the dollar surged to an 18-month high, while expectations for eventual global debt monetization kept the longer-term liquidity outlook in focus.

CryptocurrencyTickerPrice
Bitcoin(CRYPTO: BTC)$85,585
Ethereum(CRYPTO: ETH)$2,708
Solana(CRYPTO: SOL)$119.98
XRP(CRYPTO: XRP)$1.50
Dogecoin(CRYPTO: DOGE)$0.09477
Shiba Inu(CRYPTO: SHIB)$0.055884

Notable Statistics:

  • Coinglass data shows 65,022 traders were liquidated in the past 24 hours for $240.54 million.       
  • SoSoValue data shows net inflows of $189.8 million from spot Bitcoin ETFs on Friday. Spot Ethereum ETFs saw net outflows of $37.4 million.
  • In the past 24 hours, top gainers include Lighter, Cardano and OKB.

Notable Developments:

Trader Notes:

Michael Howell’s core argument, voiced in an interview with Scott Melker, is that Bitcoin’s resilience near $86,000 despite the U.S. dollar hitting an 18-month high is notable.

However, investors need to distinguish between the short-term liquidity cycle and the longer-term monetary-debasement trend.

Historically, dollar strength tends to pressure Bitcoin and other risk assets, but BTC has remained above its 50-week moving average while gold has weakened below its own.

Howell sees Bitcoin as one of the most liquidity-sensitive assets in the world.

When global liquidity expands, BTC tends to respond more aggressively than gold, making it a potentially powerful monetary-inflation hedge.

Howell agrees risk assets may be near a cyclical peak. A liquidity squeeze or equity correction could drag Bitcoin and gold lower before the longer-term debasement thesis reasserts itself.

He sees a near-term correction risk but a structurally bullish Bitcoin setup.

Image: Shutterstock

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