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- A Crash For The Ages!
Welcome back to the Daily Coinsauce Newsletter! Let’s dive into today’s updates—there’s a lot to unpack!
💧Top headlines from the last 24 hours:
• US Stock Market Approaches Bear Market Territories.
• Over $1.35 billion liquidated from crypto markets in 24 hours.
📕Educational :
• Realized cap suggests we may be in a bear market.
Lets dive in.
📅 Today
The Bleed Does Not Stop!
The free fall continues.
Today's drop in US stock market futures puts S&P 500 futures down -22% and in bear market territory.
The US stock market has now erased an average of $400 billion PER TRADING DAY for 32-straight days.
We now have:
A straight-line lower move in 32 trading days
Crypto joining the selloff after a flat week
Gold selling off in a rush to the exit
$VIX above August 2024 highs
Retail and institutional capital exiting
Tons of bad news priced-in
While this is NOT a call for a long-term bottom, the need for a relief rally seems overdue.
Read more here.
Liquidations Liquidations Liquidations!
Over $1,350,000,000 was liquidated from the cryptocurrency market in the past 24 hours.
This came in as Bitcoin dipped below $75,000, erasing at-least $25 billion in gains in just 24 hours, driven by global market weakness and trade tensions.
According to our analysis, $70,000 to $74,000 is a crucial level for BTC to hold on the weekly timeframe —- If we close a week below this range, bear market looms ahead (although we would likely get a relief bounce to $90k+ again at some point after that, before going lower again).
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🌎 Other News
📕 Educational
Realized Cap vs Market Cap in Bitcoin
Realized Cap tracks the actual capital entering the Bitcoin network. It’s calculated by estimating the price at which each coin last moved on-chain—usually when it entered a wallet (a "buy"). Multiply that cost basis by the number of coins held, and you get Realized Cap.
Market Cap, on the other hand, is just price × supply. It reflects the current market price, which can swing wildly even with small trades. That’s because prices are set at the margin—where buyers and sellers meet. If sell pressure is low, even a small buy can push prices (and Market Cap) up sharply. This is how companies like MicroStrategy (MSTR) made their Bitcoin purchases appear more impactful than the actual money spent.
But when sell pressure is high, even big buyers can’t move the price much. That’s what we saw near Bitcoin’s all-time highs—lots of money coming in, but prices barely budged.
To gauge the health of the market, compare these two metrics:
If Realized Cap is rising but Market Cap is flat or falling, it means real money is entering, but price isn’t reacting. That’s bearish—too much sell pressure.
If Market Cap rises while Realized Cap stays flat, it means even small buys are moving the price up. That’s bullish—sell pressure is low.
Right now, we’re seeing the bearish setup: capital is entering, but prices aren’t moving. Historically, these phases take months to reverse. So while a short-term bounce is possible, a sustained rally seems unlikely—for now.
And while some say on-chain data misses parts of the picture, most big flows—like ETF activity or exchange movements—do show up on-chain.
Bottom line:
In bull markets, small capital moves the price a lot.
In bear markets, even large capital can’t, which seems to be happening now.
Read more here.
📊 Stat of the day
Global markets are in extreme fear
🤣 Meme of the day
That concludes our update for today!
We appreciate you joining us for the latest news. We aim to provide the best-in-class insights and highlights that keep you well-informed and ready.
Remember to join us on Telegram and Twitter for additional updates and giveaways. Until then, see you next time!
Disclaimer: None of the content shared in the newsletter is financial advice. Always do your own research and analysis before investing.
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