Hello, Asia. Here’s what’s making news on the markets:
Welcome to Asia Morning Briefing, a daily summary of the top news stories during U.S. business hours and insight into market movements and analysis. For a detailed look at US markets, check out CoinDesk’s Crypto Daybook Americas.
Crypto’s largest-ever leverage wipeout has left traders cautious but long-term capital intact, analysts say in recent reports.
Despite the short-term market chaos caused by the largest crypto liquidation event ever, Glassnode and CryptoQuant say that beneath the surface, liquidity and structural demand have remained firm.
CryptoQuant wrote in a recent report that even though short-term momentum has weakened, large holders continue to accumulate and fiat liquidity continues to expand. USDT supply increased by nearly $15 billion in 60 days, the fastest pace since January, while U.S. spot Bitcoin ETF inflows soared to $3.5 billion.
Glassnode also cites this data point in its weekly market pulse, interpreting this trend as evidence that capital remains inside the system even after speculative risk is removed.
Where the two analyzes diverge most clearly is in tone and timing.
Glassnode describes the sell-off as a structural purge that eliminated speculative excesses and forced traders to return to defensive positioning. Its data shows that funding rates have halved, perpetual CVDs have gone negative, and options traders are paying higher premiums to protect against downsides.
The company sees this as a market in recovery mode, digesting losses and rebuilding confidence rather than preparing for an immediate rebound.
CryptoQuant, on the other hand, reads the same market from a more constructive angle.
It highlights $115,000, the price realized on-chain by traders, as a level to watch for renewed strength. According to the company, a sustained move above this threshold could mark the start of a new bullish phase supported by the expansion of stable liquidity and continued accumulation of whales.
The difference in outlook reflects a broader divergence in market sentiment: a cautious reset versus a potential inflection point.
The two companies paint an emerging portrait of a market moving from excess to equilibrium. Capital continues to flow through ETFs and stablecoins, but positioning is defensive and confidence needs time to rebuild.
Whether bitcoin’s next move is a rebound or a long-term consolidation will depend less on leverage and more on how quickly this structural demand transforms into new risk-taking.
Market movement
BTC: Bitcoin fell to around $112,700 after an early fall below $110,000. Profit-taking and new trade threats from Trump put pressure on risk assets, even as prices stabilized after Fed Chairman Jerome Powell signaled that the central bank was nearing the end of its tightening cycle.
ETFs: ETH is trading at $4,101, down 3.7%, as open interest fell to its lowest level since May and profit-taking accelerated after a rejection near $4,270, although CME traders and ETF inflows report that institutional support remains strong.
Gold: BlackRock’s Evy Hambro said gold could rise well beyond $4,200 as paper currencies are revalued against real assets, while Bank of America expects it to hit $5,000 and silver $65 by 2026, with both institutions citing budget deficits, investor demand and structural changes favoring real assets despite short-term consolidation risks.
Nikkei 225: Asia-Pacific markets opened higher on Wednesday, with Japan’s Nikkei 225 up 0.3%, although renewed trade tensions between the United States and China and threats of “retaliation” from President Trump kept volatility high.
Elsewhere in Crypto:
- Binance Claims It ‘Does Not Profit’ From Its Token Listing Process, Calls Allegations ‘False and Defamatory’ (The Block)
- Laura Loomer fuels speculation about Trump pardon SBF: Is there anything that can be done? (Decrypt)
- Celsius Minus Secures $300M From Tether, Say GXD Labs and VanEck (CoinDesk)
