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Galaxy CEO: Strategy stocks and preferred securities have become key indicators for measuring Bitcoin market risk

According to a report by crypto.news, Galaxy Digital CEO Mike Novogratz stated that the core reason for Bitcoin's recent decline is the "collapse of confidence triggered by Strategy." The issue lies not only in the price of Bitcoin itself but also in the growing concerns in the market regarding Strategy's financing model.As the largest publicly traded holder of Bitcoin globally, Strategy's stock and preferred securities have become key indicators for traders to measure Bitcoin market risk. Previously, the company's Bitcoin flywheel effect had come under pressure, with stock trading prices dipping below the value of its Bitcoin holdings, indicating that its long-reliant "premium stock issuance to repurchase Bitcoin" model is being challenged. Novogratz bluntly stated that STRC trading is weak, which should have been maintained around $100. Currently, Strategy's annual dividend obligation has risen to about $1.2 billion, and a decline in cash reserves has reduced the dividend coverage period to only about 14 months.Bitcoin is also facing pressure on a macro level. Novogratz summarized the current market logic as "a strong dollar means a weak Bitcoin," with hawkish central bank signals and a strengthening dollar suppressing demand for risk assets. From a technical perspective, the $59,000 to $60,000 range for Bitcoin has become a critical defense line, and if it breaks down, the downward space could open up to $45,000.Novogratz also admitted that the current situation is complex, with a 50-50 probability of a rebound or a deep correction. Outflows from ETF funds, weak liquidity, and cautious positioning in the options market further confirm the fragile market sentiment. Now, the health of Strategy's balance sheet, the performance of STRC prices, and cash positions have evolved from being company-level issues to becoming confidence signals for the overall Bitcoin market.

FTC approves Musk's acquisition of Mesh antitrust application, involving AI data center optical network layout

According to the latest disclosure by the Federal Trade Commission (FTC), Musk has obtained antitrust approval for the acquisition of the optical network startup Mesh Optical Technologies, which means the FTC has completed a rapid antitrust review and will not challenge the transaction on competitive grounds, clearing a major regulatory hurdle for the advancement of the deal. However, it has not yet been disclosed whether the transaction has been signed or completed.Mesh was founded by former SpaceX engineers, and its core product is optical transceivers for AI data centers, which can improve energy efficiency, reduce latency, and enhance reliability compared to traditional network hardware, in order to meet the demand for millions of optical connections brought about by the growth of AI computing clusters. The founding team was involved in the development of the laser communication system for SpaceX's Starlink satellite network and plans to deploy optical communication technology into space in the future, adapting to the inter-satellite laser communication needs of orbital data centers and AI satellite networks. The company completed over $50 million in financing led by Thrive Capital in February of this year.Acquiring Mesh is one of SpaceX's initiatives to strengthen the competitiveness of large-scale computing clusters. Currently, SpaceX has listed AI computing power as a core business segment, and its xAI has been operating a total of approximately 1GW computing power with the Colossus and Colossus II training clusters, making it the first company to deploy coherent gigawatt-level AI training clusters; among them, Colossus II will add over 400MW of computing power and introduce over 220,000 GB300 chips. It has signed computing power cooperation agreements with Anthropic, Google, Reflection AI, and others, directly competing with large-scale cloud providers such as Amazon Web Services, Microsoft Azure, and Google Cloud. This year, SpaceX has also reached a Terafab chip manufacturing plan with Tesla and Intel, extending its vertical integration capabilities in chip design and manufacturing.In the past week, SpaceX's stock price ended its upward trend, closing at $153.23 per share, down over 32% from its peak of $225.64 per share.
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