On Wednesday, US stock indices opened, with the Nasdaq index rising 1.4%, the S&P 500 index rising 0.7%, and the Dow Jones index rising 0.2%. Gold rose by 0.4%. Among them, the Nasdaq and gold are close to historical highs. Trump 2.0; historically, US stock indices tend to rise within the first 100 days of a term, with an average increase of 3.8% for the S&P 500 index during this period and an average increase of 4% for the Dow.
Back to the point:
Trump stated that SoftBank Group, OpenAI, and Oracle Corporation will invest $500 billion to build infrastructure in the US to support the development of artificial intelligence (AI). Media reports indicated that the initial investment for the 'Stargate' project is $100 billion, with plans to expand to $500 billion over the next four years. Musk commented on the Stargate plan released by OpenAI, saying, 'They actually don't have the money.' Fox News reported that Trump's first interview for Trump 2.0 will air Thursday morning, expected to discuss his recent executive orders and expectations for the first 100 days in office. Franklin Templeton CEO Jenny Johnson stated that Trump's new policies will create a clearer regulatory framework by integrating traditional finance and cryptocurrency. American metal mining company Critical Metal Corps announced plans to start allocating its excess reserves to BTC, a decision approved by its board, with available reserves of $500 million. Bloomberg ETF analyst Eric Balchunas commented on the 'Rex submission of DOGE ETF and TRUMP ETF,' stating that these ETFs are submitted under the 1940 Act, and thus (theoretically, if not rejected) may be listed in early April (75 days after submission). Defillama data shows that the total market value of stablecoins reached $212.989 billion, with a 3.02% increase in the past 7 days. CB CEO Brian Armstrong stated at the Davos Forum that Trump’s public support could impact industry development, and legislative changes in the US Congress could drive new investments in cryptocurrency; the recent high point of BTC is partly attributed to Trump's inauguration, and Trump is excited about establishing BTC reserves.
QCP stated that the new leadership of the US Securities and Exchange Commission (SEC) has established a dedicated task force aimed at creating a regulatory framework for crypto assets, led by Hester Peirce, which is expected to be a turning point in the digital asset space. Matrixport reported that in mid-January, BTC contract rates fell to single-digit levels, and recent contract rates have rebounded to double-digit levels, marking a revival of speculative activity; this upward trend is a positive signal, reflecting increased market confidence, and could potentially drive the next phase of a bull market. WisdomTree released its 2025 crypto trends report, stating that BTC is no longer a niche investment, with institutional adoption rapidly growing. Multi-asset investment portfolios that include BTC consistently outperform those without BTC, and due to increasing client demand, BTC adoption rates are expected to continue rising in 2025. The launch of the US spot BTC ETF has propelled the mainstreaming of cryptocurrency, potentially leading to approvals of altcoins including SOL and XRP (ETPs). On January 21, US spot BTC ETF inflows reached $802.51 million, with net inflows for four consecutive trading days; US spot ETH ETF inflows reached $74.4 million, with net inflows for five consecutive trading days. MicroStrategy again increased its holdings by 11 billion dollars, acquiring 11,000 BTC at an average price of $101,191. The company's shareholders approved two amendments to significantly increase the number of authorized common and preferred shares, raising the total authorized shares from 330 million to an astonishing 10.3 billion shares to support its plans to purchase more BTC. The company stated that approximately $5.42 billion worth of stock remains available for sale as part of its plan, aiming to raise a total of $42 billion for BTC acquisitions.
The ETH community has issued widespread criticism of the Ethereum Foundation (EF). Base leader Jesse Pollak feels that the current roadmap for ETH is too conservative and calls for advancing the originally planned updates from 2027 to early 2026. ETH core developer Eric Conner announced his withdrawal from the ETH community, stating that the lack of transparency and disconnection from the community at the EF has become increasingly strong. The foundation could have cut its budget by 80%, but the issue is that the current foundation does not report to stakeholders. Justin Sun stated that if he were leading the ETH Foundation and ETH, it would rise to $10,000. Aave founder Stani Kulechov proposed 12 improvement suggestions for the ETH Foundation, including budget cuts, layoffs, and sustainable growth. ETH founder Vitalik stated that the ETH Foundation should not 'act moderately' but should confidently represent the ETH space it can effectively represent, while consciously creating and cultivating an open space, and believes that the community should stop applying pressure. On Wednesday, US stock indices opened, with the Nasdaq index rising 1.4%, the S&P 500 index rising 0.7%, and the Dow Jones index rising 0.2%, while gold rose 0.4% and BTC fell 1.5%. The Nasdaq and gold are close to historical highs. The market is paying attention to Trump's ability to deliver on promises during the first 100 days of Trump 2.0; historically, US stock indices tend to rise during these 100 days, with the S&P 500 index averaging a 3.8% increase and the Dow Jones averaging a 4% increase, closing higher 58.3% of the time. During the first 100 days of Trump 1.0, the S&P 500 index rose 5.3%, while the Dow Jones rose 6.1%.
Goldman Sachs stated that from a probability-weighted perspective, the market is pricing too hawkishly; the Federal Reserve will not cut interest rates in January, as a rate cut is not necessary given the robust performance of the real economy. Considering the ongoing anti-inflation trend, there is an overall inclination towards further easing; however, even if the economy performs well, the Federal Reserve may decide to cut rates before June. After Trump's speech for Trump 2.0, the interest rate futures market increased the likelihood of the Federal Reserve cutting rates this year by 4 basis points, anticipating that the Federal Reserve will lower rates to 3.9% by December. As the Spring Festival approaches, the cryptocurrency market has historically performed well during the holiday period. BTC rose 13% during the 2020 Spring Festival, 16.3% during the 2021 Spring Festival, 11.8% during the 2022 Spring Festival, and 1.4% during the 2023 Spring Festival, while the increase during the 2024 Spring Festival is expected to be 9.6%. This altcoin season has been delayed, and ETH has also been stagnant for a long time. Influencers in the ETH community are voicing their hopes to change the current situation. The old man hopes for a swift change as it is already January 2025, which has historically been accompanied by a bull market in the first quarter.