Hello everyone, and welcome back to our weekly editorial on crypto, macro, and the interlink between the two.

Trump’s personal crypto holdings build-up continues today, with WLF reportedly in talks with Binance to potentially acquire a stake in the exchange. While this could be part of a broader plan—using Binance as the facilitator for the U.S. Crypto Reserve—it unfortunately still looks like yet another attempt to profit off the political focus on crypto, a narrative created by Trump himself.

Crypto is struggling, much like equities and other risk assets, and these developments make it difficult for the market to stabilize as we are currently down more than 15% year-to-date in the broad crypto space. The big question is: What could reverse the current trajectory?

Chart 1: Year-Over-Year Change in Crypto Market Cap vs. S&P 500 Market Cap