Stormrake - Insights #InflationStormrake - Insights #Inflationhttps://www.stormrake.com/blogs/tag/inflationWed, 15 Apr 2026 09:14:36 +1000http://zoho.com/sites/<![CDATA[Powell Speaks, Bitcoin Drops—All Eyes on CPI Data]]>https://www.stormrake.com/blogs/post/powell-speaks-bitcoin-drops—all-eyes-on-cpi-dataJerome Powell’s speech brought no major surprises, and now all eyes turn to tomorrow’s inflation data.]]>
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The first key event of the week has occurred—Jerome Powell spoke this morning, reiterating that the Federal Reserve is in no rush to cut interest rates, citing ongoing uncertainty around tariffs and trade wars. Similarly to what I mentioned a few days ago, investors are becoming more immune to tariff-related headlines, and Powell echoed this sentiment today.

Donald Trump has already stated he would not introduce a CBDC if re-elected, and Powell was asked the same question. His response? A firm no. Powell agreed that as long as he remains chair, the Federal Reserve will not create a central bank digital currency.

Although Powell’s speech had little impact on traditional markets, Bitcoin and the crypto market reacted sharply, with BTC dropping 4% and altcoins falling even further shortly after his remarks.

Next, we shift focus to the upcoming CPI data release, the next major event of the week. Core CPI is forecasted to rise by 0.1% from last month, while headline CPI is expected to decline by 0.1%—leaving YoY inflation unchanged. With what could be a mixed bag of results dropping at 12:30 AM AEST, the recent risk-off sentiment in crypto makes more sense.

Despite this, Bitcoin continues to hold key support at $95.7K. If CPI prints higher than expected, BTC could drop further and retest $90K, dragging altcoins down with it. However, a weaker-than-expected CPI would suggest cooling inflation, which could trigger a relief rally in crypto markets.

Stormrake Spotlight: Ondo Finance (ONDO) ($1.34)

Ondo is continuing to hold the top of its accumulation range, building a stronger base around $1.34. Yesterday, ONDO rallied 8% to $1.44 before retracing along with the rest of the market.

While still consolidating, the blue CPR levels are acting as magnets, keeping price within the $1.36 - $1.44 range. The trend remains sideways, but once ONDO flips the 21 and 55 EMAs, we can expect a move back toward the recent lower high of $1.64.

BTC/USD Key Levels and Price Action:

Bitcoin was set to retest $100K, but Powell’s speech halted momentum, triggering a reversal that led BTC to retest $95.7K. This overnight pullback has shifted momentum back to the bears—if BTC fails to hold this key level, the next stop is likely $92.5K.

BTC Total ETF Flows for 11 Feb: $ - 27.4 million

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum followed Bitcoin’s drop overnight, failing to break the 200 EMA—as expected, it proved to be a strong resistance level. ETH has since fallen below all moving averages, briefly wicking down to $2,556. This is a must-hold level—a break below could lead to a retest of $2,500.

ETH Total ETF Flows for 11 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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Written by Alexandar Artis

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No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Wed, 12 Feb 2025 12:56:24 +1100<![CDATA[History doesn’t always repeat but it often rhymes]]>https://www.stormrake.com/blogs/post/History-doesn-t-always-repeat-but-it-often-rhymesAre you ready to capitalise on Bitcoin’s prolonged consolidation and position yourself for the next big move?]]>
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For the last two months, Bitcoin has been trading within a broad range of $90K–$110K. During this time, we’ve seen multiple all-time highs alongside some of the largest mass liquidation events in crypto history. Despite several major catalysts shaking the market, none have been strong enough to break either side of the range. With pullbacks and rallies nearing 20%, there has been no decisive breakout or breakdown.

From bullish catalysts such as pro-crypto executive orders, Gary Gensler stepping down as SEC Chair, the formation of a new pro-crypto task force within the SEC, and increasing discussions of digital asset reserves, to bearish catalysts like the US DOJ preparing to sell $6 billion worth of seized Bitcoin, DeepSeek AI threats, and ongoing tariff and trade wars, the market has remained in a tug-of-war.

This period of price action is quite reminiscent of Bitcoin’s movements last year. Cast your mind back to March 2024—we had just seen a new all-time high, the first time Bitcoin had set a new all time high before a halving event. Between March and November, Bitcoin traded within an even wider range of $50K–$74K for eight months. Throughout this time, various bullish and bearish catalysts pushed the price in both directions.

On the bearish side, Bitcoin saw major sell-offs from the German Government and US DOJ unloading seized BTC, as well as the yen carry trade unwind, which triggered a 30% correction. Meanwhile, bullish catalysts included the first "Trump Pump" following the initial assassination attempt, which sent Bitcoin nearly 30% higher back to the range highs. Bitcoin swung 30% within the range, dominance remained in the mid-50% region, and altcoins experienced even more volatile movements. Those who accumulated Bitcoin during this consolidation phase saw incredible returns, with buyers at the bottom of the range up over 100%, and those buying at the top still up nearly 50% when Bitcoin hit all-time highs just last month.

That consolidation period ended with a major breakout to the upside, driven by Trump’s election victory, which saw Bitcoin rally over 60% in the following six weeks.

Now, we are once again waiting for a major catalyst to give Bitcoin the push it needs to break out of the range and continue higher. The one on everyone’s mind is the possibility of the US Government buying Bitcoin with its reserves. Trump’s election victory saw a 60% rally—so imagine what this potential catalyst could do. Bitcoin $200K?

Stormrake Spotlight: Ondo Finance (ONDO) ($1.33)

Whilst Bitcoin remains in a prolonged consolidation phase, it should be at the top of your priority list and make up most of your new allocation. However, for those looking to take on more risk in altcoins, Ondo Finance (ONDO) stands out as one of the strongest selections.

Not only is it backed by some of the largest institutions in the space, but it has remained technically strong throughout the past two months of uncertainty in the broader market. Ondo has begun forming a solid base and an accumulation zone around its current price.

Accumulating within this zone could provide attractive returns if the market turns bullish again and the bull run resumes. If altseason does arrive, Ondo is positioned to be at the forefront.

BTC/USD Key Levels and Price Action:

Following yesterday’s bounce off the key support level of $95.7K, Bitcoin has regained bullish momentum and is now attempting to clear the final 200 EMA hurdle once again, after failing to do so overnight.

If Bitcoin successfully flips this level, the probability of reclaiming $100K increases. A failure, however, could see BTC revisit support levels once more.

BTC Total ETF Flows for 10 Feb: $ - 66.1 million

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum is following a similar trajectory to Bitcoin, having bounced off key support at $2,556 and regained bullish momentum. However, ETH faces two major hurdles before it can attempt to approach the previous lower high of $2,800 or the key level of $2,865.

Both 200-day moving averages (EMA & SMA) present resistance. While Bitcoin has already cleared the SMA and is now challenging the EMA, Ethereum has yet to reach this test.

A rejection at either moving average could send ETH back to support, whereas a successful break would likely see ETH move toward $2,800.

ETH Total ETF Flows for 10 Feb: $ - 22.5 million

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

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No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Tue, 11 Feb 2025 12:11:08 +1100<![CDATA[Tariffs Trigger Volatility—Bitcoin Bounces Back Stronger]]>https://www.stormrake.com/blogs/post/Tariffs-Trigger-Volatility—Bitcoin-Bounces-Back-StrongerTrump announces plans for reciprocal tariffs, reigniting trade tensions and shaking global markets.]]>
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Now, this is exactly what I meant when I said the political landscape is so uncertain. Just two days ago, I wrote that the crypto market would be able to trade freely, with no major catalysts set to affect it until later next week. Yet here we are—Donald Trump has announced plans to introduce reciprocal tariffs, starting with multiple countries next week. This comes less than a week after trade tensions between the US and Canada and Mexico were put on pause. The timing has caught most by surprise, including the markets.

Bitcoin briefly traded back above $100K, but as soon as the announcement came out, BTC lost almost 3% within the first 30 minutes. Now, just seven hours later, it’s down 4.5% from the overnight high. As expected, altcoins have continued to struggle, extending the trend we’ve seen over the last few months. Bitcoin dominance is back above 62%, highlighting its strength within the market and reaffirming its status as the ‘safe haven’ of the industry.

We’re in a period of great uncertainty in both political and economic landscapes, meaning unexpected events will continue to shake up the crypto markets—both positively and negatively. During times like these, the main focus should be accumulating Bitcoin. Think back to last year: we spent six months consolidating between $50K–$75K before Trump’s election victory acted as a catalyst to break out. Could we be in for a similar consolidation now? Bitcoin has already established a range between $90K–$110K… Only time will tell. In the meantime, the priority should be buying Bitcoin.

  • Wednesday February 12: Jerome Powell Speaks

    • Arguably the most influential figure in the markets aside from Donald Trump. His tone and comments will drive market sentiment.

  • Thursday February 13: CPI data

    • One of the most crucial inflation indicators. If CPI shows inflation is under control, risk-on assets could rally. However, a higher-than-expected reading would likely have a bearish impact on markets.

  • Tuesday February 18: Reserve Bank Australia Interest rate decision

    • Markets anticipate the RBA to cut interest rates, though this is unlikely to impact crypto markets significantly.

  • Tuesday February 18: FTX Repayments begin

    • FTX is set to begin repaying an estimated $6.5B–$7B, with funds reaching sub-$50K claim holders first.

Stormrake Spotlight: Ondo Finance (ONDO) ($1.34)

Ondo Finance returns to the Stormrake Spotlight as one of the best-backed crypto assets by traditional institutions. It is a leading Real-World Asset (RWA) project and has secured major partnerships, including BlackRock, the world’s largest asset manager. Ondo has also partnered with Ripple to launch tokenised assets on the XRP Ledger. Additionally, World Liberty Financial has begun accumulating ONDO.

Despite broader market weakness, Ondo has demonstrated remarkable strength, a highly bullish sign. Strength during periods of market uncertainty often indicates that a project will outperform when the market turns bullish.

Currently, ONDO is down 38% from its December all-time high (ATH), trading at $1.34, where clear support is forming. This level presents a compelling accumulation opportunity, especially given that some of the most influential players in the space are backing the asset.

BTC/USD Key Levels and Price Action:

Bitcoin has recovered strongly since the tariff announcement and is now up 2.5% from the low. As expected, BTC bounced off the bottom of its range. If Bitcoin can sustain this momentum and break above key moving averages, it will flip market sentiment back to the bulls and could trigger a retest of $100K.

BTC Total ETF Flows for 9 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum is mirroring Bitcoin’s price action, bouncing off the bottom of its range. ETH is on the verge of breaking above the 21 and 55 EMAs, a move that could ignite a rally towards the top of the range and shift momentum back to the bulls.

ETH Total ETF Flows for 9 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

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No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Mon, 10 Feb 2025 12:59:49 +1100<![CDATA[Bitcoin Hit by Fresh Trade War Uncertainty]]>https://www.stormrake.com/blogs/post/Bitcoin-Hit-by-Fresh-Trade-War-Uncertainty
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Now, this is exactly what I meant when I said the political landscape is so uncertain. Just two days ago, I wrote that the crypto market would be able to trade freely, with no major catalysts set to affect it until later next week. Yet here we are—Donald Trump has announced plans to introduce reciprocal tariffs, starting with multiple countries next week. This comes less than a week after trade tensions between the US and Canada and Mexico were put on pause. The timing has caught most by surprise, including the markets.

Bitcoin briefly traded back above $100K, but as soon as the announcement came out, BTC lost almost 3% within the first 30 minutes. Now, just seven hours later, it’s down 4.5% from the overnight high. As expected, altcoins have continued to struggle, extending the trend we’ve seen over the last few months. Bitcoin dominance is back above 62%, highlighting its strength within the market and reaffirming its status as the ‘safe haven’ of the industry.

We’re in a period of great uncertainty in both political and economic landscapes, meaning unexpected events will continue to shake up the crypto markets—both positively and negatively. During times like these, the main focus should be accumulating Bitcoin. Think back to last year: we spent six months consolidating between $50K–$75K before Trump’s election victory acted as a catalyst to break out. Could we be in for a similar consolidation now? Bitcoin has already established a range between $90K–$110K… Only time will tell. In the meantime, the priority should be buying Bitcoin.

Stormrake Spotlight: Ethereum (ETH) ($2,575)

Ethereum remains undervalued within the crypto space, but the uncertainty and lack of confidence in altcoins continue to hold it back. Until this broader sentiment shifts, ETH is likely to remain under pressure. The next key support level is $2,484 (CPR level)…

BTC/USD Key Levels and Price Action:

Bitcoin was flat-out rejected at the critical $100K level overnight and has since fallen through all major moving averages, now sitting on key support at $95.7K. Momentum and structure remain in favour of the bears—if this level fails, BTC is likely to drop further to $92.5K.

BTC Total ETF Flows for 7 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum mirrors Bitcoin’s price action, currently trading at a key support level. Momentum and structure remain in control of the bears, and we can expect the red CPR level at $2,484 to act as additional support.

ETH Total ETF Flows for 7 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

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No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Mon, 10 Feb 2025 12:35:41 +1100<![CDATA[Why Bitcoin Remains the Ultimate Investment Choice]]>https://www.stormrake.com/blogs/post/Why-Bitcoin-Remains-the-Ultimate-Investment-ChoiceWhile many altcoins remain far from their 2021 all-time highs, Bitcoin has continued setting new records this bull cycle.]]>
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This bull cycle has been markedly different from previous ones. Historically, altcoins have tended to follow Bitcoin’s lead, rallying alongside it. However, this time around, Bitcoin appears to be decoupling from the rest of the cryptocurrency market.

Bitcoin has set multiple all-time highs (ATHs) during this run, yet the majority of altcoins remain significantly behind—many still 70% below their ATHs from the 2021 bull market.

The image below highlights the ongoing struggle of altcoins across major sectors within the cryptocurrency space (data as of February 5, sourced from @MilesDeutscheron X).
Notably, only two coins on this list—Mantra (OM) and, of course, Bitcoin—are within 10% of their ATHs. Our primary focus remains on Bitcoin. We have consistently advocated for holding Bitcoin as the majority allocation in a portfolio, and for good reason.

While altcoins can and do outperform Bitcoin at times, these periods of outperformance tend to be short-lived. Over the past three months, we’ve seen memecoins dominate, with BONK, PEPE, MOG, PENGU, SPX6900, and several others hitting new ATHs. However, many of them have since dropped over 80% from those highs. Meanwhile, Bitcoin—despite experiencing multiple ATHs in the same period—has only retraced by around 10%.

Major Altcoin Struggles

Let’s examine two of the biggest altcoins: Ethereum (ETH) and Solana (SOL), ranked second and fifth by market cap, respectively.

Solana set several new ATHs this cycle but has already retraced over 30% from its peak, which was reached less than three weeks ago. Ethereum, on the other hand, has struggled even more—not only lagging behind Bitcoin, but also failing to keep pace with Solana and Ripple. ETH remains 44% below its 2021 ATH of $4.9k.

A 30–40% drawdown might not seem catastrophic at first glance, but let’s consider the data in the table below:
This table illustrates the percentage gain required to recover from a given drawdown. For example, Solana now requires a 43% increase just to return to its ATH, while Ethereum needs 67%. As the drawdown deepens, the recovery percentage required grows exponentially.

Why Does This Matter?

  1. Bitcoin is the only consistent long-term performer. Unlike altcoins, which experience short-lived pumps and deep drawdowns, Bitcoin has repeatedly proven itself as a resilient and appreciating asset over time.

  2. Institutional adoption is reshaping the market. With ETFs and major financial institutions allocating capital, Bitcoin is attracting unprecedented inflows—while altcoins remain largely speculative and underfunded in comparison.

  3. Deep drawdowns require exponential recoveries. The lower an asset falls, the harder it is to reclaim previous highs. A 70% drop means a required 233% gain, while a 90% crash demands a near 900% rally—an unlikely feat for most projects.

  4. Bitcoin should be the foundation of any serious portfolio. While altcoins can offer short-term trading opportunities—where profits are best rotated into Bitcoin—BTC remains the most reliable asset for long-term wealth preservation and growth.

Stormrake Spotlight: Ethereum (ETH) ($2,688)

Ethereum is currently trading around the key support level. If ETH can establish a base here—where major players appear to be accumulating—it could help restore confidence among retail investors.

BTC/USD Key Levels and Price Action:

In the past 24 hours, Bitcoin attempted to break above its range, reaching a high of $99k, but was rejected at a critical CPR pivot level. This led to a pullback, with BTC retesting the lower range at $95.7k before bouncing. Should this level fail to hold, a further decline toward $92.5k is possible.

BTC Total ETF Flows for 6 Feb: $ - 37.0 million

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum recently retested the key level of $2,865 but failed to break above it for the second time in recent days. Since then, ETH has dropped below both the 21 EMA and 55 EMA, flipping momentum in favour of the bears. If bearish pressure continues, we could see ETH test the next major support at $2,556.

ETH Total ETF Flows for 6 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

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No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Fri, 07 Feb 2025 12:50:28 +1100<![CDATA[Ethereum Is Falling Behind—But Smart Money Keeps Accumulating]]>https://www.stormrake.com/blogs/post/Ethereum-Is-Falling-Behind—But-Smart-Money-Keeps-Accumulating
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Bitcoin has endured another bearish 24 hours, continuing its downward trend. With no major macroeconomic catalysts expected until the release of US CPI data on the 13th, the coming week should allow the crypto market to trade freely without external economic influences. Of course, a week is a long time in markets—especially in crypto—and with the current political landscape, one can never get too comfortable.

Ethereum’s Underperformance: A Cycle of Disappointment

This has been a cycle of underperformance for Ethereum. While its main competitor, Solana, has posted multiple all-time highs, Ethereum has failed to break new ground. In fact, since Bitcoin first hit $100K in December, Ethereum has only moved backwards. At the time, ETH was trading at $4K—I’ll let the following image tell the rest of the story:
Ethereum’s underperformance has come as a shock to many. Back in 2021, when market euphoria was rampant and Bitcoin was predicted to hit $100K, many expected Ethereum to reach $10K. Four years later, Bitcoin has surpassed $100K multiple times, yet Ethereum has failed to impress. This cycle’s high of $4.1K is still 15% below its 2021 all-time high of $4.9K. Currently, ETH sits 43% lower than its peak—hardly the performance many had anticipated.

Institutions Accumulate Ethereum at Low Prices

Despite retail investor disappointment and negative sentiment, major institutions have been aggressively accumulating Ethereum at these lower prices. We’ve previously covered the mass buying by World Liberty Financial (the crypto project directly linked to Donald Trump). Additionally, Fidelity purchased another $50 million worth of Ethereum two days ago, and BlackRock—arguably the most influential player in the space—bought 100,535 ETH worth $284.92 million, as reported by @WhaleInsider on X yesterday.

When institutions accumulate at key levels, it makes sense to take notice. Following the smart money rarely ends poorly.

Stormrake Spotlight: Ethereum (ETH) ($2,766)

Ethereum remains extremely undervalued at current levels and is trading at the exact range where major players are accumulating. The identified major support level appears to be holding, reinforcing the case for accumulation.

BTC/USD Key Levels and Price Action:

Bitcoin remains within a consolidation range between $95.7K and $100K. Despite trading in this broader range, BTC’s overall trend remains bearish, struggling to flip bullish as the 55 EMA continues to reject attempts at a breakout to the upside.

BTC Total ETF Flows for 5 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum is currently attempting to flip bullish and push toward the key resistance level of $2,865. If ETH can break above the 55 EMA, which has consistently acted as a resistance throughout this bearish trend, a bullish breakout could follow. However, failure to do so may see ETH retrace toward the lower end of the range at $2,556.

ETH Total ETF Flows for 5 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
To receive the Morning Note in your inbox, subscribe here: https://stormrake.substack.com/

*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

Create a brokerage account today

Get Started

No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Thu, 06 Feb 2025 13:01:39 +1100<![CDATA[Markets Wanted More—Sacks’ Speech Sends Bitcoin Lower]]>https://www.stormrake.com/blogs/post/Markets-Wanted-More—Sacks-Speech-Sends-Bitcoin-Lower
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David Sacks' speech this morning was far from bearish—yet it wasn't the announcement investors were hoping for. It seems that unless the market hears the exact words "The Bitcoin Reserve is here," it reacts negatively.

The Bitcoin Czar declared that the Golden Age for digital assets is upon us. Sacks revealed that his primary focus is evaluating the feasibility of a Bitcoin Reserve, while also reinforcing the crucial role of stablecoins in maintaining US dollar dominance on the global stage.

In the lead-up to the speech, crypto markets were rallying, with Bitcoin briefly touching $101K. However, as soon as Sacks began speaking, the market took a dive. Since 6:30 AM, Bitcoin is down over 3%, with most altcoins seeing double-digit losses—turning the charts into a sea of red.

As always, when Bitcoin sneezes, altcoins collapse. This highlights Bitcoin’s strength relative to the rest of the market. Bitcoin dominance currently sits at 61.41% and remains bullish, reinforcing the importance of prioritising Bitcoin exposure in uncertain times.

Stormrake Spotlight: Ethereum (ETH) ($2,865)

Despite being the second-largest cryptocurrency, Ethereum is still an altcoin—and as mentioned above, altcoins fall when Bitcoin stumbles. However, ETH’s major support at $2,770 has held up well, despite repeated tests over the past few days.

During last night's bearish price action, reports surfaced that Fidelity had just purchased another $49.75 million of Ethereum. This marks the second consecutive day that a major player has accumulated ETH. If institutions continue buying at these levels, it signals that they see ETH as undervalued—a strong indicator that retail investors may want to follow suit.

BTC/USD Key Levels and Price Action:

Bitcoin failed to hold above the key $100K level and has since bounced off support at $95.7K. Currently, momentum remains neutral, with moving averages trending sideways. Structurally, Bitcoin has confirmed a higher low but is still following a lower high, suggesting a consolidation phase between these two key levels.

BTC Total ETF Flows for 4 Feb: $ + 35.6 million

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum remains range-bound between $2,556 (support) and $2,865 (resistance). The structure remains bearish, with multiple lower highs forming. A move towards the lower end of the range is likely unless ETH can break above the 21 & 55 EMAs, which would open the door for a challenge of range resistance.

ETH Total ETF Flows for 4 Feb: $ + 4.1 million

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

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No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Thu, 06 Feb 2025 12:38:20 +1100<![CDATA[From Panic to Profit: Crypto Rebounds as Trade Tensions Ease]]>https://www.stormrake.com/blogs/post/from-panic-to-profit-crypto-rebounds-as-trade-tensions-easeThe US and Canada have agreed to pause tariffs for 30 days, sparking a sharp crypto market rebound.]]>
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The past 24 hours have been a rollercoaster for cryptocurrency. Before many went to sleep, Bitcoin was trading in the low $90K region, and altcoins were down another 15%. But this morning, we've woken up to a sea of green.

The trade wars appeared to be in full swing, with markets reacting extremely poorly. A reported $2.3 billion in leveraged positions was liquidated from the crypto markets, marking one of the largest liquidation events in history. However, Bybit CEO Ben Zhou has challenged this figure, suggesting the real number sits between $8–$10 billion. Zhou backed up his claim by revealing Bybit’s actual liquidations over the last 24 hours, which stood at $2.1 billion—a stark contrast to Coinglass’ reported $333 million for Bybit alone.

The trade wars, however, seem to have taken a breather. Both Canada and the US have agreed to pause their recently announced tariffs for at least 30 days. In response, markets have rebounded, turning yesterday’s red into today’s green.

Market Recovery: A Reward for the Brave

Waking up to this market bounce was a pleasant surprise. As mentioned yesterday, those who took advantage of the extreme discounts have already started reaping the rewards. Bitcoin is back above $100K, Solana has reclaimed $215, and Sui and Ondo are both up 12% in the last 24 hours.

This bounce has stabilised the market and drastically shifted sentiment. Just yesterday, the Fear & Greed Index showed 25 (Extreme Fear). Now, it has jumped to 44, marking a significant recovery in investor confidence.

Eyes on David Sacks: The ‘Bitcoin Czar’ Speaks Tomorrow

Tomorrow, David Sacks, the ‘Bitcoin Czar’ and newly appointed head of the Digital Asset Stockpile, is set to hold a press conference. This event is expected to bring major updates on digital asset policies and regulation. Make sure to tune in at 6:30 AM AEST.

Stormrake Spotlight: Ethereum (ETH) ($2,865)

Ethereum is currently battling with the daily open to close green after an extremely volatile 24 hours. After dipping to a low of $2,079, ETH has staged a recovery, reclaiming the major support level discussed yesterday.

Yes, ETH is underperforming the rest of the market, but it also remains incredibly undervalued. The first time Bitcoin reached $100K, ETH was $4,000. Now, Bitcoin is back at $100K, but ETH is still 30% lower.

I’m not the only one seeing the opportunity here. Eric Trump (son of US President Donald Trump) just tweeted:

"In my opinion, it’s a great time to add $ETH. You can thank me later."

Pair that with World Liberty Financial—the Trump-linked crypto project—acquiring another 86,000 ETH ($220M USD worth) yesterday, and it’s hard to ignore the bullish signals for Ethereum.

BTC/USD Key Levels and Price Action:

Bitcoin bounced perfectly off the new support CPR at $91.2K and found additional support at $92.5K before reversing 11% to reclaim $100K. BTC is now flipping momentum back to the bulls. If Bitcoin can hold above $100K and trade above its moving averages, we could see another attempt to flip $104K into support.

BTC Total ETF Flows for 3 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

Ethereum has seen a major reversal from its $2,079 low, now up 30% from that level. It is currently retesting a key resistance level at $2,865, alongside the CPR level. If ETH can flip these into support, it could be the first sign of sustained bullish momentum.

ETH Total ETF Flows for 3 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
To receive the Morning Note in your inbox, subscribe here: https://stormrake.substack.com/

*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

Create a brokerage account today

Get Started

No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Tue, 04 Feb 2025 15:32:18 +1100<![CDATA[The Trade Wars have Begun]]>https://www.stormrake.com/blogs/post/The-Trade-Wars-have-BegunCanada has retaliated against America’s tariffs, sending markets into a sharp downturn.]]>
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The trade wars have gotten off to a rough start for all markets. Following the official imposition of US tariffs on Canada, Mexico, and China, Canadian Prime Minister Justin Trudeau has responded with a retaliatory 25% tariff on $155 billion worth of US goods. In turn, President Trump has threatened to escalate tariffs on Canada in response to Trudeau’s move. We now eagerly await President Xi’s reaction, which could have significant market implications.

The threat of tariffs was no surprise—after all, it was a key selling point of Trump’s campaign to ‘save’ the US economy. However, now that the reality is here, markets have reacted negatively.

Traditional Markets Struggle to Recover

Just a week after the DeepSeek AI-driven market crash, markets have barely had a chance to breathe. Traditional indices like the Nasdaq and S&P 500 continue to suffer, with Nasdaq futures opening 600 points down and S&P 500 futures dropping 120 points this morning. Meanwhile, the VIX—an index that measures market volatility—is set to open over 10% higher than its previous close. Both indices are now trading lower than they were in the immediate aftermath of last week’s crash.

Crypto Market Hit Hard as Bitcoin Falls Below $100K

This turmoil has bled into the crypto market as well. Bitcoin has now slipped back under $100K, currently trading at $96.7K—lower than it was during last week’s crash. Ethereum has dropped below $3,000, and Solana has once again fallen under $200.

Since Bitcoin’s high of $106K on Friday, it has retraced 8%, while Ethereum is down 17% and Solana 19%. All the hard work Bitcoin did to reclaim $100K and set up for a retest of all-time highs has been wiped out in just one weekend. This volatility serves as a reminder: having a clear long-term investment strategy is essential. Short-term swings can shake out weak hands, but those with long-term conviction will survive and ultimately prosper.

What Does This Trade War Mean for Crypto?

In the short term, expect more volatility. Altcoins have been decimated, and this is the period where conviction matters most. Investors with a strong belief in their chosen projects will see these 20%+ drops as opportunities to dollar-cost average. Even the strongest altcoins, like Sui and Ondo, have plunged 25% in recent days, yet those who remain confident in these projects are likely to take advantage of these discounts and reap the rewards when the market turns around.

Long term, nothing changes. Despite the current correlation with traditional markets, Bitcoin and crypto remain in a bull run, and a crypto-friendly US administration will continue to be a tailwind. These trade wars may create short-term fear, but they do not alter the bigger picture.

There are still major bullish catalysts ahead this year:

  • Interest rate cuts
  • The US government’s digital asset stockpile, which will see the US government begin accumulating Bitcoin (and potentially other cryptocurrencies) in its reserves

Last week, we saw the head of the Czech National Bank propose a plan to buy Bitcoin with their reserves. The play here is obvious: take advantage of the market-wide discounts, pick up Bitcoin, and then sit back and relax. Ignore the short-term noise—conviction is how you win in Bitcoin.

Stormrake Spotlight: Ethereum (ETH) ($2,842)

Since the last morning note, Ethereum has fallen 15%, breaking through the accumulation zone after setting up for a breakout. ETH is now testing a major support level that has historically acted as a key area for reversals.

This level should hold as strong support, making it a potential point for Ethereum to stabilise and reverse. However, if macroeconomic conditions remain bearish and continue to weigh on markets, ETH could fall further.

BTC/USD Key Levels and Price Action:

Bitcoin is now testing key support at $95.7K, as the trade war intensifies. The selling pressure has been relentless, with BTC slicing through previous support levels with ease. If $95.7K fails to hold, Bitcoin is likely to retest a major prior support level at $92.5K.

BTC Total ETF Flows for 2 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

On the short-term time frame, Ethereum continues to break below key levels with little support. ETH has now fallen below $2,865, where buyers previously stepped in. However, buying momentum seems to have dried up as selling pressure persists.

If ETH does not reverse soon, the next major downside target is $2,555.

ETH Total ETF Flows for 2 Feb: $ (data not available)

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
To receive the Morning Note in your inbox, subscribe here: https://stormrake.substack.com/

*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

Create a brokerage account today

Get Started

No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Tue, 04 Feb 2025 15:24:20 +1100<![CDATA[Crypto Starts February on the Back Foot as Markets React to Tariffs]]>https://www.stormrake.com/blogs/post/Crypto-Starts-February-on-the-Back-Foot-as-Markets-React-to-Tariffs
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Despite January closing on a positive note and proving to be a strong month for Bitcoin, the past 24 hours have delivered poor price action following what initially appeared to be a promising start to February. In the last six hours alone, Bitcoin has dropped over 4%, falling back to just above $102K.

Some are attributing this sudden correction to the White House’s recent confirmation that 25% tariffs on Canada and Mexico, along with 10% tariffs on China, will go into effect on February 1. Many economic analysts remain highly sceptical about the tariffs, arguing that they will provide no benefit and actually hinder everyday Americans. Since the confirmation was made in the early hours of the morning, all major markets have declined. Both the S&P 500 and Nasdaq have fallen, triggering a domino effect across the crypto markets, with Bitcoin and most altcoins following suit. Even traditional ‘safe havens’ like gold have taken a hit, while the US dollar has strengthened, indicating broader risk-off sentiment.

Despite the broader bearish trend in crypto, two major projects have stood out—not only outperforming Bitcoin and most other cryptocurrencies but also managing to close the day with solid gains. These are Ethereum (ETH) and Sonic (S). Over the last two days, Ethereum has outperformed Bitcoin by nearly 8%, providing the first glimmer of hope for ETH bulls. Meanwhile, despite weak price action following the Fantom-to-Sonic migration, Sonic has begun to show some positive signs, gaining 30% in just two days.

That being said, Bitcoin remains the key driver of the market, still locked in the $100K–$109.9K range that it has occupied for the past couple of weeks. Will February finally break this prolonged consolidation, or is it time for Ethereum to take the lead?

Stormrake Spotlight: Ethereum (ETH) ($3,301)

Ethereum has shown exceptional strength in recent days, rewarding those who accumulated ETH within the highlighted support zone. Currently trading at $3,300, ETH is up 10% from the bottom of the range, after reaching a high of $3,437 yesterday. This marked a higher high based on the wick high.

However, ETH’s momentum has slightly stalled following the broader market reaction to the tariff news. That said, the bullish structure remains intact. If ETH can clear the 55 EMA, this should reaffirm the uptrend and lead to further gains.

BTC/USD Key Levels and Price Action:

Bitcoin looked poised to establish a solid base above $104K and attempt a move toward its all-time highs. However, this did not play out, as BTC sharply fell below this key level, flipping all moving averages and shifting momentum back in favour of the bears.

Despite this setback, the overall bullish structure remains intact—for now. As long as this low holds, another attempt to reclaim $104K remains possible. However, if it fails, BTC could quickly retest $100K.

BTC Total ETF Flows for 31 Jan: $ - 51.0 million

(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)

ETH/USD Key Levels and Price Action:

As noted earlier, Ethereum has been outperforming Bitcoin in the past couple of days, and this strength is evident in the price action. ETH has maintained higher highs and higher lows, keeping its bullish momentum intact despite the current pullback.

The key level to watch is $3,370—if the 55 EMA holds as support, ETH is likely to retest this level and continue its uptrend.

ETH Total ETF Flows for 31 Jan: $ - 31.9 million

(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
To receive the Morning Note in your inbox, subscribe here: https://stormrake.substack.com/

*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

Create a brokerage account today

Get Started

No Advice Warning 

The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
 

Disclaimer 

All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.

Copyright © 2024 Stormrake Pty Ltd, All rights reserved
]]>Sat, 01 Feb 2025 12:34:43 +1100