Bitcoin Magazine

BitGo Enables Lightning Network Payments Directly from Custody

BitGo, a digital asset infrastructure company, announced it now offers Bitcoin Lightning Network access directly from its qualified custody platform. The move makes it one of the first companies to provide Lightning payments for institutional custody.

The service aims to give clients faster and cheaper Bitcoin transactions while keeping institutional security standards intact. It builds on BitGo’s earlier self-custody Lightning solution.

The new offering is powered through a partnership with Voltage, a Lightning Network infrastructure provider. Clients can now use Lightning without running their own nodes or managing keys. BitGo and Voltage handle infrastructure, channels, liquidity, and key management.

Through simple APIs, clients can create wallets, send payments, generate invoices, and track transactions. The platform integrates fully with BitGo’s existing wallet infrastructure, policies, and permissions.

Enterprises adopting Lightning usually face challenges like maintaining nodes, channels, liquidity, and keys. BitGo removes these hurdles. Institutions can now access Lightning with minimal setup and zero operational overhead.

BitGo, along with Ripple, Circle, Fidelity Digital Assets, and Paxos, received conditional approval from the OCC to become federally chartered national trust banks.

This shift from state to federal oversight allows them to offer nationwide fiduciary and digital asset custody services, enhancing regulatory clarity, institutional confidence, and the mainstream adoption of cryptocurrencies.

Lightning Network hits an all-time high

This move comes as Bitcoin’s Lightning Network hits a new all-time high of 5,637 BTC in capacity, driven largely by institutional inflows even as broader user adoption and node growth lag. 

Data from AMBOSS shows the surge, concentrated in November and December, surpasses the previous peak from March 2023, signaling renewed confidence among major exchanges like Binance and OKX, which have added significant BTC to Lightning channels.

 Despite rising capacity, the network’s number of nodes and channels remains below historical highs, highlighting a gap between capitalization and widespread use. 

The increase coincides with ecosystem developments, including Tether’s $8 million investment in Lightning-focused startup Speed and Lightning Labs’ release of Taproot Assets v0.7, enabling reusable addresses, auditable asset supplies, and larger, more reliable transactions. 

These upgrades position the Lightning Network as more than a micropayment system, offering potential for higher-value transfers that leverage Bitcoin’s security, speed, and low fees while expanding real-world financial applications on the network.

“By offering institutional access to Lightning directly from custody, we are allowing our clients to focus on innovation instead of infrastructure,” said Mike Belshe, BitGo CEO and co-founder. “We are combining the speed and lower transaction costs of Lightning with the trusted security of BitGo to make bitcoin practical for everyday payments.”

This post BitGo Enables Lightning Network Payments Directly from Custody first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin Price Pumps Above $90,000 Then Dumps to $85,000 in 4 Hours

The bitcoin price (BTC) briefly surged above $90,000 early Wednesday in U.S. trading, only to tumble back below $87,000 within minutes, reflecting a fragile and volatile crypto market.

The largest cryptocurrency rallied from roughly $87,000 to above $90,000 around 10:00 a.m EST before rapidly retracing to the $86,500–$87,500 range. 

At the time of writing, Bitcoin price was near $86,000, down over 0.5% over the past 24 hours despite having been higher by more than 3% minutes earlier. 

The swift swings triggered more than $190 million in liquidations across crypto derivatives markets, hitting both long positions — bets on rising prices — worth $72 million, and short positions — bets on declines — totaling $121 million, according to CoinGlass data.

Bitcoin price support during an ‘exhausted market’

Market observers point to the sharp losses in AI-focused technology stocks as a primary factor behind Bitcoin’s erratic moves. Shares of Nvidia, Broadcom, and Oracle dropped between 3% and 6%, dragging the Nasdaq down more than 1% in early trading. 

Contributing to the deflation in AI sentiment, Blue Owl Capital reportedly withdrew from funding a $10 billion Oracle data center project in Michigan, unsettling traders who had leaned on tech optimism to fuel risk appetite.

“I think we’re now seeing an exhausted market,” Hunter Rogers, co-founder of bitcoin yield protocol TeraHash wrote to Coindesk. “In that environment, even mild selling activity pushes the market lower.”

Shrinking liquidity, particularly over weekend trading periods, amplifies these moves, leaving the bitcoin price vulnerable to sharp whipsaws with limited buy-side support.

Bitcoin price downsides 

Technical analysts are closely watching the $80,000–$85,000 range as critical support. Holding this zone could prevent deeper retracement, while a sustained break below it may open the door to further declines. 

Short-term caution, however, remains prevalent. Georgii Verbitskii, founder of crypto investment platform TYMIO, warned to DLnews that a prolonged period of consolidation or correction is a likely scenario, with potential downside moves toward $60,000 or $70,000 possible if current levels fail to hold. 

Mike McGlone, senior commodity strategist at Bloomberg Intelligence, has even suggested Bitcoin could drop as low as $10,000 in 2026, highlighting the divergence of expert opinions on the coming year.

Despite the near-term uncertainty, longer-term narratives remain largely intact. Institutional participation in Bitcoin continues to grow, supported by spot bitcoin ETFs and a more defined regulatory landscape. 

Analysts at Bitwise recently released a report suggesting Bitcoin could break away from its historical four-year market cycle, potentially achieving new all-time highs in 2026 while exhibiting lower volatility and reduced correlation with equities.

The Bitwise report argues that Bitcoin’s historical four-year cycle, tied to halvings and marked by gains followed by pullbacks, may no longer hold. Analyst Matt Hougan noted that the traditional drivers — halving effects, interest rate swings, and leverage-driven booms — are weaker now. 

He cited diminishing halving impact, expected lower interest rates in 2026, and reduced systemic leverage after October 2025’s record liquidations. Greater regulatory clarity is also seen as reducing the risk of major market crashes, potentially altering the cycle.

The firm also challenged the long-standing criticism that BTC is too volatile for mainstream investors.

According to Bitwise, BTC was less volatile than Nvidia stock throughout 2025, a comparison Hougan says underscores the asset’s ongoing maturation.

Data cited in the report shows bitcoin’s volatility has steadily declined over the past decade as its investor base has diversified and traditional investment vehicles like ETFs have expanded access.

Market in ‘extreme fear’

At the time of writing, the Bitcoin Fear and Greed Index sits at 16/100, signaling extreme fear among market participants. This reflects heightened investor anxiety, with many traders potentially overreacting to recent price movements. 

Historically, readings in this range have often coincided with undervalued market conditions, suggesting a contrarian buying opportunity for those willing to navigate the emotional volatility.

Yesterday, the market sat near 11/100 despite a higher bitcoin price point. At the time of writing, the bitcoin price is trading below $86,000. 

This post Bitcoin Price Pumps Above $90,000 Then Dumps to $85,000 in 4 Hours first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin’s Lightning Network Capacity Hits New-All Time High

Bitcoin’s Lightning Network, the layer-2 payments system designed to make Bitcoin faster and cheaper to use, has reached a new all-time high in capacity, signaling renewed institutional interest even as grassroots adoption lags.

Data from AMBOSS shows Lightning capacity climbed to 5,637 BTC yesterday, surpassing its previous peak in March 2023. 

The surge, concentrated in November and December, follows a year of declining capacity, as more Bitcoin is added to existing channels, enabling off-chain payments that settle nearly instantly and at minimal fees.

Yet, the network’s growth in BTC held has not been mirrored by an increase in users or nodes. Lightning currently has around 14,940 nodes, per Bitcoin Visuals, down from a peak of 20,700 in early 2022, and 48,678 channels, also below historical highs. This gap highlights a network that is becoming more capitalized but not necessarily more widely used.

Institutional Bitcoin Lightning Surge

“It’s not just one company that’s putting more Bitcoin into the Lightning Network; it’s across the board,” said Amboss, pointing to major exchanges such as Binance and OKX, which have deposited significant BTC into Lightning channels in recent weeks. 

This institutional influx contrasts with the slower adoption among smaller operators and individual users.

The surge coincides with broader ecosystem developments. Yesterday, stablecoin issuer Tether announced it had led an $8 million investment round in Lightning-focused startup Speed, which facilitates stablecoin payments over Bitcoin’s Lightning Network. 

Meanwhile, Lightning Labs rolled out version 0.7 of Taproot Assets, a multi-asset Lightning protocol. The upgrade introduces reusable addresses, auditable asset supplies, and support for larger, more reliable transactions. 

Taproot Assets enables stablecoins to leverage Bitcoin’s security while benefiting from Lightning’s speed and low fees, offering a potential alternative to Ethereum-based stablecoin networks.

All this movement could expand Lightning beyond micropayments, positioning it as a viable infrastructure for higher-value transfers. Lightning Labs called the release a foundation for “trillions of dollars to flow on Bitcoin and Lightning,” reflecting ambitions to merge Bitcoin’s security with real-world payments and financial applications.

The Lightning Network is fundamentally a system for updating and enforcing off-chain agreements on BTC balances between users, using pre-signed transactions and mechanisms to ensure the most recent state can be securely settled on-chain. 

While the current implementation relies on specific channel designs, HTLCs, and routing protocols, these components are modular and can evolve or be replaced over time without changing the core principle of secure, instant, off-chain BTC payments.

This post Bitcoin’s Lightning Network Capacity Hits New-All Time High first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Norway’s Sovereign Wealth Fund Backs Metaplanet’s Bitcoin Strategy

Norway’s Norges Bank Investment Management (NBIM), the manager of the country’s $1.7 trillion sovereign wealth fund, has voted in favor of all five management proposals at Metaplanet’s upcoming Extraordinary General Meeting (EGM) on Dec. 22, endorsing the firm’s bitcoin treasury strategy.

NBIM, which held roughly a 0.3% stake in Metaplanet as of June 30, disclosed its vote via Dylan LeClair, Metaplanet’s director of bitcoin strategy.

The five proposals are designed to expand the company’s capital flexibility and support non-dilutive bitcoin accumulation.

One proposal would reduce capital stock and capital reserves, allowing funds to be transferred to surplus. This would enable dividends, share buybacks, or bitcoin acquisitions without increasing the number of outstanding common shares.

Another proposal seeks to increase the company’s authorized share count, including the introduction of new preferred share classes. Metaplanet said this would allow it to raise capital in the future to fund bitcoin purchases while preserving flexibility in its capital structure.

JUST IN: Norway’s sovereign wealth fund just backed all the Bitcoin treasury company Metaplanet’s proposal.

Norway is embracing #Bitcoin pic.twitter.com/lRwwDXtE2l

— Bitcoin Magazine (@BitcoinMagazine) December 17, 2025

Metaplanet’s shares proposal

A key component of the plan is the introduction of perpetual preferred shares. The proposed Class A preferred shares, branded as MARS, would offer variable monthly dividends and rank senior in the capital structure.

The company also plans to introduce perpetual Class B preferred shares, known as MERCURY, which would feature fixed quarterly dividends, conversion options, and cash redemption features. 

Metaplanet is seeking authorization to issue MERCURY shares to institutional investors as part of a planned $150 million third-party allotment to fund additional bitcoin purchases.

Metaplanet said the preferred share structure is intended to attract long-term institutional capital while limiting dilution to common shareholders.

The Tokyo-listed firm has increasingly positioned itself as a corporate bitcoin treasury vehicle, drawing comparisons to U.S. firms that have adopted similar strategies.Metaplanet’s common shares are up about 8% year-to-date. 

Last month, Metaplanet, was the world’s fourth-largest corporate holder of bitcoin with 30,823 BTC, and continually says they are planning new capital toward additional bitcoin purchases, with the remainder directed to income-generating bitcoin strategies and the redemption of outstanding corporate bonds.

In early November, Metaplanet drew $100 million from its $500 million credit facility, secured by just 3% of its 30,823 BTC holdings, to fund further Bitcoin purchases, expand its income-generating options business, and potentially repurchase shares.

The flexible, no-fixed-maturity loan allows repayment at any time and is tied to U.S. benchmark rates, though the lender remains undisclosed.

This post Norway’s Sovereign Wealth Fund Backs Metaplanet’s Bitcoin Strategy first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bhutan Pledges Up to 10,000 Bitcoin to Build New Mega-City

Bhutan has committed up to 10,000 bitcoin to support the long-term development of Gelephu Mindfulness City (GMC), marking one of the most ambitious sovereign uses of bitcoin for national infrastructure and economic development to date.

The Himalayan kingdom unveiled the Bitcoin Development Pledge this week, allocating a portion of its sovereign bitcoin holdings — valued at roughly $860 million to $1 billion at current prices — to back the new special administrative region in southern Bhutan. 

Officials emphasized that the allocation is intended to preserve capital over the long term rather than fund near-term spending through asset sales.

Instead, Bhutan is exploring mechanisms such as collateralized lending, treasury and yield strategies, and intentional long-term holding to finance infrastructure and development while maintaining exposure to bitcoin’s potential appreciation. 

Final decisions on how the assets will be deployed are expected in the coming months, according to the government.

Gelephu Mindfulness City is central to Bhutan’s broader effort to diversify its economy beyond hydropower and tourism, while remaining aligned with the country’s development philosophy centered on sustainability and social well-being. 

The project, launched in 2024, is designed as a future economic hub focused on finance, technology, green energy, healthcare, agriculture, and high-value tourism.

The city spans roughly 1,544 square miles — about 10% of Bhutan’s territory — near the Indian border.

Bitcoin as a commitment to Bhutan’s youth

King Jigme Khesar Namgyel Wangchuck announced the bitcoin commitment during his National Day Address, framing it as a generational investment aimed at creating quality jobs and opportunities for Bhutan’s youth.

“As your King, I must ensure that every Bhutanese is a custodian, stakeholder, and beneficiary of GMC,” he said. “This commitment is for our people, our youth, and our nation.”

A new land policy associated with the project will treat landowners as shareholders in the city’s development, ensuring citizens across all regions share in the economic upside. Since much of the land involved is state-owned, the government says the benefits will be broadly distributed nationwide.

Bhutan’s bitcoin holdings stem from years of state-backed mining operations powered by surplus hydroelectric energy. Beginning around 2019–2020, the country quietly converted excess renewable power into digital assets, positioning itself as one of the earliest sovereign bitcoin miners. Officials say the strategy allows Bhutan to monetize unused energy capacity without increasing environmental impact.

Estimates of Bhutan’s total bitcoin reserves vary by analytics provider, ranging from roughly 6,000 to more than 11,000 BTC, placing the kingdom among the world’s largest sovereign bitcoin holders. 

The bitcoin pledge builds on a broader national blockchain strategy already underway. Bhutan has rolled out crypto-enabled payments across its tourism sector through partnerships with DK Bank and Binance Pay, allowing visitors to pay with more than 100 digital assets at hotels, airlines, and local merchants. More than 100 tourism-related businesses now accept crypto payments.

The country has also introduced TER, a sovereign-backed digital token reportedly supported by physical gold reserves, and recently anchored its national digital identity system on Ethereum, enabling nearly 800,000 citizens to access public services through blockchain-based verification.

GMC itself has designated bitcoin and two other crypto as strategic reserve assets, making it one of the earliest jurisdictions to formally hold multiple cryptocurrencies at the municipal or regional level. 

Green Digital Ltd., the infrastructure firm leading GMC’s development, is focused on green energy-powered data centers and blockchain infrastructure as part of the city’s long-term vision.

Earlier this month, Bhutan also entered a multi-year partnership with Cumberland DRW to support bitcoin reserve management, sustainable mining expansion, and broader digital asset infrastructure, including potential stablecoin initiatives.

At current bitcoin prices, 10,000 BTC would be worth $877,500,000.

CoinDesk reporting helped with the background of this article.  

This post Bhutan Pledges Up to 10,000 Bitcoin to Build New Mega-City first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin Miner Hut 8 Secures Google-Backed Deal to Build Up to 2.3 GW of AI Capacity

Hut 8 Corp. announced a sweeping AI infrastructure partnership on Wednesday with AI model developer Anthropic and compute provider Fluidstack, marking a pretty clear signal that the bitcoin miner is pivoting to a large-scale energy and data center developer.

Under the agreement, Hut 8 will develop between 245 megawatts (MW) and up to 2,295 MW of AI-focused data center capacity in the United States, beginning with a flagship project at its River Bend campus in Louisiana. 

The partnership is structured across multiple tranches, creating a pathway to scale from an initial deployment to gigawatt-level infrastructure over time.

The first phase centers on a 245 MW IT deployment at River Bend, supported by roughly 330 MW of utility power. Hut 8 will develop the site, while Fluidstack will operate high-performance compute clusters for Anthropic. Construction of the initial data halls is expected to be completed by early 2027.

Beyond the initial phase, Fluidstack has secured a right of first offer for up to an additional 1,000 MW of IT capacity at River Bend, contingent on further power expansion. 

A third tranche gives Hut 8 and Anthropic the option to jointly diligence and develop up to 1,050 MW of additional capacity across Hut 8’s broader development pipeline.

Financially, the River Bend project is anchored by a 15-year triple-net lease with Fluidstack valued at approximately $7 billion over the base term, with total contract value rising to roughly $17.7 billion if all renewal options are exercised. 

Alphabet-owned Google is providing a financial backstop covering lease payments and certain operating obligations over the base term, underscoring the strategic importance of securing long-term AI compute capacity, per Reuters reporting. 

JUST IN: #Bitcoin mining company Hut 8 just announced it partnered with Google for financial backing on a 15-year lease.

Bullish pic.twitter.com/NQN9JmW0ob

— Bitcoin Magazine (@BitcoinMagazine) December 17, 2025

Hut 8 ($HUT) stock soars

Hut 8 shares surged more than 20% in premarket trading following the announcement, extending a rally that has seen the stock rise roughly 80% year-to-date. 

Investors appear to be rewarding the company’s pivot toward AI infrastructure at a time when access to power, cooling, and suitable real estate has become a bottleneck for leading model developers.

“Scaling frontier AI infrastructure is, at its core, a power challenge,” Hut 8 CEO Asher Genoot said in a statement, emphasizing the company’s “power-first” development strategy. 

He added that the partnership aligns power sourcing, data center design, and compute deployment into a single integrated platform capable of operating at gigawatt scale.

For Anthropic, the deal expands an existing relationship with Fluidstack and provides a new channel for bringing capacity online as demand for advanced models continues to grow.

“Hut 8’s ability to source and deliver infrastructure at scale provides the runway necessary to continue advancing the capabilities of our models,” said James Bradbury, Anthropic’s head of compute.

The agreement also reflects a broader industry shift. Former crypto miners such as Hut 8, CoreWeave, or Bitfarms are increasingly repurposing their energy-heavy infrastructure for AI workloads as demand for Nvidia-powered compute accelerates. 

While execution risk remains — particularly around power delivery timelines and construction— Hut 8’s latest deal positions it among a small but growing group of firms bridging the worlds of energy, AI, and large-scale digital infrastructure.

Hut 8 recently reduced some of its bitcoin holdings by 389 BTC during the last month, standing out among a small group of miners and corporates trimming exposure.

While some firms added modest amounts and ETF flows turned positive, the data points to a split market in which Hut 8 and a few others acted as sellers amid pressure, contrasting with disciplined treasury buyers and programmatic accumulation elsewhere.

At the time of writing, Hut 8 shares are up 17%. Earlier in pre-market trading, shares were up over 25% at times. The price per share is currently $43.75.

This post Bitcoin Miner Hut 8 Secures Google-Backed Deal to Build Up to 2.3 GW of AI Capacity first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin Price Trades Near $87,000 as Market Slips Into ‘Extreme Fear’

Bitcoin price hovered above $87,000 today as market sentiment and the Crypto Fear and Greed Index plunged to 11 out of 100, a level signaling extreme fear among investors.

At the time of writing, the bitcoin price is trading at $87,696, up roughly 2% over the past 24 hours, according to market data. Despite the modest rebound, BTC remains trapped in a choppy consolidation range, sitting just 0.2% below its seven-day high of $87,918 and 2% above its weekly low near $85,575.

Yesterday, the bitcoin price cratered from close to $90,000 to the mid $85,000s.

Trading volume over the past day totaled approximately $51 billion, suggesting continued participation but little conviction on either side of the market. Bitcoin’s total market capitalization stood at $1.75 trillion, reflecting a 2% increase over the prior 24 hours, according to Bitcoin Magazine Pro data.

The uneasy price action comes as sentiment has turned decisively bearish. The Fear and Greed Index—a composite indicator that incorporates volatility, volume, social media trends, and momentum—has fallen deep into its lowest category, historically associated with panic-driven selling and heightened emotional decision-making.

Extreme fear hits crypto markets

A reading of 11 places the market firmly in “extreme fear,” a zone typically marked by heightened downside anxiety and risk aversion. Historically, such conditions have often coincided with local bottoms, though timing remains uncertain.

The index operates on a 0–100 scale, where readings below 25 indicate extreme fear and levels above 75 suggest extreme greed. 

At current levels, investors appear more concerned about further downside than missing potential upside, reinforcing the defensive tone seen across digital asset markets.Market participants often view extreme fear as a contrarian signal, arguing that widespread pessimism can create favorable long-term entry points. 

Thin liquidity amplifies downside moves

Bitcoin price’s recent slide below the $90,000 level occurred during typically illiquid weekend trading, exacerbating volatility as sellers encountered limited buy-side support. Prices fell from the low-$92,000 range late last week to weekend lows near $87,000, marking one of the sharpest short-term pullbacks since October’s all-time high.

The broader crypto market mirrored bitcoin’s weakness. Major altcoins continued to post double-digit monthly losses, while bitcoin dominance climbed toward 57%, underscoring a flight to relative safety within the digital asset complex.

Muted volumes suggest the move lower reflects caution rather than capitulation, with traders reluctant to deploy fresh capital ahead of key macroeconomic events.

Globally, attention is also turning to Japan, where the Bank of Japan is widely expected to raise interest rates. Such a move could pressure yen-funded carry trades that have supported global risk assets over the past year, potentially adding another headwind for crypto markets.

Bitcoin price levels in focus

From a technical perspective, analysts are closely watching the mid-$80,000 range as near-term support. A sustained break below this zone could open the door to a deeper retracement toward the low-$80,000s or below. 

Conversely, holding current levels would reinforce the view that the bitcoin price remains range-bound rather than entering a prolonged bearish phase.

Despite the gloomy mood, long-term narratives remain intact for many investors, particularly as institutional participation continues to expand through spot bitcoin ETFs and broader regulatory clarity.

For now, however, bitcoin’s price action reflects a market caught between structural optimism and short-term fear—an uneasy balance that has pushed sentiment to one of its most pessimistic readings of the year.

Despite all this, earlier today, asset manager Bitwise released a new report that argues that bitcoin is poised to break from its historical four-year market cycle, setting new all-time highs in 2026 while becoming less volatile and less correlated with equities.

At the time of writing, the bitcoin price is $87,706.

This post Bitcoin Price Trades Near $87,000 as Market Slips Into ‘Extreme Fear’ first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitwise Says Bitcoin’s Four-Year Cycle Is Dead, Predicts Bitcoin New Highs in 2026

Asset manager Bitwise released a new report that argues that bitcoin is poised to break from its historical four-year market cycle, setting new all-time highs in 2026 while becoming less volatile and less correlated with equities.

Bitwise’s Chief Investment Officer Matt Hougen outlined three forecasts he says matter most for crypto investors: the end of the four-year cycle, continued volatility compression, and declining correlation between BTC and traditional stock markets.

The four-year cycle is ‘significantly weaker’

Bitcoin has historically followed a four-year pattern tied to the halving cycle, typically marked by three years of gains followed by a sharp pullback. Under that framework, 2026 would be expected to be a down year.

Bitwise disagrees.

“The forces that previously drove four-year cycles — the BTC halving, interest rate cycles, and crypto’s leverage-fueled booms and busts — are significantly weaker than they’ve been in past cycles,” Hougan wrote.

He pointed to the diminishing impact of successive halvings, expectations for falling interest rates in 2026, and reduced systemic leverage following record liquidations in October 2025. Improving regulatory clarity is also expected to lower the risk of major market blow-ups.

More importantly, Bitwise expects institutional capital flows to accelerate. With spot bitcoin ETFs approved in 2024, the firm anticipates broader participation from major wealth platforms such as Morgan Stanley, Wells Fargo, and Merrill Lynch, alongside increased adoption from Wall Street and fintech firms amid a more favorable regulatory environment following the 2024 U.S. election.

Bitwise believes these factors could push bitcoin to fresh all-time highs, effectively ending the relevance of the four-year cycle.

NEW: $15 billion asset manager Bitwise predicts #Bitcoin will break the 4 year cycle and set a new all time high in 2026 pic.twitter.com/5UkwidKKkf

— Bitcoin Magazine (@BitcoinMagazine) December 16, 2025

Bitcoin volatility continues to decline

The firm also challenged the long-standing criticism that BTC is too volatile for mainstream investors.

According to Bitwise, BTC was less volatile than Nvidia stock throughout 2025, a comparison Hougan says underscores the asset’s ongoing maturation. Data cited in the report shows bitcoin’s volatility has steadily declined over the past decade as its investor base has diversified and traditional investment vehicles like ETFs have expanded access.

Bitwise expects that trend to continue into 2026, likening bitcoin’s evolution to gold’s transition following the launch of gold ETFs in the early 2000s.

Lower correlation with equities

Finally, Bitwise predicts BTC’s correlation with stocks will fall further in 2026. While critics often claim bitcoin trades in lockstep with equities, Hougan noted that rolling 90-day correlations with the S&P 500 have rarely exceeded 0.50.

Looking ahead, Bitwise expects crypto-specific catalysts—such as regulatory progress and institutional adoption—to drive bitcoin independently, even as equity markets grapple with valuation concerns and slowing economic growth.

Taken together, the firm sees 2026 shaping up as a favorable year for bitcoin investors, characterized by strong returns, lower volatility, and reduced correlation with traditional assets.

“That’s the trifecta for investors,” Hougan wrote, adding that these dynamics could drive tens of billions of dollars in new institutional inflows.

This post Bitwise Says Bitcoin’s Four-Year Cycle Is Dead, Predicts Bitcoin New Highs in 2026 first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Michael Saylor’s Bitcoin Treasury Strategy Now Accounts for 3.2% of BTC Supply

Over the last two months, the broader bitcoin market has bled to semi-surprising lows and it seems like fear has crept into the forefront of market sentiment. But Strategy’s Michael Saylor, in true Saylor fashion, just put his head down and bought more bitcoin. 

Over the past two weeks, Strategy has spent nearly $2 billion just on Bitcoin.

Strategy has steadily expanded their Bitcoin treasury over the years, now holding 671,268 BTC — equivalent to 3.2% of all Bitcoin ever expected to exist, the company says.

The firm’s average purchase price for its holdings sits at roughly $75,000 per BTC, with a total acquisition cost of $50 billion and a current Bitcoin net asset value of $60 billion. 

Strategy has added Bitcoin in every quarter since Q3 2020, totaling 90 separate acquisitions.

Per Bitcointreasuries.net, Strategy’s Bitcoin holdings tower over every other publicly traded treasury, owning 12 times the next largest holder, MARA Holdings. 

While most companies in the top 10 hold between 13,000 and 53,000 BTC, Strategy’s accumulation dwarfs them, underscoring its unprecedented scale of BTC holdings. 

Earlier this month, Strategy created a $1.44 billion cash reserve to safeguard future dividends and interest payments, in an effort to reassure investors it would not need to sell any of its roughly $56 billion in Bitcoin amid broader Bitcoin market weakness.

Funded by recent Class A stock sales, the reserve initially covered 21 months of obligations, with plans to extend to 24 months. CEO Phong Le said the move sharply reduced the likelihood of BTC liquidation, addressing fears from prior comments. 

JUST IN: Michael Saylor's Strategy now owns 3.2% of all Bitcoin ever to be in existence pic.twitter.com/R907KnHsee

— Bitcoin Magazine (@BitcoinMagazine) December 16, 2025

Strategy wants more bitcoin: ‘We are going to buy all of it’

At the Bitcoin MENA conference, Saylor discussed his bitcoin beliefs more, saying that Bitcoin was the foundation of a new digital capital and credit era. Addressing sovereign wealth funds, banks, and investors, Saylor framed Bitcoin as “digital capital,” contrasting it with traditional assets like gold, real estate, and equities, and emphasizing its potential as a core store of value in the digital economy. 

Saylor emphasized the growing institutional adoption of Bitcoin, with major U.S. banks—including Bank of America, Wells Fargo, JP Morgan, and Citi—now offering custody solutions and credit against Bitcoin. 

He also cited bipartisan government support from agencies like the Treasury, SEC, and CFTC.

Central to Strategy’s vision is converting volatile Bitcoin into predictable, yield-generating credit. Through over-collateralized instruments like STRK (8% dividend) and STRF (10% perpetual bond), Strategy delivers steady cash flows while enhancing long-term Bitcoin exposure.

Saylor claimed these mechanisms allow the company to double Bitcoin per share every seven years, creating liquidity and aligning corporate growth with investor returns. He likened Bitcoin-backed credit to gold-backed financial systems, envisioning a global shift toward digital gold-supported credit integrated into traditional banking.

Earlier this week, news came out that Strategy will retain its spot in the Nasdaq 100 index despite an annual reshuffle that removed six companies and added three.

This post Michael Saylor’s Bitcoin Treasury Strategy Now Accounts for 3.2% of BTC Supply first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Tether Leads $8 Million Investment in Lightning-Powered Payments Startup Speed

Tether, the issuer of the world’s largest stablecoin USDT, announced a strategic investment in Speed1, Inc. (“Speed”), a payments infrastructure company leveraging the Bitcoin Lightning Network and stablecoins to build instant, global settlement rails.

Tether led the company’s $8 million funding round alongside ego death capital, signaling a strong push to expand Bitcoin-aligned financial infrastructure and increase the real-world utility of USDT.

Speed provides payment solutions for a diverse range of users, including consumers, creators, platforms, and enterprise merchants. The company processes over $1.5 billion in annual payment volume and serves roughly 1.2 million users through its Speed Wallet and Speed Merchant products.

These tools enable near-instant settlement in both bitcoin and USDT while offering global routing capabilities optimized for enterprise-level integrations.

The company’s architecture combines Lightning-based transaction execution with stablecoin settlement, addressing key challenges in cross-border payments such as speed, cost, and price volatility. 

This combination allows users and merchants to transact efficiently while maintaining price stability when required, making it suitable for international transfers, creator payouts, merchant payments, and platform-level settlements.

Bitcoin networks are ready for mainstream commerce 

“Speed is showing what Lightning can achieve when paired with a stable, liquid digital dollar like USDT,” said Paolo Ardoino, CEO of Tether.

 “We support teams building practical infrastructure that reduces friction in payments and expands access to reliable settlement rails. Speed’s execution and adoption signal that Bitcoin-rooted networks are ready for mainstream commerce,” Ardoino said. 

Niraj Patel, CEO of Speed, added, “Crypto has lived in the world of speculation for too long. Speed is making it usable – instantly, globally, and at scale. Lightning gives us speed; stablecoins give us universal access; our infrastructure brings it all together for consumers, creators, and merchants.”

Tether likes to hold bitcoin 

This move aligns with Tether’s ongoing diversification strategy. Earlier this year, the company acquired nearly 8,889 BTC, bringing its primary treasury holdings to over 86,000 BTC, and expanded into physical assets such as gold and agribusiness through a 70 percent stake in Adecoagro. 

Per BitcoinTreasuries.net, Tether holds 87,475 bitcoin. 

Per the companies, the $8 million funding will support Speed’s infrastructure expansion and additional integrations with merchants and platforms, further solidifying its role in building the next generation of global financial rails anchored in Bitcoin and USDT.

This post Tether Leads $8 Million Investment in Lightning-Powered Payments Startup Speed first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

American Bitcoin ($ABTC) Enters Top 20 Public Bitcoin Treasury Companies, Holds 5,098 BTC

American Bitcoin Corp. (Nasdaq: ABTC) has entered the top 20 publicly traded bitcoin treasury companies by holdings after growing its strategic reserve to approximately 5,098 BTC as of December 14, according to company disclosures.

The Miami-based firm said its bitcoin was accumulated through a combination of in-house mining and strategic market purchases. The total includes bitcoin held in custody as well as BTC pledged as collateral for miner purchases under a supply agreement with hardware manufacturer Bitmain, per the company release. 

Based on rankings from BitcoinTreasuries.net, the milestone places American Bitcoin among the largest public bitcoin holders globally, just over three months after its Nasdaq listing.

As part of its treasury reporting, the company also highlighted growth in its proprietary Satoshis Per Share (SPS) metric, which measures the amount of bitcoin attributable to each outstanding common share. As of December 8, SPS stood at 507 satoshis per share, representing a more than 17% increase in just over one month.

American Bitcoin is also introducing a new disclosure metric, Bitcoin Yield, which tracks the percentage change in SPS over a defined period. The company said the combined metrics are intended to give investors clearer insight into both per-share bitcoin exposure and how that exposure evolves over time.

“I am incredibly proud of our tremendous growth,” said Eric Trump, co-founder and chief strategy officer of American Bitcoin. “In just over three months since our Nasdaq listing, we have surged past dozens of companies — propelling us into the top 20 publicly traded bitcoin treasury companies.”

Earlier this month, American Bitcoin reported adding roughly 416 BTC in a single week, lifting holdings from approximately 4,783 BTC as of December 8. 

The company said its accumulation strategy prioritizes long-term bitcoin exposure over short-term price movements, supported by an operating model designed to maximize BTC retention.

JUST IN: Trump family backed American #Bitcoin increases its BTC holdings to 5,098 BTC.

Nothing stops this train pic.twitter.com/I9ub8DuWBP

— Bitcoin Magazine (@BitcoinMagazine) December 16, 2025

American Bitcoin ($ABTC) stock struggles

In early December, the American Bitcoin stock (ABTC) plunged more than 50% shortly after markets opened, triggering multiple trading halts and erasing months of speculative gains. 

The stock fell to an intraday low of $1.75 before recovering slightly, though it remained down over 35% at the time of writing. 

The sell-off followed a broader downturn in crypto markets, with bitcoin sliding into the mid-$85,000 range. Nearly $1 billion in leveraged crypto positions were liquidated the day before, worsening already fragile market conditions.

Now, with Bitcoin trading above $87,000, $ABTC shares trade down at $1.61 per share. 

This post American Bitcoin ($ABTC) Enters Top 20 Public Bitcoin Treasury Companies, Holds 5,098 BTC first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Trump Says He Will Consider A Pardon for Samourai Bitcoin Wallet Co-Founder

President Donald Trump said he’ll review the case of Keonne Rodriguez, co-founder of Samourai Wallet, as questions mount over the federal conviction of the Bitcoin privacy software developer. 

When asked about Rodriguez’s upcoming prison sentence, Trump said, “I’ve heard about it. I’ll look at it.”

“I don’t know anything about it,” President Trump said. “But we’ll take a look.” 

Rodriguez publicly acknowledged Trump’s sentiment, tweeting “Your continued noise is working. Thank you to everyone pushing @realDonaldTrump to pardon Bill and me. Let’s get this over the line. #pardonsamourai”

Rodriguez, along with co-founder William “Bill” Hill, was convicted of conspiracy to operate an unlicensed money transmitting business, a charge stemming from Samourai Wallet, a Bitcoin privacy tool that allowed users to mix coins and maintain financial anonymity without giving up custody of their funds.

JUST IN: President Trump says he will consider a pardon for the CEO of privacy-focused Bitcoin wallet Samourai.

"I've heard about it, I'll look at it. Let's take a look at it." pic.twitter.com/WfpLPYOlfj

— Bitcoin Magazine (@BitcoinMagazine) December 15, 2025

Details of the Samourai Wallet case

The case, which began under the Biden administration and continued through the Trump Justice Department, culminated in Rodriguez receiving a five-year sentence and Hill four years, though Hill’s age and recent autism diagnosis led to a reduced sentence.

Critics of the prosecution argue the case represents a dangerous precedent for the cryptocurrency industry. The U.S. Department of Justice claimed that Samourai Wallet facilitated over $2 billion in unlawful transactions and laundered more than $100 million from criminal sources. However, only the “unlicensed money transmission” charge survived a high-profile trial, raising questions about the strength of the case. 

Samourai Wallet’s mixing services, Whirlpool and Ricochet, were designed to obscure the origin of criminal proceeds from activities including drug trafficking, darknet marketplaces, fraud, cybercrime, and murder-for-hire operations. 

Court documents reveal the developers actively encouraged criminal use, describing the service as “money laundering for bitcoin” and promoting its tools on darknet forums.

The Department of Justice framed the case as part of a broader crackdown on crypto mixing services. Rodriguez had requested a light sentence, but the court imposed the statutory five-year maximum.

Trump’s comments come amid his campaign promises to defend the right to self-custody and financial privacy. During the 2024 Bitcoin Conference in Nashville, he pledged to end what he described as the “anti-crypto crusade” of the prior administration.

A pardon for Rodriguez and Hill would signal a clear commitment to those promises, protecting developers from legal exposure for building tools that enhance privacy and security for everyday Americans.

With Rodriguez set to report to prison on December 18 and Hill already sentenced, the Trump administration faces a high-profile decision that could shape the future of financial privacy, software development, and cryptocurrency regulation in the United States.

This post Trump Says He Will Consider A Pardon for Samourai Bitcoin Wallet Co-Founder first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Fidelity Flags Short-Term Crypto Risks, Discusses Bitcoin’s Historic 4-Year Cycle 

Bitcoin and the broader crypto market is heading into 2026 with more questions than clear answers.

A new outlook from Fidelity urges caution for investors chasing short-term gains, while arguing that long-term holders may still have room to enter the market. 

The message reflects a broader shift: crypto is no longer just a high-beta trade for speculators. It is being treated as a strategic asset by governments, corporations, and institutional investors.

That shift accelerated this year.

This year, more governments and companies added digital assets to their treasuries, creating a new source of demand that didn’t exist in prior cycles. 

In March, President Donald Trump signed an executive order establishing a Strategic Bitcoin Reserve for the United States. The order formally designated BTC and select cryptocurrencies already held by the federal government as reserve assets.

The long-term impact of that decision remains unclear. But the symbolism matters. BTC is now officially recognized by the U.S. government as a store of value. That recognition is feeding debate over whether crypto’s familiar four-year market cycle still applies, the report argued. 

Is Bitcoin’s four-year cycle over? 

Bitcoin has historically moved in boom-and-bust patterns tied loosely to its halving schedule. Major tops formed in 2013, 2017, and 2021. Each was followed by deep drawdowns. Today, prices are again pulling back around the four-year mark, raising the question of whether the current bull market has already peaked.

JUST IN: Fidelity reports that Bitcoin's 4 year cycle may be over

Investors "believe we could be entering a supercycle…For reference, a supercycle in commodities in the 2000s spanned nearly a decade." pic.twitter.com/SVQs61lz7N

— Bitcoin Magazine (@BitcoinMagazine) December 15, 2025

Some investors think the cycle is breaking down. The argument is simple: structural demand is changing. Sovereign adoption and corporate balance sheet buying could dampen volatility and reduce the severity of future bear markets. 

Others go further, suggesting bitcoin may be entering a “supercycle” that extends higher for years, with only shallow corrections along the way.

Fidelity Digital Asset’s Chris Kuiper isn’t convinced cycles are dead. Human behavior hasn’t changed, he notes, and fear and greed still drive markets. If the four-year pattern holds, bitcoin would need to have already set its cycle high and be entering a sustained bear market. 

So far, it’s too early to say. The recent drawdown could mark the start of a downturn. Or it could be another mid-cycle shakeout.

Governments and corporations are buying Bitcoin

Also, government adoption adds another layer of complexity. A growing number of countries already hold crypto, but few have formally designated it as a reserve asset. 

That may change. Kyrgyzstan passed legislation establishing a crypto reserve in 2025. In Brazil, lawmakers advanced a proposal that would allow up to 5% of foreign reserves to be held in bitcoin.

Kuiper points to game theory. If one country adopts bitcoin as a reserve, others may feel pressure to follow. Any incremental demand, he says, could support prices, though the scale matters and selling pressure can offset buying.

Corporations are also playing a larger role. More than 100 publicly traded companies now hold crypto, with roughly 50 firms controlling over one million bitcoin combined, per Fidelity. Strategy remains the most visible buyer, but it’s no longer alone. For some firms, bitcoin offers a way to access capital markets and arbitrage investor demand for exposure.

That demand cuts both ways. Corporate buying can lift prices. Forced selling in a downturn could amplify losses.

So, is it too late to buy?

Fidelity’s Kuiper says it depends on the time horizon. Short-term investors may face poor odds if the cycle is near its end. Long-term holders face a different equation. On a multi-decade view, Kuiper argues bitcoin’s fixed supply remains its core appeal. If that holds, the question isn’t timing the cycle. It’s whether adoption continues. In 2026, that answer is still unfolding.

At the time of writing, Bitcoin’s price is rapidly dipping near $86,000.

This post Fidelity Flags Short-Term Crypto Risks, Discusses Bitcoin’s Historic 4-Year Cycle  first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Atkins, Peirce Stress Balancing Crypto Transparency and Privacy at SEC Roundtable

SEC Chairman Paul S. Atkins just addressed the ongoing SEC Crypto Task Force Roundtable on Financial Surveillance and Privacy by touching on the dual nature of public blockchain technology and the need to balance government oversight with individual privacy rights.

Atkins underscored that public blockchains are “more transparent than any legacy financial system ever built,” with every transaction recorded on a ledger accessible to anyone.

Atkins also said that chain analytics firms are already adept at linking on-chain activity to off-chain identities, warning that, if misapplied, crypto could become “the most powerful financial surveillance architecture ever invented.”

The chairman cautioned against a regulatory approach that treats every wallet as a broker and every transaction as reportable, which he said could transform the ecosystem into a “financial panopticon.” 

JUST IN: SEC Chair Paul Atkins says "public blockchains are more transparent than any legacy financial system ever built." pic.twitter.com/NfvKhsDPJx

— Bitcoin Magazine (@BitcoinMagazine) December 15, 2025

Such transparency, Atkins explained, could also disrupt traditional market functions: real-time visibility of orders, hedges, and portfolio adjustments could incentivize front-running, copycat strategies, and other dynamics that make market-making and underwriting less attractive.

Privacy in crypto and blockchain 

At the same time, Atkins highlighted the privacy-preserving capabilities of blockchain technology. He pointed to blockchain that allow users to demonstrate compliance without revealing their entire financial history. 

Such tools, he said, could enable regulated platforms to screen users while avoiding permanent, detailed tracking of individual transactions.

“Shielding the lawful activity of our citizens from bulk surveillance while still ensuring that our government can perform essential functions is the best way to protect both national security and our basic civil liberties while also giving room for innovation to flourish,” Atkins said.

He concluded by stressing the importance of creating a regulatory framework that protects Americans’ privacy without stifling technological or financial innovation.

Although he could not remain for the entire roundtable, Atkins expressed confidence that the discussions would help shape policies that uphold both security and personal freedom.

In later opening comments, Commissioner Hester Peirce emphasized that tokenized securities and other crypto assets allow transactions to occur without traditional intermediaries like brokers, reducing the flow of information to government surveillance channels. 

She noted that while disintermediated transactions limit traditional oversight, public blockchains remain fully transparent, creating both opportunities and challenges for monitoring.

Peirce argued that the U.S. financial system’s longstanding erosion of privacy is overdue for reassessment, with crypto pushing the conversation forward.

As crypto adoption grows, Peirce called for thoughtful reevaluation of how and when financial transactions are surveilled, balancing the need to protect consumers from bad actors with preserving privacy rights. 

This post Atkins, Peirce Stress Balancing Crypto Transparency and Privacy at SEC Roundtable first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin Crashes Below $87,000 as $200 Million in Crypto Longs Liquidated in an Hour

Bitcoin extended its weekend slide on Sunday, dropping below $87,000 as a fresh wave of liquidations swept through the crypto market, wiping out roughly $200 million in leveraged positions over the past 60 minutes, per Coinglass data. 

At the time of writing, the bitcoin price stood at $86,751, down about 2% over the past 24 hours, according to market data. 

Trading volume totaled roughly $38 billion, while BTC was down 4% from its seven-day high near $89,935 and hovering just above its weekly low around $87,152.

BTC’s circulating supply currently sits at 19.96 million BTC, with a fixed maximum of 21 million, giving the network a market capitalization of approximately $1.73 trillion, down 2% on the day, according to Bitcoin Magazine Pro data. 

The latest leg lower follows another grim weekend for price action. Bitcoin bled from the low-$92,000 range on Thursday to weekend lows near $87,000, as thin liquidity and persistent sell pressure weighed on risk appetite. 

The decisive move below $90,000 occurred during typically illiquid Sunday trading, amplifying downside volatility as traders positioned cautiously ahead of a dense slate of U.S. economic data and central bank events this week.

JUST IN: Bitcoin falls below $87,000

HODL! pic.twitter.com/VypwtmStns

— Bitcoin Magazine (@BitcoinMagazine) December 15, 2025

Strategy buys $1 billion in Bitcoin 

Strategy, the world’s largest publicly traded BTC holder, added nearly $1 billion in bitcoin last week, acquiring 10,645 BTC at an average price of $92,098 per coin. 

This marks the company’s second consecutive mega-purchase, bringing its total holdings to 671,268 BTC, purchased for $50.33 billion at an average cost of $74,972 each. 

The acquisition was primarily funded through equity issuance, with $888.2 million raised via common stock sales and the remainder through STRD preferred shares, despite ongoing shareholder concerns about dilution.

Historically, the company’s weekly purchases had been modest due to fundraising constraints, but Executive Chairman Michael Saylor has recently accelerated buying, signaling renewed conviction despite market volatility.

Separately, Strategy will also remain in the Nasdaq 100 and pushed back against MSCI’s proposed digital asset threshold, which could exclude BTC treasury firms from benchmarks. 

Critics note Strategy now operates more like a bitcoin investment vehicle than a software company, yet Saylor remains unapologetic.

The firm reports a year-to-date BTC yield of 24.9%, underscoring its commitment to accumulating BTC regardless of short-term market fluctuations.

At the time of writing, Bitcoin is trading at $86,770.

This post Bitcoin Crashes Below $87,000 as $200 Million in Crypto Longs Liquidated in an Hour first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin Price Bleeds Below $89,000 After Grim Weekend 

Bitcoin price endured another grim weekend, bleeding from the low-$92,000 range on Thursday to weekend lows near $87,000 as thin liquidity and sell pressure weighed on risk appetite.

The move below $90,000 came during typically illiquid Sunday trading, amplifying downside volatility as traders positioned cautiously ahead of a dense slate of U.S. economic data and central bank events this week.

At the lows, the bitcoin price was down roughly 7% on the month, continuing a choppy consolidation that has defined price action since October’s all-time high, per Bitcoin Magazine Pro data.

Broader crypto markets showed little sign of strength. 

Major altcoins including Solana, XRP, Dogecoin and Cardano continued to slide, extending double-digit monthly losses and reinforcing bitcoin’s dominance near 57% of total crypto market capitalization. Volumes remained muted, reflecting a lack of conviction rather than outright capitulation.

Macro overhangs remain front and center. In the U.S., traders are bracing for employment data, inflation prints, PMI readings and Fed commentary that could reshape rate expectations. 

Globally, attention is turning to Japan, where the Bank of Japan is widely expected to raise rates later this week — an event that could pressure yen-funded carry trades that have helped support risk assets, including bitcoin, over the past year.

Technically, analysts are watching the mid-$80,000s closely. A sustained break below that zone could invite a deeper correction, while holding it would reinforce the idea that the bitcoin price remains range-bound rather than entering a new bear phase.

How low will the Bitcoin price go? 

Despite the uneasy backdrop, some of the loudest bearish calls are running far ahead of the data. Bloomberg Intelligence strategist Mike McGlone warned this week that the bitcoin price could collapse as much as 90% from its peak, potentially revisiting $10,000 in a future deflationary downturn. 

The forecast echoes prior bearish calls and comes as leveraged long positions continue to unwind, with roughly $230 million in bitcoin longs liquidated over the past 24 hours.

On-chain data, however, tells a far more nuanced story.

Bitcoin Magazine Pro’s Price Forecast Tools — built on network fundamentals rather than sentiment — suggest the market is trading below fair value, not on the brink of structural collapse. 

Aggregated indicators such as CVDD, Balanced Price and the Bitcoin Cycle Master currently point to a fair market value near $106,000, with long-term downside risk clustering closer to the $80,000 range rather than anywhere near five figures.

Historically, these metrics have aligned closely with cycle tops and bottoms, offering a framework that cuts through short-term noise. 

While macro conditions will continue to dictate volatility, on-chain signals suggest the current drawdown looks more like late-cycle consolidation than the start of a generational unwind.

At the time of writing, the bitcoin price is $89,317.

This post Bitcoin Price Bleeds Below $89,000 After Grim Weekend  first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Michael Saylor’s Strategy ($MSTR) Makes Second Straight $1 Billion Bitcoin Buy

Strategy, the world’s largest publicly traded bitcoin holder, added nearly another $1 billion worth of BTC last week, marking its second consecutive mega-purchase as bitcoin prices pulled back toward the $90,000 level.

The company acquired 10,645 bitcoin for approximately $980.3 million, paying an average price of $92,098 per BTC, according to a filing released Monday. 

Strategy now holds 671,268 bitcoin, purchased for a total of $50.33 billion, giving it an average acquisition cost of $74,972 per coin.

As with recent purchases, the acquisition was funded primarily through equity issuance. The company raised $888.2 million through sales of common stock, with the remainder coming from sales of its STRD preferred shares.

Despite ongoing concerns around shareholder dilution, the company has aggressively leaned on equity markets to increase its bitcoin exposure.

The latest buy comes amid a broader pullback in bitcoin, which dipped below $90,000 over the weekend before stabilizing near $89,600. MSTR shares were flat in premarket trading Monday.

BREAKING: STRATEGY BUYS ANOTHER 10,645 #BITCOIN FOR $980.3 MILLION pic.twitter.com/lbsLi7n6te

— Bitcoin Magazine (@BitcoinMagazine) December 15, 2025

The purchase stands out not only for its size, but for its timing. While Strategy has been a steady buyer throughout 2025, most of its weekly acquisitions in recent months were relatively modest due to fundraising constraints. 

Over the past two weeks, however, Executive Chairman Michael Saylor has ramped up purchases, signaling renewed conviction despite volatility in both bitcoin and Strategy’s stock.

Strategy ($MSTR) stays on the Nasdaq 100

Separately, MSTR confirmed it will remain a constituent of the Nasdaq 100, maintaining its position in the index under the technology category. 

The company has also pushed back against proposals from index provider MSCI, which is reviewing whether to exclude bitcoin treasury companies from its benchmarks.

In the letter, Strategy argued that their proposed digital asset threshold is “misguided” and would have “profoundly harmful consequences.”

MSCI is expected to make a final decision in January.

The company, formerly known as MicroStrategy, pivoted from enterprise software to a bitcoin-focused treasury strategy in 2020. The model has since been replicated by dozens of firms, though critics argue these companies increasingly resemble bitcoin investment vehicles rather than operating businesses.

Still, Saylor has remains unapologetic and bold in his purchasing decisions. As of December 14, 2025, Strategy reports a year-to-date BTC yield of 24.9%, showing its commitment to accumulating bitcoin regardless of short-term market or equity price pressures.

At the time of writing, bitcoin is trading near $89,650. 

This post Michael Saylor’s Strategy ($MSTR) Makes Second Straight $1 Billion Bitcoin Buy first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Coinbase is About to Launch Prediction Markets and Tokenized Stocks: Report

Coinbase is reportedly preparing to launch its own prediction markets, powered by U.S.-based operator Kalshi, in a move that could expand the types of assets available on the exchange amid cooling investor interest in cryptocurrencies, according to reporting from Bloomberg and CNBC.

The announcement is expected to come next week, coinciding with Coinbase’s “Coinbase System Update” showcase on Dec. 17. While the exchange declined to confirm specifics, it encouraged users to tune into the livestream for updates.

Rumors of the new prediction markets have been circulating for nearly a month. In mid-November, tech researcher Jane Manchun Wong shared a screenshot of what appeared to be Coinbase’s prediction markets dashboard. 

The Information first reported the planned launch on Nov. 19, and Bloomberg later cited a source saying the event would also feature the rollout of tokenized stocks.

Coinbase as an ‘everything’ exchange

Coinbase’s moves align with CEO Brian Armstrong’s long-stated vision of building an “everything exchange” — a single platform offering access to crypto tokens, tokenized equities, and event-based contracts. 

Armstrong told investors in May that Coinbase aims to become a leading financial services app within the next decade.

The exchange is accelerating these initiatives amid rising competition from firms such as Robinhood, Gemini, and Kraken

Over the past year, these platforms have expanded tokenized stock offerings outside the U.S. and explored prediction markets, reflecting growing demand for alternative trading instruments.

The timing also comes as investor sentiment toward digital assets has cooled. A wave of liquidations in highly leveraged positions in mid-October triggered a crypto market pullback, prompting some investors to shift capital into safer assets. 

For Kalshi, the partnership marks another step in its strategy to integrate event contracts into mainstream trading platforms. 

Earlier this year, the company embedded its prediction markets into Robinhood, and it is reportedly in discussions with other brokers, including those in crypto, to expand its reach.

Prediction markets let users speculate on outcomes ranging from elections to sports games, and they have grown increasingly popular over the past year. Traditional exchanges and crypto platforms alike are now exploring them as a new way to engage traders. 

Gemini recently received approval to roll out its own prediction markets, while Crypto.com has partnered with the Trump Media & Technology Group on similar initiatives.

Coinbase’s planned in-house tokenized stock offerings would put it on par with competitors like Robinhood and Kraken, which currently offer similar products outside the U.S.

This post Coinbase is About to Launch Prediction Markets and Tokenized Stocks: Report first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Bitcoin Falls Below $90,000 As Vanguard Exec Struggles With Bitcoin Value 

The bitcoin price was trading in the $92,000 range earlier today but has now dropped back toward $90,000, reflecting continued volatility despite the U.S. Federal Reserve’s 25-basis-point rate cut. 

After briefly spiking above $93,000 yesterday, the crypto fell below $90,000 and stabilized around $90,600 at the time of writing.

The pullback comes amid mixed signals from the Fed. While the rate cut to 3.50%–3.75% was widely anticipated, Fed Chair Jerome Powell’s cautious remarks and a 9–3 split among FOMC members — one favoring a deeper 50-basis-point cut and two opposing any reduction — tempered enthusiasm for risk assets, including BTC.

Analysts described the decline as a “sell the fact” reaction, since markets had already priced in the move.

On top of this, Vanguard Group has begun allowing clients to trade spot Bitcoin exchange-traded funds (ETFs), marking a notable expansion in access to crypto products for the $12 trillion asset manager’s investors. 

Yet, Vanguard’s senior leadership emphasized that its fundamental view of BTC and other cryptocurrencies remains skeptical.

John Ameriks, Vanguard’s global head of quantitative equity, said Thursday at Bloomberg’s ETFs in Depth conference that Bitcoin is better seen as a speculative collectible than a productive asset. 

Comparing it to a viral plush toy, Ameriks highlighted that BTC lacks income, compounding potential, and cash-flow generation — the core attributes Vanguard looks for in long-term investments. 

“Absent clear evidence that the underlying technology delivers durable economic value, it’s difficult for me to think about Bitcoin as anything more than a digital Labubu,” he said, according to Bloomberg.

Despite this caution, Vanguard’s decision to allow trading of BTC ETFs on its platform was influenced by the growing track record of such products since the first BTC ETF launched in January 2024. 

Ameriks said the firm wanted to ensure these ETFs accurately reflect their advertised holdings and perform as expected.

Banks engaging with bitcoin

Earlier this week, PNC Bank became the first major U.S. bank to offer direct spot bitcoin trading to eligible Private Bank clients through its digital platform, using Coinbase’s Crypto-as-a-Service infrastructure. 

The launch follows a strategic partnership announced in July and reflects a growing trend among U.S. banks to integrate bitcoin into wealth management services.

Also last week, the Bank of America urged its wealth management clients to allocate 1% to 4% of their portfolios to digital assets, signaling a major shift in its approach to Bitcoin exposure. 

As of today, Bitcoin is trading at approximately $90,115.85, with a circulating supply of nearly 19.96 million BTC and a market cap of $1.81 trillion. 

Prices have fluctuated modestly over the past week, reflecting the broader market’s volatility.

This post Bitcoin Falls Below $90,000 As Vanguard Exec Struggles With Bitcoin Value  first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

Five Crypto Firms Win Conditional Approvals as National Trust Banks, Including Fidelity and BitGo

The U.S. Office of the Comptroller of the Currency (OCC) has granted conditional approvals for five digital asset firms — Ripple, Circle, Fidelity Digital Assets, BitGo, and Paxos — to become federally chartered national trust banks, marking a major milestone in the integration of cryptocurrency into traditional finance.

The approvals, announced Friday, allow the firms to convert from state-level trust charters to federal status, subject to meeting the OCC’s conditions. 

Once finalized, these institutions will join roughly 60 other national trust banks regulated by the OCC, gaining the ability to offer fiduciary and custody services nationwide. 

Unlike larger national banks, trust banks cannot accept cash deposits or make loans, but they can hold and manage customers’ digital assets.

‘Huge news’ for crypto

Circle, issuer of the $78 billion USDC stablecoin, said the charter would enhance the safety and regulatory oversight of its reserves while enabling fiduciary digital asset custody for institutional clients.

CEO Jeremy Allaire emphasized that the federal charter would provide “greater clarity and confidence” to institutions building on Circle’s platform as stablecoins gain mainstream adoption.

Paxos, known for PYUSD and the consortium-backed Global Dollar (USDG), said federal oversight would allow businesses to issue, custody, trade, and settle digital assets with clarity and confidence. 

The firm, which has operated under a New York Department of Financial Services (NYDFS) charter since 2015, first applied for a federal charter in 2020.

BitGo, a South Dakota–based crypto custodian, said the federal charter would allow it to expand services nationwide, including trading, staking, stablecoin, and treasury offerings for institutions. BitGo has also filed to go public, reporting $4.19 billion in revenue for the first half of 2025, up from $1.12 billion during the same period in 2024.

The approvals reflect a broader trend toward federal oversight of digital assets, coming after Anchorage Digital became the first federally chartered crypto bank in the U.S. Other firms, including Coinbase, Bridge (owned by Stripe), and Crypto.com, have also applied for federal charters.

OCC Comptroller Jonathan V. Gould emphasized that new entrants into the federal banking sector benefit consumers, foster competition, and promote innovation.

 “The OCC will continue to provide a path for both traditional and innovative approaches to financial services to ensure the federal banking system keeps pace with the evolution of finance and supports a modern economy,” Gould said.

This post Five Crypto Firms Win Conditional Approvals as National Trust Banks, Including Fidelity and BitGo first appeared on Bitcoin Magazine and is written by Micah Zimmerman.