⬇️ Bitcoin Is Deflationary?

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Rake in $46 million in 2 months. With 5 meme coins. Use one wallet. And now people think it might all be fake, down to the last dollar. Not the money, not the trading, not even the trader.

Here’s what we got for you today:

• ⭐ 6 Things You Shouldn’t Miss

• 💸 How One Trader Pulled $46.5M Out of Hyperliquid …

• 🚨 The Old Bitcoin Playbook? Toss It Out. Institut …

• 🤡 Meme Of The Day

⭐ 6 Things You Shouldn’t Miss

✂️ The US cut tariffs from 145% to 30%, and China from 125% to 10%, effective for 90 days only. $BTC instantly surged to $105.8K on the news.

📉 The $DOOD.X ( ▲ 0.32% ) token dropped 40% in under 24 hours, while Doodles NFTs plunged 60% in floor price. Market cap fell from $100M to $60M. Classic case of FOMO and profit-taking. Similar to Pudgy Penguins' $PENGU.X ( ▲ 6.05% ) drop — a reminder that hype-driven launches carry high risk.

💰 Meta’s planning to launch its own stablecoin and roll it out directly through WhatsApp. One potential example: Instagram using stablecoins to pay creators small amounts (~$100) in various countries more efficiently than fiat.

💵 Arbitrum is taking a big step toward real-world asset integration, allocating $11.6M of its treasury to tokenized U.S. Treasurys via respected institutions. ARB up 7.7%. Over $240M in RWAs now live, a 50x increase in one year.

📊 $ETH.X ( ▲ 2.03% ) is back above $2.5K, pulling the entire market up. Layer 2s lead with 11.4% growth in 24H. Even the worst-performing tokens are bouncing back, with 50%-70% gains, and some 2x-3x from the bottom. LSDFi is also showing recovery, while Pectra is driving the ecosystem forward.

🚨 Dark Stablecoins: The Future of Censorship-Resistant Crypto? As governments tighten stablecoin regulations, dark stablecoins - either algorithmic or from non-censoring countries - could emerge. Users might seek these for censorship resistance as traditional stablecoins face increasing government oversight.

💸 How One Trader Pulled $46.5M Out of Hyperliquid: Is It Real?

A trader named James Wynn has gone viral after claiming to make $46.5 million in under 2 months trading on Hyperliquid. According to on-chain analytics firm Lookonchain, Wynn began actively trading on Hyperliquid around mid-March.

Since then, he has opened strong long positions with leverage ranging from 5x to 40x on Bitcoin and meme coins. Five of those positions are still open and continue to generate significant unrealized gains.

Sounds impressive. But more than a few people now believe it could be staged. Is this a real trading genius, or just a well-scripted performance designed to pull in attention, referrals, and maybe your money?

1️⃣ The Big Picture: Who Is James Wynn?

• Strategy: Aggressive leverage between 5x and 40x.

• Main trades:

  • 10x long on $PEPE.X ( ▲ 13.16% ) : $23.8M in unrealized gains.

  • 40x long on $BTC.X ( ▼ 0.37% ) : $5.4M unrealized.

  • 10x long on $TRUMP.X ( ▲ 2.28% ) : $5.57M.

  • 5x long on $FARTCOIN.X ( ▲ 3.21% ) : $5.15M.

  • 5x long on $HYPE.X ( ▲ 1.28% ) : just $31,000.

His consistent strategy and performance have put him at the top of Hyperliquid’s trader leaderboard. In just 24 hours alone, he reportedly made $11.4 million.

2️⃣ Red Flags: A Classic Setup? Here’s how it might work behind the scenes:

According to author Moe, not all PnLs are real.

You start by creating multiple wallets on Hyperliquid. Then use other wallets or centralized exchanges (CEXs) to hedge those trades and stay neutral overall. But only one of them will show perfect, “unbelievable” profits. That’s the wallet you show the world.

Why do this?

It builds instant credibility. People see a trader with millions in profit and think: “I need to follow this guy.” It’ll attract copy traders and followers.

From there, it’s easy to plug referral links, promote meme coins, or launch a token — all under the image of being a “master trader”.

This follows an old scam pattern. Back in the day, scammers used to send out stock tips to thousands. Half would get “buy”, the other half “sell”.

→ Repeat this for a few months, each time only messaging the people who got the correct tip last round. After 4 or 5 cycles, a small group is left convinced you're a genius, and that’s when you sell them something.

It might not even belong to a real trader. It could be managed by a liquidity provider sharing profits, or just a “lead actor” in a staged performance to build fake credibility.

3️⃣ A PR Campaign in Disguise?

Wynn has been openly attacking centralized exchanges like Bybit, accusing them of insider token dumps and retail manipulation.

Claims he turned down a $1M/month offer from Bybit for “ethical reasons.”

Meanwhile, he praises Hyperliquid as the only transparent and fair platform.

Even after Hyperliquid faced backlash from the recent JELLY short squeeze, Wynn continued supporting it publicly.

4️⃣ Hyperliquid's Rise and Risks

According to DeFiLlama, Hyperliquid now owns 60% of the decentralized perps market. Its rapid growth has outpaced competitors like GMX and dYdX, up from 44% as of the end of 2024.

But its non-KYC, wallet-friendly model means it’s very easy to manipulate stats, hide losses, and stage trades. No real way to know if $46M was ever cashed out.

People really want to believe in trading heroes. Especially when the PnL is huge. This feels less like real trading, and more like a carefully planned narrative to build clout and profit off attention. In crypto, when something looks too perfect, it usually is.

🚨 The Old Bitcoin Playbook? Toss It Out. Institutions Are Driving Now.

Bitcoin above $100K is impressive - but it’s how we got here that really matters. The game has changed. And both Michael Saylor and CryptoQuant’s CEO Ki Young Ju agree:

Here’s what’s going on 👇

1️⃣ Michael Saylor: Why $BTC.X ( ▼ 0.37% )  Isn’t at $150K Yet

In a May 9 interview, Saylor explained why Bitcoin hasn't broken $150K (You can watch at 18:37)

• Short-term sellers (like governments and asset managers) took profits after Bitcoin hit an ATH on Jan 20, 2025, then exited. These sellers don’t have long-term conviction. They added selling pressure during key momentum.

• After the ATH, $BTC.X ( ▼ 0.37% ) dropped to $76,273 on April 9, but recovered due to positive macro factors - like Trump’s tax proposal.

→ Saylor says this is just a transition phase before a stronger wave of long-term capital enters the market.

• The new investor base forming, mainly through:

→ Spot ETFs: ETF inflows are already strong 📊

• In the 5 trading days before May 9, Bitcoin ETFs saw $564.7M in inflows

• BlackRock’s IBIT fund alone brought in $1.03B that week

→ Institutional buyers like Strategy: They currently holds 555,450 BTC (~$57.23B)

• This includes 1,895 BTC bought for $180.3M in early May

• They’re not trading - they’re accumulating as a strategic reserve

👉 One final point: Saylor is surprised the U.S. government hasn't bought BTC yet, but notes that government tone has shifted positively since Trump took office.

2️⃣ Ki Young Ju: The Bitcoin Cycle Theory Is Obsolete

CryptoQuant CEO Ki Young Ju now says the old bull/bear cycle theory doesn’t work anymore. Why?

→ Before: The market used to revolve around whales, miners, and retail - they’d pass bags back and forth.

→ Today: It’s all about ETF inflows and institutional buying - especially from players like Strategy.

• Ki even admits he was wrong, two months ago when he said the bull cycle was over. Now he sees:

  • Reduced selling pressure

  • Massive new ETF-driven demand

  • Rising allocations from global TradFi players

• ETFs, and OTC desks—aren’t trading like retail. They’re moving billions off-chain, through private deals or derivatives. That makes on-chain data messy and harder to read.

• Right now, it’s liquidity that’s moving $BTC.X ( ▼ 0.37% ) , not the usual “post-halving” magic we used to rely on. New cycle, new rules.

• Strategy’s impact alone is massive:

  • They are holding 555,450 BTC with no plans to sell. The firm’s Bitcoin holdings are up 50.1% due to long-term accumulation strategies and sustained institutional conviction, not because of cyclical timing.

  • CryptoQuant estimates Strategy’s buying pace is shrinking the effective BTC supply by 2.23% annual deflation rate.

→ Cycles are shorter, more flexible and less predictable

And there’s more brewing under the surface...

🔍 Analyst Kyledoops just pointed out that CryptoQuant’s Bull-Bear Indicator flipped bullish for the first time since February - even if just slightly - as BTC reclaimed $100K.

👀 Translation: the charts are quietly setting up for something big, while the crowd’s still stuck watching old signals.

3️⃣ What It All Means

• Bitcoin’s price is holding above $100K, but the old rules don’t apply.

• It’s not just about halving cycles or whale wallets anymore.

• The big drivers now:

  • ETF inflows

  • Institutional reserve strategies

  • Macro policies (like taxes and inflation hedging)

Trader Take:

Forget stressing about old whales dumping their bags — that’s not the real story anymore.

What really matters now? How much fresh liquidity is flowing in from institutions and ETFs.

Because honestly, that kind of buying power can easily overpower even the biggest whale sell-offs. It’s a different game now.

🤡 Meme Of The Day

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This newsletter is for informational purposes only and should not be considered investment advice. Traders should conduct thorough research, understand the risks, and carefully evaluate their decisions before investing in cryptocurrency.