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U.S. spot Bitcoin ETFs recorded approximately $484.9M in net outflows on October 7, their largest daily withdrawal since June. Spot Ethereum ETFs also lost approximately $160.9M that day.

Bitcoin's $80,000–$81,000 area remains an important downside zone, while reclaiming $83,000 would be an encouraging sign of stabilization. 💪💪

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Here’s what we got for you today:

  • 👀 How to launch your first token

  • ⭐ Is a government sell-off coming?

  • ⭐ Is Bitcoin heading to $75K?

  • 🔥 Burning hot takes for the road

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Silver Miners Have Outrun Silver Since 2020

Since March 2020, silver has returned about 402%. The silver miners returned 445%.

That gap is the leverage our research team focuses on. When silver rises, a producer's net asset value can rise much faster, and share prices tend to follow. It works in both directions, and a mine is only as good as the company running it.

The Ultimate Silver Playbook shows how the team separates the miners worth owning from the rest, and which silver stocks are on its watchlist now. It's free.

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Ever wondered how people launch their own cryptocurrency without knowing how to code or having a huge budget? 👀

With PinkSale and AI, the process is more accessible than you might think. But a few overlooked settings can make your project look risky before it even launches.

I'll walk you through the launch process, where AI can help, and the mistakes beginners should watch out for. Read the full guide before launching your first token 👇

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🚨 U.S. GOVERNMENT SHIFTS $1.4B IN SEIZED BTC TO COINBASE

The U.S. government just made massive crypto transfers to Coinbase addresses, sparking fresh fears of a major government sell-off and triggering a wave of liquidations across the market.

1/ The $1.4 Billion On-Chain Movement

What started as a sizeable transaction quickly turned into a billion-dollar wave according to data from Arkham Intelligence and Onchain Lens:

  • On October 7, U.S. government-tagged wallets moved roughly $471.7 million in crypto to deposit addresses at Coinbase Prime. This included 3,974 BTC ($329.95M) linked to the Bitfinex hack, alongside 657.92 BTC, 750.19 WBTC, and 24.89 million USDT seized from the FTX/Alameda cases.

  • On the night of October 8, official wallets moved another 12,267 BTC (worth over $1 billion) directly to Coinbase. Like the earlier batch, these funds were tied directly to the 2016 Bitfinex hack law enforcement seizures.

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Even after these massive transfers, the U.S. government still sits on roughly $26.6 billion in crypto across 618 addresses, holding around 319,062 BTC along with $ETH ( ▼ 2.46% ), $BNB ( ▼ 3.44% ), and various stablecoins.

2/ Market Reaction

BTC immediately lost ground, dropping below the $81,000 support level and dragging major large-cap altcoins down with it.

The sudden drop triggered a massive leverage flush. Over $640 million in long derivative positions were liquidated within a 4-hour window on Thursday night.

3/ Strategic Reserve vs. Seized Assets

Many traders are asking: Doesn't Executive Order 14233 prohibit the government from selling its Bitcoin? Here’s how the rules actually play out:

  • Trump signed Executive Order 14233 establishing a Strategic Bitcoin Reserve, stating that fully forfeited government Bitcoin must be held and not sold.

  • The order does not apply universally to all government-controlled crypto. It permits asset sales or transfers if ordered by a court, or if required to pay restitution to victims.

The ~95,000 BTC seized from Ilya Lichtenstein and Heather Morgan stems from the 2016 Bitfinex breach (where 119,754 BTC was stolen). Because these funds and the FTX/Alameda assets are tied to ongoing forfeiture, victim compensation, and court processes, they fall outside the permanent reserve lock.

Coinbase Prime acts as an institutional custodian and executing broker for the U.S. Marshals Service. Back in July, the government moved $288M in BTC and ETH to Coinbase Prime without executing any market sales.

🧠 My Analysis: Don't Panic Buy or Sell the Headlines

While seeing $1.4B hit an exchange deposit address looks scary on Arkham, history shows the U.S. Marshals often move funds strictly for institutional custody or structured victim restitution long before any OTC liquidation takes place.

However, because Bitfinex and FTX funds sit in a legal category exempt from the Strategic Bitcoin Reserve rules, the market is naturally pricing in execution risk.

Keep an eye on open interest reset levels and avoid over-leveraging while these wallet movements settle!

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Take the prompts our creative team actually uses

The key to maintaining brand quality at scale? Mastering how to communicate with AI models and embedding them into your creative strategy.

Join our honest discussion with Ari Murray, Chief Digital Officer at Salt and Stone, and get 5 tips for expert LLM prompting with ready to run prompts.

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🩸 IS CRYPTO HEADING FOR ANOTHER "OCTOBER BLOODBATH"?

Crypto traders just lost over $1 billion in forced liquidations in a single 24-hour window as $BTC ( ▼ 0.46% ) dropped down to hit $80,393.

Out of that $1 billion wipeout, about $930 million were long bets, traders getting wrecked for expecting the market to go up, according to CoinGlass data.

Actually, this massive sell-off happened just 2 days before the anniversary of the October 10, 2025 crash, which wiped out $19 billion in leverage. Back then, BTC hit an ATH near $126,200, and it hasn't seen those high levels since.

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1/ What Triggered the Flash Crash?

Liquidations happen when exchanges automatically close out leveraged trades because the trader runs out of margin. When one position gets closed, it causes a domino effect, triggering a chain reaction of more sell orders.

This was the biggest long liquidation event on CoinGlass in 90 days. Over $600 million got wiped out in just 1 hour, the highest single-hour total in over a month.

Is history repeating? Even though $1B is a huge number, it's still only about 1/19th of the damage we saw during the October 10 crash last year. So far, the data doesn't point to a total repeat of that $19 billion nightmare.

2/ External Macro Pressure: WS & Oil Are Squeezing Crypto

This sell-off didn't start inside crypto. The real pressure came from external, macro forces beating down risk assets across the board:

  • Fed meeting minutes released on Oct 7 showed that most officials still favor one more rate hike this year. High interest rates are bad news for risk assets like crypto.

  • The US 10-year Treasury yield climbed near 5.3%, while Brent Crude oil held high around $105/barrel. On top of that, US diesel fuel prices hit $6.41 per gallon.

  • US Spot Bitcoin ETFs saw $487 million in net outflows in a single day, it’s the largest institutional pull-out since late June, according to SoSoValue.

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On-chain data from Glassnode shows the recent price action was driven by existing holders moving funds around, not fresh buyers. Inflow from ETFs, stablecoins, and corporate treasuries is drying up.

3/ Will $80K Hold or Are We Going to $75K?

Glassnode data showed a huge cluster of buy orders sat around $81,000 on Binance. BTC broke below that level for a few hours before bouncing back up, but the danger isn't over yet.

The next major cluster of leverage liquidity is sitting down near $75,000. Popular trader Ted Pillows warned that if Bitcoin loses the $81,500 – $82,000 zone for good, a drop straight down to $75,000 is on the table.

Analyst Rekt Capital pointed out that Sunday's weekly close will dictate the entire trend:

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"Bitcoin is currently failing to retest the ~$82,500 area. If it closes the week below $82,500 and turns it into resistance, Bitcoin will drop back into its broader macro consolidation range."

The real market test comes on Oct 14, when the US September inflation (CPI) data drops.

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🔥 BURNING HOT TAKES FOR THE ROAD

Citrini Research just revealed its portfolio for the first time, highlighting top tokens set to boom from the tokenization trend. Read more

OpenAI’s $20B revenue shortfall sent shockwaves through Wall Street, dragging the Nasdaq down by 300+ points. Read more

LayerZero’s TVL surged 49% in 24 hours, jumping from $7.85B to $11.71B. Over $3.9 billion poured in overnight. Read more

Samsung is integrating USDC into Samsung Wallet starting late October. Galaxy users can transfer funds to foreign crypto wallets. Read more

Aptos is wrapping up its 4-year vesting schedule for early investors. Monthly APT token unlocks are dropping by 60%. Read more

Major crypto media outlet, Cointelegraph, is seeking a buyout amidst a sharp decline in overall website traffic. Read more

🤡 SPICY MEME

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💌 SHOUTOUT FROM OUR FIRESTARTER

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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.

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