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The news boosted confidence that Trump will deliver on his promises of crypto-friendly regulation, sparking gains across the sector. The President’s recently-launched memecoin, $TRUMP, also rose, although it traded well below its post-launch highs.Crypto markets had initially fallen after Trump’s inauguration, as the 47th President made no mention of crypto in a flurry of executive orders issued on his first day in office.Bitcoin rose 4.3% to $105,683.7 by 01:01 ET (06:01 GMT). The world’s biggest cryptocurrency hit a record high of over $109,000 just before Trump’s inauguration, but failed to hold those levels.The SEC- under the leadership of acting Chair Mark Uyeda, who was appointed by Trump, said on Tuesday it had created a task force to help draft a regulatory framework crypto.The task force will also help other government agencies draft crypto-related legislation, including the Commodity Futures Trading Commission. Trump is also expected to issue executive orders that will reduce regulatory scrutiny of crypto, while bolstering the adoption of digital assets.The President had campaigned on a pro-crypto stance, promising to make America the “crypto capital” of the world. Trump’s leadership is expected to see the SEC drop its long-running lawsuits against several major crypto firms, including Coinbase (NASDAQ:COIN) and Ripple. Trump confirmed that he was behind the recently launched $TRUMP memecoin, but brushed off questions asking him about the token’s wild performance since Friday.Speaking at a White House event, Trump told a reporter that he was not sure about the memecoin’s performance. When asked about the billions of paper gains it had added to his personal wealth, Trump said “several billion? That’s peanuts for these guys,” although it was not immediately clear who he was referring to.While $TRUMP was initially received positively by traders, its subsequent volatility, and the less well received launch of $MELANIA sparked questions over the ethics of Trump using his influence to sway speculative assets in his favor. Broader crypto market volatility also increased sharply after the launch of the memecoin. $TRUMP traded up nearly 28% at $43.068 on Wednesday.Broader crypto prices advanced in lockstep with Bitcoin. World no.2 crypto Ether rose 3.1% to $3,323.10, while XRP rose 4.5%.Solana, Cardano, and Polygon added between 5% and 11%, while among memecoins, Dogecoin rose 9.1%. More
$99 for your first yearFT newspaper delivered Monday-Saturday, plus FT Digital Edition delivered to your device Monday-Saturday.What’s included Weekday Print EditionFT WeekendFT Digital EditionGlobal news & analysisExpert opinionSpecial featuresExclusive FT analysis More
$99 for your first yearFT newspaper delivered Monday-Saturday, plus FT Digital Edition delivered to your device Monday-Saturday.What’s included Weekday Print EditionFT WeekendFT Digital EditionGlobal news & analysisExpert opinionSpecial featuresExclusive FT analysis More
Responding to questions from a reporter about the memecoin, Trump confirmed that he had launched the memecoin, but claimed to not have too much knowledge over having personally benefited from its performance.“I don’t know about benefited, I don’t where it is, I don’t know much about it other than I launched it, I heard it was very successful,” Trump said in a White House event on Tuesday. When responding to a reporter telling him that he had made “several billion dollars” from the memecoin, Trump said “several billion? That’s peanuts for these guys,” although it was not immediately clear who he was referring to. $TRUMP launched to trader fanfare last week, coming just days before Trump’s inauguration on Monday. The token surged to a market capitalization of over $14 billion at its peak, netting Trump, who is a major holder, billions in paper gains.But the memcoin swung wildly in volatile trade, raising some questions of potential price manipulation, especially amid rumors that Trump had sold some of his holdings. $TRUMP steadied at $41 after racing to a peak of nearly $80 after its launch. But the memecoin’s success, and the subsequent, less positively received launch of $MELANIA, spurred trader concerns over the ethical issue of Trump using his influence to sway speculative markets to his favor.Trump also made scant mention of crypto policy in his first two days in office, denting hopes that he would immediately dole out pro-crypto policies through presidential decrees. Bitcoin- which had surged to record highs over $109,000 ahead of Trump’s inauguration- tumbled from these peaks in volatile trade. Broader crypto markets also saw increased volatility after the launch of $TRUMP. More
Increased network activity and intense speculative interest in meme coins based on the Solana blockchain helped SOL reach its most recent peak of $295. But the momentum stalled, and SOL is currently trading close to its 50 EMA at $238. A breakdown below this level, which is currently at $240, could expose SOL to additional downside risks, but it also acts as immediate support. The Solana meme coin rally played a major role in its bullish run, drawing speculative inflows to projects that took advantage of Solana’s low fees and high throughput. Bearish pressure is being created, though, as the same liquidity that drove SOL higher is now leaving as the hype fades.Because of this change, Solana is now vulnerable, underscoring the dangers of relying too much on transient speculation. Recovering the $260 resistance and holding the $240 support level are necessary for SOL to get back on track. Restoring bullish momentum with a move above $260 might retest the $280-$295 range. On the downside, if SOL is unable to hold onto $240, it may fall toward $213, which is in line with the 100 EMA and a crucial support area from the consolidation in December.The slowdown in institutional inflows is one important contributing factor. Institutional investors made a substantial contribution to Bitcoin’s recent surge. But as the market euphoria wanes, this momentum seems to be fading. Additionally, the general enthusiasm for meme coins and altcoins that drove this rally’s early phases has diminished. Because of this, overall liquidity and inflow into Bitcoin have lagged, resulting in a period of consolidation for the cryptocurrency. Bitcoin is currently trading just above its 50 EMA, which has served as a support level in this upward trend. Even so, the trading volume is down, indicating that traders are unsure of their next course of action. The fact that the RSI is still neutral suggests that there are neither overbought nor oversold conditions at this time, but it also suggests that there is not enough momentum to move higher.It will require fresh buying pressure for Bitcoin to exit this range, possibly brought on by a resurgence of institutional interest or a fresh market catalyst. Bitcoin runs the risk of retracing to retest lower support levels like $98,000, which corresponds to the 100 EMA if it is unable to clear $105,000.The general enthusiasm of the market has also been affected by the slowdown in the meme coin’s performance. Earlier in the rally, Bitcoin benefited indirectly from the influx of new players brought in by the meme coin’s explosive growth. Now that there is less speculative activity, Bitcoin is in a more difficult situation.Since Dogecoin has dropped 20% from its most recent peak, investors are beginning to wonder where the meme coin will go. There are still grounds for optimism regarding DOGE’s overall market position and possible recovery in the upcoming weeks, notwithstanding the decline. During its most recent rally, DOGE reached a high of $0.50 before dropping to a crucial support level close to $0.36. This retracement is consistent with the market as a whole cooling off after a period of increased volatility, especially in the meme coin space. With its current price hovering around $0.38, DOGE is exhibiting stabilization as it continues to hold above the rising trendline that has sustained its rise since October.Additionally DOGE’s relationship to Bitcoin and general market patterns implies that any recovery in the price of BTC may have a favorable effect on Dogecoin. If the general mood of the market improves, DOGE may gain from fresh inflows as long as institutional interest in cryptocurrencies remains stable.In the near future, Dogecoin’s price is probably going to settle into a new base around the $0.36-0.40 range. The next significant price movement may be indicated by a breakout or breakdown from the $0.40 resistance and $0.36 support levels, so traders should keep a careful eye on these levels.This article was originally published on U.Today More
Speaking at a White House event on his second day in office, Trump said he was considering the Chinese tariffs on concerns over the flow of illicit drugs, specifically fentanyl, from China to Mexico and Canada, and into the U.S. He raised the possibility of tariffs against Mexico and Canada on similar grounds, of around 25%. Trump also raised the possibility of tariffs against the European Union, on the grounds that they had trade imbalances with the U.S. Trump had campaigned on promises of steep tariffs to further the U.S.’ trade dominance, and had threatened to impose 60% tariffs on China and potentially 100% tariffs on Mexico and Canada. But he did not impose any tariffs through executive orders on his first day in office, as widely expected. The 10% tariffs threatened by Trump against China are also much lower than what he had promised when campaigning. More
HONG KONG (Reuters) -After numerous measures to resolve a liquidity crisis in the property market in recent years, Beijing is expected to end up dusting off an old playbook and step in directly to stabilise a state-backed developer seen as a bellwether for the sector.With the crisis in the sector entering its fifth year, concerns about the financial health of China Vanke pose fresh challenges for the authorities, who have so far avoided the moral hazard of bailing out a debt-laden developer.Vanke’s crisis came into focus last Thursday after a state media report alleged that its CEO had been detained and that it could be subject to a takeover or reorganisation. The report was deleted within hours of its publication.Vanke, backed by state-owned shareholder Shenzhen Metro, declined to comment on the media report.All three global rating agencies have downgraded the developer deeper into junk since the media report, citing its eroding financial flexibility and an uncertain sales outlook for 2025.Worries over Vanke’s repayment ability intensified this month amid looming debt maturity deadlines – its next yuan repayment deadline is Jan. 27, while it has a total of $3.4 billion due this year.The government in the southern city of Shenzhen, where Vanke is headquartered, is stepping up meetings and coordination with local state enterprises on plans to contain the company’s debt risk and on asset disposals, said two people with knowledge of the matter.Vanke, whose interest-bearing debt stood at 331.3 billion yuan ($45.21 billion) as of the end of last June, is still trying to sell stakes in logistics platform GLP, property management unit Onewo, rental apartment businesses and shopping malls, among others, said two separate people close to the company.The sources declined to be named as they were not authorised to speak to the media.Vanke declined to comment. The Shenzhen government and Shenzhen Metro did not immediately respond to requests for comment. One of the best-known household names in China with many projects across bigger cities, Vanke is around a third owned by Shenzhen Metro. It had previously been viewed as immune to the property market turmoil which saw China Evergrande (HK:3333), the world’s most indebted developer with over $300 billion in liabilities, ordered into liquidation last year following its offshore debt default in late 2021.Analysts now express concern that Vanke’s problems could be the last straw for homebuyer confidence, which has shown signs of stabilizing in the past few months, and that banks could further shut financing to the sector, squeezing developers that have not defaulted. “Given Vanke’s iconic status in the property market in China, we think that the Shenzhen government should step in and help to solve its liquidity issue and prevent further deterioration of Vanke’s financial situation,” said Raymond (NSE:RYMD) Cheng, head of China research at CGS International Securities Hong Kong.BEST-CASE SCENARIOA full takeover of Vanke by the state, a possibility flagged by some analysts, would be a first-of-its-kind move in the world’s second-largest economy since the property sector crisis started in 2021.In the case of China Evergrande, the Guangdong provincial government set up a risk management committee to manage the fallout after the company said it might no longer be able to meet its financial obligation. Evergrande’s founder was later detained and the developer was subsequently ordered to be liquidated by a Hong Kong court.”Vanke is too important to the real estate industry … if it defaults it will ruin all the previous stabilization effort by the central government, and the risk may spread to the financial system,” said a Vanke bondholder, declining to be named.”Local government will for sure try its best to rescue Vanke.”Some analysts say a debt default is inevitable this year without fresh liquidity support as Vanke battles plunging monthly sales to below break-even levels and difficulties in borrowing from banks and disposing off assets. It fell to fifth by sales value last year from second in 2023.A Vanke creditor and a source close to the government in Shenzhen said a state rescue was unlikely to result in pumping in new capital, and analysts say a bailout could also involve other state firms buying assets or ensuring funding access.A government intervention also could stem from the need to ensure the completion of pre-sold homes, as Beijing in the recent past has been ramping up efforts to bolster homebuyer confidence, JPMorgan said in a research note on Jan. 16.A “clear government bailout” of Vanke would probably be the best-case scenario and would demonstrate that “the government is willing to put a floor under the property sector”, said Christopher Beddor, deputy China research director at Gavekal Dragonomics. More
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