A step back after a recordweek

Every week, Amdax summarizes what’s happening in the crypto market for you. Want to dive deeper? Click on the links in this email for more insights.

This newsletter is a co-production with our partner, Bitcoin Alpha. 

Market update

Stay informed in three steps:      

1. Bitcoin pulls back after new all-time high

Last week, bitcoin set a new all-time high of $124,500—just 1% above the previous record set a month earlier. A convincing breakout failed to materialise, and the price retreated to just below $113,000. The correction coincided with renewed concerns over rising inflation in the United States.

2. Ether ETFs see outflows after strongest week since launch

Following a record-setting week, US-based ether ETFs saw total outflows of $686 million on Monday and Tuesday—$430 million of which occurred on Tuesday alone. Ether’s price dipped to just above $4,000. Despite this, net inflows remain firmly positive at over $12 billion since their launch in early 2024. The recent outflows appear to be more of a breather after a strong rally than a sign of structural weakness.

3. Macroeconomic Data Keeps Market on Edge

The US Producer Price Index for July rose by 0.9% month-over-month, far exceeding the 0.2% forecast. Meeting minutes from the Federal Reserve once again revealed concerns over persistent inflation. Still, markets continue to price in a rate cut in September. All eyes are now on this week’s Jackson Hole Symposium, where Chair Powell’s speech may shed more light on the path of interest rates—and potentially trigger new momentum in the crypto market.

News Overview

The key headlines from this week:

• Amdax Launches Bitcoin Treasury Initiative in Amsterdam
  Amdax has established AMBTS B.V. with the intention of listing a bitcoin treasury company on Euronext Amsterdam. Following an initial capital raise, the company will begin building a strategic bitcoin position. Long-term, the ambition is to become a “1% Bitcoin Treasury Company,” holding over 210,000 BTC. With this initiative, Amdax aims to offer institutional investors in Europe a regulated entry point to bitcoin—an alternative to the US-based products currently dominating the market.
• SEC Chairman Atkins Commits to Crypto. 
  In a recent Fox Business interview, SEC Chair Michael Atkins stated that he is mobilising his entire agency to position the US as the “crypto capital of the world.” Under the banner of Project Crypto, the initiative seeks to bring clarity to custody, token classification, and market structure. Atkins called it a historic opportunity to unite innovation and capital markets, signalling Washington’s intent to lead the global playing field.
• Confusion Over the US Bitcoin Reserve
  Earlier this week, Treasury Secretary Bessent said the US is not actively acquiring bitcoin; the current reserve, estimated at $15 to $20 billion, consists solely of seized assets. However, a later post on X suggested otherwise. The government appears to be exploring ‘budget-neutral’ ways to expand its bitcoin holdings. Washington is clearly experimenting with creative paths to becoming the world’s bitcoin superpower.
• Uniswap Leverages DUNA to Bridge to the Real World
  Uniswap is exploring a new legal wrapper called a DUNA (Decentralized Unincorporated Nonprofit Association), recently established in Wyoming. The structure grants DAOs legal recognition while limiting participant liability—similar to how the LLC once revolutionised business formation. Governance decisions made on-chain could soon become legally binding off-chain. The aim: allow Uniswap to form contracts and partnerships while remaining fully decentralised.
• Citigroup Eyes Crypto Custody
  Global banking giant Citigroup is preparing to offer crypto services, starting with bitcoin and ether custody—primarily for issuers of exchange-traded products. This positions Citigroup as a direct competitor to Coinbase, which currently controls 80% of this market. The bank is also exploring the use of stablecoins to speed up payments, building on earlier successful pilots.
• Google Takes 8% Stake in Bitcoin Miner TeraWulf
  As part of a broader deal with AI infrastructure platform Fluidstack, Google has acquired an 8% stake in TeraWulf. Over the next decade, TeraWulf will supply more than 200 MW of computing power to Fluidstack. The deal involves significant capital and risk, prompting Google to back it with a $1.8 billion guarantee. It marks another sign of bitcoin miners pivoting toward AI compute markets.

Amdax’s Take

This week’s decline is primarily a correction following recent all-time highs. Bitcoin and ether gave back some gains, while ETFs saw their first significant outflows. Such movements are typical in a rising market. With ETFs now part of the landscape, crypto assets increasingly mirror traditional markets: prices respond to macro data and capital flows. Volatility is moderating compared to previous cycles, leading to a more stable price path that demands greater investor patience.