Bitget Daily Digest (February 12) | Elon Musk's name change sparks on-chain speculation, WLFI increases $MOVE and $ETH holdings again 

Market highlights

1. The AI sector rebounded with core infrastructure projects leading the gains, signaling a potential short-term bottom. Cookie data showed a 62% surge in $ARC yesterday, topping the market as its Launchpad ecosystem boosted token value. $Fartcoin gained over 10%, fueled by Super Bowl hype, while $Cheems saw a 56% increase, benefiting from inflows driven by the BNB ecosystem. Meanwhile, capital inflows into $Bankr and $Cookie pushed their prices up 19% and 32%, respectively. $Virtuals, with Solana integration, saw a 17% rise in market cap, while $AI16Z, with multi-chain compatibility, gained 34%.

2. Trump-backed crypto project WLFI announced the launch of the Macro Strategy Reserve Fund, aimed at supporting major crypto projects like Bitcoin and Ethereum while tokenizing assets to mitigate risks. WLFI is also partnering with Ondo Finance to explore integrating Ondo's tokenized assets as reserve holdings. Additionally, WLFI acquired a large amount of $ETH and increased its $MOVE holdings to 1.63 million tokens.

3. The U.S. Securities and Exchange Commission (SEC) is expediting its review of spot Solana ETF applications from 21Shares, Bitwise, Canary, and VanEck, while Franklin Templeton has submitted a new Solana Trust registration, fueling expectations for SOL's mainstream adoption. Meanwhile, the SEC initiated a 21-day public comment period for the proposed Canary Solana ETF. Goldman Sachs doubled its Bitcoin ETF investments, raising its holdings to $1.5 billion in Q4 2024, signaling growing institutional interest in crypto.

4. Musk unexpectedly changed his X account name to "Harry Bōlz", a reference to a DOGE employee, causing a same-named token to skyrocket over 100x in a single day. Previously, his endorsement of an employee nicknamed "Big Balls" had triggered speculation around the token $BIGBALLS. Now, traders are watching names on Musk's team list—Dick Hurtz and Ligma Johnson—as potential memecoin opportunities.  However, these marketing stunts may ultimately aim to boost $DOGE, and caution is advised against extreme volatility following sudden price surges.

 

Market overview

1. $BTC saw a short-term dip as the broader market remained in decline, with the top 50 tokens trending bearish. The new token $LAYER exhibited strong volatility, initially dropping nearly 50% after trading opened before rebounding sharply and nearly doubling in value. No sector showed standout performance.

2. U.S. stocks closed mixed, with Tesla falling over 6%. U.S. Treasury yields rose, crude oil futures gained over 1%, and gold pulled back from record highs. 

3. Currently standing at 95,729 USDT, Bitcoin is in a potential liquidation zone. A 1000-point drop to around 94,729 USDT could trigger over $196 million in cumulative long-position liquidations. Conversely, a rise to 96,729 USDT could lead to more than $152 million in cumulative short-position liquidations. Both long and short positions should exercise caution and manage leverage prudently to avoid large-scale liquidations. 

4. Over the past day, Bitcoin saw $16.96 billion in spot inflows and $17.12 billion in outflows, resulting in a net outflow of $160 million. 

5. In the last 24 hours, $BTC, $ETH, $SOL, $XRP, and $LTC led in net outflows in futures trading, signaling potential trading opportunities.

6. According to the latest data from SoSoValue, U.S. spot Bitcoin ETFs recorded a single-day outflow of $27.4138 million, with cumulative inflows at $40.49 billion, with total positions reaching $113.613 billion. Outflows have decreased significantly compared to the previous day. 

Highlights on X

1. HAOTIAN: Five antifragile investment principles for retail investors in the AI agent gold rush

As the AI agent sector booms, retail investors must move beyond outdated strategies from previous cycles and adopt an antifragile investment framework. Here are five key rules to navigate this evolving landscape:

a. Avoid FOMO-driven chases – Steer clear of "speedrun" projects, especially those prone to high manipulation.

b. Look beyond developer credentials – Blind faith in developer backgrounds or GitHub ratings is risky; thorough technical and operational assessments are essential.

c. Don't rely solely on CEX valuations – High initial valuations (exceeding $100 million) for on-chain projects often indicate bubbles, not sustainable growth.

d. Optimize position allocation – Concentrate capital on well-researched projects instead of scattering funds across PvP junk assets.

e. Ditch the "diamond hands" mindset – Adapt quickly and rebalance positions flexibly to capture market opportunities. The AI agent sector is still in its wild growth phase, and retail investors are more likely to survive by waiting for underpriced Alpha assets instead of overpaying for hyped narratives, enforcing strict position sizing to minimize downside risk, and maintaining strong discipline by exiting upon profit realization.

By following these principles, investors can hedge against uncertainty rather than getting burned by inflated valuations.

X post: https://x.com/tmel0211/status/1889283488266035230

2. @Metabape: A new memecoin trading approach – Event-driven and probability-based speculation

Traditional value-based trading strategies are proving ineffective, giving way to a short-term speculation strategy based on event triggers and probability-based calculations. This method prioritizes clear event triggers—such as official announcements, exchange listings, and project-driven manipulations—while implementing strict risk control to minimize unnecessary losses. 

Core principles: 

a. Speculate on verifiable events: Focus only on events that can be confirmed in the short term, such as official statements or exchange listings.

b. Prioritize probability over narratives: Assess post-event gain potential based on current market cap, rather than buying into a narrative that's already priced in.

c. Maintain rigid strategy execution: Take profits immediately when an event is triggered, and cut losses mechanically if the event fails to occur within the expected timeframe to prevent emotional interference. 

d. Contrarian trading: Look for opportunities in collective panic or skepticism (e.g., the $PAIN fundraising controversy). This "Texas Hold'em-style" strategy treats crypto as a probability game, using limited capital for high-risk, high-reward bets. It acknowledges the role of luck but improves win rates through logical preparation (e.g., spread bets, necessity analysis of events). Ultimately, the goal is "to profit from what you know while keeping losses within your planned limits."

X post: https://x.com/Metabape/status/1888986003375067474

3. Shrimp: Profit and loss share the same source – survival rules for crypto gains

In market cycles, many people fall into the "profit-loss loop" due to greed and poor strategy, ultimately giving back their gains. The key to preserving profits lies in establishing disciplined strategies: 

- Convert earnings into BTC as a long-term "anchor." 

- Withdraw profits promptly.

- Strictly control position sizes to avoid excessive risk.

- Trade with the trend rather than against it.

- Completely stay away from leverage.

 At the same time, it is crucial to recognize one’s own capability boundaries, focus on familiar strategies (e.g., arbitrage, free rewards), and avoid switching strategies blindly or chasing high-risk speculation (e.g., futures, memecoins) that could spiral out of control. True long-term investing does not mean avoiding risk entirely but managing exposure and maintaining rational discipline to accumulate gains through bull and bear cycles.

X post: https://x.com/shrimpwen/status/1889139796187980065

4. 0xWizard: AI sector survival game – rebuilding value and breaking out after the crash

The on-chain market has entered a "PvP hype death spiral," primarily due to low-value projects (e.g., $CAR, $TRUMP) draining market trust, alongside speculative capital exploiting shallow narratives (liquidity binding, narrative rebranding) for short-term gains. However, the AI sector is far from finished, and the next phase must overcome three key hurdles: 

a.  Deep value capture: Shifting from "riding the AI hype" to building real interactive use cases (e.g., data training incentives, model ownership markets).

b.  Ecosystem reinforcement: Leading projects must serve as resource hubs rather than mere liquidity black holes. 

c.  Narrative structuring: Establishing a multi-layered ecosystem (infrastructure, middleware, application layer) that accommodates different capital sizes. Retail investors should be wary of the "crash = opportunity" mindset — instead of blindly chasing the remnants of past trends, they should patiently wait for new leaders to emerge through ecosystem-level breakthroughs.

X post: https://x.com/0xcryptowizard/status/1889177280431489343

 

Institutional insights

1.JP Morgan: Crypto ecosystem growth slowed in January despite an increase in total market cap

Article: https://www.coindesk.com/markets/2025/02/11/crypto-ecosystem-growth-slowed-in-january-even-as-total-market-cap-rose-jpmorgan-says

2.Matrixport: Ethereum RSI hit an all-time low – Pectra upgrade expected to drive ETH price recovery

X post: https://x.com/Matrixport_CN/status/1889210683356532903

3.Santiment: Exchanges shed 224,410 ETH in a single day – highest net outflows in 23 months

X post: https://x.com/santimentfeed/status/1889137692958490985

 

News updates

1. The Oklahoma State Council passes a bill to establish a strategic Bitcoin reserve.

2. Portugal launches the KvarnPortugal crypto investment fund.

3. The Ukrainian government plans to legalize cryptocurrencies by this summer.

 

Project updates

1. Goldman Sachs doubles its investment in Bitcoin ETFs, increasing its holdings to $1.5 billion in Q4 2024.

2. Trump family crypto project, WLFI, has purchased 1917 ETH and over 830,000 MOVE tokens in the past 8 hours.

3. The U.S. SEC has accepted Solana spot ETF applications from 21Shares, Bitwise, Canary, and VanEck.

4. Uniswap Labs CEO: More Unichain optimizations will be introduced soon.

5. Plume Network partners with Superstate to expand tokenized financial product offerings.

6. Trump family crypto project WLFI partners with Ondo Finance to advance tokenized RWA adoption.

7. Lido releases V3, introducing customizable "stVaults" to support advanced Ethereum staking strategies.

8. FTX's first-phase repayment amounts to $6.5 billion to $7 billion, settled based on November 2022 price levels.

9. Bittensor: Dynamic TAO (dTAO) upgrade will take place between the 10th and 14th.

10. ARC: New token issuance mechanism and first native project to be launched.

 

Recommended reads

1.Coming soon on Pump.Science—can new compound projects rival Rif/Uro? 

Pump.fun once brought in tens of millions of dollars per day, and now Four.Meme has CZ's endorsement. The gambling effect of on-chain launch platforms remains strong. The long-dormant decentralized science (DeSci) sector is also heating up, with Pump.Science set to unveil a new launch platform next week.

Article: https://www.bitgetapps.com/zh-CN/news/detail/12560604564641

2.Does it even matter if Aave moves to Solana? 

Aave is a core DeFi application within Ethereum's ecosystem, alongside Uniswap and Lido, shaping Ethereum's DeFi landscape. However, some in the community question why top Ethereum DeFi projects are missing out on Solana, an ecosystem with massive potential.

Article: https://www.bitgetapps.com/zh-CN/news/detail/12560604564640