• Brian Armstrong, Coinbase CEO, said “Bitcoin is the check and balance on deficit spending that can prolong western civilization.”

• Fox News discussed the possibility of Donald Trump announcing a strategic Bitcoin reserve in Nashville.

• Trump said that he has not been considering either Larry Fink or Jamie Dimon for Treasury Secretary — quashing rumors that have been floating around since last week.

• David Bailey disclosed that Bitcoin Magazine is in talks with the Kamala Harris campaign to potentially have her speak in Nashville too.

• Senator Cynthia Lummis released a report arguing that Biden’s proposed tax on Bitcoin miners is a bad idea.

• Ethereum ETFs launched today, and had more than $1 billion traded (details below).

Big offloading from the Whales yesterday. Sharks doing mop up duty.

Not a great day across the board. BTC was down, as well everything else. But good news for Coinbase: Citi upgraded COIN to ‘BUY’, with a target price of $345.

🥇BlackRock

A sign of the times when BlackRock buying 1090 BTC in one day is a bit boring. But that’s the story from yesterday. In fairness, it was always going to be hard to follow up Monday’s performance.

🧮 Total

Flows for the Bitcoin ETFs were negative yesterday with 1180 Bitcoin sold— after twelve straight days of inflows. BlackRock was the only gainer. Otherwise, significant outflows from Bitwise (1065 BTC), Ark (792 BTC), and Grayscale (414 BTC). Fidelity was net neutral.

🔷 Ethereum

Day one of the Ether ETFs is in the books. There was over $1 Billion in traded volume and net flows were + $106M with strong inflows from Blackrock ($266.5m), Bitwise ($204m) and Fidelity ($71.3m), but massive outflows from Grayscale. I think we’ve seen this story before…

The ‘Twitter Economic Sentiment Index’, which as the name suggests gauges how people feel about the economy from sentiment via X posts, appears to be rocketing up.

Something must have happened in the recent past to move sentiment this much. Something big…a change of some kind.

I know — I know what you’re thinking. It’s Biden. But that can’t be right, because all the most trustworthy commentators have spent the past two years making it perfectly clear that this economy is the greatest economy in the history of economies.

Must be something else then.

Those are the Flows this Wednesday.

Thanks for reading, and I’ll see you tomorrow.

— Julian