Trading Desk Insights
The crypto market caught a strong bid early this morning around 6am ET following reports that former President Trump is set to sign an executive order today permitting alternative assets including cryptocurrencies in 401(k) retirement plans. The move is part of a broader push by the Trump camp to position the U.S. as the “crypto capital of the world.” Separately, Trump also announced a 100% tariff on imported semiconductor chips, exempting companies building domestically, another nod to U.S. economic nationalism.
Despite the bullish sentiment, BTC’s 30-day implied volatility (BVIV Index by Volmex) has compressed to 36.5%, the lowest since October 2023, back when BTC was trading below $30,000. This drop in volatility reinforces the narrative that BTC is trading more in line with traditional financial assets. Technically, BTC is hovering around its 20-day moving average near $117,000, which could act as a short-term resistance level.
Total crypto market cap remains range-bound between $3.6T and $3.8T as liquidity rotates out of majors and into micro-caps, a classic sign of speculative risk appetite during slower summer trading. Traders are keeping a close eye on altcoin rotation with notable strength today in HYPE, XRP, UNI, TAO, SUI, SOL, and LINK.
Meanwhile, stablecoin inflows continue to climb, with the total stablecoin market cap now approaching $275B, marking seven straight months of growth and suggesting a steady stream of fresh fiat entering the system.
On the institutional front, the State of Michigan Retirement System (SMRS) disclosed increased exposure to bitcoin in Q2 via spot ETFs, another signal of rising U.S. institutional adoption.
The News Room
Trump opens $12.5 trillion 401(k) market to crypto and private equity access
President Trump has issued an executive order to overhaul retirement investing by opening the vast U.S. 401(k) market—valued between $9 and $12.5 trillion—to alternative assets such as private equity, real estate, and cryptocurrencies. The directive instructs regulators, including the Department of Labor, SEC, and Treasury, to reevaluate ERISA guidelines and enable broader asset inclusion in defined-contribution plans. While proponents argue this diversification could enhance long-term retirement returns, critics caution about heightened risks from volatility, illiquidity, and complex products.
Institutional interest boosts XRP’s resurgence in South Korea and Japan
XRP is experiencing a revival in Asia, driven by growing institutional infrastructure and market developments. In South Korea, prominent custodian BDACS has launched XRP custody services for institutional clients, with integration across major exchanges like Upbit, Coinone, and Korbit. Meanwhile, Japan’s SBI Holdings is preparing to launch the region’s first ETFs to include both XRP and Bitcoin, signaling increasing regulatory acceptance and institutional demand.
U.S. Bitcoin miners face 21% rig cost surge after Trump’s tariff goes live
New U.S. tariffs enacted on August 7 impose a hefty 21.6% import duty on Bitcoin mining hardware from Southeast Asia, significantly raising operational costs for U.S. miners. The majority of advanced ASICs still originate from Asia, leaving miners with limited near-term alternatives. While some firms are exploring domestic manufacturing partnerships or shifting operations to more favorable jurisdictions, analysts warn these tariffs could make the U.S. mining sector less competitive unless supply chain localization accelerates.
Crypto Charts
ETF Flow
Disclaimer
This research is for informational use only. This is not investment advice. Other than disclosures relating to Secure Digital Markets this research is based on current public information that we consider reliable, but we do not represent it is accurate or complete, and it should not be relied on as such. The information, opinions, estimates, and forecasts contained herein are as of the date hereof and are subject to change without prior notification. We seek to update our research as appropriate.
Any forecasts contained herein are for illustrative purposes only and are not to be relied upon as advice or interpreted as a recommendation. The price of crypto assets may rise or fall because of changes in the broad market or changes in a company's financial condition, sometimes rapidly or unpredictably. Past performance is not a guide to future performance, future returns are not guaranteed, and a loss of original capital may occur. Fluctuations in exchange rates could have adverse effects on the value or price of, or income derived from, certain investments. We and our affiliates, officers, directors, and employees, excluding equity and credit analysts, will from time to time have long or short positions in, act as principal in, and buy or sell, the securities or derivatives, if any, referred to in this research.
The information on which the analysis is based has been obtained from sources believed to be reliable such as, for example, the company’s financial statements filed with a regulator, company website, company white paper, pitchbook and any other sources. While Secure Digital Markets has obtained data, statistics, and information from sources it believes to be reliable, it does not perform an audit or seek independent verification of any of the data, statistics, and information it receives.
Unless otherwise provided in a separate agreement, Secure Digital Markets does not represent that the report contents meet all of the presentation and/or disclosure standards applicable in the jurisdiction the recipient is located. Secure Digital Markets and their officers, directors and employees shall not be responsible or liable for any trading decisions, damages or other losses resulting from, or related to, the information, data, analyses, or opinions within the report.
Crypto and/or digital currencies involve substantial risk, are speculative in nature and may not perform as expected. Many digital currency platforms are not subject to regulatory supervision, unlike regulated exchanges. Some platforms may commingle customer assets in shared accounts and provide inadequate custody, which may affect whether or how investors can withdraw their currency and/or subject them to money laundering. Digital currencies may be vulnerable to hacks and cyber fraud as well as significant volatility and price swings.
Contact Us
Sign up to receive more exclusive market coverage:
Start trading with Secure Digital Markets today by e-mailing:
trading@securedigitalmarkets.com