The Daily Drip

✅ Top Takeaways

• BTC supported below miner cost: Bitcoin trades near $91,740, up about 1%, with on‑chain analysts flagging improving inflows since late December and noting that sub‑$101K pricing has historically produced temporary support rather than miner capitulation.
• Solana stays in the leadership lane: SOL climbs to roughly $141, matching BTC’s positive day and extending its run as one of the few majors consistently outperforming during the current consolidation phase.
• Macro shock hits the Fed: Gold spikes to new highs as a DOJ criminal investigation into Fed Chair Powell raises fresh questions about central‑bank independence, pressuring the Dollar and reinforcing safe‑haven narratives.

📰 Crypto Market Summary

• BTC trades under miner production cost: Bitcoin changes hands around $91,740 with a 0.98% gain, still below an estimated miner production cost near $101,000; historically, these periods see miners slow selling and allow price to build a temporary floor rather than trigger panic liquidations.
• Capital‑markets angle: On‑chain observers report improving investor inflows since late December, supporting the view that BTC may be entering a short‑term “rebound window” even as broader 2026 liquidity remains cautious.
• Policy‑driven demand thesis: President Trump’s proposal to cap credit‑card interest rates at 10% for one year has drawn pushback from banks that warn higher‑risk borrowers could be pushed toward alternative funding channels; some analysts see this as a potential tailwind for Bitcoin, Ethereum and DeFi platforms if traditional credit tightens at the margin.
• ETF pressure and altcoin response: Ether slips to about $3,111 and XRP to $2.07, with both facing light selling as BTC and ETH ETFs register nearly $750M in outflows over the first full week of 2026, even as SOL holds a modest gain and continues to attract ecosystem‑driven flows.

📊 Sentiment Dashboard

🔢 Market Performance

• BTC and ETH remain modestly positive on the year, but the past week’s pullback underscores how quickly sentiment can shift when ETF flows soften.
• SOL continues to sit near the top of the YTD performance table, reflecting the combination of strong price action and heavy network usage.
• High‑beta names like DOGE and ADA retain double‑digit YTD gains despite recent drawdowns, highlighting how volatile leadership can be within the large‑cap basket.

💰 Funding & Institutional Moves

Bitcoin and Ethereum ETFs have now seen roughly $750M in combined outflows over the first full trading week of 2026, reversing part of the early‑January optimism and reminding participants that listed products can amplify both sides of the cycle.

At the same time, on‑chain metrics show investor inflows improving since late December and miners adjusting production rather than capitulating, suggesting that structural demand for BTC remains in place even as tactical ETF positioning turns more cautious.

Signal: flows look more like active rebalancing and risk management than a wholesale retreat from regulated crypto exposure, but they do reduce the cushion for any downside shocks.

🌍 Macro & Geopolitics Watch

Gold surged to fresh all‑time highs near $4,601 before easing back toward $4,475 as investors sought safety amid a Department of Justice criminal investigation into Fed Chair Jerome Powell and renewed geopolitical tensions in Iran and Ukraine.

The U.S. Dollar, which had been testing monthly highs, has since weakened as the probe raises questions about central‑bank independence and adds a new political overlay to expectations for the pace and timing of future rate moves.

Macro lens: a stronger gold bid and a softer Dollar normally support the long‑term case for alternative stores of value like Bitcoin, but near‑term volatility around policy and legal headlines can still produce sharp cross‑asset swings.

🎟️ Ecosystem, Builders & Flows

• DeFi & credit Banks warn that a one‑year 10% credit‑card APR cap could restrict access for higher‑risk borrowers, potentially nudging some consumers to explore alternative finance rails, including stablecoins, tokenized credit, and other DeFi‑style solutions.
• L1 ecosystems Solana’s price strength continues to track high‑throughput usage and ongoing ecosystem building, reinforcing the idea that fee‑efficient, high‑activity networks can maintain premium valuations during periods when majors consolidate.
• On‑chain positioning With BTC trading under estimated production cost and long‑term holder behavior still relatively muted, builder and investor focus remains on infrastructure, compliance and programmability rather than aggressive short‑term speculation.

⚡ Risk & Market Lens

Trading below miner production cost, heavy early‑year ETF outflows, and an unprecedented legal front targeting the Fed all underscore how quickly the narrative can flip between macro‑driven caution and structurally bullish talking points.

What to watch: whether BTC can hold the low‑$90K band as miners and long‑term holders stay patient, how SOL behaves if broader risk assets wobble, and whether credit‑market reforms actually push more users toward on‑chain solutions or remain a largely political headline.

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Disclaimer

This newsletter is for informational and educational purposes only and is not investment advice, solicitation, or an endorsement of any strategy or asset. H2cryptO does not warrant data accuracy or completeness. Crypto assets are highly volatile; always consult professional advisors, use caution, and comply with local laws before making strategic, financial, or investment decisions.