## **Bitcoin Investors Brace for Turbulence**  
As we move into the next quarter, **Bitcoin investors** might face a **more turbulent time** ahead. The reason? Two **conflicting Trump crypto trades** are emerging that could pose a significant **headwind** to the ongoing Bitcoin rally.  
  
### **The Conflict**  
Recent developments suggest that the **strategies** involving Trump’s cryptocurrency dealings are not aligning, leading to uncertainty in the market. This discord could impact the **investor sentiment** surrounding Bitcoin, as many are closely monitoring how these trades will unfold.  
  
### **What This Means for Bitcoin**  
The implications of these conflicting trades could be considerable. Investors may need to prepare for potential **volatility** in the Bitcoin market as these external factors come into play. The interplay between political moves and cryptocurrency trends is a complex dance that can lead to unexpected outcomes.  
  
### **Stay Informed**  
As the situation develops, staying informed will be crucial for Bitcoin investors. Understanding the **political landscape** and its influence on cryptocurrency can provide insights into potential market movements. Keep an eye on how these trades evolve, as they could be pivotal for Bitcoin's short-term future.

Bitcoin investors could suffer a more turbulent quarter as two opposing Trump crypto trades come into conflict.

Are Trump’s Crypto Trades Threatening Bitcoin's Next Rally? Find Out!

## Babylon Labs and Fiamma Join Forces

**Babylon Labs**, the developer of the **largest BTC staking protocol**, is making strides in enhancing Bitcoin's interoperability by creating a **trust-minimized bridge** to the **Cosmos network**. This initiative aims to unlock the potential of Bitcoin, allowing it to work seamlessly with other blockchain ecosystems.

## The Power of BitVM2

In collaboration with Bitcoin developers **Fiamma**, Babylon is leveraging the **BitVM2** computing paradigm, which facilitates the implementation of **Ethereum-style smart contracts** on the Bitcoin network. This innovative approach is expected to introduce **zero-knowledge technology**, allowing parties to verify information's accuracy without revealing the details to one another.

## Bridging Digital Assets

The goal of this project is to tap into the immense value locked in BTC and enable transactions across various blockchains, overcoming some of Bitcoin's inherent limitations regarding **speed and scalability**. This effort is part of a broader movement aimed at enhancing Bitcoin's utility, akin to the functionalities commonly found on networks like **Ethereum**.

## Bitcoin Staking Protocol

Babylon's Bitcoin staking protocol, recognized as a leading project in the sector, aims to use BTC to secure other protocols and decentralized applications. Currently, it boasts a **total value locked (TVL)** of approximately **$5.5 billion**.

## A Breakthrough for Programmability

The introduction of BitVM2 builds upon the earlier advancements made by **Robin Linus** in October 2023, which were celebrated for making Bitcoin more programmable. This breakthrough enables **rollups** that facilitate faster and cheaper transactions while maintaining robust security. Such advancements will allow for secure transfers of BTC to the rollup and withdrawal of deposits.

## Developer Enthusiasm

The **BitVM** framework has sparked significant enthusiasm among developers focused on creating bridging solutions for Bitcoin. For instance, the **zero-knowledge rollup Citrea**, backed by **Galaxy Digital**, has successfully deployed a BitVM-based bridge on the Bitcoin testnet, ensuring compatibility with the **Ethereum Virtual Machine (EVM)**.

## Read More

For additional insights, check out the article: [Could Bitcoin Become DeFi’s Collateral of Choice? Lombard Finance Says So](https://108.181.90.129/markets/2024/12/20/could-bitcoin-become-de-fi-s-collateral-of-choice-lombard-finance-says-so).

Babylon, developer of the largest BTC staking protocol, is teaming up with Bitcoin developers Fiamma to build a trust-minimized bridge using BitVM2

Revolutionizing Bitcoin: Babylon Labs' Groundbreaking Bridge to Cosmos with BitVM2

## CleanSpark Hits Major Bitcoin Milestone

CleanSpark (CLSK) has achieved an impressive **10,097 bitcoin** in its treasury, all **self-mined** from its operations in the United States. This significant milestone demonstrates a remarkable **236% year-over-year increase** in CleanSpark’s **bitcoin-denominated treasury**, highlighting the company’s capacity for substantial growth in a **dynamic market environment**.

Zach Bradford, the Chief Executive Officer and President of CleanSpark, emphasized this achievement by stating: 
> “Surpassing the 10,000-bitcoin mark reflects CleanSpark’s commitment to **operational excellence**, **strategic growth**, and **disciplined capital management**. This accomplishment is a direct result of our unwavering focus on scaling efficiently and responsibly.”

Bradford also pointed out that every bitcoin in their treasury has been mined in the U.S., which is supported by **American energy and jobs**. This underscores CleanSpark’s dedication to **sustainable growth** and **innovation** within the global bitcoin ecosystem.

![CleanSpark Bitcoin Milestone](https://s.yimg.com/ny/api/res/1.2/HNRdpPsfO6QuIHfcgzI7eQ--/YXBwaWQ9aGlnaGxhbmRlcjt3PTM2MDtoPTM2MDtjZj13ZWJw/https://media.zenfs.com/en/tipranks_452/2fc9cf336c75ef74d8af92ed9baf649f)

This achievement not only solidifies CleanSpark's position in the cryptocurrency space but also reflects the broader trends in the market regarding **mining operations** and **asset accumulation**. 

For more insights and updates on CleanSpark and the cryptocurrency market, stay tuned to our ongoing coverage.

CleanSpark (CLSK) announced achieving over 10,000 bitcoin in its treasury, all self-mined exclusively from its U.S.-based mining operations. The company, which reported 10,097 bitcoin held in treasury, all produced from mining activity, said “the milestone also highlights a 236% year-over-year increase in CleanSpark’s bitcoin-denominated treasury, showcasing the company’s ability to drive substantial growth in a dynamic market environment.” Zach Bradford, Chief Executive Officer and President of

CleanSpark Surpasses 10,000 Bitcoin Milestone: A Testament to Growth and Sustainability

## Babylon Labs Integrates Tomo Enterprise SDK

Los Angeles, CA, Jan. 10, 2025 (GLOBE NEWSWIRE) -- Babylon Labs has **integrated Tomo Connect's Enterprise SDK** to enhance wallet connectivity for the **Babylon Bitcoin Staking Phase-2 testnet**. This integration brings **Bitcoin wallet functionality** to the Babylon protocol, allowing users to access staking features through top Bitcoin-compatible wallets.

### Enterprise SDK Integration

The **Tomo Enterprise SDK** is a vital tool for developers within the Babylon ecosystem. This extensively audited SDK simplifies wallet integrations while providing robust functionality tailored for blockchain projects. It offers:

- **A Well-Defined Wallet Interface**: This interface is designed specifically for the Babylon ecosystem, ensuring easy interaction with wallet functionalities across **Bitcoin and Cosmos ecosystems**.
- **A One-Stop Solution for Popular Wallets**: Tomo Enterprise SDK enables compatibility with various wallets, including browser extensions, hardware wallets, and mobile solutions.

Supported wallet providers include:
- **Tomo Wallet**: A Bitcoin-first extension supporting 20+ networks.
- **Web3 solutions**: Cactus, Keystone, OKX, and BitGet wallet.
- **Native Bitcoin tools**: UniSat.

This broad compatibility allows dApps to reach more users across different platforms without additional development.

### Phase-2 Testnet Architecture

The **Babylon Phase-2 testnet** (bbn-test-5) introduces advanced **Bitcoin staking capabilities** with a Proof-of-Stake chain implementation. The platform processes both new **Signet Bitcoin stakes** and Phase-1 testnet stake migrations through secure, non-custodial infrastructure.

The testnet involves multiple independent protocol participants:
- **Signet Bitcoin stakers** managing direct stakes.
- **Finality Providers** securing network operations.
- **CometBFT validators** producing blocks.
- **Liquid staking protocols** optimizing reward generation.
- **Wallets** for secure transaction signing.
- **dApp developers** deploying CosmWasm smart contracts.

### Launch Sequence

Key events on January 8, 2025, include:
- **Phase-1 monitoring** until 8:30 AM UTC.
- **Block Production Initiation** at 9 AM UTC, opening registration for Finality Providers and validators.
- **Staking Platform Access** at 10 AM UTC, allowing seamless registration of Phase-1 stakes into the Phase-2 testnet.
- The first 72 hours are reserved for Phase-1 Cap-1 stakes, after which the platform opens for all participants.

### Bitcoin DeFi Ecosystem

Major Bitcoin LSTs building on the Babylon protocol, such as Lombard and Lorenzo, have integrated **Tomo Connect Web SDK** for secure wallet connectivity. This showcases the SDK's capability to handle institutional-grade Bitcoin DeFi operations at scale.

### About Babylon Labs

Babylon Labs focuses on **Bitcoin security-sharing protocols**, aiming to create a Bitcoin-secured decentralized world. Their latest development is the world's first **trustless and self-custodial Bitcoin staking protocol**, allowing Bitcoin holders to stake BTC on decentralized systems without third-party custody, enhancing Bitcoin's utility.

For more information about Babylon Labs, you can visit their [Website](https://www.globenewswire.com) | [Twitter](https://www.globenewswire.com) | [Discord](https://www.globenewswire.com) | [Linkedin](https://www.globenewswire.com).

Los Angeles, CA, Jan.  10, 2025  (GLOBE NEWSWIRE) -- Babylon Labs has integrated Tomo Connect's Enterprise SDK to power wallet connectivity for the Babylon...

Unlocking Bitcoin Staking: Babylon Labs Partners with Tomo Connect for Enhanced Wallet Integration

### Bitcoin Price Update

Bitcoin (BTC) has recently approached **$95,000** during European morning hours on Friday. This comes after a drop to nearly **$90,000** late Thursday, marking a **10% decline** from a weekly high exceeding **$120,000**.

### Market Insights

While economic data and profit-taking may have impacted the recent rally, **investor behavior** signals that purchasing at current price levels could be advantageous for those looking to enter the BTC market. 

Onchain data reveals that the **Spent Output Profit Ratio (SOPR)** has increased to **0.987** as of Friday, indicating that investors who have held their bitcoins for less than six months are selling at a loss. Historically, such conditions often precede price recoveries, suggesting a potential **buying opportunity**.

Other crucial indicators, including **Market Value to Realized Value** and the **Puell Multiple**, combined with a short-term investor ratio of **60%**, suggest that the market has not yet peaked. According to **CryptoQuant's analyst MAC_D**, this week’s correction does not mark the end of the bullish cycle.

> “As short-term investors experience more pain, it often presents better opportunities for accumulation,” MAC_D stated. “If prices decline further, savvy investors will likely buy up the coins sold at lower prices by short-term holders. Hence, selling now could be a poor decision.”

### Understanding Market Indicators

The SOPR metric evaluates the profit or loss of spent bitcoin outputs by comparing the coins' last moved value to their current value. A short-term SOPR below **1** may indicate market capitulation or a bottom, suggesting it could be a **good time to buy**.

**MVRV** assesses Bitcoin's total market capitalization against its realized cap, providing insight into whether Bitcoin is overbought or oversold, which helps predict potential market tops or bottoms.

### Economic Influences

The recent surge in U.S. treasury yields, influenced by fresh economic data, has led to declines in equities and risk assets like bitcoin. The latest **Institute for Supply Management (ISM)** report revealed stronger-than-expected data for U.S. service providers, with the prices-paid measure hitting its highest level since early **2023**. 

Traders are closely monitoring the upcoming **U.S. non-farm payrolls (NFP)** release for further positioning. Strong NFP numbers could indicate a robust economy, potentially leading to interest rate hikes, which are generally unfavorable for risk assets, including bitcoin.

BTC neared $95,000 in European morning hours Friday after a slump in U.S. hours sent it to near $90,000 late Thursday, down 10% from a weekly high above $120,000.

Bitcoin Nears $95,000: Is This the Perfect Time to Buy?

On December 30, 2024, **Genius Group Ltd**, an education tech company, made headlines by purchasing **$10 million** worth of Bitcoin, aiming to convert **90%** of its funds into BTC. This move reflects a growing trend among corporations opting for Bitcoin as their primary asset in corporate treasuries.

### Genius Group's Bitcoin Reserve

With **over 1 million BTC** held by various public and private companies, Genius Group stands out with its **Bitcoin-first** approach. This Singapore-based company, which serves over **5.4 million** students globally, is committed to holding the majority of its funds in Bitcoin. Following their latest acquisition, Genius Group's total Bitcoin holdings reached **319.4 BTC**, marking a **50% increase** in their reserves.

### Market Impact

The company's stock price surged by **11%** after the announcement of its Bitcoin strategy, which was initially revealed on November 12, 2024. Genius Group's **Q4 2024 Bitcoin yield** is projected at an impressive **1,649%**. CEO **Roger Hamilton** is exploring various strategies to maximize shareholder value through this crypto-asset strategy.

### A New Financial Approach

Genius Group has introduced a **Bitcoin Treasury Key Performance Indicator** to measure its market cap against its Bitcoin reserves, believing that adopting the **Bitcoin Standard** will benefit both the company and its shareholders. They emphasize a long-term commitment to Bitcoin, stating:
> "As fundamental believers in the long-term potential of Bitcoin, we don’t try to time the market, but rather buy and hold with the intention of never selling."

While Genius Group is not the first company to adopt this strategy, the shift towards a **Bitcoin Standard** is gaining traction as many companies recognize the value of Bitcoin alongside traditional assets.

### The Broader Trend

As of January 6, 2024, **Coingecko** lists **32 public companies** holding Bitcoin, with numerous others creating corporate reserves. Notable examples include **MicroStrategy**, which holds nearly **450,000 BTC**, and **Tesla**, which sparked interest in Bitcoin reserves back in 2021. The trend continues to grow despite some companies, like **Microsoft**, hesitating to add Bitcoin to their balance sheets due to market volatility concerns.

### Why Companies Are Investing in Bitcoin

Corporate Bitcoin reserves serve multiple purposes:
- **Hedge Against Inflation:** Following advisories from firms like **BlackRock**.
- **Enhanced Image:** Companies can bolster their progressive image and attract attention from the crypto community.
- **Budget Boosting:** In a bull market, Bitcoin acquisitions can rapidly enhance a company's financial standing without additional production efforts.

However, experts caution against the feasibility of investing heavily in Bitcoin, warning of potential market reversals.

Corporate holdings of private and public companies exceed 1 million BTC. Companies buy Bitcoin to hedge against inflation and boost budgets. How many companies are doing so and what are they?

Why More Corporations Are Embracing Bitcoin for Their Reserves: The Genius Group Case Study

### Bitcoin Accumulation Trend Score Declines

On-chain data reveals that the **Bitcoin Accumulation Trend Score** has seen a **notable decline** recently, indicating that many investors have shifted towards selling. Currently, this score sits at **0.21**.

### Understanding the Accumulation Trend Score

The **Accumulation Trend Score** is a crucial indicator that reflects whether Bitcoin investors are accumulating or distributing their holdings. It considers not just balance changes in investor wallets but also the size of those holdings. 

- A score close to **1** indicates that large entities or numerous small addresses are accumulating Bitcoin.
- Conversely, a score near **0** suggests that investors are distributing their assets or refraining from buying.

![Bitcoin Accumulation Trend Score](https://s3.tradingview.com/news/image/newsbtc:aa5ac6e4a094b-b98529c7644db9bf9dd397a4bda762c0-resized.jpeg)

### Recent Trends in Accumulation

The chart above illustrates the **Accumulation Trend Score** for Bitcoin over the past year. The dark blue/violet shades represent high accumulation, while orange/red shades indicate low accumulation. Notably, during the last months of **2024**, the score reflected strong accumulation from whales, driving Bitcoin to new all-time highs. However, as **2025** began, this trend reversed sharply, with the score plummeting to **0.21**.

### Breakdown of Investor Behavior

Glassnode has also provided insights into the behavior of different BTC cohorts. The data shows that **mega whales** (those holding over **10,000 BTC**) have been selling since **September**, with distribution intensifying in recent weeks. Other cohorts, including those holding between **1,000 and 10,000 BTC**, have also begun selling, signaling a potential bearish trend.

![Bitcoin Cohorts](https://s3.tradingview.com/news/image/newsbtc:aa5ac6e4a094b-8ca663669f87ba66efbf635e11db106b-resized.jpeg)

As long as the **Accumulation Trend Score** remains low, Bitcoin may struggle to escape its current bearish trajectory.

### Current BTC Price

As of now, Bitcoin is trading at approximately **$93,900**, reflecting a decline of over **3%** in the past week.

On-chain data shows the Bitcoin Accumulation Trend Score has observed a decline recently, a sign that investor cohorts have taken to selling.Bitcoin Accumulation Trend Score Is Currently Sitting At 0.21In a new post on X, the on-chain analytics firm Glassnode has shared an update on how the Accumul…

Is Bitcoin's Decline Here to Stay? Accumulation Trend Score Hits a New Low!

### Recent Market Dynamics

Bitcoin has experienced **significant selling pressure** lately, following a surge above the **$100K** mark. Just days after reaching this milestone, the cryptocurrency plummeted to a low of **$92,500**, raising concerns about the sustainability of its recent gains.

Despite this **dramatic price action**, data from blockchain analytics firm **IntoTheBlock** shows a **negative net flow** of Bitcoin on exchanges, indicating that **more BTC is leaving exchanges than entering**. This trend is often associated with **accumulation**, as investors transfer their assets to cold wallets for **long-term holding**.

### Diverging Trends

The **divergence** between price action and **on-chain behavior** highlights a complex market dynamic. Although selling pressure has pushed prices down in the short term, the negative net flows suggest that investors remain confident in Bitcoin as a **long-term asset**.

With Bitcoin trading around **$93,400**, it's crucial for the cryptocurrency to stabilize above key support levels. Market participants are keenly watching for signs of either a rebound or further declines, especially as Bitcoin’s performance influences broader market sentiment. The question remains: will BTC reclaim **$100K**, or is a deeper correction on the horizon?

### Long-Term Confidence Amidst Volatility

The recent price fluctuations are consistent with broader trends observed during periods of **strong market activity**. After a substantial rise since early November, a pullback was anticipated, prompting investors to speculate whether this drop indicates a deeper correction or a temporary pause in the bullish trend.

**Investor anxiety** is palpable, with many fearing a dip below current support levels. However, the overall sentiment reflects **resilience and optimism**. Despite recent declines, Bitcoin’s **negative exchange net flows** signal accumulation and long-term confidence among investors.

![Bitcoin Exchange Netflows | Source: IntoTheBlock](https://bitcoinist.com/wp-content/uploads/2025/01/btc_1511e7.jpeg?resize=980%2C287)

### Critical Support Levels

Bitcoin is currently testing critical support above **$92,000**. The bulls lost control after briefly surpassing **$100K**, making it crucial to reclaim the **$95K** level to regain momentum. If Bitcoin fails to hold above **$92K**, it risks falling to lower demand zones around **$85K**, which could attract buyers and stabilize prices.

The upcoming days will be vital as Bitcoin either recovers or faces a deeper correction. Investors remain vigilant, navigating this consolidation phase carefully, as broader market sentiment continues to influence Bitcoin's price trajectory.

Bitcoin faces crucial test after a sharp decline from $100K. Despite selling pressure data reveals significant accumulation as BTC leaves exchanges.

Are Trump’s Crypto Trades Threatening Bitcoin's Next Rally? Find Out!

Summary:

Bitcoin Investors Brace for Turbulence

The Conflict

What This Means for Bitcoin

Stay Informed

Comments

Subscribe our Newsletter

BitcoinToday.app

Other Latest News

Revolutionizing Bitcoin: Babylon Labs' Groundbreaking Bridge to Cosmos with BitVM2

CleanSpark Surpasses 10,000 Bitcoin Milestone: A Testament to Growth and Sustainability

Unlocking Bitcoin Staking: Babylon Labs Partners with Tomo Connect for Enhanced Wallet Integration

Bitcoin Nears $95,000: Is This the Perfect Time to Buy?

Why More Corporations Are Embracing Bitcoin for Their Reserves: The Genius Group Case Study

Is Bitcoin's Decline Here to Stay? Accumulation Trend Score Hits a New Low!

Bitcoin's Net Flows Reveal a Surprising Trend: Are Investors Accumulating Despite Price Drops?

Other Latest News

Revolutionizing Bitcoin: Babylon Labs' Groundbreaking Bridge to Cosmos with BitVM2

CleanSpark Surpasses 10,000 Bitcoin Milestone: A Testament to Growth and Sustainability

Unlocking Bitcoin Staking: Babylon Labs Partners with Tomo Connect for Enhanced Wallet Integration

Bitcoin Nears $95,000: Is This the Perfect Time to Buy?

Why More Corporations Are Embracing Bitcoin for Their Reserves: The Genius Group Case Study

Is Bitcoin's Decline Here to Stay? Accumulation Trend Score Hits a New Low!

Bitcoin's Net Flows Reveal a Surprising Trend: Are Investors Accumulating Despite Price Drops?