Pudgy Penguins, Trump Watch, Phantom SUI, Berachain, Frank DeGods

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👀WHAT’S THE META..👀

GM, GA, or GN wherever you may be.

Want to stay ahead of the curve? Don't worry we got you. The market has been brewing, here's what's currently happening:

🎉GIVEAWAY TIME🎉

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Follow https://x.com/fableborne
Like/RT: https://x.com/fableborne/status/1887154342639407506
Join Discord: https://discord.com/invite/fableborne
Visit a web page:
- URL: https://fableborne.com/sign-up
- Title: Create POWER profile

Please email [email protected] with your X (Twitter) ID, Discord username, and your Ronin Wallet Address. Entrants need to be following Seven so he can notify the winners.

Email Subject: FABLEBORNE

Winners will be drawn in 72 hours and will be notified via direct message on X. Good luck!

🪙CRYPTO DIGEST🪙

Bitcoin (BTC/USD)

BTC began the week with continued sell-offs from the weekend, coming into contact with the lower bound of its established range at $90,000. However, price was able to hold, leading to a strong bounce that has brought BTC back above the midpoint of the range, which extends from $90,000 (range low) to $106,500 (range high), with the all-time high (ATH) at $109,321 still yet to see a breakout.

I believe at this stage, BTC remains confined within this broader trading range. Until a confirmed breakout occurs in either direction, playing the range remains the most strategic approach.

BTC/USD 4hr FibMa

Early this week, BTC came within 1.6% of testing the Blue band again, signaling an opportunity for deeper accumulation.

Current price action is resembling a similar structure to the post-$74K rally, where BTC remained range-bound for an extended period before another expansion phase. As BTC rises from this recent low, it is now testing the Yellow band. Whether BTC can sustain momentum above this level will be critical in determining near-term direction.

BTC Dominance

BTC Dominance hit a new cycle high of 64.33%, further extending its strong uptrend.

As I’ve previously mentioned, BTC Dominance is likely to remain elevated as long as Quantitative Tightening (QT) persists. While I do expect this to change in the coming months, liquidity remains constrained, which means easy capital has yet to fully flow into the broader altcoin market. Until monetary policy loosens, BTC is likely to retain its dominant position.

Ethereum (ETH/USD)

ETH saw an aggressive sell-off to start the week, dropping to a local low of $2,123 before rebounding.

For a short period, price slipped below the lower bound of the ascending channel but has since reclaimed it for now. However, ETH remains below the cycle midpoint at $2,874, which will be the critical level to reclaim for a more decisive shift in momentum. Given the extreme volatility, this week’s close will be essential to monitor.

Ethereum/Bitcoin (ETH/BTC)

ETH/BTC failed to hold 0.03, leading to a rapid sell-off and setting a new cycle low at 0.02345.

Despite this, I view this range as an excellent accumulation opportunity. Given the lower valuations, I am increasing my buys and weighting them heavier to lower my average entry. While further downside is possible, I maintain the belief that ETH/BTC is setting up for a strong reversal in the coming months.

Altcoin Market Outlook (Total3/BTC & Others/BTC)

The broader altcoin market has also set new cycle lows, continuing its prolonged underperformance against BTC.

Over the coming weeks, I will be closely monitoring whether altcoins can reclaim and hold prior support levels. However, it’s crucial to note that altcoins remain a riskier asset class until monetary policy shifts toward looser conditions. Until then, liquidity will remain concentrated in BTC, and the broader alt market will likely struggle to gain sustained momentum.

Key Economic Data This Week

Several important economic reports could influence market sentiment:

Tuesday: JOLTS (Job Openings and Labor Turnover Survey)
Wednesday: US ADP Employment Change (Jan)
Thursday: Initial Jobless Claims
Friday: Unemployment Rate

🐸MEMES🐸

We're in a strange moment in the market right now, with the trade war situation causing an even bigger liquidation event than the FTX implosion and the Covid Crash. Naturally this has trickled over to memes, with a lot of them hitting rock bottom and making new lows. As always, there will be memes that have remained strong and even made new highs ($MLG and $SEN in particular) and some AI coins have also had nice bounces. However as people remain cautious, on-chain still seems to be quite dry, with opinion divided as to whether this market-wide bounce is a trap or a sign of things to come.

If you've made good money on memes/on-chain so far, my advice would be to remain cautious and wait for opportunities. This far into the cycle, you'll want to ensure you preserve capital rather than put yourself at the risk of giving it all back and we've seen just how brutal a crash can be for people who have a good percentage of their portfolio in memes. Different things work for different people, but the main approach I'd focus on right now is keeping an eye out for new launches and high volume runners, making sure you take profits appropriately. This approach allows you to add a lot to your money in stables/majors or wherever you prefer it without having more long term meme bags.

🤑AIRDROPS🤑

Abstract Mainnet Launches

The Abstract Chain is a new Ethereum Layer 2 built by Igloo Inc., the company behind Pudgy Penguins. Unlike other Layer2s, Abstract was built for the masses in mind and make onboarding and on-chain transactions as smooth as web2.

Abstract Mainnet launched on 28 Jan and already close to 80 dApps are already onboarded, with a very use friendly portal for both crypto native and non-native users to start interacting with the chain, and earn XP in the process, which will translate into the $ABS airdrop.

Here's how to get started: https://x.com/cruzcontrol660/status/1886784401134272539

BONK Dragon Claims this week

A little over a year ago around Christmas $BONK gave out up to 100m $bonk to participants of Bonkmas which ran for just a month. This time, there are a total of 12 attributes to collect.

How much should you be expecting for each attribute? Multiplier for 12/12? $BONK has a history of saving the Solana Eco, will this be a bullish catalyst once again for Solana?

We will find out on Friday, Feb 7th: https://x.com/bonk_inu/status/1886541601830236220

Sanctum Vote is live and proposes ASR (active staking rewards)

Help shape the future of Liquid Staking on Solana by voting with $CLOUD. In collaboration with MetaDAO, Sanctum introduces a new way for voting called “Futarchy Governance”.

It is not easy to grasp the concept, luckily there are many in the community that created explainer videos and posts:

Seb Monty’s video guide: https://x.com/SebMontgomery/status/1886554131482939459 Official Tweet from Sanctum DAO regarding ASR: https://x.com/cloud/status/1886668006828466436

100+ Airdrop Opportunities in my Notion Airdrop Tracker: https://bit.ly/droptime

📜FOR THE CULTURE📜

Crypto markets react to Trump's tariff announcements

In a significant downturn, Bitcoin's value fell below $100,000 on Monday, reaching a three-week low of $91,441.89. Ether also experienced a decline, dropping to $2,494.33, its lowest since early September. This market reaction is largely attributed to investor concerns over a potential global trade war, following President Donald Trump's imposition of substantial tariffs—25% on Mexican and most Canadian imports, and 10% on Chinese goods. These tariffs prompted immediate retaliatory measures from the affected countries, intensifying fears of a prolonged trade conflict. The cryptocurrency market, known for its volatility, has been particularly sensitive to broader economic sentiments. The recent tariff announcements have exacerbated concerns about global economic stability, leading investors to retreat from riskier assets like cryptocurrencies. Despite an initial surge in crypto markets following Trump's election, driven by expectations of crypto-friendly policies, the latest developments have dampened investor optimism.

In response to these market fluctuations, financial analysts are advising caution. Robert Kiyosaki, author of "Rich Dad Poor Dad," commented on the downturn, linking it to potential job losses and suggesting it could present an opportunity for investors to acquire assets at lower prices. However, experts emphasize the importance of understanding the inherent risks associated with the crypto market's volatility before making investment decisions. As the situation evolves, market participants are closely monitoring the interplay between geopolitical developments and cryptocurrency valuations. The recent events underscore the interconnectedness of global economic policies and the crypto market, highlighting the need for investors to stay informed and exercise prudence in their investment strategies.