Welcome to today's edition of Osiris News. The weekend session saw $70 billion wiped off the board in under an hour, sending BTC to nine-month lows around $75k. It was a textbook liquidity flush: thin order books on a Saturday meeting a wall of forced selling. The macro backdrop provided the excuse, tensions in Iran and a hawkish Fed nomination, but the mechanics were a pure unwinding of borrowed positions. Retail is capitulating, wallets are bleeding, and the fear index is back in the basement.

🕵️‍♂️🏦 Abu Dhabi Sheikh Bought 49% of Trump Venture

Sheikh Tahnoon bin Zayed Al Nahyan secretly acquired nearly half of World Liberty Financial for $500M days before the inauguration. The deal funneled $187M directly to Trump family entities.

🔮📈 Hyperliquid Defies Crash with Product Launch

The DEX token HYPE rallied over 40% this week while the broader market bled. The surge coincides with the launch of "Outcomes," a binary options product competing directly with Polymarket.

⚖️😬 DOJ Files Reveal Epstein Invested in Coinbase

Newly released documents show the convicted sex offender invested ~$3M in the exchange’s 2014 Series B via Brock Pierce. Emails indicate co-founder Fred Ehrsam sought meetings with Epstein to discuss the deal.

The sell-off wasn't driven by a single catalyst but by a convergence of pressures hitting a market with no depth. Over $1.68 billion in positions were liquidated as Bitcoin broke the $81k support, triggering a cascade that didn't find a floor until the mid-$70ks. This move was exacerbated by institutional exhaustion; spot ETFs recorded $1.7 billion in net outflows last week, signaling that the passive bid that supported Q4 price action has retreated. When the "suit" money steps back and the degens are over-extended on borrowed funds, gravity takes over.

Despite the violence of the candle, the broader signal is strangely quiet. Both BTC and ETH are currently sitting in neutral territory according to our pulse data, suggesting this was more of a reset for borrowed capital than a fundamental trend shift. Sentiment is flat, not panicked, which often characterizes the apathy of a market waiting for a new narrative. The divergence between price action (violent) and sentiment (neutral) usually implies the market is absorbing the shock rather than preparing for immediate continuation or reversal.

The crash had a specific casualty: MicroStrategy’s cost basis. For the first time in over a year, Bitcoin dipped below Saylor’s average purchase price of ~$76,037. The firm is technically underwater on its massive 713,000 BTC stack. While critics sharpen their knives, the company simply executed another $75 million buy order. This is a stress test for the corporate treasury thesis, when the "infinite bid" is underwater, the market watches to see if shareholders blink. So far, they haven't.

Amidst the sea of red, Hyperliquid decoupled. The HYPE token rallied over 40% on the week, driven by the launch of "Outcomes," a prediction market product integrated directly into their DEX. While the rest of the market correlates tightly with risk assets, Hyperliquid is positioning itself as a defensive utility play, a casino that makes money regardless of asset prices. It’s a rare instance of product-market fit overriding macro beta.

The political situation just got messier. Reports surfaced that a UAE Sheikh purchased a 49% stake in Trump’s World Liberty Financial for $500 million just days before the inauguration. The optics are terrible, resembling a pay-to-play scheme for AI chip access rather than a legitimate crypto venture. This gives anti-crypto legislators like Elizabeth Warren fresh ammunition just as the industry was hoping for regulatory clarity. The market hates uncertainty, and this deal injects a massive dose of it into the political capital of the new administration.

All eyes are on the $74k support level. If that breaks, the conversation shifts from "correction" to "bear market structure." Watch ETF flows closely this week; if outflows persist, the liquidity drought will worsen. Conversely, if legacy finance steps in to buy the dip now that borrowed positions are flushed, a rapid reclamation of $80k is possible. The divergence between retail capitulation and whale accumulation is the key metric to watch, smart money usually buys when the timeline goes silent.

Until tomorrow,
- Dr.P