Strategy founder Michael Saylor has sparked controversy with his surprising comment on ‘proof-of-reserves.’ A viral video shows Saylor calling exchanges and companies publishing on-chain proof-of-reserves a ‘bad idea,’ igniting a heated debate on the X platform. Saylor Thinks Publishing Proof of Reserves Is Not Good Earlier today, Bitcoin proponent and analyst Mitchell shared a thread on his official X page, revealing Michael Saylor’s approach to proof-of-reserves. During a May 26 event related to the Bitcoin 2025 conference in Las Vegas, Michael Saylor stated, referring to proof-of-reserves, “It’s a bad idea.” Significantly, Michael Saylor’s skepticism on the idea is primarily driven by its potential limitations and risks. According to the MicroStrategy founder, by publishing the proof-of-reserves, the companies are exposing themselves to security threats and other vulnerabilities. He posited, The current, conventional way to publish proof of reserves is an insecure proof of reserves. It actually dilutes the security of the… Read More at Coingape.com
According to Bo Hines, the executive director of the Presidential Council of Advisers on Digital Assets, the Trump administration could consider using tariff revenues to build a national Bitcoin reserve.
It marks a notable shift, given recent indications that revenue generated from gold sales would help fund the Bitcoin reserve.
Trump Tariff Revenues To Fund US Bitcoin Reserve
Bo Hines explained the possibility during recent interviews. He cited the need for the US to act swiftly amid global competition for Bitcoin accumulation.
Speaking to Thinking Crypto on Tuesday, Hines emphasized that the US must compete globally in Bitcoin. He highlighted the creation of a Strategic Bitcoin Reserve (SBR) through budget-neutral means. This, he said, includes novel funding mechanisms such as tariff revenues.
“SBR recognizes the value of what Bitcoin is and how it can be harnessed for the American people. There is a finite number of Bitcoin and I think there will end up being a race to accumulate,” Hines stated.
He reiterated this in an interview with Anthony Pompliano, the founder and CEO of Professional Capital Management. Bo Hines discussed the re-evaluation of tariffs, Bitcoin, and gold during the discussion. He labeled them as key components of the administration’s macroeconomic strategy.
“The strategic reserve is just the beginning. We’re thinking long-term about what assets can empower the American people and insulate us from global shocks,” Hines told Pompliano.
This plan is different from whatRepublican Senator Cynthia Lummis of Wyoming proposed. BeInCrypto reported that she introduced legislation to increase the government’s Bitcoin holdings by selling a portion of the Federal Reserve’s gold.
“We will convert excess reserves at our 12 Federal Reserve banks into bitcoin over five years. We have the money now,” said Senator Lummis back in July at the Bitcoin 2024 Conference.
The notion of using tariff revenue to buy Bitcoin is novel. However, such a move could redefine the role of digital assets in the US economic strategy. It reflects a broader ideological pivot, treating digital assets as more than speculative instruments but as national economic tools.
Crypto advocates responded enthusiastically. Influencer Crypto Rover called the tariff-based Bitcoin acquisition plan “mega bullish,” reflecting wider market sentiment.
Meanwhile, others warn that Trump’s aggressive tariff stance could undermine US Bitcoin mining dominance. Hardware costs and international trade barriers could harm domestic miners, especially if Chinese-made mining equipment is further taxed or restricted.
Despite these complexities, the administration appears undeterred. Hines also hinted at integrating stablecoin legislation and blockchain technology within banking infrastructure. He said this would bolster law enforcement capabilities in crypto and signal a multi-pronged strategy.
As inflation pressures mount and trade tensions with China escalate, speculation is that a more crypto-friendly Fed chair could align monetary policy with the administration’s digital asset goals.
With geopolitical tensions rising and central banks racing to define their digital currency strategies, the US appears to be moving toward a more assertive position.
Cardano price sits above a crucial support level and may experience a bull run in May. Its daily volume in the spot market continued to rise, reaching $700 million today. Also, the open interest in the futures market is above its April lows. These factors, together with the positive weighted funding rate, means that ADA price could surge soon.
The ADA price today trades at $0.70, having risen by almost 40% from its April low.
Cardano Price Boosted by Rising Spot and Futures Volume
A potential bullish catalyst for the Cardano price is that signs of demand are emerging in the futures and spot market. CoinGecko data shows that the trailing Cardano volume jumped to over $700 million on Thursday.
Cardano Volume
This continues a trend that started late last month when the daily volume has averaged above $700M on weekdays. For example, its spot volume soared to $1.035 billion on April 25.
A rising volume, especially when a cryptocurrency is experiencing a surge, is a sign of increased demand from both retail and institutional investors. The volume on centralized and decentralized exchanges can also jump when a crypto is crashing, as holders sell.
In line with this, Cardano price could rise as the futures open interest in the futures market rises. Per CoinGlass, the open interest rose to $782 million on Thursday. While this figure is lower than its weekly high, it is much higher than the April low of $576 million.
Open interest is a crucial metric in the futures market, as it measures the number of unfilled call and put trades in the futures market. The interest often rises when a cryptocurrency is in an uptrend. A reversal usually happens when the OI overshoots, as it did in November and March.
Cardano Open Interest
Further confirming a potential Cardano price bull run is the fact that the funding rate has turned positive. It has jumped to 0.65, a sign that long position holders are paying a small fee to those predicting that it will fall. A positive figure provides a good ADA price forecast.
Cardano Funding Rate
ADA Price Technical Analysis: Break and Retest Hints of a Bull Run
Cardano price is also exhibiting bullish technicals. The daily chart shows that the coin has formed an inverse head and shoulders pattern, a popular bullish reversal sign.
ADA price also formed a large falling wedge pattern, which is shown in red in the chart below. This pattern occurs when there are two falling and converging trendlines. These lines are drawn by linking the lower lows and higher lows in a certain period. Cardano has now moved above the upper side of the wedge. After doing this, it has retested that trendline, confirming a potential breakout.
On top of this, it created a double-bottom pattern at $0.5212, with a neckline is at $1.1705. Therefore, the most likely ADA price forecast is where it surges and reaches the resistance at $1.1705, up by 67% from the current level.
Cardano price chart
A drop below the double-bottom pattern at $0.5212 will cancel the bullish outlook. It will also risk the coin dropping to $0.2761, its lowest level last year.
XRP’s price has declined significantly over the past week. The token currently trades at a seven-day low of $2.09, and key indicators suggest that the downtrend may continue in the near term.
Market data shows a steady rise in the demand for short positions. This trend reveals growing trader confidence in further downside movement, with short sellers increasing their exposure in anticipation of the XRP token’s continued weakness.
XRP Faces Prolonged Sell Pressure
XRP’s long/short ratio reflects the bearish bias dominating its futures market. At press time, the ratio stands at 0.98, indicating more traders are betting against the altcoin.
This ratio compares the number of long and short positions in a market. When an asset’s long/short ratio is above 1, there are more long than short positions, indicating that traders are predominantly betting on a price increase.
Conversely, as seen with XRP, a ratio below one indicates that most traders are positioning for a price drop. This reflects heightened bearish sentiment and growing expectations of continued downside movements.
According to Coinglass, XRP last recorded a long/short ratio above one on April 22. This means it has been over two weeks since bullish positions outnumbered bearish ones in the XRP futures market. The extended period of bearish dominance suggests that market participants have grown increasingly pessimistic about XRP’s short-term prospects.
On the daily chart, the newly formed “death cross” by XRP’s Moving Average Convergence Divergence (MACD) indicator supports this bearish outlook. Readings from the XRP/USD one-day chart have revealed that XRP’s MACD line (blue) closed below its signal line (orange) on Monday, forming a death cross.
This pattern is a notable marker of a sustained downtrend and is widely viewed by traders as a sign of weakening price strength. Hence, XRP risks plummeting further.
XRP Holds Key Support at $2.09 — But for How Long?
XRP currently trades at $2.10, resting above the support formed at $2.03. If selloffs strengthen, the support floor could weaken, making way for a price decline toward $1.61.
