Altcoins may have just hit rock bottom — and that might be great news for crypto traders. According to popular analyst Michael van de Poppe, market signals are now pointing to a turnaround.
While some analysts warn that Bitcoin’s growing dominance is delaying the altcoin season. Could things be finally shifting in favor of altcoins?
Let’s break it all down.
Gold Drops, Altcoins Ready to Rise?
Van de Poppe points out that traditional markets, especially gold, are weakening. Gold has failed to break above $3,365 and is now trending lower. Poppe says this downtrend could be a good sign for riskier assets like altcoins, especially if economic data turns worse and rate cuts are announced.
The week on #Gold has closed significantly lower as it starts to have a downtrend.
That’s great, as that’s opening up the doors for potential #Altcoin party.
— Michaël van de Poppe (@CryptoMichNL) June 28, 2025
Meanwhile, further fed rate cuts would mean more liquidity in the market — often good news for altcoins.
Van de Poppe also shared another chart showing the OTHERS/BTC ratio (which tracks altcoins vs. Bitcoin) forming a strong base. He believes we’re in the final phase of a bottoming process, supported by bullish divergence on the charts.
This pattern has marked previous cycle lows — and each time, altcoins staged a strong comeback shortly after.
Bitcoin Dominance Slowing Altcoin Progress
On the flip side, crypto analyst Tony Severino suggests that Bitcoin’s dominance in the crypto market recently touched 65.66%. That’s a strong signal that Bitcoin is still leading the pack, especially with the Relative Strength Index (RSI) reading around 60 on major timeframes.
Severino warns that as long as these conditions hold, altcoins will likely remain stuck.
Looking at the altcoin season index, it currently stands at 22, suggesting bitcoin is dominating the market.
The US market is eagerly waiting for the second inflation report of 2025. The report is scheduled to be released today. Analysts predict a slight drop in both headline and core inflation. If confirmed, this would be the first time since July 2024 that both inflation indicators have declined.
US Inflation Expectations for February
In January 2025, the core inflation rate rose from 3.2% to 3.3%. The consensus is that the rate will drop from 3.3% to 3.2% in February. According to TEForecast, the rate is expected to decline sharply from 3.3% to 3.1%.
In January 2025, the US inflation rate increased from 2.9% to 3%. The consensus is that the rate will decline from 3% to 2.9% in February.
If confirmed, this would be the first time since July 2024 that both inflation indicators have declined.
In July 2024, the core inflation rate fell from 3.3% to 3.2%, and the US inflation rate dropped from 3% to 2.9%.
Since September 2024, the US inflation rate has risen consistently. Meanwhile, the core inflation rate increased from 3.2% to 3.3% in September. It remained at the same level for the next two months. In December, it dropped to 3.2% from 3.3%.
Market Confidence in Inflation Cooling
Markets are extremely optimistic that inflation will decrease. Kalshi traders predict that the headline CPI will drop to 2.9%. Notably, Kalshi traders have accurately predicted at least 6 of the last 8 CPI numbers.
Donald Trump Donald Trump is an American former president politician, businessman, and media personality, who served as the 45th president of the U.S. between 2017 to 2021. Trump earned a Bachelor of science in economics from the University of Pennsylvania in 1968. Trump won the 2016 presidential election as the Republican Party nominee against Democratic Party nominee Hillary Clinton while losing the popular vote. As president, Trump ordered a travel ban on citizens from several Muslim-majority countries, diverted military funding toward building a wall on the U.S.–Mexico border, and implemented a family separation policy. Trump has remained a prominent figure in the Republican Party and is considered a likely candidate for the 2024 presidential election
President
recently imposed import tariffs on China, Canada, and Mexico. His aggressive trade policies have triggered retaliatory tariffs and pushed the global economy to the brink of a disastrous trade war.
Today’s inflation report will be the first to reflect inflation under Trump’s tough trade policies.
Impact on the Cryptocurrency Market
If inflation declines as predicted, it could impact the cryptocurrency market in multiple ways. A cooling inflation rate increases the likelihood of the Federal Reserve easing monetary policy, potentially leading to lower interest rates. This could create a more favourable environment for risk assets like cryptos, driving investor confidence. However, uncertainty surrounding Trump’s trade policies might trigger volatility, as global economic instability often pushes investors toward safe-haven assets like gold. If inflation remains stubbornly high as against the expectation, the Fed may maintain tight monetary policies, putting pressure on the broader financial and crypto markets.
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The US market is eagerly waiting for the second inflation report of 2025. The report is scheduled to be released today. Analysts predict a slight drop in both headline and core inflation. If confirmed, this would be the first time since July 2024 that both inflation indicators have declined. US Inflation Expectations for February In …
More than 30 million BGB tokens set to burn! Bitget, the premier cryptocurrency exchange and Web3 platform, will execute a burn of 30,001,053.1 BGB tokens, amounting to 2.56% of the total supply, for Q2 2025, approximately worth $138 million at the average price in Q2 2025. With this, more than 5% of the total BGB
Welcome to the US Crypto News Morning Briefing—your essential rundown of the most important developments in crypto for the day ahead.
Grab a coffee as we discuss the growing influence of stablecoin issuers in the US Treasury market. With growing institutional adoption and regulatory legitimization of US dollar-pegged stablecoins, experts warn of artificial inflation of demand for the dollar.
Crypto News of the Day: Using Government Debt Instruments To Back Digital Dollars is Risky, Keiser Warns
The influence of stablecoin issuers in the US is growing, so much that Tether, which already issues the USDT stablecoin, plans to launch a US-only stablecoin by 2025. Tether aims to position stablecoins as strategic financial tools under the Trump administration.
Stablecoin supply by issuer in billions of US dollars. Source: Bain & Company
This chart shows Tether’s dominance in the stablecoin market, with overall supply going from $2 billion to more than $200 billion in recent years.
Meanwhile, the US Treasury projects stablecoins could reach a $2 trillion market by 2028, which could attract more players.
Nevertheless, as stablecoin influence in the Treasury market grows, the House Financial Services Committee is concerned.
Perhaps, however, the greater concern is stablecoin issuers’ using Treasury yields to buy Bitcoin. According to experts, this could undermine US government reserves.
A recent US Crypto News publication indicated reports of stablecoin issuers using Treasury yields to buy Bitcoin. Some say this could undermine initiatives like the proposed US Strategic Bitcoin Reserve, which aims to bolster national holdings of the pioneer crypto.
Growing Influence of Stablecoin Issuers in US Treasuries Market is Concerning, Max Keiser Says
Among them is Bitcoin pioneer Max Keiser, who voiced concerns over the growing influence of stablecoin issuers in the US Treasury market. Keiser warns that their use of government debt instruments to back digital dollars may have broader implications for the global financial system.
As of Q1 2025, Tether reported holding nearly $120 billion in short-term US Treasury securities and reverse repos. This makes it one of the largest non-sovereign holders of American government debt.
Meanwhile, Circle, issuer of USDC, disclosed more than $22 billion in Treasury bills in a February 2025 attestation.
These holdings collateralize dollar-pegged stablecoins, helping issuers maintain liquidity and trust. The issuers benefit from the interest income generated by the bonds.
While this practice is common and legal, Keiser contends it contributes to deeper systemic issues tied to fiat currency dynamics.
“This is exactly why the stablecoin issuers are buying Bitcoin, this is called a speculative attack on the US dollar. Feeding the debt spiral with fiat stablecoins, buying treasury bills, and then investing the interest into Bitcoin, allowing the stablecoin issuers to buy billions in Bitcoin for free,” Keiser told BeInCrypto.
Stablecoin issuers purchase US debt on secondary markets and earn interest, which they may or may not deploy into digital assets like Bitcoin. Keiser is critical of the broader financial architecture underpinning stablecoins.
“Issuing new stablecoins backed by US T-bills printed out of thin air is not a monetary system, but a financial hologram,” he said.
US Treasury bills are debt instruments issued by the federal government and sold to investors, including private companies like Tether and Circle, through regulated markets. These stablecoin issuers tokenize existing fiat currency held in reserve.
Keiser elaborated on what he sees as the long-term consequences of this model.
“It’s a speculative attack by private banks. It is financial repression, pushing rates down as ‘malinvestments’ increase. It is rinse and repeat,” he explained.
His critique also extends to the broader outlook for the US dollar, which, according to the Bitcoin pioneer, “is a quick, deadly fix; a USD hospice. Cue the final death throes of the US dollar.”
BeInCrypto has contacted Circle and Tether for comment and will update this article if they respond.
Max Keiser Proposes AI To Invent Novel Security Structures
Keiser also highlighted what he views as an emerging trend. He said high-profile investors and technologists use artificial intelligence (AI) and novel corporate strategies to increase Bitcoin exposure.
The Bitcoin maxi referenced Strategy Executive Chair Michael Saylor and investor-turned-politician Vivek Ramaswamy.
“Financial engineers like Michael Saylor and Vivek Ramaswamy are using AI to invent novel security structures to maximize the Bitcoin Treasury model. Vivek Ramaswamy plans to take his company, Strive Asset Management, public by merging with Asset Entities and starting to accumulate Bitcoin using the model that Saylor’s Strategy has already successfully adopted — using proceeds from stock and debt issuance,” Keiser remarked.
Though no confirmed public filings detailing Ramaswamy’s use of AI in this context, Keiser sees these developments as significant.
“The results are redefining finance globally and adding significantly to the Bitcoin demand. OG’s like myself, who have watched Bitcoin outperform everything for 15 years, are seeing, for the first time, investment strategies that are outperforming Bitcoin, and the implications are profound,” he said
Keiser believes such strategies could push Bitcoin’s market value even higher. He also implied that the extraordinary compounding rates of the past could be extended. This sentiment comes as Bitcoin captures more of the total addressable market and scales even higher price points.
The views expressed are those of Max Keiser and do not necessarily reflect the opinions of BeInCrypto.
Chart of the Day
International holdings of US Treasuries in billions of dollars. Source: Bain & Company
This chart shows that stablecoins have become a large holder in US treasuries.
Byte-Sized Alpha
Here’s a summary of more US crypto news to follow today:
