Asia Morning Briefing: Bitcoin Stabilizes as Altcoins Flash Early Strength

Binance’s latest Proof of Reserves (PoR) report confirms robust asset security across major cryptocurrencies. USDC leads with a 133.79% ratio, followed by BNB at 112.95%, and FDUSD at 111.72%. Bitcoin’s reserve ratio stands solid at 102.11%, and Ethereum and Solana are fully backed at 100%. The data highlights Binance’s continued transparency and overcollateralization, ensuring user funds are backed — and in most cases, oversecured — across multiple assets.

The Pi Network community is buzzing with anticipation as the project prepares to roll out its latest interface update, signaling a major breakthrough in its development. Far from a routine bug fix, this update is seen as a strong indicator of the network’s imminent Mainnet V23 launch. The upgrade promises a more stable, seamless, and decentralized ecosystem — a key milestone that could finally bring Pi Network closer to realizing its long-awaited vision of mainstream blockchain adoption.

Within just three days, two stablecoins each worth over $500 million lost their peg, trapping traders who tried to buy the dip. The panic quickly spread to Ethena’s synthetic stablecoin USDe, whose market cap plunged from $14.8 billion to $8.7 billion — and continues to fall. Notably, CoinMarketCap has removed the K-line data showing the depegging, though CoinGecko still displays the dramatic collapse, capturing one of the most volatile moments in stablecoin history.

Google is integrating Kalshi and Polymarket data into Google Finance, letting users see real-time prediction odds for questions like “Will the Fed cut rates in December?” directly in search. The update will display live probabilities and trend charts. Kalshi, a CFTC-regulated exchange, focuses on policy outcomes, while Polymarket, built on blockchain, covers global topics. The move adds a new layer of AI-driven insights, making future expectations as trackable as stock quotes or economic data.

Terraform Labs founder Do Kwon is expected to serve roughly four more years in a U.S. prison, but his legal troubles won’t end there. Once his American sentence is complete, he will likely be extradited to South Korea, where prosecutors and victims are preparing additional charges that could add decades to his jail time. Kwon’s case highlights the growing risks faced by international crypto scammers, who now face accountability across multiple jurisdictions.

FTX’s legal counsel and advisors are facing sharp criticism for billing every hour since November 2022, according to court payment records. John J. Ray III praised his team for “no breaks, no holidays, not even weekends,” while investors call it blatant overbilling. With total fees exceeding $2.5 billion, the FTX case is shaping up to be a cautionary tale of how legal bureaucracy can drain estate funds faster than recovery efforts rebuild them.

John J. Ray III admitted to placing FTX EU and FTX Japan into bankruptcy without board approval, actions now facing legal threats from local regulators and former employees. The Swiss court reportedly challenged the legality of the filings, prompting Ray to sell FTX EU back to employees and grant himself a legal release. Similar disputes are emerging in Japan, where former staff allege the estate is misusing assets to suppress whistleblowers.

In a biting, satirical moment during his court remarks, John J. Ray III mocked the chaotic recovery process, comparing FTX’s asset hunt to a game of “whack-a-mole.” He referenced billions in lost or mismanaged funds, including $10B in Robinhood assets, $5B in Solana, and $1.8B from Anthropic shares sold against committee wishes. Critics say Ray’s tone underscores growing frustration with FTX’s handling of recoveries and questionable sales of high-value assets.

During FTX’s ongoing legal battles, CEO John J. Ray III admitted to approving a $42 million personal bonus and $1 million payments to board members who sanctioned it. The revelation has sparked outrage among creditors and investors, many of whom view the payouts as excessive amid ongoing losses. Ray defended his compensation, claiming it reflected “extraordinary effort” in managing the most complex bankruptcy in U.S. financial history.

At FTX founder Sam Bankman-Fried’s appeal hearing, current CEO John J. Ray III appeared to defend allegations of gross misconduct and the destruction of over $130 billion in estate assets. Ray acknowledged that FTX’s bankruptcy process has cost over $2.5 billion in fees, calling it “the most expensive bankruptcy ever.” Critics argue Ray’s leadership kept a “perfectly solvent” company under Chapter 11, raising questions about the true state of FTX’s finances and his motives.

Bitcoin’s technical structure has flipped bearish after losing crucial support, signaling potential downside ahead. The price is rejecting the Fair Value Gap (FVG) zone, confirming weakening momentum and fading bullish control. Analysts suggest a high probability of $BTC filling the FVG and extending the drop toward $83,610. However, a decisive reclaim above $116,400 would invalidate this bearish outlook and restore optimism in the short term.

JPMorgan analysts expect Bitcoin to climb to around $170,000 within the next 6 to 12 months. They believe the recent 20% market correction and leverage reset have set the stage for renewed upside. The bank highlighted improving volatility metrics compared to gold and said recent turbulence — including record futures liquidations on October 10 and the $120 million Balancer exploit — reflects a healthy market reset before Bitcoin’s next potential surge.

Galaxy CEO Mike Novogratz believes the crypto market’s current sluggishness is a natural cooldown after a long bull run. He noted that many long-term holders are diversifying their portfolios, which could pressure prices in the short term but strengthen the market over time. Novogratz added that the market hasn’t yet reached its cycle top, and a more dovish Federal Reserve chair later this year could trigger the next major rally.

Japan’s Financial Services Agency has approved a pilot project where MUFG, SMBC, and Mizuho will jointly issue a yen-backed stablecoin. As the first initiative under the Payment Innovation Project (PIP), the program aims to test the legal and operational feasibility of issuing stablecoins across multiple banks. The experiment, set to begin in November 2025, marks a major step toward Japan’s integration of blockchain technology into its traditional financial system.

Bloomberg Senior ETF Analyst Eric Balchunas revealed that Bitwise has submitted an 8(a) form for its Spot Dogecoin ETF. The filing serves as an automatic effectiveness application to U.S. securities exchanges, meaning the ETF could be automatically approved for listing if the SEC does not act within 20 days. This move signals growing institutional interest in Dogecoin and could mark a major milestone for meme coin adoption in regulated markets.

According to @EmberCN, Tether’s BTC reserve wallet withdrew 961 BTC (worth $97.18 million) from Bitfinex, likely signaling a dip-buying move. The wallet, which accumulates Bitcoin using 15% of Tether’s profits since 2023, now holds 87,296 BTC valued at $8.84 billion—making it the 6th largest Bitcoin wallet globally. Based on withdrawal prices, the average cost per BTC stands at $49,121, giving Tether an unrealized profit of roughly $4.55 billion.

In a landmark decision, India’s High Court has officially recognized Bitcoin and other cryptocurrencies as legal property. The ruling states that crypto assets can be owned, held in trust, and protected under existing laws. This move grants investors legal protection and ensures greater accountability for crypto exchanges operating in the country — marking a major step toward regulatory clarity and mainstream adoption of digital assets in India.

The U.S. Supreme Court is expected to rule soon on President Trump’s tariffs, with increasing odds that the measures could be struck down. Such a ruling might trigger massive refunds to affected businesses, impacting financial markets. Meanwhile, major institutions like JPMorgan and Charles Schwab are turning bullish on Bitcoin, forecasting stronger demand than gold by 2026. Trump has reiterated Bitcoin’s importance to the U.S. economy, calling it “vital to the financial system.”

Robinhood is reportedly considering adding Bitcoin to its corporate treasury, signaling growing institutional confidence in crypto. The move follows a robust Q3 performance, with overall revenue doubling and crypto revenue soaring 300% year-over-year. By holding Bitcoin as a strategic asset, Robinhood aims to strengthen its balance sheet and align with a broader shift toward digital assets. Analysts say this could further legitimize Bitcoin adoption among mainstream financial firms.

New York City’s newly elected mayor, Zohran Mamdani, has proposed a controversial Bitcoin tax requiring all residents to contribute a portion of their holdings. His broader socialist agenda—featuring city-run grocery stores and race-based property taxes—has drawn sharp criticism. While supporters hail it as a push for economic equality, critics fear it could spark an economic decline, drive businesses away, and damage the city’s status as a global financial hub.

November’s market action shows renewed investor confidence as Bitcoin rebounds sharply from bear-market lows, holding key support above $100K. Stocks and gold have also surged, while bonds slipped. Traders are closely watching technical indicators, including Elliott Wave patterns, to anticipate Bitcoin’s next move. With new crypto listings and futures products adding liquidity, market sentiment remains cautious yet optimistic heading into the final weeks of 2025.

The crypto market is buzzing as Alchemix ($ALCX) and Sapien ($SAPIEN) record massive price surges, attracting short-term traders hoping to capitalize on quick gains. Analysts warn that while the hype fuels strong momentum, frequent retracements and potential rug pulls make these assets highly risky. Meanwhile, privacy coins like Zcash ($ZEC) and Dash ($DASH) are gaining ground amid renewed interest in digital privacy, dividing investors between chasing profits and managing risk.

The U.S. government shutdown is bleeding liquidity at a rate of $15 billion per week, with over $75 billion already drained from the economy. Traditional markets are showing clear signs of stress, and Bitcoin ($BTC) is reacting swiftly to the tightening conditions. Our trading models flagged this shift early — a major market update is coming before the next big move.

The Federal Reserve entered a severe quantitative tightening (QT) phase at the end of summer to curb inflation — a typical move to drain excess liquidity. However, with the U.S. government shutdown halting major spending, the usual balancing flow of cash back into the economy has stalled. As a result, liquidity continues to tighten sharply, visible in data trends where the line just keeps climbing upward, signaling growing financial strain.