Just one week after announcing plans to create a BNB Treasury, Nano Labs has paid $50 million to acquire 74,315 BNB.
The acquisition of 74,315 BNB has been officially added to Nano Labs’ expanding cryptocurrency treasury operations, which are listed on the Nasdaq. As trade volumes surge to almost $1 billion, the purchase has caused the price of BNB to rise sharply.
Nano Labs launches BNB Treasury operations
A news statement states that China-based Nano Labs has spent $50 million in a single acquisition to establish a BNB reserve. The business made 74,315 BNB in an over-the-counter (OTC) transaction at an average price of $672.45.
With this most recent acquisition, Nano Lab’s digital asset assets are now valued at $160 million. The announcement implies that Nano Labs will focus exclusively on Binance Coin, but the company is already pitching its tent with Bitcoin and BNB.
In June, Nano Labs reiterated its intention to become a BNB Treasury company and announced ambitions to create a $1 billion BNB treasury. The business revealed at the time that it would use convertible notes and private placements to raise up to $500 million.
“Over the long run, Nano Labs intends to hold 5% to 10% of BNB’s total circulating supply,” read the press release.
As of this writing, the Nasdaq-listed company’s stock price is trading at $7.95, down 9.66% from the previous day. On the 30-day chart, however, the Nano Labs stock is up 109%, peaking in tandem with the company’s intentions to establish a BNB reserve.
Altcoin Treasury operations are keeping pace with Bitcoin
Numerous businesses are amassing cryptocurrencies for their balance sheets, but Bitcoin treasury activities are taking center stage. With a total holding of 188,478 ETH, SharpLink Gaming is in the lead for Ethereum. BitMine, a Bitcoin miner, entered the race at the beginning of the week by raising $250 million for an Ethereum treasury.
In recent times, corporate solana accumulation has also accelerated. To expand its SOL holdings, DeFi Development Corp. has announced an additional $112.5 million. Similar to Strategy’s purchase of Bitcoin, Upexi and MemeStrategy are gradually growing their SOL holdings.
Bitcoin treasury firms are well ahead of the rest in the flurry of activity around altcoin treasury operations. Bitcoin treasuries, led by Strategy, spent more than $500 million to buy 5,898 BTC in the past week.
July Fed rate cut hopes fade following strong US job data
After the US job numbers beat forecasts, traders are no longer placing bets on a July rate cut by the Fed.
After the release of the June US job data, traders are pulling out of their bets on a July rate cut by the Fed. The US added more jobs than economists predicted, while the unemployment rate fell below forecasts. This makes the Fed’s argument for delaying rate cuts until after the tariffs’ impacts are known stronger.
Traders increase bets against a Fed rate cut in July
After the FOMC meeting on July 30, there is a 94% chance that the Fed will maintain current interest rates, according to polymarket data. Additionally, traders have withdrawn their bets on a rate cut this July, according to CME FedWatch data.
In anticipation that Jerome Powell and the FOMC would yield to pressure from Donald Trump, the likelihood of a 25 basis point (bps) Fed rate drop had risen to about 25%, as previously reported. But after the US job data was released, the probabilities fell precipitously to 4.7%.
According to figures from the US Bureau of Labor, nonfarm payroll employment rose by 147,000 in June, significantly more than the 110,000 predicted. In the meantime, the unemployment rate fell to 4.1%, which was lower than the 4.3% forecast.
Because a weakening job market may lead Powell and the FOMC to lower rates at the July 30 meeting, the market has been pricing for a July Fed rate cut based on these predictions.
Speaking earlier this week at the ECB symposium on Central Banking in Europe, Powell himself hinted at a potential interest rate drop in July. The Fed Chair stated that he was unable to predict with certainty whether a rate cut in July would occur and that it would rely on new information.
According to US job figures, the labor market is still strong, thus the Fed doesn’t need to cut rates right away. Powell has been harping on this for some time, saying that they are in a good position to wait and see how the Trump tariffs affect things.
Cardano jumps 12% as long-term holders refuse to sell
After a 24% decline in June, Cardano’s price has increased by 12% in the past day, giving ADA holders optimism for a comeback.
Key holder groups, including long-term holders (LTHs) and short-term holders (STHs), who are both reluctant to sell, are supporting this change in momentum. These elements might offer the stability required for a price recovery.
Cardono holders refrain from selling
After a brief period of selling, LTHs are now HODLing again, according to Mean Coin Age (MCA) data. Reversing the general downward tendency seen in recent months requires this move toward accumulation. Since LTHs own a sizable amount of Cardano’s supply, their choice to hold rather than sell can have a big impact on the price.
The LTHs’ shift in attitude is contributing to the development of a more stable market environment for ADA. Since the price of Cardano is usually stabilized by the stability of the LTH, their activities are essential in giving support.
Neither LTHs nor STHs are sitting on profits, as indicated by the MVRV Long/Short Difference’s current neutral value. Since it implies that short-term holders are not yet making money, which would normally lead them to sell and lower the price, this neutrality is a crucial indicator.
The pressure to sell is greatly diminished when both groups of holders adopt a neutral position, which may aid in keeping Cardano’s price stable. Given that neither group is likely to employ mass selling to drive prices lower, this market situation offers Cardano a favorable position.
ADA price needs to secure support
At the time of writing, Cardano is trading at $0.60, up 12%. This level, though, is a significant obstacle that Cardano has not yet been able to overcome. The altcoin confronts a crucial test at this point, but the market sentiment and accumulation tendencies offer a favorable backdrop.
A more persistent upward trend may commence if $0.60 is secured as support.
The next reasonable price goal, if Cardano is successful in turning $0.60 into a support level, would be $0.66. This action would suggest that the cryptocurrency is rebounding more than the early June losses of 24%.
However, Cardano may stabilize between $0.60 and $0.54 if it is unable to break through the $0.60 barrier and falls back as a result of unanticipated bearish conditions. The present bullish view would be rendered invalid by this.
