U.S. Treasury Secretary Scott Bessent said he will work to advance a Strategic Bitcoin Reserve, adding new momentum to Washington's effort to treat Bitcoin as a strategic national asset. Bessent's comments build on President Donald Trump's March 2025 executive order establishing a Strategic Bitcoin Reserve as well as a separate U.S. Digital Asset Stockpile. The order directed the federal government to consolidate Bitcoin already in its possession from criminal and civil forfeiture into a dedicated reserve and laid out a framework for potentially acquiring additional Bitcoin through budget-neutral strategies. Senator Cynthia Lummis and other lawmakers have since introduced legislation to codify the Strategic Bitcoin Reserve, aiming to move it from executive action to a durable statutory footing. Bessent's public endorsement indicates the Treasury Department is actively engaged, rather than leaving the initiative solely to the White House. Policy implications are significant. A Strategic Bitcoin Reserve would be the first instance of a major sovereign government formally designating Bitcoin as a reserve asset alongside holdings such as gold and foreign currencies. The difference between simply holding seized Bitcoin and intentionally accumulating it as a matter of policy is central to the debate. A White House fact sheet said the reserve would begin with Bitcoin obtained through forfeiture, while directing the Treasury and Commerce departments to explore budget-neutral ways to add to the holdings. Still, substantial operational questions remain, including custody arrangements, valuation practices, reporting standards, and whether Congress will authorize funding or alternative acquisition mechanisms. Investors and industry participants are expected to watch for concrete steps following Bessent's pledge, such as formal custody agreements, public disclosure of reserve holdings, and a defined acquisition timeline. Progress on the Lummis bill will also be closely monitored; movement through committee would suggest longer-term political durability, while a stall would leave the reserve more exposed to reversal by a future administration. For the broader digital asset sector, the reserve debate is already influencing how institutions frame Bitcoin's role, alongside shifts in how regulators approach crypto-related financial products and how major payment networks integrate digital assets into settlement infrastructure. The next notable milestone may be a Treasury report detailing implementation logistics or a Senate hearing on the codification effort. Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.

SpaceX said in a filing with the U.S. Securities and Exchange Commission that it plans to price its initial public offering at $135 per share, a transaction that would raise $75 billion and value the company at $1.75 trillion. The aerospace group intends to sell 555.6 million shares. At the proposed scale, the deal would rank among the largest IPOs on record and represent a major milestone for Elon Musk's privately held rocket and satellite business. The listing could also ripple into crypto markets. SpaceX reported holding 18,712 bitcoin with a fair value of $1.29 billion as of March 31, placing it among the larger known corporate holders. Going public would bring those holdings into public markets, offering investors indirect bitcoin exposure through SpaceX shares. Attention on the company's bitcoin position has increased amid reports that Musk has explored combining SpaceX with electric-vehicle maker Tesla (TSLA). Tesla holds more than 11,500 BTC, one of the largest corporate bitcoin treasuries among publicly traded companies. A merger, if it were to occur, could concentrate control of one of the largest corporate bitcoin positions in public markets. Neither company has announced a formal merger plan. The IPO may also gauge whether crypto can keep drawing capital in a crowded risk-asset landscape. SpaceX's planned June listing, alongside expected fundraising by AI firms OpenAI and Anthropic, is projected to pull in more than $240 billion by year-end, potentially diverting liquidity from technology stocks, AI investments and digital assets as retail and institutional investors rebalance. Because bitcoin and other digital assets often compete for the same risk-on dollars as high-growth equities, strong demand for shares of SpaceX and other high-profile issuers could pressure crypto prices in the near term.

FLASH: Roughly $190 million in long positions across the crypto market were liquidated over the past hour after Bitcoin slid below $65,000.

Bitcoin has fallen below the $65,000 mark.

Bitcoin traded back under the $65,000 level.

CoinDesk reports that Bitcoin's recent slide is drawing long-term holders back into the market on the sell side. Compass Point said investors who had largely stayed on the sidelines in recent weeks have flipped to net selling, dumping about $2.4 billion worth of bitcoin over the past two days and adding to supply-demand pressure. Compass Point defines long-term holders as wallets that have held coins for at least 155 days. The firm said these accounts were mostly quiet from February through April, but selling activity has picked up noticeably over the past few weeks. Analyst Ed Engel noted that 26% of bitcoin sold in the last 30 days came from buyers who entered above $90,000. Those higher-cost holders, who had been relatively steady earlier in the drawdown, are now exiting in size in what Engel described as panic-style selling. He added that concentrated selling from top-of-range buyers often appears in the later stages of a bear market, suggesting the intensified pressure could also signal the current downtrend is moving into its second half. ETF flows are also weighing on sentiment. SoSoValue data show spot Bitcoin ETFs posted net outflows for 11 consecutive trading days as of Monday, the longest streak on record. Citi analyst Alex Saunders said ETF flows remain a major driver of price action, explaining about 45% of weekly return volatility, and the persistent outflows point to subdued risk appetite. The report also highlighted broader market headwinds. Bitcoin has not reclaimed its prior peak above $126,000 set last October. Ongoing uncertainty around a potential U.S.-Iran conflict has pressured prices, even as U.S. equities have pushed to new highs, prompting investors to reassess bitcoin's role as both a safe-haven and a risk asset. Bitcoin is down 10% since the start of the week, and a sharp selloff on Monday set off a wave of long-position liquidations that compounded the decline. The report added that Strategy's sale of 32 bitcoin was not a primary driver of the move.

Citigroup analysts say the latest slide in Bitcoin is being fueled primarily by sustained outflows from spot Bitcoin ETFs, arguing that fading new demand is more important for price action than high-profile sales by large holders. CoinDesk reported the view on June 3, with Citi characterizing the move as a demand shortfall rather than a reaction to any single headline. Citi's comments follow an extended stretch of negative ETF flows. Spot Bitcoin ETFs recorded a nine-day outflow streak through late May, with $2.8 billion withdrawn. The selling then intensified into what CoinDesk called the largest ETF selloff so far, totaling $3.4 billion, even as AI-related equities continued to rise. The contrast suggested the pressure was concentrated in crypto rather than tied to a broad risk-off shift. Citi's framework puts the spotlight on demand conditions instead of supply-side events such as institutional or corporate Bitcoin sales. When ETF inflows dry up, the steady source of buying that supported Bitcoin through much of 2025 weakens. Persistent outflows indicate both institutional allocators and retail investors using ETF vehicles are trimming exposure, removing a buffer that previously helped absorb selling from miners, long-term holders, and profit-takers. With spot Bitcoin ETFs now a key route for institutional participation, the flow picture has become central to market direction. If withdrawals continue at the late-May and early-June pace, Citi expects downside pressure to remain. The $2.8 billion nine-day draw and the subsequent $3.4 billion wave represent a scale of capital exit that is hard for organic spot demand to offset. A turn back to net inflows would be the clearest sign that sentiment is stabilizing. Market participants looking for a rebound are likely to keep close watch on daily ETF flow data from trackers such as SoSoValue. Broader positioning adds another layer. Bitcoin's decline alongside strength in AI equities points to capital rotation rather than generalized fear. Whether that rotation reverses may hinge on factors beyond crypto, including equity valuations and macro data. Prior liquidity-drain warnings from firms such as K33 have also underscored how sensitive Bitcoin can be to institutional flow trends. At the same time, traditional finance continues to deepen its crypto footprint. Mastercard is expanding stablecoin settlement support across multiple tokens, a buildout that could eventually widen the investor base Citi says is currently missing. For now, the takeaway is straightforward: who is buying matters more than who is selling. Until fresh capital returns to spot Bitcoin ETFs, the bias may remain lower. Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.

Bessent said authorities are advancing plans for a Strategic Bitcoin Reserve, emphasizing that the effort is progressing at a deliberate, measured pace.

BULLISH: U.S. Treasury Secretary Scott Bessent said he looks forward to working with lawmakers on the Strategic Bitcoin Reserve, adding that the initiative is advancing "with all deliberate speed."