Bitcoin held steady on Tuesday amid global uncertainty while Trump criticized NATO allies who did not support the Iran conflict.
Mastercard announced that it was buying the stablecoin startup BVNK, while Pentagon moved to replace Anthropic in the feud.
Bitcoin rises above $74,500 as the inflows increase
Bitcoin is trading near mid-$70,000, indicating signs of stability after recovering from its recent lows at around $66,000.
Cryptocurrency prices rose above $74,500 on the back of steady demand for spot and new institutional inflows.
Glassnode data suggests that momentum is improving, as buy-side pressure has returned and ETF flows are accelerating.
The profitability of investors has improved, but capital outflows are also down.
The derivatives market is still cautious, and the on-chain activities are subdued. This indicates that participation in the broader markets has not yet fully recovered.
Recent moves higher have also been linked with a dynamic of short pressure.
The institutional demand is still a major driver. Spot bitcoin ETFs have seen multiple days of inflows. On Monday alone, $199,4 million was pumped into these ETFs.
Trump criticises NATO Allies for Iran War Participation
US President Donald Trump has criticized NATO for its reluctance in participating in the Iran war, calling it a strategic mistake.
Trump told Ireland’s Prime Minister during a meeting in the Oval Office that “the alliance of 32 countries is making a very stupid mistake.”
Trump said that although the US doesn’t need assistance from its allies, they should still be involved.
He has called on countries that benefit from the oil flowing through the Strait of Hormuz, to secure the route. However, no NATO member is firmly committed.
Trump again reiterated his criticisms of NATO. He described it as “a one-way street – We protect them but they won’t do anything for us”.
Trump said: “Because we’ve had so much military success, we don’t ‘need’, or want, NATO Countries assistance. WE NEVER DID!”
Following his comments, oil prices increased as concerns about a prolonged disruption of a major global shipping route were expressed.
Mastercard makes $1.8B move into stablecoin infrastructure
Mastercard has announced that it is acquiring London-based firm BVNK, which provides stablecoins infrastructure for up to $1.85 billion. This marks its biggest push into digital currency.
This deal, which includes contingent payments of $300 million tied to specific performance goals and should close in the next year, will include $300,000,000.
Mastercard will be able to use the acquisition to implement traditional payment networks with blockchain-based systems, allowing it to offer stablecoins as well as tokenized deposits in line with adoption.
Jorn Jorn Lambert, Chief Product Officer at Mastercard and a leading expert in digital currencies said: “We anticipate that the majority of financial institutions will provide services for digital currency over time.”
BVNK is active in more than 130 nations and facilitates transactions through major blockchain networks.
This deal is a result of heightened interest in stablecoins infrastructure, following the shift in US regulation towards a more crypto-friendly approach.
Pentagon looks for new AI partners following Anthropic Fallout
After labeling Anthropic a risk to the supply chain, US Department of Defense has been working on replacing artificial intelligence tools.
Cameron Stanley, Pentagon’s Chief Digital and AI Officer, stated that efforts were underway to switch to large language models. The process, however, could take up to a month.
Stanley stated that the Department was actively working to implement multiple LLMs in appropriate government owned environments. The engineering work on these LLMs has already begun, and we anticipate having them ready for use in the near future.
Anthropic’s refusal to lift the restrictions on its AI being used for autonomous weapons or surveillance led to a breakdown of talks.
This move puts at risk a $200-million agreement, and highlights the Pentagon’s efforts to diversify AI suppliers.
OpenAI, xAI and Google have stepped in to help fill this gap, as the military intensifies its efforts to be an “AI first” force.
The post Evening Digest: Bitcoin over 74,500 and Trump criticises NATO Allies could be updated as new developments unfold.
