GM to all of you nutcases. It’s Crypto Nutshell #772 risin’ back up… 🐦‍🔥🥜

We’re the crypto newsletter that’s more gripping than a lawyer uncovering a conspiracy that everyone else wants buried… 📁⚖️

What we’ve cooked up for you today…

What’s in the Crypto Nutshell Portfolio?

BREAKING: Bitcoin Swings Wildly as Fed's Powell Straddles Labor Market and Inflation Issues

To the surprise of no one, the Fed cut interest rates by 0.25% to a range of 3.5–3.75%.

Bitcoin immediately spiked to $94,400, then gave it all back…

At the time of writing it is now sitting at $90,000, down slightly on the day while ETH holds above $3,200.

The cut itself wasn't the problem. Everyone knew it was coming.

The problem was everything Powell said after.

He called the labor market weaker than expected, then immediately pivoted to warn that inflation is "still somewhat elevated" and "higher than we'd like."

He said rate cuts would now be decided "meeting by meeting" with no preset path, and that policy is already "in a plausible range of neutral."

Translation: the bar for more cuts just got higher. (He also said something similar during the last rate cut)

The vote wasn't even unanimous. Two members wanted no cut at all. One pushed for 50 basis points instead of 25.

That's one of the widest splits the FOMC has seen in years, and it tells you everything about the bind the Fed is in right now.

Markets caught the message fast. Rate cut odds for January collapsed to 24%. By March, traders are pricing just 40% odds of another move.

But here's where it gets interesting…

The Fed also announced it will buy $40 billion in Treasury bills starting December 12, with purchases staying "elevated for a few months."

That's not full blown quantitative easing (QE). But it is liquidity flowing back into the system after three years of tightening.

Powell was careful not to call it stimulus. But the market doesn't care what he calls it. It cares what it does.

Analysts are split on what this means for crypto.

The bears point to Powell's caution, the lack of commitment to more cuts, and the fact that only one cut is projected for all of 2026.

The bulls point to the Treasury purchases, the weakening labor data, and the fact that Powell openly said rate hikes aren't anyone's base case anymore.

CryptoQuant sees a path to $112,000 if the Fed turns decisively dovish and BTC clears $99,000 and $102,000 resistance.

21Shares called the cut "a life ring for a sunk Bitcoin," arguing cheaper money eventually finds its way into crypto.

But Coinbureau warned that without clarity on the 2026 path, volatility stays high and upside is capped near term.

So where does that leave us?

Short term: messy. Powell gave the market just enough to avoid panic, but not enough to fuel conviction.

Medium term: the direction is shifting. Three cuts in four months, Treasury purchases resuming, and a Fed chair acknowledging the labor market is softer than thought.

That's not tightening. It's the early stage of easing.

And Trump is already interviewing Powell's replacement. Hassett - the ultra-dove - is still the frontrunner, and his term could start as soon as May.

Bitcoin doesn't react to words. It reacts to liquidity.

And today, the Fed confirmed where liquidity is heading. 🚀

So what’s your take?

Let us know your thoughts in the poll below. 👇

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When Harvard moves money, the rest of the financial world pays attention.

They represent the pinnacle of "Smart Money" - they’re conservative, calculated, and they think long-term.

And according to Bitwise CIO Matt Hougan, their latest Q3 filings reveal a massive shift in strategy.

One thing is clear: Harvard is betting heavily on currency debasement.

The numbers are staggering, but the ratio is the real signal.

The smartest institutional endowment on the planet is betting against the dollar.

But they aren't just running to the safety of Gold.

They are allocating 2x as much capital to Bitcoin.

For decades, Gold was the only answer to inflation.

Now, the world's most prestigious university is shouting with their wallet:

Bitcoin is the superior hedge.

The guard has changed. 🛡️

Time for check in on Ethereum’s supply side dynamics.

To do that we’ll be focusing on the amount of Ethereum currently being staked.

Quick Note: Ethereum staking involves locking up ETH to support the blockchain’s security. In return, users earn rewards for staking.

If you’d like to learn more about staking, check out this article.

35.93 million ETH is now locked in staking, up 1.66 million this year alone.

That's 29.77% of the entire supply - nearly one third of Ethereum pulled off the liquid market.

This isn't background noise. It's a slow-motion supply squeeze.

Week after week, more ETH moves into staking and stays there.

Exchange balances are at multi-year lows. Long-term holders aren't selling. And now almost 30% of supply is locked earning yield.

When real demand finally collides with that kind of scarcity, ETH doesn't grind higher.

It re-prices. And those moves aren't gentle. 🚀

Polymarket faces major credibility crisis after whales forced a "YES" UFO vote without evidence. Late-night traders bought odds at 99 cents just before a token-weighted vote overruled the public consensus, exposing a massive flaw in "truth" markets.

Strategy responds to MSCI letter, makes case for index inclusion. Strategy, a digital asset treasury company, sent a letter to the MSCI on Wednesday arguing why crypto treasury companies should be included in stock indexes.

U.S. Banking Regulator Warns Wall Street on 'Debanking,' Claims Practices 'Unlawful'. The Office of the Comptroller of the Currency probed debanking of certain industries, including digital assets, and said it'll pursue any repeat of such activity.

A16z-backed Lead Bank adds Loop Crypto to inner circle with eye on scaling stablecoins and payments. Lead Bank is a 97-year-old community bank that has, in recent years, pivoted to serving fintechs and crypto companies. 

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Because what would the crypto world be without its share of memes?

Trivia Answer: Sum of all coins valued at the price when they last moved 🥳

Realized cap values each UTXO at its last on-chain move price, giving a better view of what holders “paid” versus current market cap. 💡

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DISCLAIMER: The content of this newsletter is not financial advice. This newsletter is strictly educational and is not investment advice. Please be careful and do your own research.