Podcast Summary

The Wolf Of All Streets – CryptoTownHall

Episode: ETH Liquidations Outpace Bitcoin As Crypto Falls | CryptoTownHall
Host: Scott Melker (Scott)
Date: August 18, 2025

Episode Overview

In this episode, Scott Melker convenes a diverse panel of crypto experts to dissect the latest turbulence in the crypto markets, focusing on Ethereum outpacing Bitcoin in liquidations amid falling crypto prices. The guests discuss market structure, investor psychology, staking dynamics, asset management trends, and the dramatic impact of macro news—including Larry Fink’s leadership at the World Economic Forum (WEF). The episode wraps with a short sponsor segment on BNB and a showcase from emerging AI game platform Akato.

Key Discussion Points and Insights

1. ETH vs. BTC: Liquidation Patterns and Market Mood

• Primary Theme: Despite the overall drop in crypto prices, Ethereum saw a disproportionate share of liquidations compared to Bitcoin—an unusual shift that signals changing dynamics between the two leading cryptocurrencies.
• Trend Analysis: Panelists note Ethereum “leading in both directions” in recent weeks (00:20).
• Quote:

  “Strangely, most of the liquidations, or at least half of them were coming from Ethereum and not from Bitcoin... Ethereum seems to be leading in both directions lately.” — Scott [00:17]

2. Short-Term Overhangs, Options, and Staking Behavior

• Options Expiry Impact: William explains that Friday’s ETH put-to-call ratio (1.05) resulted in long positions being liquidated, setting the stage for weekend action.

• Staking Dynamics: Outflows from ETH staking have exceeded inflows (“2 to 1”), but William reassures that this raises yields and may eventually incentivize restaking.

• Quote:

  “There’s more coming, so I’m not worried at all.” — William, on further treasury inflows into ETH [01:55]

• Psychological Overhang: “PTSD” among older ETH holders—those who bought in the last cycle and see new highs simply as an exit opportunity.

  “...you’ll have a lot of people unstaking and that doesn’t mean that it’s not going to be going further. And some of those people... can’t believe I hodled until I was right and then I was out.” — Lawyered [03:31]

3. Volatility, Volume, and Market Structure

• Low Volumes: Weekend volumes were the lowest in recent history—hundreds of millions instead of billions.

  “Volumes this weekend were about as low... as we’ve seen in a while… not that I can talk about specifics, but the first time we’ve seen a weekend that slow in a while.” — Scott [09:36]

• Lack of Bitcoin Leadership: The current market is “not a Bitcoin-led market,” contrary to typical “alt seasons”—Ethereum is showing signs of being its “own thing” (09:55).

4. Ethereum’s Evolving Position

• ETH’s Distinct Identity: Ethereum is establishing itself as distinct from both Bitcoin and other altcoins, closing the market cap gap with BTC while moving away from the wider “alt” cohort (10:51).
• Resistance Ahead: William warns that breaking new all-time highs (from $4,500 toward $7,500) will be more challenging than past moves (11:25).

5. Macro News: Larry Fink and the World Economic Forum

• Fink's Appointment Impact: Larry Fink, now interim head of the WEF, is seen as both a potential educator and risk—possibly heralding more institutional adoption but also fears of “co-option” of crypto ideals (12:00–16:00).
• Diverse views:

  “It is... disgusting, right?... This is like worst of the worst.” — Adam, on Fink’s appointment [13:35]
  “...we may very well have a softening in the World Economic Forum stance toward Bitcoin... good for our bags, but is likely to trigger... fear of co-option.” — Scott [14:38]

6. Monero Attack and Security Concerns

• Example of how non-technical attacks can disrupt even robust networks, raising questions about Bitcoin’s future security (16:00–17:50).

7. Market Outlook: Ranging and The Fed

• Consensus: Expect further “ranging” with little directional conviction through the summer amid low activity and an upcoming Jackson Hole Fed meeting, which may be a non-event but could inject volatility (20:00–21:00).
• Macro Factors: Focus is on central bank rhetoric and possible interest rate cuts, but expectations remain muted.

8. MicroStrategy and Treasury Company Premiums

• MicroStrategy Volatility: Discussion on how low Bitcoin volatility hurts MicroStrategy’s performance; potential for a “gamma squeeze” if volatility returns in September (24:00–26:44).
• Valuation Models: Premiums on treasury companies should be modest (~1.5–2x NAV), with warnings against chasing momentum-driven overvaluation (27:21).

9. Ethereum Treasury Firms: Too Soon To Judge

• Early Days: ETH treasury organizations are new and untested; yields and business models may evolve distinct from Bitcoin firms (33:14).
• ETH as a “Productive Asset”: The panel discusses its unique DeFi capabilities as changing the narrative compared to BTC (34:35).

Notable Quotes & Moments

• William on ETH Volatility and Institutional Inflows [01:10]:

  “The inflows last week were $3.77 billion, 77% of that were led by Ethereum… There’s more coming, so I’m not worried at all.”

• Lawyered on Holder PTSD [03:35]:

  “There’s a lot of PTSD in Ethereum… some of the older players just want to get the fuck out.”

• Scott on Volume and Signal [09:39]:

  “When you see those sorts of low volume moves, they… mean less. That is what you’re seeing.”

• Adam on WEF Appointment [13:35]:

  “Cabal in, man. It is like it’s disgusting, right?... this is like... the most insider, insider baseball stuff that happens in world politics and finance.”

• Scott on WEF and Co-Option [14:38]:

  “...the notion that we may very well have a softening in the WEF stance toward Bitcoin is good for our bags, but is likely to trigger... fear of co-option...”

• William on ETF Inflows [06:11]:

  “ETF inflows are still very high. A lot of the treasury companies still have a lot of powder... Some are waiting for post-Labor Day activity.”

• Scott on ETH’s Identity [10:51]:

  “Ethereum has been getting closer to Bitcoin in market cap... and a lot further from other altcoins. So it's distancing itself rightfully so..."

• Discussion on Market Psychology [28:44]:

  "If you’re buying something that you know is a piece of crap or... fartcoin, you know you’re doing, you’re buying it because you think you’re going to be able to sell it before everybody else does." — Scott

• William on ETH Treasury Firms [33:14]:

  “Most all of the top three right now are only like weeks old in terms of announcements and getting going… they are still in the honeymoon period.”

Timestamps for Key Segments

• ETH Liquidations > BTC: 00:00–02:30
• Staking Flows & Market Impact: 02:11–03:35
• Holder Psychology/PTSD: 03:35–04:24
• Weekend Volume & Volatility: 09:36–10:51
• ETH Becoming Its Own Asset: 10:51–12:00
• Larry Fink at WEF Reaction: 12:00–16:00
• Monero/Crypto Security: 15:43–17:50
• Fed, Jackson Hole, and Macro View: 20:16–21:09
• MicroStrategy & Momentum: 24:22–28:22
• NAV Premiums & Market Behavior: 27:21–30:57
• ETH Treasury Companies: Outlook: 33:14–34:23
• ETH vs. BTC—True Nature: 34:35–36:11

Sponsor Segment (BNB and Akato AI Game Builder)

Timestamp: 36:19–54:16

• Spotlight on BNB's market performance and a new NASDAQ listing imitating MicroStrategy's BTC approach.
• Akato presents its AI-driven game creation platform in the BNB ecosystem, enabling users to build games without coding and explore monetization via meme coins.

Conclusion

This lively Crypto Town Hall session unpacks real-time market structure and sentiment, revealing Ethereum’s evolving dominance, changing treasury management narratives, and ongoing institutionalization trends. The group’s nuanced takes on investor psychology, macro headlines, and the risks of false comfort in low-volatility environments offer plenty to digest for crypto watchers—whether HODLing, actively trading, or building new Web3 businesses.