Podcast Summary: "Major Bitcoin Setback As TRILLIONS Are Wiped Out In Global Markets"

The Wolf Of All Streets — Scott Melker
Date: February 24, 2026
Guests: Andrew & Tillman

Episode Overview

In this lively and timely episode, Scott Melker is joined by finance and crypto insiders Andrew and Tillman to dissect a week marked by trillions in global market losses, surging fear levels, and a major sell-off in Bitcoin and related assets. The trio explore not just the causes behind the panic, but also the underlying cycles, opportunities, and enduring strength of the crypto space. Mixing in sharp humor and personal trading anecdotes, they reflect on AI disruption, market psychology, and why pessimism may actually indicate a bottom for Bitcoin.

Key Discussion Points & Insights

Setting the Stage: Panic and Market Turmoil

• Unprecedented fear: Global markets have lost trillions, with Bitcoin dropping to near $62,000.
  • "Fear index and crypto below 5—unprecedented levels of fear and uncertainty." (A, 00:00)
• Trigger events: Markets tanked partially due to a speculative AI report predicting future disruption.
  • "A think piece about the future of AI... wiped 100 billion in market cap across credit card stocks..." (A, 01:29)
• Market hypersensitivity: Reflections on how fragile and reactive markets have become.
  • "Markets hate uncertainty. Have you ever remembered a time when things felt less certain than right now?" (A, 02:31)

AI, Innovation, and Disruption Cycles

• Exaggerated panic vs. reality:
  • "There may be a version of this... everything that you’re used to is going to go to zero and then that never happens." (C, 03:19)
• AI as creative destruction:
  • "It’s no different than Blockbuster and Netflix... That’s going to happen to a lot of providers..." (B, 04:47)
  • "We’re discovering something so disruptive… all of the losses… are going to pale in comparison to what we create on the other side." (B, 05:25)
• Human connection renaissance: As AI and virtual spaces advance, there will be renewed value in in-person interaction.
  • "It’s going to basically just create this renaissance of human to human contact and innovation..." (A, 07:57)

Meta, Privacy, and a Tech Backlash

• Meta news:
  • Meta signs huge AI hardware deals, adds new facial recognition to smart glasses (A, 10:07).
  • "We may never be anonymous to any stranger in a crowd again... that's Scott Melker, his glasses." (A, 11:13)
• Data and authenticity:
  • "The authenticity of face-to-face... is more valuable than before... that has additional value..." (C, 11:36)

Bitcoin's Fundamentals vs. Sentiment

• Bearish price, bullish development:
  • "When you go to those types of conferences, you see a room full of builders... spending R&D, infrastructure, user experience... there is no way this is bearish." (B, 12:21)
• Hash rate as network health:
  • "Bitcoin is just very simply a network... the more end points, the more valuable the network… over 1 zeta hash for the second time in history." (B, 14:23–14:41)
• Bear market bottom signals:
  • "Bitcoin is dead at 3K, Bitcoin is dead at 64K... the funeral keeps getting more expensive to attend." (C, 15:19)
  • Fear & Greed Index hit record lows (as low as 5), usually a strong contrarian indicator (A, 16:03; C, 16:17).

Flashbacks to Past Crypto Crashes

• Repeating history:
  • "We're actually even getting the actual bottom signals... we're literally back to the 2022 bottom signals recirculating." (A, 16:53)
• Market manipulation accusations:
  • Coverage of ongoing lawsuits and investigations into 2022's Terra/Luna collapse, alleged manipulation by Jane Street, etc. (A, 16:53–C, 18:00)

Caution Against Leverage, Advice on DCA

• Big liquidations:
  • "$500 million, almost a billion dollars worth of leveraged longs were liquidated... get ready to get volatility." (B, 18:48)
• Capital allocation wisdom:
  • "Don’t try to catch the exact bottom. Be prudent about your capital allocation." (B, 18:48)
  • Praises Michael Saylor and Tom Lee for strategic, incremental, non-leveraged accumulation (B, 19:40–C, 21:18).

Trading Stories: How to Survive and Thrive

• Learning from the cycles:
  • "When it went from six to 3,500, it was like 50% down in a day... what would you give to back the truck up at 3500 again?" (A, 23:05–23:25)
• Luck vs. Skill:
  • "I had no idea. I sold half of it immediately... proves, I could have completely missed it." (A, 24:14)
• Anticipating sharp moves:
  • "It wouldn't surprise me if we see a really large sweeping event and a parabolic candle up like that. ... The volatility is going to sweep that liquidity and that allows them to continue to accumulate." (B, 24:38)

Crypto Twitter: Signal or Noise?

• Rumor-mongering:
  • "The title of that article should be 'Grasping for Straws'... it’s just noise. It’s the definition of noise, not signal." (B, 28:10)
• Cycle of negative headlines:
  • "More than half the world believes that that actually happened... the whole thing was fake." (C, 46:10)

The Role of Volatility: Feature not Bug

• Opportunity in chaos:
  • "Bitcoin offers volatility. Volatility remains a feature, not a flaw." (C, 40:23)
  • "If you harvest it... wind is a feature, not a flaw. … If you stack wind turbines on your farm, it’s a feature." (B, 40:45)

Portfolio & Fund Management

• Incremental, profit-driven fund:
  • "The fund is looking at ... commercial properties, QSRs... appropriating 50% of net profits into our Bitcoin treasury. ... No leverage." (B, 47:12–48:40)
• Case study:
  • "If you bought and held bitcoin from 2021 to today, you made 8%. If you used our Oracle, 189%." (C, 39:08)
  • "You get a 180+% return over that time... versus 8% and you end up with more bitcoin." (C, 41:53)

Notable Quotes & Memorable Moments

• "The funeral keeps getting more expensive to attend." – C (15:19)
• "When you look at bitcoin and the development side, ... there is no way this is bearish." – B (12:21)
• "You make money on the buys because you should be buying when everyone's puking up their position for cheap." – B (36:41)
• "Volatility remains a feature, not a flaw." – C (40:23)
• "If you harvest it ... wind is a feature, not a flaw." – B (40:45)
• "Don't go broke making money on trades." – B (44:28)
• "You guys have become the Seinfeld of YouTube." – A (51:12)

Timestamps for Important Segments

• 00:00–02:51 — Setting panic scene, AI's narrative impact
• 04:30–06:30 — AI as a creative/destructive force and market cycles
• 11:13–11:36 — Meta, privacy, and the new value of authenticity
• 12:21–15:19 — Bitcoin's perseverance, network value, and builder sentiment
• 16:03–18:00 — Historic bear market signals, reliving the 2022 crash
• 18:48–21:18 — Leverage liquidations and capital allocation philosophy
• 23:05–24:14 — Personal stories of trading through crypto’s bottoms
• 28:10–29:11 — Rumors and the noise of crypto Twitter, manufactured headlines
• 36:41–40:45 — DCA, why buying the dip matters, trading strategies
• 39:08–41:53 — Case study: outperforming bitcoin by harvesting volatility
• 47:12–49:53 — Announcement of a fund using net business profits for Bitcoin DCA
• 51:12–54:59 — Seinfeld, humor, and pop culture wrap-up

Closing Thoughts

Despite a backdrop of market panic and negative headlines, Scott, Andrew, and Tillman frame this as a classic opportunity for disciplined, long-term investors. They argue market cycles, human innovation, and Bitcoin's underlying network effects remain robust, even as speculators and the less prudent get flushed out. The episode's tone blends tough trading truths, practical investing advice, and irreverent humor—demonstrating why surviving and thriving in crypto is as much about mindset as it is about market timing.