According to the author, the dilution of cypherpunk values in crypto, exemplified by corporate actions like Coinbase's political sponsorships and Ripple's lobbying, could heighten regulatory risks and investor uncertainty, potentially increasing volatility for BTC, ETH, and XRP. The author notes that events such as the GENIUS Act may bring regulatory clarity but warn that ethical compromises could undermine market sentiment and long-term adoption.

According to The Kobeissi Letter, the current market selloff remains 'orderly' with no clear signs of capitulation, suggesting a more stable decline rather than a panicked drop. The anticipated 'V-shaped' recovery is becoming less likely, indicating that traders should prepare for a potentially prolonged adjustment phase. This development underscores the importance of monitoring market trends closely to adjust trading strategies accordingly.