Serenity: Declines in storage and AI-related crypto assets likely stem from deleveraging and cascading margin liquidations.

Serenity released a report stating that it believes the semiconductor sector may be nearing a market bottom, covering related individual stocks ranging from Intel to Lumentum. It quipped that a notable signal to monitor is whether investors on Reddit have seen their portfolios lose all value.

According to CNBC, a teleprompter operator is under investigation by U.S. federal regulators for allegedly placing bets on U.S. President Donald Trump’s speech content on prediction market platform Kalshi. Robert DeNault, Kalshi’s head of enforcement, said the platform’s monitoring team quickly flagged the relevant trades after an internal investigation and referred them to the U.S. Commodity Futures Trading Commission (CFTC). DeNault added that Kalshi is assisting regulators in their probe and has submitted relevant evidence collected by the platform.

According to market data from BIT (bit.com), the storage sector’s decline has continued to widen: SanDisk fell nearly 11%, SK Hynix and Western Digital dropped around 9% each, Seagate Technology slid over 8%, and Micron declined more than 6%.

X Product Lead Nikita Bier announced that the platform has updated its creator revenue sharing program. Accounts that induce engagement three or more times via tactics such as "reply to follow back" will be removed from the program and referred to the policy team for evaluation on whether to suspend the account. Grok is now capable of identifying such behavior; nearly 4,000 accounts were removed from the program on the same day. The new model launched by X detects duplicate content three times more efficiently than its predecessor. Even if reposters add watermarks, intros, or other modifications, monetization exposure for such content will belong to the original uploader—a rule that also applies to copied popular text posts. Bier added that the platform detected 1.5 million stolen posts during this cycle. Accounts engaging in repeated infringement or intentionally evading detection will be removed from the creator revenue sharing program. These adjustments will result in over $1 million in revenue being redistributed to original content creators.

Bankless co-founder David Hoffman published an article stating that Bitcoin’s current trend faces two possible paths: sideways consolidation to bottom out, or one final round of panic selling. He opines that Bitcoin is more likely to enter a sideways grinding phase, with its bottom already largely formed.

As SpaceX’s share price has fallen back to near its IPO price, short sellers are rapidly increasing their bearish positions on the company. Data from S3 Partners shows that roughly 185 million SpaceX shares are currently sold short, accounting for about 29% of its publicly traded float, equivalent to around $25 billion in short positions. Three weeks ago, the estimated number of SpaceX shares sold short was just 40 million, making up 5% to 7% of its float. The stock has dropped roughly 20% cumulatively since July, and on Wednesday it briefly fell below its $135 IPO price for the first time. KeyBanc Capital Markets noted that when SpaceX went public, its publicly traded shares made up only 5% of its total share count of around 13 billion. The first batch of large-scale restricted shares is expected to unlock around the release of its second-quarter financial results, at which point roughly 11% of the total share base will become eligible for sale; multiple subsequent batches of restricted shares, each accounting for about 4% of total shares, will also be unlocked starting about 70 days after the IPO. Elon Musk’s roughly 42% stake in SpaceX remains locked until June 2027. The company’s 13th Starship test flight is scheduled for Thursday, which could impact market sentiment toward the stock.