Market Picture
The crypto market has recharged over the weekend. Positive traction resumed on Monday after the crypto market’s total capitalisation shrank by 150 billion from Saturday’s high near $3.39 trillion to Sunday’s low. We saw more profit-taking by retail traders, and buying resumed during trading hours, setting the stage for inflows from institutional traders due to increased risk appetite in global markets.
Bitcoin approached the $100K level on Friday but failed to break through and, at one point, pulled back below $96K. This looks like an intra-week correction. On Monday morning, we saw buying dominate again, taking the price back to $98.2K. The persistence of the recent pattern suggests that Bitcoin will reach the $106K level by the end of the week.
Ethereum is trading near $3400, close to the November highs. A move above $3450 could spark more active growth, with a potential target at $4000-4100, the area of the year’s highs.
News Background
According to SoSoValue, net inflows into US spot bitcoin ETFs totalled a record $3.38 billion last week, bringing total inflows since bitcoin ETFs approval in January to $30.84 billion.
Solana updated the all-time high previously set in 2021 on the back of four filings with the SEC to launch spot Solana ETFs. The Chicago Board Options Exchange (CBOE) published Forms 19b-4 for these funds.
VanEck reiterated its September Bitcoin forecast. The target price for the first cryptocurrency in the current cycle is $180,000. Several key indicators suggest that the next phase of the bull market has just begun.
According to The Block, Ethereum’s daily transferred on-chain value reached $7.13 billion, the highest since the beginning of the year. This indicates a recovery in network activity amid the cryptocurrency market rally.
Trump is expanding the number of cryptocurrency supporters in a future administration. He has nominated hedge fund manager Scott Bessent as Treasury Secretary. According to CNN, Trump is considering appointing former Bakkt CEO Kelly Leffler as Secretary of Agriculture.
