Market picture

The crypto market continues its impressive growth, rising over 3.5% in 24 hours to $1.87 trillion. Having broken through its January peak, the market is now at its highest level since April 2022. Confidently gaining momentum even before bitcoin halved, and with the Fed's rate cut date still some way off, the crypto is confounding not only the pessimists but also the expectations of the cautious. This is a fertile environment for FOMO.

Bitcoin has breached the $50.2K mark, surpassing the psychologically important round level and the January highs set at the time of the spot ETF launch. Looking to the medium term, be prepared for a move out of the $46-52K range to mark the start of an aggressive rally.

From a longer-term perspective, we are formally seeing the beginning of the Fibonacci pattern, the target of which looks to be the $63.7K area. This is close to historical highs and is unlikely to be the end of the global rally, although a significant shakeout is expected.

News background

According to CoinShares, investment in crypto funds rose by a significant $1.116 billion last week, following inflows of $0.708B the week before. Bitcoin investments increased by $1.089B, Ethereum by $17 million, Cardano by $6M and Solana by just $0.1M.

Crypto funds have seen total inflows of $2.7B YTD, with total assets under management of $59B - the highest since the start of 2022.

The potential cash flow into Bitcoin could reach at least $52B a year, according to investment firm Mechanism Capital. At the same time, BlackRock and Fidelity estimate the potential inflow to be $150B-200B over the next three years.

Investment firm Valkуrie Funds expects the number of active spot bitcoin ETFs to be reduced to seven or eight by the end of the year due to the high cost of managing shares and low profits due to competition.

Several on-chain indicators have entered the so-called "risk zone", which could signal the beginning of a bull market, Glassnode said. More robust net inflows into spot bitcoin ETFs have supported the market's rally.

Fundamental changes in the supply-demand balance, along with other factors, are likely to have a positive impact on bitcoin prices post-halving, according to Grayscale.

According to a survey by JPMorgan Bank, fewer and fewer large companies believe in the potential of blockchain, with the number falling to 7% by 2024.


Trade Responsibly. CFDs and Spread Betting are complex instruments and come with a high risk of losing money rapidly due to leverage. 77.37% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider. The Analysts' opinions are for informational purposes only and should not be considered as a recommendation or trading advice.

Recommended content


Recommended Content

Editors’ Picks

VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC

VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC

Bitcoin declined by 1% on Thursday following asset manager VanEck's forecast that the top digital asset will reach a $61 trillion market capitalization by 2050.

More Bitcoin News

Ethereum Classic price sets for a rally following retest of key support

Ethereum Classic price sets for a rally following retest of key support

ETC edges higher by 2.3% and trades around $22.60 at the time of writing on Friday after testing a key support area the day before. On-chain data showing increased account growth suggests a bullish move ahead. Ethereum Classic price faced rejection by the daily resistance level of $25.13 earlier this week.

More Ethereum News

Celebrity meme coins lose their shine

Celebrity meme coins lose their shine

Celebrity meme coins report by Jupiter Slorg on Thursday shows that these tokens have been in deep waters since early July after experiencing heavy growth in June. In a recent analysis, Jupiter Slorg revealed that celebrity meme coins are down by an average of 94% from their all-time highs.

More Cryptocurrencies News

Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit

Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit

Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation. 

More Ripple News

Bitcoin: Will BTC manage to recover from recent market turmoil?

Bitcoin: Will BTC manage to recover from recent market turmoil?

Bitcoin recovers to $67,000 on Friday after finding support around $63,500 a day before. Still, BTC losses over 1.50% on the week as Mt. Gox persists in transferring Bitcoin to exchanges.

Read full analysis

BTC

ETH

XRP