Bitcoin News Today: U.S. Pro-Crypto Policies Spur $4B Stablecoin Surge, Bitcoin Hits $119K as Institutional Adoption Accelerates

The U.S. regulatory landscape for cryptocurrencies is undergoing a transformative shift, driven by legislative actions and institutional engagement. The enactment of the GENIUS Act has centralized stablecoin oversight under the Treasury, marking a pivotal step in institutionalizing the asset class. This move has spurred a $4 billion surge in stablecoin market capitalization and attracted significant institutional capital, with firms like Bullish preparing for public listings [1]. Simultaneously, the Trump administration’s pro-crypto policy agenda—announced by the president himself—has introduced measures such as permitting 401(k) retirement plans to include crypto, further signaling a strategic pivot toward embracing digital assets [1].

Bitcoin and Ethereum remain the dominant forces in the market, with Bitcoin trading near record highs of $119,000 and Ethereum approaching $4,000. Their supremacy is underscored by the fragmented nature of the crypto ecosystem, where over 37 million tokens exist but only a handful command substantial liquidity. Institutional adoption has accelerated as regulatory clarity grows, with NFT markets witnessing heightened liquidity and Ethereum-based assets like CryptoPunks experiencing price surges [1]. Analysts attribute this trend to the growing comfort of institutional investors, who now view crypto as a viable asset class amid evolving frameworks [4].

The interplay between regulatory and macroeconomic factors is shaping market dynamics. The U.S. Federal Reserve’s upcoming FOMC decision is seen as a potential inflection point for crypto volatility, with institutional investment strategies in Bitcoin and Ethereum poised to adapt to monetary policy shifts [2]. Concurrently, the U.S.-EU tariff agreement, announced in mid-July, has averted larger trade conflicts and stabilized market sentiment, briefly pushing Bitcoin to $120,240 amid optimism over macroeconomic stability [3]. However, uncertainty persists ahead of the Trump administration’s anticipated crypto policy report on July 30, which is expected to address ETF approvals, stablecoin oversight, and mining guidelines—decisions that could further define institutional participation [1].

Technological developments are compounding regulatory changes. A contentious Bitcoin protocol upgrade, BIP-119, is projected to finalize by year-end, potentially altering consensus rules and mining operations [1]. Decentralized governance initiatives, such as Lido DAO’s Community Staking Module V2 and Sonic’s expanded airdrop eligibility, reflect growing institutional and retail interest in crypto utility. These advancements intersect with broader liquidity dynamics, as evidenced by Grayscale’s confidential SEC filing for an IPO, which may influence asset allocation strategies [1].

The market’s trajectory hinges on the alignment of regulatory, technological, and macroeconomic forces. While clarity from the GENIUS Act and institutional adoption have bolstered confidence, conflicting policy signals—such as debates over the “Dictator” stablecoin amendment—risk exacerbating short-term volatility [4]. Analysts emphasize that the Trump administration’s policies and the FOMC’s stance will be critical in determining the sector’s stability, particularly as events like SUI’s token unlock and MicroStrategy’s earnings report loom as potential catalysts for market movements [1].

The evolving U.S. approach underscores the sector’s transition from speculative niche to institutionalized asset class. As regulatory frameworks mature, the balance between innovation and oversight will define the long-term viability of crypto markets.

[1] https://coinmarketcap.com/community/articles/6886e0a26eed8e5846f95b3c/

[2] https://dexalot.com/en/blog/fomc-decision-2025-impact-on-crypto-assets

[3] https://www.bitget.com/news/detail/12560604883364

[4] https://www.nasdaq.com/articles/3-ways-trump-signing-genius-act-could-impact-price-crypto