Bitcoin Surges 3% to New All-Time High of $121,390

Bitcoin (BTC) and other major cryptocurrencies experienced a significant rally at the start of the new week, following a period of relative calm over the weekend. BTC surged to a new all-time high, reaching $121,209, with a nearly 3% increase over the past 24 hours, trading around $121,390. Ethereum (ETH) also resumed its upward trajectory, rising over 3% to reclaim $3,000 and move to its current level of $3,042. Solana (SOL) saw a 3.39% increase, trading around $167, with potential for further gains. Dogecoin (DOGE) was up over 5%, while Chainlink (LINK) and Theta Network (THETA) also registered substantial gains.

US lawmakers are poised to vote on three crucial bills for the blockchain industry this week, dubbed “crypto week.” These bills aim to bring clarity to the industry by creating laws governing stablecoins and establishing a clear crypto market structure. Additionally, Congress is debating a law to prevent the central bank from creating a central bank digital currency (CBDC). The industry has garnered support from both Democratic and Republican lawmakers, who have made several amendments to the bills under consideration. However, there is uncertainty about whether the bills will pass, given the short time frame and the significant economic implications.

Crypto companies have been actively lobbying for the passage of these bills. Coinbase CEO Brian Armstrong expressed optimism, stating that “America is ready for crypto.” However, market participants on Polymarket are less confident, giving the CLARITY Act only a 52% chance of passing. Critics have labeled the bill a “crypto cash grab” and a means for companies to avoid regulation by the United States Securities and Exchange Commission (SEC). Americans for Financial Reform (AFR) criticized the bill, stating that it would enrich ultra-wealthy venture capital firms and crypto billionaires at the expense of consumers and financial stability. Concerns have also been raised about potential corruption and ethical issues related to President Trump’s crypto dealings. Senator Elizabeth Warren highlighted that the bill could allow publicly traded companies to escape SEC regulation by putting their stock on the blockchain. Senator Cynthia Lummis claimed that the Senate has made considerable revisions to address Democratic lawmakers' concerns.

The Bank of England (BOE) governor Andrew Bailey warned banks against issuing stablecoins, stating that they threaten the financial system and could cause governments to lose control of fiat currencies. Bailey also expressed opposition to the European Union's push for a central bank digital currency (CBDC) or issuing a digital pound. Several EU officials have echoed Bailey's concerns, arguing that a dollar stablecoin could disrupt the financial system and damage the euro in global currency markets.

Christopher Perkins, President and Managing Partner of investment firm CoinFund, believes that Real-world asset (RWA) tokens can democratize access to investments previously inaccessible to retail traders. Perkins compared RWA tokens to exchange-traded funds (ETFs) and how they expanded access to financial assets. According to Perkins, tokenized RWAs, which trade 24/7 on globally accessible markets, reduce information asymmetry that keeps retail traders out of private placements under current investment laws. This leaves ordinary investors with little access to the most exciting and innovative companies. Perkins believes tokenized RWAs offer a highly compelling use case for blockchain technology and how it can increase capital velocity, enable equity financing through asset fractionalization, create new collateral for DeFi applications, overhaul current capital formation structures, and democratize investor access.

Bitcoin (BTC) resumed its rally, starting the new week with a move past $120,000. The flagship cryptocurrency is setting new highs, racing to a high of $123,091 before registering a marginal decline and moving to current levels. The rally took a breather over the weekend after surging past $118,000 on Friday. The price registered a marginal decline on Saturday before resuming its uptrend on Sunday, rising almost 2% to end the weekend at $118,624. The current session sees BTC up nearly 3%, trading around $122,000. Investor sentiment has been buoyed by the expectation that the US House of Representatives will debate and pass key bills during the week, including the GENIUS Act, the CLARITY Act, and the Anti-CBDC Surveillance State Act. If the bills are passed, they could establish a comprehensive regulatory framework governing stablecoins, crypto asset custody, and the broader crypto ecosystem. Some crypto experts predict that BTC could hit $150,000 before the end of the year. However, they warned that markets could see a dip before it makes such a move. Others, including Anton Gontarev, commercial director at Bitcoin mining firm Intelion, believe $130,000 is the nearest target for BTC. The flagship cryptocurrency’s rally is being driven by unprecedented institutional interest. Spot Bitcoin ETFs have registered record inflows, with BlackRock’s IBIT hitting a record $83 billion in assets under management (AUM). IBIT’s AUM has tripled in 200 trading days, with the ETF currently holding over 700,000 BTC. On-chain metrics indicate BTC could keep rising. The Long-Term Holder Net Unrealised Profit/Loss sits at 0.69, significantly lower than the 0.75 level typically linked with overheated markets. Bitcoin network activity has also registered a gradual yet substantial increase, and is yet to show signs of panic or profit-taking. Average transactions have risen from 340,000 to 364,000 over the past two days, but are significantly below labels seen during past rallies.

Ethereum (ETH) has also resumed its rally after a brief pause over the weekend, with the price up almost 3% during the ongoing session, having crossed the crucial $3,000 mark, a level not seen since February. The world’s second-largest cryptocurrency hit a multi-month high of $3,071, up over 120% from its lowest level this year. The increase has also pushed ETH’s market cap past $355 billion. Spot Ethereum ETFs maintained their positive streak, with inflows crossing the $5 billion mark. Ethereum ETFs added over $900 million last week, significantly higher than the $219 billion recorded the week prior. The jump was the highest since the ETFs secured approval in September. Surging ETF demand coincided with investors moving their ETH off exchanges, a sign of long-term confidence in the asset. ETH supply on exchanges has dropped from 10.6 million to 7.35 million. ETH’s price also jumped after SharkLink, a company listed on Nasdaq, bought over 10,000 ETH and outlined plans to make it the firm’s primary reserve asset.

Solana (SOL) has rebounded during the ongoing session as bullish sentiment returned after a substantial drop over the weekend. The price lost momentum on Friday after failing to cross the 200-day SMA, as selling pressure at upper levels overwhelmed buyers. SOL’s price action has mostly been bullish over the past few sessions. The price registered a sharp increase on Wednesday (July 2), rising nearly 4% to cross $150 and settle at $152. The price registered a marginal decline on Thursday before plunging over 3% on Friday, slipping below $150 to $147. SOL registered a marginal decrease on Saturday before rising nearly 3% on Sunday to reclaim $150 and settle at $151. Despite the positive sentiment, SOL was back in the red on Monday, dropping 1.97% to $148. The price recovered on Tuesday, rising nearly 2% to reclaim $150 and settle at $151. Buyers retained control on Wednesday as SOL rose 3.54%, crossing the 50-day SMA and settling at $157. Bullish sentiment intensified on Thursday as the price soared past $160, reaching an intraday high of $165 before settling at $164. SOL lost momentum on Friday after encountering selling pressure and volatility. As a result, it fell nearly 1% to $162. Sellers retained control on Saturday as SOL fell 1.38% and settled at $160. The price recovered on Sunday, registering a marginal increase and moving to $161. Bullish sentiment has returned during the ongoing session, with SOL up nearly 4%, trading around $165.

Dogecoin (DOGE) crossed the 20-day SMA on Wednesday (July 2), rising over 7% to $0.168. The price continued pushing higher on Thursday, rising over 2% and settling at $0.172. Despite the positive sentiment, DOGE was back in the red on Friday, dropping over 5% to $0.163. DOGE recovered over the weekend, registering an increase of almost 1% on Saturday and then rising over 4% on Sunday to settle at $0.171. The popular memecoin started the previous week in bearish territory, dropping over 2% to $0.167. It recovered on Tuesday, rising 1.91% and settling at $0.171. Buyers retained control on Wednesday as DOGE rose over 5% and settled at $0.180. Bullish sentiment intensified on Thursday as the price rallied nearly 9%, crossing the 50-day SMA and settling at $0.207. DOGE raced to an intraday high of $0.214 on Friday. However, it lost momentum after reaching this level and settled at $0.201, ultimately registering an increase of 2.55%. The price lost momentum on Saturday, dropping 1.89% to $0.197 before recovering on Sunday to register a marginal increase. The current session sees DOGE up almost 5%, trading around $0.207.

Chainlink (LINK) raced to an intraday high of $14.08 on Thursday (July 3). However, it could not stay at this level and settled at $13.67, ultimately registering an increase of almost 1%. Buyers lost momentum on Friday as the price fell nearly 4% to $13.21. Despite substantial selling pressure, LINK recovered over the weekend, rising 0.33% on Saturday and over 2% on Sunday to settle at $13.50. The price was back in the red on Monday, dropping 0.54% to $13.43. LINK made a strong recovery on Tuesday, rising 4% to $13.97. Buyers retained control on Wednesday as LINK rose 2.12% to reclaim $14, cross the 50-day SMA, and settle at $14.26. Bullish sentiment intensified on Thursday as the price rallied almost 7% to cross $15 and settled at $15.24. LINK raced to an intraday high of $15.86 on Friday. However, it lost momentum after reaching this level and dropped to $15.27, ultimately registering a marginal increase. Selling pressure returned on Saturday as LINK fell 1.16% to $15.10. However, it recovered on Sunday, rising nearly 4% to end the weekend at $15.65. The current session sees LINK up almost 4%, trading around 16.22 as buyers look to push the price above the 200-day SMA.

Theta Network (THETA) registered a sharp jump on Wednesday (June 2), rising nearly 10%, crossing the 20-day SMA and settling at $0.719. The price registered a marginal increase on Thursday before dropping 4.50% on Friday and settling at $0.686. Sellers retained control on Saturday as THETA registered a marginal decline. However, it recovered on Sunday, rising 1.57% to end the weekend at $0.701. THETA started the previous week in the red, dropping over 2% and settling at $0.686. It recovered on Tuesday, rising 1.58% and settling at $0.697. Buyers retained control on Wednesday as THETA rose nearly 6% to $0.738. Bullish sentiment intensified on Friday as THETA rose almost 8%, crossing the 50-day SMA and settling at $0.795. Despite the positive sentiment, the price lost momentum on Friday, registering a drop of almost 1% and settling at $0.788. Sellers retained control on Saturday as THETA registered a marginal drop. It recovered on Sunday, rising nearly 3% to cross $0.80 and settle at $0.810. The current session sees THETA up almost 2%, trading around $0.824.