Bitcoin Surges 65% to $109K as Institutional Investors Seek Safety

Bitcoin (BTC) has surged past $109K, reclaiming its dominance in the cryptocurrency market with a 65% share. This resurgence comes as institutional investors seek safety amidst rising geopolitical tensions and a hawkish Federal Reserve stance. BlackRock’s iShares Bitcoin Trust (IBIT) has been a significant driver, adding $3.85 billion in June, pushing its BTC holdings to $75 billion. The launch of Botanix’s Layer 2 mainnet has also boosted Bitcoin’s programmability, reducing block times to 5 seconds and bringing DeFi closer to Bitcoin-native rails. Traditional finance giants like BlackRock, Fidelity, and MicroStrategy are increasing their exposure to BTC, viewing it as “digital gold” during risk-off conditions.

Ethereum (ETH) has also seen a rally, driven by Fidelity’s addition of $25.7 million worth of ETH, which offset the Ethereum Foundation’s controversial $32 million sell-off. Spot ETH ETFs attracted $31.8 million in inflows on June 30, indicating strong institutional confidence. Whale accumulation reached a record 14.2 million ETH, the highest since the 2018 bear market, reinforcing a historic bullish setup. On-chain metrics surged to 2 million daily transactions, while ETH ETFs have seen 800,000 ETH added since April.

Uniswap (UNI) has surged as well, following Coinbase’s acquisition of LiquiFi, a key Uniswap partner for token vesting and compliance. This move positions UNI deeper into institutional rails and aligns with a broader $40 billion crypto M&A wave. UNI broke above $7.40 resistance with a 174% volume spike, confirming technical strength. DEXs like Uniswap captured a record 28.4% of June’s spot volume, further boosted by regulatory scrutiny on centralized exchanges. As DeFi rotates back into investor favor, UNI’s dominance and on-chain liquidity story gain momentum.

Humanity Protocol (H) soared 22% following whale-driven speculation, major exchange listings, and retail FOMO around its mainnet launch and airdrop. A 35 million H ($2.7 million) wallet deposit before the rally triggered wash trade concerns, while Jump Trading’s 25 million H token movement stirred dilution debates. The Palm-scan zkProof identity model drew comparisons to Worldcoin.

Pudgy Penguins (PENGU) gained on ETF speculation and breakout momentum, outperforming most altcoins despite rising BTC dominance. Cboe’s ETF proposal to combine 80–95% PENGU tokens with NFTs made it the first hybrid fund of its kind, gaining visibility as the Pudgy mascot appeared at Nasdaq’s opening. Technically, PENGU broke out of a 6-week downtrend, validated by a bullish MACD crossover and strong RSI at 68. Whale accumulation of 240 million PENGU and past partnerships with NASCAR and Lufthansa solidify its real-world utility narrative.

Global markets reacted to a whirlwind of political and economic developments. In the U.S., a new trade deal with Vietnam imposes a 20% tariff on its imports and a 40% tariff on transshipped goods. While this grants American businesses zero-tariff access to Vietnamese markets, analysts warned it could drive up consumer prices and reignite inflationary pressures. Markets responded with cautious optimism, with the S&P 500 edging higher and investors betting on greater near-term clarity ahead of the July 9 tariff pause deadline. Microsoft announced 9,000 new job cuts as part of broader cost-efficiency restructuring, adding to broader tech sector pressure.

Across the Atlantic, U.K. bond yields spiked and the pound dropped 1% after Prime Minister Keir Starmer declined to fully back Finance Minister Rachel Reeves in Parliament. Political uncertainty over her future, combined with a costly welfare bill compromise, rattled investor confidence in Britain’s fiscal outlook. The 10-year gilt yield jumped 22 basis points at one point, reflecting fears that Reeves may be forced to abandon her strict fiscal rules. Despite this, the broader European market closed slightly higher, buoyed by strong bank earnings and investor relief after ECB officials hinted at rate cuts in September. Traders now turn their eyes to Friday’s U.S. payrolls data, as Fed Chair Jerome Powell’s cautious stance keeps markets hypersensitive to labor signals.

The global financial landscape is flashing mixed signals. U.S. equities held steady despite Microsoft layoffs and Trump’s aggressive new tariff regime, while European markets edged higher even as U.K. bond yields spiked on political drama. Risk-off sentiment hasn’t fully taken over, but it’s brewing beneath the surface. In crypto, Bitcoin is absorbing most institutional flows, supported by ETF demand and its “digital gold” narrative. Bitcoin’s renewed rally past $109K, Ethereum’s ETF-fueled optimism, and Uniswap’s DeFi momentum have once again seized center stage—while newer names like Humanity Protocol and PENGU defied broader market jitters with retail-fueled gains. As Bitcoin dominance crosses 65%, it’s clear capital is flowing back into majors, with altcoins still seeing selective breakouts. At the same time, macro tensions—from U.S.-Vietnam tariffs to U.K. fiscal instability—are keeping traditional markets and crypto investors on alert, especially as traditional finance appears increasingly fragmented.

Among altcoins, DeFi and memecoins showed surprising strength. UNI rallied on the back of a Coinbase-LiquiFi deal and record DEX market share, while PENGU gained visibility through ETF speculation and community-driven momentum. Meanwhile, retail interest in identity-focused coins like Humanity Protocol remains volatile but persistent. The market’s message is clear: institutional capital is consolidating in blue-chip assets, but traders are still rotating into breakout narratives when the tech and story align.