Crypto Market Surges 6.1% as Bitcoin Nears All-Time High

The crypto market has experienced a notable uptick today, with nearly all of the top 100 coins by market capitalization seeing price increases over the past 24 hours. This shift comes after several days of mild downward trends. Bitcoin (BTC) has surpassed the $109,500 level, moving closer to its all-time high. Ethereum (ETH) has recorded the second-highest increase among the top 10 coins, with a 6.1% rise to $2,600. Dogecoin (DOGE) has been the best performer, with a 7.8% increase to $0.1742. Meanwhile, Binance Coin (BNB) saw the smallest increase of 0.8% to $661. Eight of the top 100 coins saw double-digit increases, with Bonk (BONK) leading the way at 20.8%, trading at $0.00001738.

Gadi Chait, Head of Investment at Xapo Bank, noted that Bitcoin's on-chain metrics continue to showcase the strength of its current market position. According to Glassnode data, the BTC supply in profit jumped from 87% to 98% between June 22 and June 29. This significant increase reinforces the bullish momentum in the market. However, Chait also pointed out that with elevated levels of profit comes increased market volatility. Historically, when a high percentage of supply sits in profit, the chances of profit-taking rise, introducing short-term market movements even when there is a broadly optimistic outlook. Glassnode notes that distribution remains muted, and investors are holding through.

The market uptick follows another increase in investor interest in the space. Notably, the UK pension fund Cartwright Pension Trusts launched an “Annual Bitcoin Review” for its institutional clients. This came after a significant discussion prompted by the company’s revelation that a client had allocated 3% of their fund to BTC in November 2024 and had posted a 60% return since. This move indicates growing institutional interest in Bitcoin as a secure and long-lasting investment.

US Federal Reserve funds futures put roughly a two-in-three chance on a first 25 basis point rate cut by September after the Federal Open Markets Committee (FOMC) held rates steady in June. Chait suggests that any pull-backs are more likely to be healthy consolidations than the start of a deeper reversal. This behavior is more a marker of a healthy, maturing market and shows Bitcoin’s growing alignment with secure and long-lasting investments that can handle global shocks while also attracting high levels of capital.

At the time of writing, BTC trades at $109,515. Over the past day, the coin has seen a steady increase from the daily low of $106,925. Resistance levels now stand at $109,764 and $110,809. Should it surpass both, BTC could break its all-time high. At the same time, the current support level stands at $108,600. Ethereum is currently trading at $2,600. It was trading around $2,450 for several hours today before surging to its current price and the intraday high. The crypto market sentiment jumped today. Even though it’s still moving within neutral territory, the Fear and Greed Index surged from 46 yesterday to 54 today. The sentiment dipped briefly towards the fear territory, but the overall optimism seems to be renewed today. That said, investors are awaiting further signals.

US BTC spot exchange-traded funds (ETFs) resumed positive flows after breaking a 15-day streak on July 1. On July 2, they recorded inflows of $407.78 million. Most ETFs saw positive flows today, led by Fidelity’s $183.96 million. The day’s amount has brought the cumulative total net inflow to $49.04 billion. However, US ETH ETFs recorded outflows today of $1.82 million. While Grayscale, Fidelity, Bitwise, and VanEck saw positive flow, BlackRock lost $46.89 million. Notably, the first Solana staking ETF in the United States, the REX-Osprey Solana Staking ETF, launched Wednesday on the Cboe BZX Exchange. It ended the day strong, with $12 million in inflows and $33 million in volume.

On the other hand, the US Securities and Exchange Commission suddenly froze the approval of the Grayscale Digital Large Cap Fund’s conversion into an ETF, stopping its launch just a day after it had received approval. This move adds uncertainty to the market, as investors await further developments. The crypto market has increased over the past 24 hours, while the US stock market saw another day of mixed performance on Wednesday. For example, the S&P 500 increased by 0.47%, the Nasdaq-100 went up by 0.73%, and the Dow Jones Industrial Average fell by 0.024%. This comes ahead of the US jobs report investors are waiting to see released on Thursday. They’re also keeping an eye on trade and US budget bill discussions. This current uptick may not be long-lasting and may be interrupted by short-term drops, depending on the outside factors pushing down on the market. However, analysts expect the prices to climb mid-term despite potential dips.