Bitcoin experienced a significant surge last night, surpassing the $110,000 threshold and approaching its all-time highs, in a context of flat traditional markets and mixed signals from the macroeconomic front.
The most capitalized cryptocurrency in the world has gained over 3.7% in the last 24 hours, reaching the highest level of June. Currently, the price stands around $109,795, less than 2% from the all-time high reached in May.
The analyst Caleb Franzen, founder of Cubic Analytics, has defined this phase as a “peaceful rally”, characterized by a steady progression of higher highs and higher lows, without evident signs of weakness. “Every time a dip emerges, buyers step in to defend the trend,” he explained.
Liquidations and volatility: the market cleanses itself of “impurities”
The bull movement caught many traders with short positions by surprise, causing liquidations of over $110 million in an hour, according to CoinGlass data. In total, the day saw $330 million in short positions liquidated across all cryptocurrencies, the highest level in the past month. This phenomenon has contributed to strengthening the thesis that the market is entering a more stable phase, after the recent 10% correction that brought Bitcoin close to $100,000.
The analysts at Bitfinex highlighted how the market has “unloaded” the excess leverage, with over $1.9 billion in liquidations on crypto derivatives in the past week. However, they warn that Bitcoin is now at a crossroads, suspended between structural support and a declining bull momentum, awaiting new macroeconomic catalysts.
Ethereum and altcoin: signals of strength
Ethereum (ETH) has also benefited from the positive climate, with a rise of 3.8%, surpassing $2,620. The token showed a solid recovery from recent lows, with high buying volume confirming support at $2,580 and paving the way for a possible breakout above $2,590.
Among the altcoins, the performances of Hyperliquid (HYPE) and SUI stand out, having gained 7% and 4.5% respectively, surpassing most of the large-cap cryptocurrencies.
Ethereum: the institutional shift in staking
A key element for the future of Ethereum is the growing institutional interest in staking, fueled by recent protocol updates and an increasingly mature infrastructure. According to Mara Schmiedt, CEO of the institutional staking platform Alluvial, a “massive shift” is occurring in the way professional investors approach ETH.
The Liquid Collective protocol, co-founded by Alluvial, has already raised $492 million in ETH from institutional investors. Although this figure represents only a small portion of the total of approximately $93 billion in ETH staking, the data is significant for its composition.
The Pectra update, recently implemented, has been described by Schmiedt as “massive and underestimated,” especially for the introduction of Execution Layer triggerable withdrawals, which allow partial exits directly from Ethereum’s execution layer. This functionality is particularly important for institutional investors, as it aligns with operational needs such as T+1 redemption times.
Macro pressures and contrasting signals
The Bitcoin rally is set within a complex macroeconomic context. The trade negotiations between the United States and China, taking place in London, and the auction of $22 billion in US Treasury securities scheduled for this week, are fueling uncertainty in global markets. According to Jake O, an OTC trader at Wintermute, these events could represent the next catalysts for the crypto market.
However, some analysts, such as those from QCP Capital, warn of a possible market fatigue. In a recent note, QCP highlighted how implied volatility is at annual lows and how open interest on perpetual contracts is decreasing, while inflows into Bitcoin ETF spot are starting to slow down.
“Despite the rally of US stocks and the drop in gold after the strong employment report on Friday, Bitcoin has remained surprisingly immobile,” reads the note. “Without a convincing narrative, signs of fatigue are emerging.”
Trump Media and Semler: new ways for exposure to BTC
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In the meantime, Trump Media (DJT) and Semler Scientific (SMLR) have been identified by NYDIG as the most undervalued opportunities to gain exposure to Bitcoin in public markets. According to Greg Cipolaro of NYDIG, the traditional valuation method based on modified net asset value (mNAV) is insufficient. Instead, using the equity premium over NAV, DJT and SMLR are trading at discounts of -16% and -10%, respectively, despite holding BTC on their balance sheets.
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In stark contrast, Strategy (MSTR) gained nearly 5% on Monday, while DJT and SMLR remained almost unchanged, suggesting that they could be overlooked vehicles for exposure to Bitcoin.
ETF and traditional finance: the Circle case
Finally, the stock Circle (CRCL) has almost quadrupled its value after the IPO, attracting the attention of two major ETF issuers: Bitwise and ProShares. Both have submitted proposals for funds linked to CRCL, with ProShares aiming for a 2x leveraged product and Bitwise for a covered call fund. If approved by the SEC, these ETFs could represent a further step towards the integration between traditional finance and crypto.
An evolving scenario
The cryptocurrency market is in a crucial phase. On one hand, Bitcoin shows signs of technical strength and institutional support, on the other hand, signs of exhaustion and macroeconomic uncertainty emerge. With key events on the horizon, such as US inflation data and international trade negotiations, investors are waiting for a new catalyst that could confirm or reverse the current trend.
In the meantime, Ethereum is preparing for a new phase of growth, driven by increasingly concrete institutional adoption and technological updates that strengthen its decentralization and security.