Ether Rises Above $3,300, Boosting Bitcoin to $122,300
The current crypto market is likened to a bicycle race, with Ether (ETH) leading gains over the weekend. It rose from $3,000 to over $3,300, positively impacting Bitcoin (BTC), which increased from $119,000 to $122,300. Analysts noted this unusual rally in altcoins prompted BTC's upward movement instead of the traditional dynamic.
- Spot market demand drives BTC's ascent, reflected in a narrowing ratio between futures and spot trading volumes, now at its lowest since 2022.
- Despite bullish sentiment, caution is warranted as BTC trades at a discount on Coinbase compared to Binance, indicating weak institutional demand.
- Cumulative trading volumes for both spot and futures are lower than in July, suggesting reduced buying pressure.
- ETH shows stronger bullish activity, with open interest in ETH calls nearly 2.3 times that of puts on Deribit.
- On-chain activity for ETH is robust, but 97% of ETH-holding addresses are "in-the-money," heightening the risk of profit-taking pullbacks.
- XRP rose 3% early Monday but remains behind ETH and BTC.
- BTC dominance is close to breaching support levels, potentially triggering an "alt season."
- Traditional markets show the U.S. two-year Treasury yield holding below its 200-day average, consistent with expectations for Federal Reserve interest-rate cuts.
What to Watch
- Aug. 15: Next FTX distribution record date for Class 5 Customer Entitlement holders.
- Aug. 18: Coinbase Derivatives launching nano SOL and nano XRP perpetual futures.
- Aug. 20: Qubic to undergo its first halving event, significantly altering its tokenomics.
Market Movements
- BTC is up 3.76% at $121,289.53.
- ETH is up 5% at $4,261.1.
- CoinDesk 20 index is up 2.8% at 4,198.32.
Technical Analysis
- BTC's dominance rate tests long-term rising channel support; a breakdown may initiate an "alt season."
ETF Flows
- Daily net flows for spot BTC ETFs reached $403.9 million; cumulative net flows are $54.41 billion.
- Spot ETH ETFs saw daily net flows of $461 million; cumulative net flows total $9.83 billion.
This overview captures key movements and trends in the crypto market, highlighting the ongoing dynamics between major cryptocurrencies and market indicators.