Markets
Cryptocurrency markets rebound after failed assassination attempt on Donald Trump
Optimism is also fueled by expectations that the SEC will approve spot Ether ETFs this week.
Cryptocurrency markets rose Monday after a failed assassination attempt on former President Donald Trump at a rally in Pennsylvania.
The price of Bitcoin (Bitcoin) jumped 4% in the past 24 hours to finally trade at $62,000, according to CoinGecko. Ethereum (ETH) rose 3.9% and is trading at $3,334. Polkadot (POINT) and Solana (GROUND) increased by 1% and 3% respectively.
Among the top 100 cryptocurrencies by market capitalization, Mog Coin (MOG) gained 15%, followed by Pendle (PENDLE) with a 14% increase and Stacks (STX) with 12%.
The attacks targeting Trump on Sunday came just days before he is set to accept the Republican nomination for a third time, according to AP reported.
Cryptocurrency trading firm QCP Capital said in a note published Monday that the rally appears to be driven by the market’s expectation that Trump will win the upcoming presidential election.
“…It is positive for cryptocurrency prices due to its openly pro-crypto stance,” QCP Capital said. wrote “We believe the market was already positioned for a rally, with the German government exhausting its supply and large hedge funds aggressively buying call options last week. Trump was the perfect trigger for a market eager to go further.”
On crypto betting platform Polymarket, Trump’s winning bet has reached a record high, currently standing at 71%, while Biden’s is at 18%.
Trump-themed cryptocurrency MAGA is up 80% in the past 7 days and TREMP is up 21% to $0.45. Meanwhile, BODEN, a meme cryptocurrency named after Joe Biden, is down about 3% in the past 7 days.
ETH ETF Approval
Optimism in the cryptocurrency market also stems from expectations that the U.S. Securities and Exchange Commission (SEC) will approve spot Ether ETFs this week. Issuers like VanEck and 21Shares have amended their S-1 filings, hoping for a final green light from the SEC. In total, eight issuers are awaiting regulatory approval to list their spot Ether ETFs.
Nate Geraci, President of The ETF Store, called this week “ETH ETF Approval Week.”
“Welcome to ETH ETF approval week… I call it,” he said. said“I don’t know anything specific, I can’t find a good reason for a further delay at this stage. The transmitters are ready for launch.”
Last week, Bloomberg ETF analyst Eric Balchunas said he was puzzled by the lack of activity regarding Ethereum ETFs, noting that the SEC has not provided any updates.
“Yeah, [right now] It’s all quiet on the Western Front[garding] ETF ETH. Nothing from the SEC this week,” he said. said. “We don’t know why they [are] “It’s taking so long. All the transmitters are ready. The documents are ready. It’s like a rain delay in baseball. You just have to wait. Maybe next week it will move quickly.”
Capital inflows into the market
According to CoinSharesInflows into digital asset investment products reached $1.44 billion last week, bringing total inflows for the year to a record $17.8 billion. This surpasses the $10.6 billion in inflows recorded in 2021.
Despite the high inflows, trading volumes remained relatively low, totaling $8.9 billion for the week, compared to the annual average of $21 billion. Bitcoin recorded its fifth-largest weekly inflow ever at $1.35 billion.
“A wide range of altcoins saw inflows, with the most notable being Ethereum, which saw $72 million in inflows last week, the largest inflows since March and likely in anticipation of the imminent approval of the spot ETF in the US,” James Butterfill, head of research at investment firm CoinShares, wrote in a blog post.
CoinGlass reported that in the last 24 hours, 41,184 traders were liquidated, totaling $129.69 million in liquidations.
Stock futures also gained as investors eagerly awaited remarks from Fed Chairman Jerome Powell on Monday. Futures for the Dow Jones Industrial Average and S&P 500 rose 0.6%, while Nasdaq 100 futures gained 0.4%.