The strong entry of institutional capital, especially in Ethereum, enhances the main cryptocurrencies and infected the Altcoins, although more moderately.
He cryptocurrency market It is going through a good moment in recent days. In the last 24 hours, the Bitcoin (BTC) reached a new historical maximum of US $124,128, according to Coingcko data, and is currently maintained above the US $ 121,500. Ethereum (eth) also shines: he touched the US $ 4,800, very close to the record reached in November 2021 (US $ 4,878), and now quotes around US $ 4,700.
The Altcoins also moderate the strong rise of the last hours: the majority corrects with falls of up to 3.5%headed by Litecoin, Dogecoin (-3.2%), Chainlink (-2.8%) and Stellar (-2.4%).
Fed expectations and macroeconomic environment
The impulse comes in a context of growing expectation for cuts in interest rates in the United States. Julio’s inflation and employment data reinforced the probability that the Federal Reserve (FED) Start a rate reduction cycle in September, with a probability close to 100% according to the CME Fedwatch tool.
ING analysts anticipate Una reduction of 25 basic points in September, followed by two additional cuts in October and December. The Treasury Secretary, Scott Besent, went further and suggested that the initial reduction should be 50 basic points, considering that current rates (4.25%-4.5%) are “too restrictive” and should lower between 150 and 175 basic points.
The possibility that Ethereum exceeds its historical maximum
In this scenario, the 10x Research vision is optimistic for risk assets: with credit differentials and credit growth, the conditions for a sustained rebound are given. In addition, the United States is expected to approve favorable legislation to cryptoactives in the coming months.
While Bitcoin marks records, Ethereum shows superior performance. In the last month, its price rose about 60%, driven by the massive entry of institutional capital. According to Farside Investors, since August 5 the quoted funds (ETF) have captured more than 2,000 million net dollars in ETH.
Antonio Di Giacomo, Market Analyst in XS, stressed that since June, funds, corporate treasures and investment vehicles have acquired approximately 3.8% of the ETH circulating supply, double that what is accumulated in Bitcoin in the same period. Also projects that corporate treasury could have up to 10% Eth’s total supply In the coming years, which considers a strategic support for the infrastructure of the Ethereum Network.
Standard Chartered recently raised his forecasts for ETH, estimating that Au $ S7,500 could arrive before the end of the year and reach $ 25,000 in 2028, Faced with the previous projection of US $ 7,500 for that year. For the British firm, these figures reflect not only a potential for price appreciation, but the consolidation of Ethereum as a pillar of the new digital economy.
Source: Ambito
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