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Cryptocurrency market shows sharp growth amid US regulatory policy
On Wednesday, August 13, cryptocurrencies continued to grow amid political factors, expectations of a looser Fed monetary policy, and significant capital inflows into Ethereum-related ETFs ETH $4,718.64 Bridged Ether (StarkGate) 5.36% Market capitalization $0.12 billion VOL. 24 hours $4.41 billion . The market’s momentum increased after U.S. Treasury Secretary Scott Bessent said that the Federal Reserve should consider cutting the rate by 50 basis points at its September meeting, CoinDesk reports.
ETH rose by almost 30% over the week and approached new highs that historically preceded periods of active capital rotation into altcoins and less liquid tokens. On Tuesday, ETH-related ETFs recorded inflows of $ 520 million, and this week may exceed $ 2 billion for the first time in history. Bitcoin remained below $ 120,000, while Solana (SOL) gained 12% to $ 198, BNB — 5% to $ 837, and XRP — 4% to $ 3.25. Dogecoin DOGE $0.24 Binance-Peg Dogecoin 3.90% Market capitalization $0.62 billion VOL. 24 hours $0.52 billion and Cardano ADA $0.87 Cardano 4.43% Market capitalization $31.73 billion VOL. 24 hours $0.26 billion added more than 8%.
Positive sentiment was also fueled by comments made by US President Donald Trump about the possibility of including cryptocurrencies and private equity in 401(k) retirement savings plans. Although this issue is currently under study, such a step could be an important structural change in the formation of demand for digital assets.
Analysts note different dynamics of expected volatility: Bitcoin’s implied volatility (IV) remains close to historical lows, indicating expectations of a stable price, while Ether’s short-term IV has increased significantly. This indicates expectations of sharper price movements and potential growth of ETH in the short term. According to experts, ETH’s breakout above $ 4,600 reinforces confidence in its institutional integration, and the Fed’s soft rhetoric may strengthen ETH’s relative advantage over BTC.
According to analysts, the current market is different in that the strength of altcoins is pulling bitcoin BTC $121,821.93 Bitcoin 1.93% Market capitalization $2.42 trillion VOL. 24 hours $2.41 billion up, not vice versa. BTC is testing all-time highs above $ 122,000, with next targets in the $ 135,000−138,000 range, while ETH is approaching its record high of over $ 4,800.