Market Overview
• Bitcoin surged to $123,000 in July 2025, driven by institutional capital rather than retail traders
• Price stabilized around $117,000 as institutions bring maturity to the market
• Bitcoin hits new highs as pension funds, insurers and corporate treasuries enter through ETFs
Key Drivers
• Regulatory breakthroughs: July 15th approval for US banks to offer Bitcoin custody services
• 278 million crypto policy week with Congress' "Crypto Week" and Senate's Genius Act providing clear compliance frameworks
• Massive ETF inflows: $3.4 billion in July alone, including consecutive $1B days (July 10-11)
Trading Implications & Outlook
• Monitor ETF flows and regulatory news as leading indicators
• Reduced volatility as institutions now account for 70% of trading volume
• Investment strategies diverge between large players and retail
• Analysts project $200,000 by year-end with retail FOMO potentially triggering above $150,000
• Macroeconomic tailwinds: falling Treasury yields and anticipated Fed rate cuts boost Bitcoin as inflation hedge
