Guys, today I was chatting and mentioned that the market could reach different levels. And one of the reasons is in this chart that I brought for you!
Capital Movement in ETFs: BTC x ETH
This chart shows the capital inflow into #Bitcoin ETFs (orange) and #Ethereum ETFs (blue). What stands out is that, in recent weeks, the capital inflow into $BTC has decreased, while the inflow into $ETH has skyrocketed!
Why Are ETFs Important?
ETFs are crucial because, to be traded on the American stock exchange, they need to hold the underlying assets (BTC and ETH, respectively) to issue their shares. Additionally, many ETF managers, for security and liquidity, invest part of the capital in low-risk instruments, such as U.S. Treasury bonds. This is a huge gateway for traditional investors, both retail and, especially, institutional. They can access the crypto world in a regulated manner, protected by American legislation, without directly exposing themselves to the market.
The Impact of Capital Inflow in BTC ETFs
When this chart only showed capital inflow in Bitcoin, we saw BTC jump from 80k to over 123k! It was an absurd rise.
Ethereum: The Trigger for Altseason?
This new wave of capital entering Ethereum ETFs could be the trigger that ETH needs to finally boost the long-awaited Altseason that analysts talk so much about!
Macroeconomic Scenario and Interest Rates
To complete, today #Fed kept rates stable (which was already expected). It is believed that #Payroll will come in tight, which, along with the potential impact of Trump's tariffs on the American economy, may signal the need for future rate cuts to stimulate demand.
The Dominance of Ethereum and the New Regulation
Ah, and there's more: with the new stablecoin regulation, the Genius Act, Ethereum stands out even more. Just to give you an idea, 60% of what is traded in #stablecoin is on the Ethereum network! This only increases ETH's dominance over its competitors, especially $SOL .
Stay tuned, because the game may be turning for good! What do you think?
Leave your opinions in the comments!
Happy studying and God bless you.
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