Crypto Market Update: August 21, 2025
The cryptocurrency market remains volatile as investors brace for key economic signals. Bitcoin (BTC) is trading around $113,500, down 4% over the past two days, with institutional demand weakening as spot Bitcoin ETFs saw outflows of over $520 million on Tuesday. Ethereum (ETH) has also pulled back, trading just above $4,200 after hitting four-year highs, driven by strong ETF inflows earlier this month. The total crypto market cap stands at $3.92 trillion, up 1.1% in the last 24 hours, with Bitcoin dominance at 57.5% and Ethereum at 13.1%. Altcoins like HOPR have surged 18%, fueled by a 300% spike in trading volume, while stablecoins are hitting record levels across multiple metrics, hinting at potential market growth. However, traders remain cautious ahead of Federal Reserve Chair Jerome Powell’s upcoming Jackson Hole speech, which could influence market sentiment if a hawkish stance is signaled.
### Top Crypto News: August 21, 2025
1. Bitcoin ETF Outflows Signal Caution: Institutional investors are de-risking, with Bitcoin ETFs recording $520 million in outflows on Tuesday, reflecting concerns over a potential hawkish Federal Reserve stance at the upcoming Jackson Hole speech.
2. Ethereum ETFs See Record Inflows: Ethereum-focused ETFs smashed records with a $727 million single-day inflow surge, despite a recent price pullback. This underscores growing institutional interest in ETH as it approaches yearly highs against Bitcoin.
3. Hong Kong Pushes Crypto Licensing: Hong Kong is accelerating virtual asset licensing and exploring broader tokenization, aiming to strengthen its position as a global crypto hub amid favorable regulatory shifts.
4. Crypto Companies Eye IPOs: U.S. crypto firms are rushing to go public, capitalizing on a hot market and pro-crypto policies under the Trump administration, which have pushed the global crypto market cap to $4.2 trillion.
5. UK Sanctions Crypto Exchanges: The UK has targeted Kyrgyz banks and crypto exchanges linked to Russia’s $9.3 billion ruble-backed stablecoin, signaling tighter global regulatory scrutiny.
