Recently, the cryptocurrency market has been bustling.
The initiation of FTX compensation has garnered attention, with approximately $800 million paid out. On February 18, $16 billion in debts will be formally repaid, prioritizing small creditors, which may impact the altcoin market, leading to a slight rebound on February 19.
Regarding monetary policy expectations, a Bank of America survey shows that 77% of interviewed fund managers expect the Federal Reserve to cut interest rates in 2025. Federal Reserve Governor Waller shares a similar view, creating an important external environment for the cryptocurrency market's development.
In terms of policies and regulations, various regions are taking proactive actions. A related amendment in Utah, USA, awaits Senate approval, allowing state funds to invest in crypto assets; Hong Kong has released the 'ASPIRe' roadmap to strengthen virtual asset market regulation; and Europe’s ESMA is seeking opinions on employee competency assessment guidelines to standardize industry personnel requirements.
Companies and giants are also making new moves. Musk's X company plans to raise funds, and xAI will open an AI gaming studio; Howard Lutnick, a supporter of crypto, will serve as the U.S. Secretary of Commerce.
Market data reflects a complex market situation. Despite large-scale liquidations, prices have stabilized, with institutional funds flowing in and out. However, there is a clear overall trend of institutional fund inflows, such as multiple institutions purchasing ETF shares and companies issuing notes to acquire BTC, among others.
In addition, many institutions and individuals are releasing positive signals for cryptocurrency, such as Tether issuing new stablecoins and Charles Schwab appointing a digital asset director.
In terms of market dynamics, the MEME bubble is being blamed, and its predicament may assist the value recovery of traditional concepts like ETH. The liquidity influx into the market due to FTX compensation offers hope for a turnaround in the long-waiting market.
$BTC
