The crypto market staged a strong rebound in August 2024 after a sharp 13.1% drop earlier in the month. Initial losses were driven by global economic uncertainty, including weak U.S. job data and a surprise rate hike by the Bank of Japan. However, optimism returned as expectations grew for a U.S. Federal Reserve rate cut, coupled with stronger-than-expected GDP figures.
Key sectors like NFTs and DeFi led the recovery. Projects such as Sui and Symbiotic saw notable growth, with Suiโs Total Value Locked (TVL) increasing by over 35%, driven by new developments like the Grayscale Sui Trust. Symbiotic also gained traction, expanding its TVL by 38%.
Institutional interest added further momentum, with U.S. spot Bitcoin ETFs receiving more than $190 million in inflows. The combination of improving macroeconomic sentiment, sector-specific gains, and institutional support helped restore market confidence and set the stage for a more optimistic outlook moving forward.