Bitcoin and crypto broadly surged in late July. In fact, Bitcoin broke above $120K (a new all-time high) during July, fueled by a weaker dollar and fiscal stimulus . Ethereum also exploded higher – up nearly 49% in July according to market reports – as investors buzzed about upcoming ETFs and continued DeFi growth. Altcoins rallied too, helping total crypto capitalization briefly top $4 trillion . Part of the excitement comes from politics: U.S. “Crypto Week” (mid-July) saw Congress advance major digital-asset bills (e.g. stablecoin and market-structure laws), and President Trump signed the GENIUS Act into law on July 18, imposing strict 100% reserve rules for dollar-backed stablecoins . (These pro-crypto developments have brightened the outlook for the market.)
Key On-Chain Trends
On-chain data show investors holding tight. CryptoQuant reports that daily exchange inflows of Bitcoin have fallen to ~18,000 BTC per day – the lowest rate since 2015 – while Ethereum’s daily exchange inflows are down to ~584,000 ETH (vs. 1.57M in February) . In other words, large holders are not rushing to sell, removing traditional “selling pressure” even as prices hit records. At the same time, network activity is very strong. For example, Solana led all layer-1 blockchains in July with roughly 74.7 million monthly active addresses – far above Ethereum’s ~7.6M – and about 2.63 billion total transactions . BNB Chain similarly saw record usage (411 million txns and 71 million active addresses) after its recent “Maxwell” upgrade , and Coinbase’s Base L2 hit a new ATH in TVL and ~45 million active addresses . In the Bitcoin network itself, daily active addresses are around 720–730K (mid-July average) with ~388K daily transactions . Notably, over 35 million ETH (about 28% of supply) are now locked in staking contracts – a record high that tightens ETH’s circulating supply and supports its price.
Exchange flows: CryptoQuant data show minimal selling pressure. Bitcoin and Ethereum exchange inflows are near multi-year lows , meaning fewer coins are moving to exchanges. (E.g. BTC inflows fell from 81K/day in Nov 2024 to 18K/day now .)
Addresses & transactions: Bitcoin still sees ~722K daily active addresses . At the same time, alt networks are thriving: Solana saw 2.63 billion transactions in July , Base L2 handled ~279 million txns , and even smaller chains like Sui hit new daily highs (~10.5 million txns on July 25) .
Staking/supply: Growing amounts of ETH are tied up staking. Cointelegraph notes 35+ million ETH (~28% of all ETH) now earn staking rewards . This shrinking liquid supply helps explain ETH’s sustained rally and caps immediate sell-side pressure.
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Big News & Market Drivers
U.S. Crypto Legislation: July 2025 was dubbed “Crypto Week” by U.S. lawmakers. Congress advanced the GENIUS Act (stablecoin framework), CLARITY Act (crypto market structure), and an anti-CBDC bill all at once . On July 18, President Trump signed the GENIUS Act, which forces dollar-backed stablecoin issuers to hold 100% reserves and report them publicly . These moves establish the first federal crypto rules for stablecoins, a milestone seen as positive by many investors.
Institutional Flows: Massive ETF inflows powered price action. VanEck reports that Ethereum spot ETFs pulled in $727 million and $602 million on July 16–17 alone – fully 29% of all-time inflows during just that weekend. Bitcoin ETFs also had a record July (two days with $1+ billion inflows) . (Separately, BlackRock’s new Solana ETF grew its market value ~300% in 2024 .) In short, large pools of capital are chasing crypto.
Network Upgrades & Launches: Several blockchains upgraded or made headlines in July. Solana pushed a major throughput upgrade (20% more compute units) which helped generate its 2.6B transactions in July . Binance launched an ETF combining SOL + staking rewards (REX-Osprey SOL) on July 2 . The BNB Chain implemented “Maxwell” to halve block times – after which it saw an all-time high of 71 million active addresses in July . Coinbase’s Base L2 rolled out faster blocks (200 ms) and now boasts the largest Ethereum L2 TVL ($8.2 B) .
Market Shifts: Altcoins have been surging. Bitcoin’s dominance (BTC’s share of crypto-market cap) dipped from ~66% in late June to ~60% by July 21 , as Ethereum and other tokens rallied. CryptoRank notes ETH returned +48.7% in July, while analysts cite both regulatory tailwinds and ETF demand as drivers . Even meme-coins and newer tokens saw big moves (e.g. BONK, PEPE) during the rally. (On the flip side, crypto scams remain high – Chainalysis reports $2.17 billion was stolen in crypto scams/services in H1 2025 , a reminder of ongoing risks.)
Coins to Watch: Short-Term vs. Long-Term
Short-Term Momentum Plays: These coins have near-term catalysts or technical momentum:
Ethereum (ETH) – A top pick for August. ETH’s bull run was fueled by ETF mania and ETF inflows , and on-chain metrics (like rising staking participation) remain bullish . Many traders are watching the $3,000–$4,000 zone closely; a strong breakout could lead to further short-term gains.
Solana (SOL) – Coming off a hot streak. July’s upgrade and NFT activity drove huge network usage , and the debut of a US SOL ETF suggests more money could flow in. If that on-chain enthusiasm persists, Solana’s price may run higher in the weeks ahead.
TRON (TRX) – A dark-horse momentum candidate. TRX rallied sharply after its parent company went public (Nasdaq ticker “TRON”) and continues to dominate stablecoin transactions ($82.5B on Tron, the most of any chain ). This visibility could carry TRX up more in the short run.
Sui (SUI) – High beta pick. The Sui blockchain saw record daily usage in late July . While still volatile, its fresh tech and growth (developer/memecoin activity) could spark short-term moves if the hype continues.
Long-Term Core Assets: These are established projects with strong fundamentals or ecosystems:
Bitcoin (BTC) – The “digital gold” of crypto. Its limited supply (21M max) and growing institutional adoption make it a classic long-term store-of-value. Analysts highlight Bitcoin’s ETF-driven demand and see six-figure price targets in the years ahead .
Ethereum (ETH) – The leading smart-contract platform. Ethereum’s massive developer ecosystem underpins DeFi, NFTs, and now DeFi+AI. With 28% of ETH locked in staking contracts (earning yield), its supply is shrinking over time – a bullish fundamental. Major upgrades (sharding, etc.) are coming, supporting ETH’s long-term case .
BNB (BNB) – Binance’s native token. BNB plays multiple roles (trading fees, DeFi, staking) across one of crypto’s biggest ecosystems. The BNB Chain’s explosive July activity (top DEX volume and record addresses ) shows real usage. Many investors view BNB as a core long-term holding in exchange-linked projects.
Cardano (ADA) – A research-driven smart-contract platform. Cardano’s long-term roadmap and growing real-world projects have appeal. It recently received a regulatory nod (stablecoin listings), which along with its academic backing has led analysts to forecast bullish long-term targets .
XRP (XRP) – Focused on fast cross-border payments. Despite regulatory headwinds, XRP adoption is rising (several banks/financial institutions are testing Ripple tech). CoinCentral noted XRP’s 381% YTD surge heading into August , backed by expectations of renewed institutional partnerships. If Ripple’s roadmap (and any ETF approvals) plays out, XRP remains a top pick for some long-term investors .
Solana (SOL) – Already mentioned above, but also a strong “core” candidate due to its speed and ecosystem. Its high developer engagement and multiple use cases mean many see Solana as a promising long-term blockchain.
Each of the coins above has its own risk profile, so do your own research. The crypto space moves fast – but by watching these on-chain trends and developments, you can stay informed.$BTC
