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Market Dynamics Analysis of Bitcoin (BTC) on August 12, 2025
On August 12, 2025, the Bitcoin (BTC) market exhibited a cautious yet optimistic trend. Bitcoin's price fluctuated around $122,000, approaching its historical high of $123,091, demonstrating strong upward momentum.
Key drivers of price increase
Institutional accumulation continues: Institutional investors are a significant force behind this rise. For example, MicroStrategy recently purchased 155 BTC at an average price of $116,400, showing strong confidence in long-term Bitcoin investment.
Strong inflow of Bitcoin ETF funds: Bitcoin ETF saw a net inflow of $1.9 billion in early August, a figure far exceeding the monthly Bitcoin mining volume, reflecting the enormous demand for such investment products in the market.
Day Four I love doge! Continuing to send doge to my friends! It is my happiness to witness this upcoming surge together with friends who love doge just like me💐 $DOGE
Is there another big airdrop from Alpha recently? Waiting for the flight🛫. I enjoyed it last time, sending a red envelope to my brothers🧧, please help share it😁😁 Wishing everyone good luck #币安Alpha上新 #红包大派送 #ETH突破4300
Today, the live broadcast will take everyone to short Ethereum at its highest point, and before the CPI announcement at 8:30, the lowest point for Bitcoin is over 118,300. May I ask, with so many hosts on Binance, who else is there?!!
#比特币市值超越亚马逊 Bitcoin (BTC) market capitalization exceeds 2.4 trillion USD, surpassing Amazon (approximately 2.3 trillion USD), ranking as the fifth largest asset globally, for the following reasons: 1) Institutional funds influx, with net inflow exceeding 2 billion USD for US BTC ETF on July 10-11, BlackRock IBIT managing over 80 billion USD in assets, pushing the price to 122,600 USD; 2) Favorable policies, 'Crypto Week' promoting CLARITY and GENIUS bills, support from the Trump administration for crypto reserves, enhancing market confidence; 3) Favorable macro environment, a weakening dollar and inflation concerns making BTC a safe-haven asset, with a correlation of 0.87 with Nasdaq and S&P 500; 4) Supply scarcity, with 265 companies and ETFs holding over 10% BTC, reducing circulation. In the short term, it may challenge Apple (3.1 trillion), needing to reach 142,000 USD; long-term target is 200,000 USD, but caution is needed for potential pullbacks to the support level of 116,500 USD due to slowing ETF inflows or regulatory setbacks.
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[August 11, UTC+8, Early Morning] Today's Cryptocurrency Market Hotspot Analysis
Today's cryptocurrency market presents some dynamics worth noting, which can be summarized as follows:
1. Market sentiment is volatile, be wary of short-term pullback risks
Recently, the crypto market has seen significant volatility, with Bitcoin's price dropping from last week's $114,000 to around $107,500, a short-term decline of over 6%. Analysts attribute this adjustment to worse-than-expected U.S. employment data and the uncertainty brought by Trump's new economic policies. On-chain data shows that over 120,000 trading accounts were forcibly liquidated in the past 48 hours, with a liquidation amount reaching $850 million, marking a new high in nearly three months. The market sentiment indicator 'Fear and Greed Index' has dropped to 42, entering the 'Fear' zone, indicating that short-term bearish sentiment is intensifying.
From August 9 to 11, the price of Ethereum (ETH) repeatedly broke through the $4300 mark, reaching a new high since December 2021. On August 9, ETH easily surpassed the highest point of $4100 since 2024, and surged to $4300, peaking at $4332. On August 10, Ethereum's trading price briefly exceeded $4300, and by 1:30 PM that day, Ethereum was reported at $4224.67, up 1.1% over the past 24 hours. On August 11, Ethereum once again rose above $4300.
The primary reasons for ETH's price breaking through $4300 are as follows:
Institutional Fund Inflows: Over the past four weeks, net inflows into U.S. spot Ethereum ETFs have reached as high as $5.37 billion. On just August 8, the ETH spot ETF recorded a net inflow of $461 million in a single day. On August 10, the relevant ETF inflow reached $222 million, with a cumulative net inflow of $326 million over the past week. BlackRock increased its holdings by 65,000 ETH, valued at approximately $271.8 million, indicating traditional financial giants' optimism about Ethereum's asset value.
Strong On-Chain Data Performance: Currently, over 15% of the circulating supply of ETH has been staked, setting a new historical high, indicating long-term holders' confidence in Ethereum's future value. Meanwhile, the number of daily active addresses on the Ethereum network has surpassed 350,000, with daily transaction volume reaching 1.74 million, reflecting a healthy growth rate in network usage. Additionally, both long-term holders and new investors have shown positive behavior, with Vitalik Buterin's personal holdings exceeding $1 billion, re-entering the ranks of on-chain billionaires.
From a technical standpoint, ETH/USD has formed a clear upward channel, consistently setting higher lows and higher highs since mid-April. The breakthrough on August 9 confirmed the validity of the upward channel, and currently, Ethereum's key support level has moved up to $4100, with short-term resistance in the $4350-$4400 range. A breakout will directly challenge the historical high of $4800.
At the same time, if macroeconomic policies change, such as the Federal Reserve delaying interest rate cuts or tightening cryptocurrency regulations, it may suppress upward momentum. Additionally, the cryptocurrency market is highly volatile, and sudden shifts in market sentiment could also trigger unexpected pullback risks. #ETH突破4300