by Good Morning, Asia! Welcome to your daily Asia Morning Briefing, where we summarize the most important news during U.S. hours and provide an insightful overview of market movements and analyses. For a detailed examination of U.S. markets, don’t forget to check out CoinDesk’s Crypto Daybook Americas.
Bitcoin’s Recent Performance
As the East Asian trading day begins, Bitcoin (BTC) is trading slightly above $115,000, marking a notable rebound from last week’s significant selloff, which resulted in over $1 billion in leveraged long liquidations and briefly pushed BTC down to around $113,000. This recovery is bolstered by emerging signs of stabilization in institutional flows. Notably, Bitwise reported an impressive net inflow of $18.74 million, indicating a potential reversal following one of the largest ETF outflow days in recorded history last Friday.
The Impact of Macroeconomic Factors
The recent correction, which represents BTC’s third consecutive Friday selloff, was influenced by a combination of macroeconomic factors, including disappointing U.S. jobs data and a new wave of tariffs imposed by Washington. These events triggered a broader risk-off sentiment that affected both equities and the cryptocurrency market.
Altcoins suffered the most from this downturn, with Solana (SOL) plummeting nearly 20% over the week and Ethereum (ETH) losing close to 10%. However, despite these declines, QCP Capital remains cautiously optimistic, emphasizing that “the broader structural setup remains intact.” In a note released on Monday, they pointed out BTC’s highest-ever monthly close in July, suggesting that the recent selloff could be more of a leverage flush rather than a full trend reversal.
Market Sentiment and Future Predictions
Despite the current downturn, market hedging behavior indicates that investors are still considering the possibility of a further decline. On Polymarket, traders currently assign a 49% probability that BTC will dip below $100,000 before the end of 2025—an increase of 2 percentage points from the previous day. This pricing reflects a market still on edge, with downside risks factored in, despite the presence of favorable long-term fundamentals such as regulatory clarity, increasing stablecoin adoption, and initiatives around tokenization.
Potential Catalysts for the Market
Looking ahead, the next significant catalyst could emerge during the Asia trading day as U.S. issuers report their flows, typically by mid-day Hong Kong time. If ETF inflows continue and implied volatility begins to compress, this may provide a much-needed confirmation for the market to embrace the buy-the-dip narrative and shake off the macro uncertainties that have kept it stagnant.
Market Movers: Cryptocurrency and Beyond
Here’s a brief summary of the current market movers:
- BTC: Bitcoin has reclaimed its position above $115,000, indicating early signs of market stabilization.
- ETH: Ether is holding steady around $3,700, with Polymarket traders expressing confidence in its potential to break above $4,000 sometime in August.
- Gold: Gold has extended its rally for a third consecutive session on Monday, reaching a two-week high as soft U.S. economic data raises expectations for a Fed rate cut in September, with CME traders now pricing in an 86% probability of this occurring.
- Nikkei 225: Asia-Pacific markets opened positively, with Japan’s Nikkei 225 rising by 0.54% after U.S. President Donald Trump announced plans to increase tariffs on Indian exports.
- S&P 500: The S&P 500 rebounded on Monday, climbing 1.47% to 6,329.94, snapping a four-day losing streak and marking its best session since May.
In Other Crypto News
Here are some noteworthy developments in the cryptocurrency world:
- DCG’s Barry Silbert Returns to Grayscale as Chairman Amid IPO Push (CoinDesk)
- Former Chancellor Osborne Warns UK Is ‘Completely Left Behind’ on Crypto (Decrypt)
- Pantera Leads $20 Million Raise for OpenMind’s Decentralized Operating System for Robots (The Block)
As we move forward, staying updated on market trends and institutional movements will be crucial for all cryptocurrency enthusiasts and investors. Whether you’re looking to understand how to buy Bitcoin or exploring the potential of Solana, keeping an eye on BTC’s performance and the overall market sentiment will help you navigate the ever-evolving landscape of cryptocurrencies.
Meta Description: Discover the latest insights on Bitcoin’s price movement as it rebounds past $115K amid ETF inflows and macroeconomic factors affecting the cryptocurrency market. Stay informed with our comprehensive analysis and market predictions for BTC and altcoins.
