BTC Strengthens to New Weekly High Amid Institutional Flows
Bitcoin (BTC) surpassed $109,263 on Sunday, securing its highest weekly close ever. This robust performance followed a late-June profit-taking dip, driven by strong institutional inflows and prevailing bullish sentiment.
Institutional Flows Loom Large
During the shortened US trading week around the Fourth of July, spot Bitcoin ETFs recorded significant net inflows. Assets under management increased by $667 million, demonstrating resilient investor demand despite lower trading volumes.
Macro Watch Outcomes Await Next Data
Attention now shifts towards next week’s key inflation data, with the June CPI and PBI reports expected to shape the Federal Reserve’s potential path of interest rate cuts for the remainder of 2025. Market consensus has recently edged towards two cuts by the end of the year.
This week’s schedule is less packed. Rate markets increasingly price in negligible prospects for a July cut and fuel debate over whether any cuts might occur before the year ends. Separately, the Trump administration has indicated it will push back the implementation deadline for its planned tariffs.
Congressional Focus Turns to “Crypto Week”
US lawmakers are preparing for what some are calling “Crypto Week,” specifically highlighting July 14. The week will feature planned votes on key legislation by the House Financial Services and Agriculture Committees.
The focal points will be the Digital Asset Markets Clarity Act and the GENIUS Act (the stablecoin bill). While the latter was already approved by the Senate with bipartisan backing, the former remains pending.
Adding to the regulatory spotlight, the Senate Banking Committee is holding a hearing on Wednesday, July 9, titled “From Wall Street to Web3: Building Tomorrow’s Digital Asset Markets.”
The virtual testimony will include representatives from major industry players, including Blockchain Association CEO Summer Mersinger, Chainalysis CEO Jonathan Levin, Paradigm’s Dan Robinson, and Ripple CEO Brad Garlinghouse.
Satoshi-Era Bitcoin Movement Cools Fears
The Fourth of July holiday spurred significant on-chain activity involving Bitcoin coins tied to Satoshi Nakamoto. Approximately 80,000 BTC, valued significantly today at over $8.6 billion, originating from dormant wallets dating back to 2011, executed their first transfers in over 14 years.
The bulk involved transfers from four of the eight known addresses associated with these ancient coins. Specifically, these wallets moved roughly 40,000 BTC ($4.35 billion).
Analysts highlight varied motivations, including potential inheritance planning and migration to secure formats. A notable technical aspect is the shift from old P2PKH addresses to modern Bech32 SegWit addresses, enhancing security and reducing future transaction fees.
C ritically, none of the moved coins were sent directly to exchanges, allaying initial concerns about an immediate sell-off. Instead, investigators suggest the coins may have been transferred to newer, more secure infrastructure.
Technology expert Charles Guillemet of hardware wallet maker Ledger also noted an OP_RETURN message sent to the dormant wallets days prior, declaring legal possession and requesting proof by October. He posits this could be a preemptive measure taken by the actual owner to secure funds and contest any related legal actions.
Furthermore, attention is drawn to the existing ecosystem of lost or forgotten private keys linked to older cryptocurrency wallets. Jeff Albus highlighted the burgeoning gray market for old wallet.dat files containing potentially dormant funds. While previously considered unbreakable, modern techniques might now be unlocking some of these dormant assets.
Overall, despite a lull in major macroeconomic data releases, the crypto market presents numerous development storylines to follow.
