Crypto Market

BTC and ETH Market Insight

Bitcoin has experienced its most significant decline in the current cycle, trading over -26% lower than its ATH. This downward trend has been relatively less severe compared to previous cycles, indicating a stronger underlying market structure and decreased volatility as Bitcoin evolves as an asset class. June CPI inflation rate falls to 3.0%, below expectations of 3.1%. Despite the positive CPI report and the possibility of FED rate cuts, BTC made a strong upward movement but failed to surpass the $60K mark.

Options Market

Despite the German government’s continuous liquidation of their BTC holdings, both BTC and ETH bounced back from the local low due to strong ETF inflow and lower CPI print. The market broadly stablised around 58k and 3.1k for BTC and ETH respectively since then. Front-end IV decreased in tandem with RV. The term structure shifted back to contango and front-end skew cooled down towards neutrality as the sentiment improved. Call flows on ETH shifted from July to September and December tenors as the launch of spot ETF was delayed for another week.

Altcoins and Blockchain News

• According to data from Farside Investors, the net inflow of the U.S. Bitcoin spot ETF this week totaled 1.0476 billion USD, with BlackRock's IBIT seeing a net inflow of 522.5 million USD and Fidelity's FBTC with a net inflow of 358.1 million USD.

• On July 13th, according to data from Dune, the Linea mainnet has bridged and received over 700,000 ETH, with over 1.1 million transactions and more than 500,000 interactive addresses.

• On July 13th, the NFT project Pudgy Penguins was announced on X, and the "Pudgy Wizard" series will have an exclusive release on NTWRK on July 16th at 8:45 AM.

• Lido has announced the full deployment and readiness for deposits of the Simple Staking Validator (SSV) software module supported by the SSV Network.

• According to Fortune, the U.S. Securities and Exchange Commission (SEC) has decided to end its investigation into Paxos, the issuer of the New York stablecoin, and has determined that BUSD is not a security.

• Tether has stated that starting from September 1st, 2025, it will no longer have an obligation to redeem USDT or EURT on Omni, Kusama, SLP, EOS, and Algorand.

• The on-chain IP infrastructure, Story Protocol, has announced the launch of the global IP blockchain, Story Network, which aims to allow creators to monetize their IP (voice, style, likeness) in the era of artificial intelligence.

Marco

The major benchmarks moved higher for the week and reached new intraday high territories: the DJIA added +1.6%, the S&P 500 +0.9% and the Nasdaq +0.2%. Despite the trading volume shrank for the summer season, the stock market still delivered a strong expectation towards the potential September and December rate cuts.