Daily Crypto Signals: Bitcoin Rebounds to $105K, While Hyperliquid HYPE Surges 300% Amid Regulatory Challenges
Bitcoin demonstrated remarkable resilience by bouncing back to $106,000 following Middle East tensions, while Hyperliquid's HYPE token
Quick overview
- Bitcoin rebounded to $106,000 after initial declines, showcasing its resilience amid global tensions.
- Hyperliquid's HYPE token surged over 300% in two months, establishing itself as a significant player in the DeFi space.
- Democratic lawmakers introduced the COIN Act to regulate crypto holdings by public officials, targeting President Trump's financial connections.
- Despite market volatility, institutional interest in crypto ETPs remains strong, with record inflows of $15.1 billion this year.
Bitcoin BTC/USD demonstrated remarkable resilience by bouncing back to $106,000 following Middle East tensions, while Hyperliquid’s HYPE token continues its meteoric 300% rise over two months. Meanwhile, Democratic lawmakers introduced new legislation targeting crypto holdings by public officials, including President Trump’s $57.4 million World Liberty Financial connections.
Crypto Market Developments
This week, the cryptocurrency market sent contradictory signals. At first, global concerns made investors nervous, but a quick recovery brought back their confidence. According to CoinShares data, global crypto exchange-traded products (ETPs) saw an incredible $1.24 billion in inflows for the trading week ended Friday. This brought the total inflows for the year to a record high of $15.1 billion.
Even though institutions were interested, the overall amount of money managed in crypto ETPs fell somewhat from $179 billion to $176.3 billion. This is because the prices of key cryptocurrencies were very unstable. The fact that the market can still bring in a lot of money even when prices are low shows that institutional investors see these levels as good purchasing opportunities.
California Senator Adam Schiff and nine other Democratic senators presented the COIN Act, which is a big step forward in the regulation process. The proposal is meant to stop public officials from making money off of digital assets. The bill is mainly about President Trump’s bitcoin business, which made him $57.4 million via World Liberty Financial. The proposed law would make it illegal for government officials to issue, sponsor, or support cryptocurrencies for 180 days before and two years after they leave office.
Bitcoin Rebounds Above $105,000
Bitcoin’s performance this week showed that it is becoming more mature as an institutional asset class. BTC fell below $98,500 for the first price in 45 days on Sunday, but it swiftly bounced back to $106,000 when President Trump said there would be a “total ceasefire” between Israel and Iran.
Analysts were astonished by the cryptocurrency’s relative stability during times of global instability. Bitcoin’s 60-day realized volatility was only 27-28%, which is lower than that of traditional assets like the S&P 500 (30%), Nasdaq 100 (35%), and “Magnificent 7” tech stocks (40%). This strength made Bitcoin look more like a mature store of value than just a speculative asset.
Bitcoin ETPs had another great week, bringing in $1.1 billion in new money, even if spot prices fell from about $108,800 to $103,000. James Butterfill, an analyst at CoinShares, said that when prices go down, investors are “buying on weakness.” This is a positive sign that is backed up by small $1.4 million withdrawals from short-Bitcoin contracts.
Michael Saylor of MicroStrategy added to the euphoric mood by tweeting a mysterious chart of the company’s prior Bitcoin transactions with the caption “Nothing Stops This Orange.” The corporation has made big purchases of Bitcoin after he made similar posts before. Right now, it has 592,100 BTC worth about $59.7 billion.
Bitcoin’s hashrate declined by 8% between Sunday and Thursday, from 943.6 million terahashes per second to 865.1 million terahashes per second. This shows that there are still problems to be solved. Some people thought that mining would be affected in Iran, but analysts said that these kinds of changes are usually caused by temporary power outages, especially during bad weather.
Hyperliquid (HYPE) Surges Over 300% Since April
Hyperliquid stood out as a top performer, with the HYPE token rising more than 300% since April and hitting new all-time highs before settling at its present level. The layer-1 blockchain has quietly become a DeFi powerhouse, with a total value locked (TVL) of $1.75 billion, making it the seventh most valuable blockchain overall.
The platform’s main decentralized exchange now handles more than $420 million in trades per day, making it the sixth largest of all decentralized exchanges. Hyperliquid is the most amazing because it controls 70% of the decentralized perpetuals trading market, which shows that it is technically better and has more users.
The way HYPE’s tokens work gives its price a lot of inherent support for going up. The protocol uses its Assistance Fund to purchase back HYPE with about 97% of the money it makes from platform fees. This fund has bought back $910 million worth of HYPE in six months. Since just 34% of the total supply is now in circulation and team tokens won’t be available until 2027-2028, there isn’t much pressure on the supply.
Lion Group, which is listed on Nasdaq, recently validated HYPE by saying that it would keep $600 million in reserves with HYPE as its main treasury asset. But the token’s completely diluted value is around $38–45 billion, which raises concerns about its value and leads to discussions about how long it can stay at its current level.
The platform is successful because it offers the benefits of decentralized exchanges while keeping the user experience of centralized exchanges. Hyperliquid says it can handle up to 200,000 transactions per second, however this comes at the cost of decentralization because there are only 21 validators. It is built on a bespoke layer-1 employing HyperBFT consensus.
Top Altcoins to Watch Today
- Ether ETH/USD continued its positive momentum with ETPs recording their ninth consecutive week of inflows, netting $124 million and bringing the total inflow run to $2.2 billion—the longest streak since mid-2021. Current price levels around $2,400 show consolidation above key support.
- XRP XRP/USD faces technical challenges after breaking below $2 support, though buyers quickly stepped in to defend lower levels. The token’s recovery attempts will likely face resistance at the 20-day EMA around $2.15.
- Solana SOL/USD struggled with a break below $140 support, extending declines toward $123 before showing signs of stabilization. Recovery efforts will need to reclaim $140 to prevent further downside.
- Cardano ADA/USD approaches critical support at $0.50, where a break could complete a bearish descending triangle pattern and trigger additional selling toward $0.40.
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