Bitcoin soared above $67,000 in the short term, and Ethereum decoupled and fell sharply, a rare occurrence. The market was shocked by news that the Ethereum Foundation transferred about 92,500 Ethereum coins, causing panic.
A subsidiary of China's largest e-commerce company JD.com has announced that it will launch a stablecoin in Hong Kong that will be pegged 1:1 to the Hong Kong dollar fiat currency.
Harris prepares for September debate, Trump to attend 2024 Bitcoin conference
Republican presidential candidate Donald Trump's re-election campaign has raised about $3 million in cryptocurrency donations since May 2024, according to second-quarter filings with the U.S. Federal Election Commission.
According to The Hill, US Vice President Harris told reporters after returning to Washington from a two-day visit to Indiana and Texas that she is ready to debate with Trump on September 10.
Republicans are trying to win votes by promising to roll back regulations and could tie a currency created to bypass the government to one of the major U.S. political parties, Reuters reported.
The 2024 Bitcoin Conference will be held from July 25 to 27, North American time. Trump will attend and give a speech over the weekend. The market has previously reported that he will announce at the conference that Bitcoin will become a strategic reserve asset for the United States.
"For most of its history, cryptocurrency has been a virtually nonpartisan issue," said David Yermack, a professor at New York University's Stern School of Business. He said that's because neither Republicans nor Democrats understood it or were willing to learn more. "I do think Republicans have started to move more quickly in the area in the last year or two."
Most of the donations came from individual venture capitalists, who pledged $1 million each, but election rules capped contributions at $844,600 per person.
JD.com, a large Chinese e-commerce company, enters the Hong Kong stablecoin market
The Hong Kong Monetary Authority (HKMA) announced the list of participants in the "Sandbox" for stablecoin issuers through its official website on July 18. The three selected institutions include JD CoinChain Technology (Hong Kong) and Yuancoin Innovation Technology, both subsidiaries of JD Group, as well as a joint venture of Standard Chartered Bank Hong Kong, Animoca Brands Limited and Hong Kong Telecom.
On Wednesday, JD CoinChain Technology officially announced that it will issue a stablecoin in Hong Kong that is pegged 1:1 to the Hong Kong dollar, marking the further expansion of JD Group in the fields of blockchain and financial technology.
According to the information on JD CoinChain Technology's official website, JD Stablecoin is issued based on a public blockchain, and its reserves are composed of highly liquid and reliable assets and are securely stored in independent accounts of licensed financial institutions. The company will verify the integrity of the reserves through regular disclosures and audit reports to ensure the value stability and security of the stablecoin, which is basically the same as the operation of general stablecoins.
Ethereum spot ETF unexpectedly reverses outflow, Ethereum fund reportedly sells off
The long-awaited launch of an Ethereum spot ETF in the United States brought optimism to the market, but soon led to a sell-off in Ethereum and a subsequent drop in its price.
According to a recent report from 10x Research, this selling trend is very similar to the pattern of previously launched cryptocurrency ETFs, including the Bitcoin spot ETF.
Markus Thielen, founder of 10x Research, explained that many traders “expect Ethereum spot ETFs to capture 20% of the inflows into Bitcoin spot ETFs.”
“However, they overlooked the potential billions of dollars in outflows from Grayscale and the trend of exchanges listing triggering selling news reactions. In addition, the cryptocurrency market is entering a period of seasonal weakness,” he noted.
According to the report, Grayscale’s $9 billion Ethereum Trust Fund saw a large outflow of funds, with $481 million lost on the first day and $326 million lost on the second day.
In comparison, other ETF issuers such as Bitwise saw inflows of $204 million on its first day, mostly from venture capital firm Pantera Capital.
While this suggests mixed market sentiment, Pantera’s apparently rapid sell-off of its “seed investment” suggests a lack of confidence in continued growth, the report said.
The Ethereum spot ETF saw a net outflow of $113.3 million on the second day of trading, mainly due to large losses in the Grayscale Ethereum Trust Fund.
It is also worth noting that data from blockchain tracking agency Arkham Intelligence found that an address that may be related to the Ethereum official foundation transferred about 92,500 Ether, worth about US$290 million, after being dormant for 7 years.
Bitcoin Technical Analysis
Analyst Manish Chhetri said that earlier this week, the price of Bitcoin encountered resistance near the weekly resistance level of $67,209. After extending the correction trend for three consecutive days, Bitcoin rebounded on the fourth day and found support near the 50% Fibonacci retracement level from the June 7 high of $71,997 to the July 5 low of $53,475, which is $62,736.
If Bitcoin continues to rise and breaks above the weekly resistance at $67,209, it could surge by 7% and retest the June 7 high of $71,997.
On the daily chart, the Relative Strength Index (RSI) and the Awesome Oscillator (AO) are above the neutral levels of 50 and 0, respectively. This strong momentum indicates strong bullish sentiment in the market.
However, if the price closes below $62,736 and breaks below the uptrend line, the market structure will change from bullish to bearish, forming a daily low. This scenario could cause the price of Bitcoin to plunge by 10% and retest the July 12 low of $56,405.
