TechFlow reported on August 26 that the Bitfinex Alpha report indicated Bitcoin surged to $65,000 on August 23, marking its highest level in months. This rally was triggered by Federal Reserve Chair Jerome Powell's speech at the Jackson Hole symposium, where he hinted at potential rate cuts, leading to a weaker dollar and rising stock markets. Bitcoin’s single-day gain of 6.06% marked the second-largest daily increase since May.
The report noted a significantly strengthened correlation between Bitcoin and U.S. equities, indicating a return of risk appetite to the crypto market. On that day, perpetual Bitcoin contracts saw $40 million in liquidations, with total liquidations across all trading pairs reaching $140 million. Meanwhile, open interest dropped sharply, reflecting reduced market leverage and creating room for price appreciation in Bitcoin and other cryptocurrencies.
Institutional investors continue to show strong interest in digital assets. Franklin Templeton expanded its on-chain money market fund FOBXX to the Avalanche network, enabling investors to purchase tokenized shares. Meanwhile, BlackRock’s iShares Ethereum Trust (ETHA) became the first Ethereum ETF to surpass $1 billion in net inflows, standing out among Ethereum investment products.
