Crypto Market Enters a Bullish Trend in July 2025, Driven by ETFs, Regulations, and On-Chain Catalysts

As July 2025 begins, the crypto market is showing signs of strengthening. This optimism is fueled by several fundamental factors, including the inflow of institutional funds into crypto ETFs, supportive U.S. government policies, and increasingly positive on-chain technical indicators.

1. Institutional Funds & ETFs Drive the Market

Capital inflows into Bitcoin and Ethereum ETF products continue to grow. According to data from Investopedia, total inflows into Bitcoin ETFs have reached US$14.4 billion so far this year. Ethereum is also expected to strengthen, supported by the launch of spot-staking ETFs.

Meanwhile, Barron’s reports that total inflows into crypto ETFs are approaching US$50 billion, providing a strong bullish catalyst for major assets. Bitcoin surged to US$110,300, Ethereum rose 7.2%, and XRP gained 5%.

2. U.S. Regulatory Support Strengthens Market Sentiment

On the regulatory front, the U.S. government has introduced several strategic policies, such as the GENIUS Act (stablecoin regulation) and the BITCOIN Act (establishment of a strategic Bitcoin reserve). In addition, plans to form a Crypto Advisory Board at the White House have further boosted market optimism.

Markets are also closely watching the potential for a Federal Reserve interest rate cut at the end of July, along with President Donald Trump’s initiative to accumulate a national Bitcoin reserve, both of which are seen as potential triggers for a new price rally.

3. On-Chain Catalysts & the Potential for an Altseason

Daily Hodl analysis estimates that the market capitalization of altcoins outside the top 10 could rise from US$229 billion to around US$400 billion in the near term, opening the door for a short-term altseason.

Monthly reports from Iconomi also indicate that Bitcoin is testing a key resistance level, while Ethereum remains stable above US$2,500. Large spot ETF inflows into Ethereum further strengthen the bullish outlook.

4. Price Movements and Macroeconomic Pressures

Bitcoin is currently trading in the US$109,200 range, up approximately 0.9%, while Ethereum has risen 2.2% to US$2,570. Altcoins such as Solana and XRP have also posted gains, reflecting positive market sentiment.

Technically, Bitcoin's major resistance level is around US$114,000. According to Ed Campbell of Rosenberg Research, if this level is successfully broken, Bitcoin could potentially rally up to 25%, reaching US$143,000.

Impact and Risk Summary

Conclusion: Bullish Potential with Persistent Risks

July 2025 has the potential to be a positive period for the crypto market, supported by strong institutional participation, favorable regulatory policies, and constructive technical signals. However, market volatility and global risks remain factors to watch. Therefore, risk management will be key to crafting an effective investment strategy going forward.