Two other supporters lined up behind the measure. U.S. bitcoin spot ETFs have attracted inflows for five consecutive sessions totaling more than $600 million, the most sustained institutional buying since mid-July and a reversal of the eight-week outflow streak that extended into late June.
And oil, which had risen for two days during the war, retreated, with Brent falling 1% to around $88.58 as Iran said mediators were circulating proposals to ease hostilities, including a suggestion to suspend attacks for 10 days.
“Current bitcoin and ether prices are low but fair, given the macroeconomic uncertainties prevailing in the markets,” said Jeff Mei, chief operating officer of BTSE, who pointed to the Fed meeting as the event around which traders are positioning themselves.
“Traders expect rates to remain stable, but are looking for more signs on what’s to come later this year,” Mei added.
The reading of that meeting is where the rally reaches its limit. The Federal Reserve meets on July 28-29, and markets put the odds of a rate hike in July at around 15%, although a move is still expected in September.
Cryptocurrency spot market volume remained subdued even as prices rose, a sign of a tape lifted by the return of risk appetite rather than new conviction, and higher oil and Treasury yields remain the levers that could keep the Fed on a hawkish stance and limit risk assets.
