I looked into the reasons behind the crypto market’s rise for my brothers;
$ETH
On September 15, the U.S. “CLARITY Act” was rejected 49:50, and Bitcoin briefly fell below $75,000. On September 16, the Federal Reserve raised rates by 25 bp to 3.75%-4.00%, but the bad news was already priced in. On September 17, the SEC introduced “Innovation Exemptions,” allowing tokenized securities trading venues to enjoy a five-year regulatory exemption. Meanwhile, the CFTC submitted crypto rules in parallel, flipping regulatory expectations. Bitcoin then broke through $85,000; it rose more than 7% in five days, nearly 35% over three months, and its total market cap returned to $2.8 trillion.
Liquidity: Spot Bitcoin ETFs saw net inflows of about $6.2 million for the full week. It may not sound large, but the total of September 17-18 brought back $592.5 million. On September 18 alone, net inflows hit $433 million, with Fidelity’s FBTC at $310.7 million and BlackRock’s IBIT at $108.4 million—these two accounted for 97%, and there were no product outflows.
Structure: When Bitcoin broke $84,000, $313 million was liquidated within one hour, about $300 million of which was short positions. Within 24 hours, BTC shorts were liquidated for $238 million, and shorts across the whole market totaled $470 million, amplifying the short-squeeze-driven rally. Technically, the weekly chart first reclaimed the 50-week moving average in 45 weeks.
Fundamentals: Ethereum mainnet TPS surpassed 10,000; Gas dropped to the $0.0001 level. Transfer costs were about $0.095, down 87% from the April peak. Exchange ETH balances stood at 6.06 million ETH, the lowest since 2020.
$ETH
On September 15, the U.S. “CLARITY Act” was rejected 49:50, and Bitcoin briefly fell below $75,000. On September 16, the Federal Reserve raised rates by 25 bp to 3.75%-4.00%, but the bad news was already priced in. On September 17, the SEC introduced “Innovation Exemptions,” allowing tokenized securities trading venues to enjoy a five-year regulatory exemption. Meanwhile, the CFTC submitted crypto rules in parallel, flipping regulatory expectations. Bitcoin then broke through $85,000; it rose more than 7% in five days, nearly 35% over three months, and its total market cap returned to $2.8 trillion.
Liquidity: Spot Bitcoin ETFs saw net inflows of about $6.2 million for the full week. It may not sound large, but the total of September 17-18 brought back $592.5 million. On September 18 alone, net inflows hit $433 million, with Fidelity’s FBTC at $310.7 million and BlackRock’s IBIT at $108.4 million—these two accounted for 97%, and there were no product outflows.
Structure: When Bitcoin broke $84,000, $313 million was liquidated within one hour, about $300 million of which was short positions. Within 24 hours, BTC shorts were liquidated for $238 million, and shorts across the whole market totaled $470 million, amplifying the short-squeeze-driven rally. Technically, the weekly chart first reclaimed the 50-week moving average in 45 weeks.
Fundamentals: Ethereum mainnet TPS surpassed 10,000; Gas dropped to the $0.0001 level. Transfer costs were about $0.095, down 87% from the April peak. Exchange ETH balances stood at 6.06 million ETH, the lowest since 2020.