Crypto Price Analysis 8-13: BITCOIN: BTC, ETHEREUM: ETH, SOLANA: SOL, Uniswap: UNI, Polkadot: DOT

The cryptocurrency market has rebounded to reclaim the $4 trillion mark after Tuesday’s decline as Bitcoin (BTC) and other cryptocurrencies traded in positive territory. However, the flagship cryptocurrency is only marginally up, as altcoins led the market recovery. BTC dropped to an intraday low of $118,305 on Tuesday before rebounding to cross the $120,000 mark. However, it lost momentum and fell to its current levels. BTC is marginally up over the past 24 hours, trading around $119,415. 

Meanwhile, altcoins like Ethereum (ETH) and Solana (SOL) are leading the market recovery. ETH has raced past $4,500 and is trading above $4,600, up over 7% in the past 24 hours. The world’s second-largest cryptocurrency could surge to a new all-time high if buyers maintain momentum. On the other hand, SOL is up nearly 12% and is on the brink of reclaiming $200. Ripple (XRP) has also regained momentum, up 2.25%. Dogecoin (DOGE) is up over 6%, while Cardano (ADA) is up nearly 9%, trading around $0.857. Chainlink (LINK) is up almost 10%, while Stellar (XLM) is up 1.70%, trading around $0.444. Hedera (HBAR), Litecoin (LTC), Toncoin (TON), and Polkadot (DOT) also registered substantial increases. 

Do Kwon Pleads Guilty To Fraud Charges 

Terraform Labs co-founder Do Kwon has pleaded guilty to two counts of wire fraud and conspiracy to defraud. According to reports, Kwon waived his right to go to trial on two of the nine charges brought against him by the US government. The plea agreement with prosecutors also imposes $19 million in financial penalties. The charges against Kwon could carry a prison sentence of up to 25 years if served consecutively. However, the agreement could see prosecutors recommend not more than 12 years. 

Do Kwon was indicted in March 2023, with charges including securities fraud, market manipulation, money laundering, and wire fraud. Do Kwon initially pleaded not guilty to all charges after appearing in court following his extradition from Montenegro. 

SEC To Focus On Crypto Regulatory Framework Following Ripple Case Dismissal 

The United States Securities and Exchange Commission (SEC) plans to focus on developing clear crypto regulations after dropping its case against Ripple. According to SEC Commissioner Hester Pierce, the SEC’s decision to dismiss legal action against Ripple is a "welcome development.”

“Last week, the SEC’s case against Ripple was finally laid to rest,” Peirce wrote. “A welcome development for many reasons, including that minds once occupied with litigation now can concentrate on creating a clear regulatory framework for crypto.”

SEC Chair Paul Atkins supported Pierce, advocating for the creation of crypto-specific policies. Atkins stated in a post on X, 

“Commissioner Peirce is right. With this chapter closed, we now have an opportunity to shift our energy from the courtroom to the policy drafting table. Our focus should be on building a clear regulatory framework that fosters innovation while protecting investors.”

The SEC dropped its case against Ripple on August 7. The market regulator had alleged that Ripple violated several federal securities laws. 

US Bank Group Urges Congress To Close Genius Act Yield Loophole 

Several US banking groups led by the Bank Policy Institute (BPI) urged Congress to close a loophole in the GENIUS Act. The banking groups claim the loophole allows stablecoin issuers to pay yield on stablecoins through affiliates. Stablecoin laws under the GENIUS Act prohibit stablecoin issuers from offering yields. However, they do not ban cryptocurrency exchanges or affiliated businesses. This allows issuers to potentially sidestep the law by offering yield through their partners. According to the BPI, failure to close the loophole could disrupt the flow of credit to US businesses, and potentially trigger over $6.6 trillion in deposit outflows from the traditional banking system. 

Banking groups are concerned that yield-bearing stablecoins could undermine the ability of banks to attract deposits with high-interest savings products. BPI stated in the signed letter to Congress,

“These distinctions are why payment stablecoins should not pay interest the way highly regulated and supervised banks do on deposits or offer yield as money market funds do.”

BPI added that such a shift in the financial system could pose a risk to the country’s credit system. 

“The result will be greater deposit flight risk, especially in times of stress, which will undermine credit creation throughout the economy. The corresponding reduction in credit supply means higher interest rates, fewer loans, and increased costs for Main Street businesses and households.”

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC)’s rally stalled after crossing the $120,000 mark on Tuesday. The flagship cryptocurrency raced to an intraday high of $122,319 on Monday. However, it lost momentum after reaching this level, slipping below $120,000 to settle at $118,701. It recovered on Tuesday, rising over 1% to reclaim $120,000 and settle at $120,113. However, BTC is back in bearish territory during the ongoing session, with the price marginally down at $119,980. 

Despite downward pressure, BTC held the $118,000 level. However, it still faces strong selling pressure above $120,000. The flagship cryptocurrency’s failure to hit a new all-time high led to a sharp pullback across the market. However, while BTC made a marginal recovery, altcoins led the recovery, rebounding and crossing key resistance levels. Some analysts have struck a cautious tone after Monday’s drop from $122,000, with ZAYK Charts stating that the Wyckoff method indicates BTC may have entered a distribution phase. A confirmation of the distribution phase could drag BTC to $100,000 or lower. 

“After a strong Accumulation Phase in March, April confirmed by bullish RSI divergence, BTC entered a powerful Mark-Up phase, reaching new highs. Currently, price action is showing signs of a Distribution Phase — sideways movement with weakening momentum, supported by bearish RSI divergence. If distribution confirms, the next phase could be a markdown, with a potential drop toward the 95K zone.” 

However, others believe BTC could continue its rally after the release of the July US Consumer Price Index (CPI), which showed inflation was unchanged at 2.7%, and below the 2.8% forecast. Core CPI, which excludes food and energy, rose 3.1% annually, in line with expectations. Overall CPI increased 0.2%, down from 0.3% in June, while core CPI rose 0.3%, compared to June’s 0.2% increase. 

CPI data reinforces a bullish backdrop for BTC as inflation cools, strengthening the case for monetary easing. 

BTC registered a sharp decline on Friday (August 1), dropping over 2% and settling at $113,365. Sellers retained control on Saturday as the price fell 0.67% and settled at $112,601. Despite the overwhelming selling pressure, BTC recovered on Sunday, rising 1.52% to cross $114,000 and settle at $114,215. The price continued pushing higher on Monday, registering a 0.69% increase and settling at $115,051. BTC plunged to an intraday low of $112,707 on Tuesday as selling pressure returned. It rebounded from this level to reclaim $114,000 and settled at $114,051, ultimately dropping 0.83%. The price recovered on Wednesday, rising 0.80% to reclaim $115,000 and settle at $115,028.

Source: TradingView

Bullish sentiment intensified on Thursday as BTC rallied, rising over 2% to cross $117,000 and settle at $117,515. Despite the positive sentiment, the price was back in the red on Friday, falling nearly 1% to $116,683. BTC registered a marginal decline on Saturday but recovered on Sunday, rising 2.42% to reclaim $119,000 and settle at $119,309. The price surged to an intraday high of $122,319 on Monday. However, it lost momentum after reaching this level and settled at $118,701, ultimately dropping 0.51%. Buyers returned to the market on Tuesday as BTC recovered, rising 1.19% to reclaim $120,000 and settle at $120,113. The current session sees the price marginally down, trading around $120,059. 

Ethereum (ETH) Price Analysis 

Ethereum’s (ETH) rally has resumed after Monday’s wobble, as the world’s second-largest cryptocurrency raced past $4,600. ETH registered a marginal drop on Monday as buyers failed to cross $4,400. However, bullish sentiment intensified on Tuesday as the price rallied, rising almost 9% to cross $4,500 and settle at $4,590. The current session sees ETH up over 2%, trading above $4,700. 

Analysts believe ETH could continue rising, potentially reaching a new all-time high if buyers maintain momentum. One trader predicted it could cross $8,000 if BTC hits $150,000. 

“In major bull runs, ETH typically hits 30-35% of Bitcoin's [market cap].”

The analyst predicted that if BTC crosses $150,000, a 25% increase from current levels, ETH could reach $8,656. Several analysts and crypto firms expect BTC to reach $150,000 by the end of the year. Fundstrat co-founder Tom Lee, BitMEX co-founder Arthur Hayes, and Unchained market research director Joe Barnett have predicted a move to $150,000 for BTC. Regarding ETH, analysts believe it could reach a new all-time high, driven by surging institutional and ETF demand. 

ETH started the previous weekend in the red, dropping nearly 6% and settling at $3,488. Selling pressure persisted on Saturday as the price fell almost 3%, slipping below $3,400 to $3,393. ETH recovered on Sunday, rising over 3% to reclaim $3,500. Bullish sentiment intensified on Monday as the price rallied, rising over 6% to cross $3,700 and settle at $3,721. ETH was back in the red on Tuesday, dropping nearly 3% to $3,612. It rebounded on Wednesday, rising over 2% and settling at $3,685.

Source: TradingView

Bullish sentiment intensified on Thursday as ETH rallied, rising over 6% to cross $3,900 and settle at $3,911. The price crossed $4,000 on Friday, rising 2.52% and settling at $4,010. ETH continued pushing higher on Saturday, rising over 6% to cross $4,200 and settle at $4,262. Despite the positive sentiment, ETH lost momentum on Sunday, registering a marginal decline. Sellers retained control on Monday as the price dropped 0.59% to $4,226. ETH rallied on Tuesday, surging nearly 8% to cross $4,500 and settle at $4,590. The current session sees the price up over 2%, trading around $4,700. Analysts believe ETH could surge to a new all-time high and potentially test the $5,000 level.

Solana (SOL) Price Analysis

Solana (SOL) has crossed the $200 mark for the first time in almost a month, as bullish sentiment intensifies. SOL started the week with a sharp drop, falling over 4% to $174. However, it made a strong recovery on Tuesday, surging nearly 10% to cross $190 and settle at $191. SOL has crossed $200 during the ongoing session, up almost 5%.

SOL’s rally can be attributed to several bullish developments over the past week. Public companies have upped their SOL purchases to access the blockchain’s staking rewards. Firms including Bit Mining, Upexi, and DeFi Development Corp have increased their SOL holdings, with plans to increase their stake substantially over the next few months.

SOL started the previous weekend with a sharp drop, falling nearly 6% on Friday and settling at $162. Selling pressure persisted on Saturday as the price fell 2.57%, slipping below $160 and settling at $158. It recovered on Sunday, rising over 2% to reclaim $160 and settle at $162. Bullish sentiment intensified on Monday as SOL rallied, rising nearly 5% to settle at $169. The price returned to bearish territory on Tuesday, falling 3% to $164. Buyers returned to the market on Wednesday as SOL rose 2.50% and settled at $168.

Source: TradingView

SOL continued pushing higher on Thursday, rising over 4% to cross $170 and settle at $175. The price registered a marginal increase on Friday, rising 0.79% to $176. Price action remained positive over the weekend as SOL rose 1.80% on Saturday and 1.51% on Sunday, crossing $180 and settling at $182. Despite the positive sentiment, the price lost momentum on Monday, dropping over 4% to $174. Bullish sentiment returned on Tuesday as SOL rallied, rising nearly 10% to cross $190 and settle at $191. The current session sees SOL up almost 5%, trading around $201.

Uniswap (UNI) Price Analysis

Uniswap (UNI) ended the previous weekend on a bullish note, rising 4.51% to cross $9 and settle at $9.15. The price rallied on Monday, rising nearly 9% to settle at $9.95. Despite the positive sentiment, UNI was back in the red on Tuesday, falling almost 4% to $9.58. However, it recovered on Wednesday, rising 1.30% and settling at $9.71. Bullish sentiment intensified on Thursday as UNI rose over 7% to cross $10 and settle at $10.41. The price continued pushing higher on Friday, rising 4.46% to settle at $10.87.

Source: TradingView

Buyers retained control on Saturday as UNI rose 1.01% to $10.98. It faced volatility on Sunday as buyers and sellers struggled to establish control. Sellers ultimately gained the upper hand as the price registered a marginal decline. UNI rallied to an intraday high of $12.02 on Monday as bullish sentiment returned. However, it lost momentum after reaching this level and settled at $11.04, ultimately rising 0.83%. The price continued pushing higher on Tuesday, rising nearly 5% to $11.59. The current session sees UNI up over 4%, trading around $12.10.

Polkadot (DOT) Price Analysis

Polkadot (DOT) registered a substantial jump on Monday (August 4), rising over 3% to $3.72. It lost momentum on Tuesday, dropping 2.69% to a low of $3.55 before settling at $362. DOT was back in positive territory on Wednesday, rising 1.38% to 3.67. Bullish sentiment intensified on Thursday as the price rose 5.45% to $3.87. Buyers retained control on Friday as DOT registered a 3.84% increase and settled at $3.98.

Source: TradingView

Bullish sentiment persisted on Saturday as DOT rose over 4% to cross $4 and settle at $4.15. Despite the positive sentiment, the price was back in the red on Sunday, dropping almost 3% to $4.04. Selling pressure intensified on Monday as the price fell 4.46%, slipping below $4 and settling at $3.86. However, DOT was back in positive territory on Tuesday, rising over 7% to reclaim $4 and settle at $4.14. The current session sees DOT up almost 4%, trading around $4.29.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice