The crypto market rally accelerated on Monday, with the total cryptocurrency market capitalization climbing nearly 2% to $4.13 trillion. Bitcoin surged 3% to $121,900, while Ethereum advanced 1.5% to $4,295, continuing its powerful upward momentum from last week.
This move comes as traders and institutions pile into the market, driven by growing confidence, regulatory milestones, and aggressive capital inflows into both Bitcoin and Ethereum.
Bitcoin Eyes New All-Time Highs
Bitcoin extended its weekend gains, inching closer to a fresh all-time high. Institutional demand remains strong, fueled by a wave of bullish technical indicators. According to 10X Research, its tactical altcoin model has now triggered its longest bullish streak in over a year, underscoring the sustained optimism across digital asset markets.
In a development likely to accelerate the crypto market rally, El Salvador approved its Investment Banking Law on August 7. The law grants licensed investment banks the ability to hold Bitcoin and other digital assets alongside legal tender and foreign currency—though access is limited to sophisticated investors.
These institutions must meet stringent requirements, including maintaining a minimum of $50 million in capital and serving clients with market knowledge and at least $250,000 in investable assets. Market observers believe this move could transform El Salvador into a regional crypto hub.
Ethereum’s Rally Fueled by Institutional Capital
Ethereum’s breakout toward the $4,500 mark is being powered by robust inflows into ETH-focused treasuries and exchange-traded funds (ETFs). According to Coinglass, $92.25 million worth of ETH long positions were liquidated in the past 24 hours, compared to $117.67 million for Bitcoin, suggesting aggressive market repositioning amid rising prices.
Corporate treasuries have played a significant role in this crypto market rally. Data from CoinGecko reveals that 17 publicly traded companies now hold a combined 1.75 million ETH—valued at over $7.53 billion.
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Bitmine Immersion Technologies leads with 833,133 ETH worth $3.59 billion.
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SharpLink Gaming holds 521,939 ETH valued at $2.24 billion.
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Coinbase maintains 136,782 ETH worth $588 million.
SharpLink’s recent $200 million stock offering aimed at expanding its Ethereum holdings has further boosted sentiment, with analysts predicting it could soon rank among the largest corporate ETH holders globally.
ETF Flows Hit Record Levels
ETF investments in Ethereum are surging. BlackRock’s ETHA ETF attracted over $254 million on Friday alone, lifting its net assets above $12.3 billion. Meanwhile, Grayscale’s primary ETH trust now manages $4.5 billion in assets. Products from Bitwise, VanEck, and Franklin are also experiencing steady inflows.
This surge in ETF demand demonstrates that institutional confidence in Ethereum’s long-term value proposition remains strong, despite market volatility. Analysts expect this pipeline of capital to continue supporting prices into Q4.
Social Sentiment Turns Overwhelmingly Bullish
Retail traders have joined the crypto market rally in force. Analytics firm Santiment reported a notable jump in bullish hashtags like #buying and #bullish, while bearish mentions dropped by more than 50%.
However, Santiment also warned that excessive retail FOMO could result in short-term pullbacks, as markets tend to overheat when optimism peaks.
Momentum into Quarter-End
With Bitcoin approaching $122,000 and Ethereum targeting $4,500, the market’s momentum is undeniable. Whether this wave of institutional and retail enthusiasm will be enough to push both assets to fresh all-time highs before the end of the quarter is the question dominating trading desks worldwide.
If capital inflows remain steady—and regulatory developments like El Salvador’s continue to open new markets—analysts believe the crypto market rally could deliver its strongest quarter since late 2021.