July 2025 Crypto Market Highlights

July saw a gentle pullback across the crypto markets. Overall market capitalisation dipped by about 2.5%, while Bitcoin held steady around $118,089—essentially unchanged over 24 hours—and still managed roughly 14% gains for the month. Altcoins, meanwhile, staged a lively rebound, with many jumping 30–40% in a single week. Bitcoin’s dominance slipped to around 61%, hinting at a potential full‑blown “altcoin season.”

1. Market Overview and Outlook

1.1 Market Cap and Volatility

• The total crypto market stood just under $4 trillion, easing around 2.5% in 24 hours.

• Bitcoin, as ever the bellwether, traded sideways near $118,089, showing little change day‑to‑day.

1.2 Gains Versus Correction

• A tight link to M2 money supply suggests BTC could head towards $140,000–$150,000 over the longer term.

• However, summer seasonality and historical S&P downturns raise the odds of a short‑term pullback.

2. Altcoins and Bitcoin Dominance

2.1 Altcoin Rally

• Despite Bitcoin’s stability, altcoins rallied hard last week, with many surging between 30% and 40%, fuelling hopes of an “altseason.”

• On the most explosive days, some tokens even doubled in value.

2.2 Sub‑61% Dominance

• Bitcoin’s share of total market volume fell from roughly 66% to about 61%—its weakest level so far in this cycle.

• In previous cycles, dominance sunk as low as 40%, paving the way for steep altcoin advances.

3. US Policy and Regulations

3.1 Trump vs. Powell

• Former President Trump continues to pressure Federal Reserve Chair Jerome Powell for faster rate cuts, but Powell remains cautious, wary of stoking inflation.

• In the long run, lower borrowing costs could draw more capital into risk assets, including cryptocurrencies.

3.2 Taxes and Legislation

• Rumours of zero capital‑gains tax on crypto in the US swirl around the election campaign, but these remain speculative.

• The newly enacted Genius Act targets greater transparency for stablecoins, while other bills (Clarity Act, anti‑CBDC legislation) await signatures, stoking hype.

4. Global Adoption and Institutional Moves

4.1 United Arab Emirates

• The UAE is weighing up accepting crypto payments for airline tickets, a move that could spur mass adoption across other industries.

4.2 Pakistan

• Pakistan plans to build Bitcoin reserves by mining on surplus energy, effectively “mining at no cost” to the state budget.

4.3 Institutional Demand and Supply Shock

• Institutions are buying over three times more BTC each month than is newly mined.

• The upcoming halving will further tighten supply, setting the stage for sustained buying pressure.

5. Ethereum and Future ETFs

5.1 A “MicroStrategy for Ether”

• Tom Lee is crafting a corporate‑accumulation model for Ether, inspired by MicroStrategy’s Bitcoin strategy; an increasing number of firms are planning large ETH purchases, which could constrict available supply and support prices.

5.2 Staked ETH ETFs

• BlackRock has applied to include staking rewards in its ETH ETFs, allowing institutional investors to earn yield without managing their own keys.

6. Recommendations and Risk Management

• Watch the $140k–$150k zone for BTC and $30k for ETH—breakouts or rejections here will guide the next major moves.

• Consider locking in some profits on fresh all‑time highs; prudent money management is just as vital as picking entries.

• Approach upcoming altcoin ETFs with caution, especially those slated for October, which may launch on the cusp of a market peak.

• Keep an eye on US legislation (Genius/Clarity Acts) and developments in the UAE and Pakistan—these could serve as powerful adoption catalysts.

July demonstrated that, while short‑term retracements are possible, the long‑term fundamentals remain robust: tightening supply, rising institutional interest, and rapid growth in Ethereum’s ecosystem. It’s a good moment to ensure your strategy balances upside potential with solid capital protection.

Leszko Dalek

For more than 6 years, he has been interested in cryptocurrencies, tokens and blockchain, as well as other modern technologies like artificial intelligence. I have been actively investing for more than 10 years. I have developed hundreds of highly substantive articles and publications for this and many other external portals.