<\/p>\n
Bitcoin rises to $115,000, while Ethereum climbs to $3,700 amid renewed investor optimism.<\/p>\n
Crypto markets edged higher on Wednesday, lifted by a wave of renewed investor optimism fueled by pro-crypto signals from U.S. policymakers and President Donald Trump.<\/p>\n
Both Bitcoin (BTC)<\/a> and Ethereum (ETH)<\/a> are up nearly 2% on the day, trading at $115,000 and $3,700, respectively. Other large-cap altcoins also posted modest gains: XRP<\/a> edged up to $3.01 while Solana (SOL)<\/a> climbed 3.4% to just under $170.<\/p>\n The total cryptocurrency market capitalization has risen 1.5% on the day to around $3.84 trillion, according to CoinGecko<\/a>. Trading volume over the same timeframe reached $131 billion.<\/p>\n Over the past 24 hours, more than $216 million in crypto positions were liquidated, according to CoinGlass<\/a>, with long and short positions nearly evenly split at around $108 million each. ETH led the liquidations with nearly $68 million, followed by BTC and altcoins at approximately $25 million each.<\/p>\n In the exchange-traded fund (ETF) sector, spot Bitcoin ETFs recorded $196 million in outflows on Aug. 5, marking the fourth consecutive day of outflows \u2013 which includes the second-largest single-day outflows <\/a>of over $812 million on Friday, Aug. 1.<\/p>\n In contrast, ETH ETFs recorded $73 million inflows on Aug. 5. This comes one day after the funds experienced their largest-ever single-day outflows on Aug. 4, when approximately $465 million was withdrawn, according to SoSovalue<\/a>. <\/p>\n These flows also come around three weeks after ETH ETFs recorded their highest daily inflows to date<\/a>. <\/p>\n Experts say recent price gains reflect a rebound in investor sentiment, fueled by positive regulatory signals and pro-crypto policy developments in the U.S. <\/p>\n On Tuesday, the U.S. Securities and Exchange Commission\u2019s (SEC) Division of Corporation Finance issued a statement <\/a>clarifying that certain liquid staking activities<\/a> are not considered securities. While the statement reflects only the Division\u2019s view and carries no legal weight, analysts say it helped lift market sentiment by potentially reducing uncertainty. <\/p>\n The statement has \u201crevived expectations for Ethereum-based ETFs that offer staking exposure,\u201d Christopher Tahir, a senior market strategist at Exness, said in comments shared with The Defiant. \u201cEthereum ETFs saw a return of inflows, which could help support the asset.\u201d<\/p>\n Also on Tuesday, news emerged that President Trump plans to sign an executive order<\/a> sometime this week to protect crypto users and firms from debanking (the practice of banks denying service based on perceived risk).<\/p>\n Meanwhile, on Monday, Bloomberg reported that the SEC issued guidance stating stablecoins backed by U.S. dollars with guaranteed 1:1 redemption could be classified as cash equivalents; however, some experts warn this move could unintentionally dampen innovation<\/a>.<\/p>\nETF Inflows\/Outflows<\/h2>\n
Improved Sentiment<\/h2>\n