Cryptocurrency News – Thursday, July 31, 2025: Bitcoin Above $120,000, Fed's Soft Tone, and Support for Crypto Industry in the U.S.

The cryptocurrency market continues to attract investor attention: Bitcoin remains above the psychological mark of $120,000, while the industry demonstrates resilience following a recent rally. Amid the stabilization of major coins' prices, the influx of institutional investments remains at record levels, and regulators are providing strategic support to the sector, setting the tone for further market development. Let’s take a closer look at the current situation and key news that are important for investors on July 31, 2025.

Market Overview: Bitcoin and Key Trends

Bitcoin (BTC) is consolidating around $120,000–$122,000, maintaining its historical highs after impressive growth at the beginning of the month. Daily volatility remains low, with BTC trading within a relatively narrow range, reflecting a balance between new buyers and those taking profits. Ethereum (ETH) is holding around $3,900, closely approaching the $4,000 mark amid sustained demand. The total market capitalization of cryptocurrencies exceeds $4 trillion, confirming the establishment of crypto assets as a significant investment class. The macroeconomic backdrop is favoring risk assets: the U.S. Federal Reserve, during its meeting on July 30, kept the base interest rate unchanged, confirming a pause in the tightening cycle. This anticipated step reduced uncertainty and supported investor appetite for risk.

Overall market sentiment remains positive. Following the intense rally of recent weeks, many assets have transitioned into a phase of moderate correction or sideways trend. The absence of sharp price spikes is perceived as a sign of healthy consolidation: market participants are digesting realized profits while considering new macro and regulatory signals. The focus now is on the effects of recent significant events. As of the morning of July 31, the market shows a fragile balance, reflecting investor confidence against a backdrop of reduced uncertainty.

Top 10 Most Popular Cryptocurrencies

1. Bitcoin (BTC) – around $120,000. The first cryptocurrency holds over 45% of the total market capitalization and has established new heights. Investors perceive Bitcoin as "digital gold" and a hedge against inflation risks, which sustains high demand.
2. Ethereum (ETH) – approximately $3,900. The largest altcoin with a market share of ~18%. Ethereum is strengthening due to network upgrades and rising institutional interest—capital inflows into ETH-based funds are at record levels. The nearest target is to surpass the $4,000 threshold amid a deflationary emission model for ETH.
3. Tether (USDT) – ~$1, the leading stablecoin. USDT provides liquidity in the crypto market, remaining the primary tool for "parking" capital between trades. The issuer of Tether is preparing to enter the U.S. market with a new regulated stablecoin, highlighting the demand for reliable "digital dollars."
4. Binance Coin (BNB) – ~$800. The token of the largest cryptocurrency exchange, Binance, remains near its historical maximum amid increased platform activity. Despite tightening regulations in several countries, BNB has solidified its status as one of the leading coins, offering holders advantages on the exchange and within the BNB Chain ecosystem.
5. USD Coin (USDC) – ~$1, the second leading stablecoin. This coin, issued by the Centre consortium (Circle and Coinbase), plays a crucial role in digital transactions. Full reserve backing and transparency have made USDC a benchmark for regulatory compliance, especially in light of new stablecoin legislation.
6. XRP (Ripple) – ~$3.10. The token of the Ripple payment network has surged to new multi-year highs this month. XRP's recovery is linked to legal clarity in the U.S. after a protracted court battle and expectations of launching exchange-traded funds (ETFs) based on XRP. The coin attracts institutional investors as an efficient tool for cross-border transfers.
7. Solana (SOL) – ~$180. A promising layer-1 blockchain known for high transaction speeds continues to hold its position among the leaders. SOL has shown significant growth over the year due to the development of the Solana DeFi and NFT ecosystem, as well as rumors of a potential ETF launch for SOL. Investors note improved network stability following previous technical setbacks.
8. Cardano (ADA) – ~$0.77. The largest PoS blockchain, focused on an academic approach to development. While ADA does not break price records, it consistently remains in the top ten. In 2025, the Cardano network is undergoing a phase of active development in smart contracts and decentralized application ecosystems, sustaining community and investor interest.
9. Dogecoin (DOGE) – ~$0.22. The popular "meme" cryptocurrency, originally created as a joke, remains one of the most capitalized coins. DOGE corrected after recent growth spikes but continues to be in demand due to its loyal community and endorsements from influential figures. Dogecoin's volatility occasionally increases under social media influence; however, overall, the coin moves in line with the general altcoin market.
10. TRON (TRX) – ~$0.34. A platform for smart contracts and digital entertainment founded by Justin Sun, TRX remains in the top ten. This week, TRX has shown growth, standing out amid the stagnation of other altcoins. The Tron network attracts users with low fees and is actively utilized for issuing stablecoins and tokenization, supporting a positive price trend.

Altcoins' Growth: XRP, BNB, Solana and Others

The segment of alternative cryptocurrencies (altcoins) is developing in different directions. Among the most notable achievements is the retention of XRP and Binance Coin at their achieved heights. XRP, after a surge above $3, is consolidating at multi-year highs, supported by positive regulatory news and prospects for institutional acceptance (the launch of XRP-based ETF products is expected). Investors perceive XRP's stabilization at these levels as a return of confidence in the project after a period of uncertainty. BNB, the internal token of the Binance exchange, trades close to its record peak (~$800). Following a swift increase this week, a slight correction may be possible; however, overall, BNB maintains its position due to high user activity on the platform and its broad ecosystem.

Other major altcoins show mixed dynamics. Solana (SOL) confidently holds around $180 after an impressive rally in the first half of the year, indicating investors' sustained faith in Solana's technical potential. Tron (TRX) has grown another few percent this week, being one of the few altcoins "in the green zone" in recent days. This is believed to be driven by increased transaction volumes on the Tron network and its active use for issuing stablecoins in the Asian region. Meanwhile, several well-known altcoins are experiencing moderate corrections: for example, Cardano and Dogecoin remain slightly below their recent local peaks after pullbacks. Nevertheless, the overall interest in alternative cryptocurrencies persists—especially those backed by active ecosystems or expected ETF launches. Investor selectivity is increasing; capital primarily flows into projects perceived as the most promising and ready for institutional influx.

Regulation: New Steps and Global Initiatives

The regulatory environment in 2025 is becoming increasingly favorable for the crypto industry. In the U.S., the long-awaited report from the White House working group on digital assets has been published, providing a strategic vision for the sector's development. The document recommends establishing a clear federal regulatory framework for cryptocurrencies and supporting innovation in this area. Key ideas include delineating regulatory powers to eliminate uncertainty, stimulating the launch of new investment products (including spot ETFs on various crypto assets), and even considering bitcoin's inclusion in state reserves as a store of value. While these proposals still need to be implemented, the fact that the highest levels of government are paying close attention to cryptocurrencies strengthens investor confidence in the sector's long-term prospects. The report came shortly after President Donald Trump signed the first-ever U.S. stablecoin legislation (on July 18), further confirming the administration's commitment to turning America into the "crypto capital of the world" and creating clear rules for the market.

In addition to the U.S., new regulations for crypto assets are also being formulated in other regions. The European Union has enacted the Europe-wide MiCA regulation (Markets in Crypto-Assets), establishing uniform requirements for crypto businesses and stablecoin issuance across all EU countries. Implementing MiCA is expected to reduce regulatory risks for companies and make the European crypto market more transparent and secure—licensing for the first crypto exchanges under the new rules has already begun. In Asia, several countries (Hong Kong, Singapore, etc.) are competing for the status of regional crypto hubs, offering special regulatory regimes to attract companies and capital. The overall global trend is that governments are striving to integrate cryptocurrencies into the existing financial system through clear norms, which, in turn, lowers legal risks for investors and major market players.

Institutional Investments Hit Records

Large institutional investors continue to increase their presence in the cryptocurrency market at unprecedented rates. According to CoinShares, the total influx of funds into cryptocurrency funds in July reached record levels: from the beginning of the month to July 30, the industry attracted over $13 billion of new capital, significantly exceeding previous highs. As a result, total assets under management for crypto funds have surpassed a historic peak, exceeding $220 billion. By comparison, this figure was half that at the beginning of the year—the rapid growth of AUM reflects high interest from financial institutions. Notably, capital inflows have continued for nearly four consecutive months, indicating sustained trust in digital assets.

The investment structure indicates growing interest in leading altcoins. In recent weeks, a redistribution has been observed: while Bitcoin-related funds recorded a slight outflow of funds (the first in a long time), products focused on Ethereum and other major altcoins, conversely, attracted significant capital. For instance, in the past week, ETH funds received around $1.6 billion—one of the largest weekly inflows in history—while products based on Solana and XRP collectively attracted nearly $500 million. Analysts view these trends as signs of an emerging "altseason," where institutional investors diversify their investments beyond Bitcoin in search of higher returns. Still, this approach remains selective: funds are primarily directed towards projects deemed the most promising and prepared for institutional involvement (those with robust technology, liquidity, and regulatory clarity).

Major Investors and Companies in the Cryptocurrency Market

The growing trust in cryptocurrencies is confirmed by the actions of well-known investors and corporations. Major economic players are betting on digital assets, thereby strengthening the market trend. For example:

• MicroStrategy: A pioneer among publicly traded companies using Bitcoin as a reserve asset continues to increase its BTC holdings. Recently, Michael Saylor's company purchased additional coins, bringing its total holdings close to 600,000 BTC. This move underscores the business's confidence in Bitcoin's long-term growth and its desire to benefit from its appreciation.
• Traditional financial institutions: Leading banks and payment networks are integrating cryptocurrencies into their services. Goldman Sachs and Deutsche Bank have launched platforms for trading and storing digital assets, providing affluent clients secure access to crypto investments. Payment giants Visa and Mastercard are expanding pilot projects for using stablecoins for international payments and testing the integration of central bank digital currencies (CBDCs) into their networks. These steps by established financial players demonstrate that digital assets are becoming an integral part of the mainstream global finance.

Such examples of capital infusions and changes in strategies among major players enhance the legitimacy of cryptocurrencies in the eyes of the market. Whereas previously, participation in crypto assets was largely confined to specialized funds and technology enthusiasts, now media corporations, traditional investment funds, and Wall Street veterans are joining them. This creates a new level of trust and is likely to lead to further capital inflow from traditional financial spheres.

Infrastructure and Technology: Mining, DeFi, and Ecosystem Development

Alongside growing investments, the infrastructure of the cryptocurrency market is expanding. The mining sector continues to set new records. In the last week of July, the total computing power of the Bitcoin network (hash rate) reached an all-time high, and mining difficulty updated its peak during the latest calibration. This indicates that increasingly more resources are being invested in BTC mining, strengthening the network's security and decentralization. Major mining companies are announcing expansion plans: new farms are being established in North America and the Middle East, reinforcing these regions' positions as global crypto mining centers. The effort to localize mining equipment production (like the planned Bitmain factory in the U.S.) and access to cheap energy resources reduce the industry's dependence on Asian supplies and geopolitical risks.

The development of technologies and user services is also gaining momentum. The Ethereum ecosystem continues to evolve: developers have announced an upcoming network upgrade aimed at enhancing scalability and reducing fees. Currently, second-layer (L2) solutions based on Ethereum, such as Arbitrum and Optimism, demonstrate record traffic due to fast and inexpensive transactions—this is attracting new users to decentralized finance (DeFi) and blockchain applications. The boundaries between traditional finance and DeFi are increasingly blurred: a consortium of European banks recently successfully tested the issuance of digital bonds via a blockchain platform, showcasing the efficacy of distributed ledger technology in classic financial instruments. Major crypto exchanges and wallets are integrating DeFi features (such as earning yields on stablecoins or token swapping through smart contracts) directly into their applications, simplifying access to decentralized platform capabilities for a broader range of investors. Such initiatives—from industry projects to user services—are forming a more mature ecosystem. Strengthening infrastructure increases the reliability and usability of cryptocurrencies, which in the long run attracts even more investors and users. The implementation of new technologies, whether through localized equipment manufacturing or the integration of DeFi services into familiar financial platforms, promotes the mass adoption of cryptocurrencies and the growth of their role in the global economy.

Outlook and Expectations

As August 2025 approaches, the cryptocurrency market is entering a new phase that combines maturity with dynamism. Bitcoin's stability around $120,000 indicates that the market has digested previous highs and is preparing for new challenges. Institutional interest, bolstered by record capital inflows and participation from major players, creates a robust upward momentum that may continue in the second half of the year. Meanwhile, active involvement from regulators—from U.S. government initiatives to uniform rules in Europe—reduces uncertainty and lays the groundwork for broader adoption of cryptocurrencies in the real economy.

Of course, volatility still characterizes the market: cryptocurrencies remain sensitive to news and macroeconomic factors. The initial market reaction to signals from the Fed and the new government report in the U.S. was cautiously positive, but it will take some time to fully assess their impact. A soft tone from regulators and further positive news (e.g., progress on crypto-ETF approvals or technological breakthroughs) could give a new boost to the bullish trend. Conversely, unexpected restrictions or macroeconomic shocks might temporarily cool investor enthusiasm. Nevertheless, the overall direction looks promising: the crypto market is becoming more deeply integrated into global finance, while investments in digital assets are transitioning from a niche interest to mainstream acceptance.

For investors from the CIS and around the world, the current state of affairs signifies an expansion of opportunities and tools. Cryptocurrencies are now viewed not just as speculative assets but as part of a balanced investment strategy and a means of protecting capital against risks. If current trends persist, further growth in trust towards the industry, new product launches (such as the introduction of spot ETFs for various altcoins), and capital inflows from traditional markets can be expected. In this environment, cautious optimism remains; the market is closely watching developments, ready to seize emerging opportunities while considering the inherent risks of this young, high-tech field.