Bitcoin and Ethereum Rally Loses Momentum

Market Overview

The cryptocurrency market capitalisation remained largely unchanged over the last 24 hours, holding near $2.24 trillion. Despite a stronger US dollar and a cautious tone across equity markets, digital assets continue to trade close to recent highs, suggesting a period of consolidation. Market sentiment softened slightly, with the Fear & Greed Index slipping from 33 to 31, though it remains firmly within the “fear” zone. Among major altcoins, Hedera (+6%), Uniswap (+4.4%), and Aptos (+3.6%) led the gains, while Filecoin (-4.9%), Stellar (-2.6%), and Bitcoin Cash (-2.4%) posted the largest declines.

Bitcoin fell to around $65.4K, marking a second consecutive daily decline after testing its June highs. The retreat has reinforced concerns that sellers still dominate the broader trend, limiting the rebound’s ability to evolve into a sustained recovery. Technically, the 61.8% Fibonacci retracement of the May–June decline continues to act as a key resistance level.

Ethereum also lost upward momentum near $1,950, failing on its initial attempt to reclaim a former support area that has now become resistance. The lack of significant support levels between current prices and the $1,750–1,800 region leaves the asset vulnerable to further weakness. A decisive move below $1,700 would increase the risk of a broader bearish trend reasserting itself.

News Background

Bitcoin has entered what some analysts describe as an extreme undervaluation zone, with the MVRV ratio reportedly falling below 5%, according to market analyst Crypto Tice. Historically, readings at similar levels have often coincided with major cyclical lows, suggesting that Bitcoin could be approaching a long-term bottom.

Analyst CryptoPatel believes Bitcoin could climb to $116,000 by year-end, arguing that the market has already established its bear-market low and is now entering the early stages of a trend reversal, similar to the recovery that followed the 2022 downturn.

Data from Artemis shows that the combined assets held by digital asset treasury (DAT) companies have dropped from approximately $120 billion to $75 billion since October, a decline of more than one-third. The contraction reflects the broader impact of Bitcoin’s price weakness on corporate crypto holdings.

Meanwhile, Satsuma Technology, the United Kingdom’s second-largest corporate Bitcoin holder, plans to liquidate its entire reserve of 668 BTC. The company accumulated the position beginning in August 2025 at an average purchase price of $113,200 per Bitcoin. Following a collapse of more than 99% in its share price from peak levels, Satsuma is also preparing for delisting from the London Stock Exchange.

According to on-chain analytics firm CryptoQuant, Bitcoin reserves held by miners outside exchanges have declined by 72% since late 2021, falling to roughly 139,700 BTC. The steady reduction over the past four years suggests miners have continued to draw down their holdings amid changing market conditions.

In the broader digital asset ecosystem, Solana has started preparing network validators for the rollout of its highly anticipated Alpenglow upgrade. The update, scheduled to be implemented in stages between August and October, is expected to increase transaction processing speeds by as much as 80 times, significantly enhancing the network’s performance and scalability.