Bitcoin and crypto tokens like Jasmy Coin, Sui, and Algorand are going up on Monday, with the former hitting its all-time high.
Bitcoin (BTC) surged above $122,000 for the first time ever, while Jasmy (JASMY), Sui (SUI), and Algorand (ALGO) all jumped over 16% on Monday. The total market capitalization of all coins rose 3.6% to $3.8 trillion.
Why are Bitcoin and altcoins going up? There are four key reasons why.
1. Crypto ETFs inflows are soaring
Crypto ETFs are seeing strong traction among American investors. Spot Bitcoin ETFs added over $2.72 billion in inflows last week, a significant increase from $769 million the previous week. This brings total inflows to over $52 billion.
Ethereum ETF inflows jumped by more than $907 million last week, bringing total ETH ETF inflows to over $5.3 billion. Other crypto ETFs, such as the Staking Solana fund and Teucrium’s XXRP funds, have also reported strong inflows.
These numbers indicate that These numbers highlight robust demand from U.S. investors, providing a bullish backdrop for the market.
2. Crypto Week hopes
Bitcoin and altcoins like Jasmy, Algorand, and Sui are also jumping as investors wait for the upcoming Crypto Week. This week will see Republicans in Congress consider three bills.
The GENIUS Act aims to regulate stablecoins, and it has already passed in the Senate. As a bipartisan bill, it is likely to pass in the House and be signed into law.
Politicians will also consider the CLARITY bill and an anti-CBDC one. CLARITY aims to create a good regulatory framework by separating the roles of the SEC and the CFTC. The anti-CBDC bill will block the Fed from creating a central bank digital currency.
3. Potential Federal Reserve interest rate cuts
The crypto market rally is occurring as investors anticipate interest rate cuts later this year. The initial cut could depend on this week’s inflation report. A lower-than-expected figure would increase the likelihood of a July rate cut.
Goldman Sachs and Morgan Stanley analysts forecast two cuts this year and several more in 2026. Cryptocurrencies typically perform well when the Fed is easing monetary policy. This also helps explain the concurrent rise in the stock market and the drop in bond yields.
4. Bitcoin price bullish patterns
BTC and other cryptocurrencies are also rallying due to strong bullish technical patterns, which we covered here and here. Bitcoin has formed a bullish flag, a golden cross, and a cup-and-handle pattern with a depth of about 32%.
The cup-and-handle suggests further upside in the coming months, with a potential target of nearly $150,000. Such a move would likely fuel additional gains among altcoins due to their close correlation with Bitcoin.
