Market Analysis: Key Trends and Capital Movements in the Crypto Sphere for the Week
Over the past week, the cryptocurrency market has seen a significant inflow of liquidity, confirmed by data on large volume movements. Analysis of on-chain metrics shows that institutional investors are actively increasing their positions, especially in the Bitcoin and leading altcoin segments.
The total capital attracted into digital assets increased by 12.7% compared to the previous period. This indicates a restoration of confidence among major players, who had previously adopted a wait-and-see stance amid macroeconomic uncertainty. The main inflow came into spot exchange-traded funds (ETFs), where net purchases exceeded $450 million over the last seven days.
Growth Drivers and Entry Points
The key catalyst for the current rally was the reduction in US Federal Reserve federal funds rates, making risk assets more attractive. Additionally, the technical picture on the Bitcoin chart indicates the formation of a bullish flag after consolidation in the range of $62,000 – $64,000. A breakout above the resistance level of $66,500 opens the path to testing the $70,000 zone.
In altcoins, there is a noticeable capital shift from memecoins to projects with fundamental value — DeFi protocols and infrastructure solutions. The total value locked (TVL) in decentralized finance grew by 8.3%, signaling a return of interest in real use cases.
Professional Commentary: The current liquidity inflow is not a speculative impulse but a structural shift. Institutions are entering with long-term goals, confirmed by the rise in open interest on futures markets. However, one should not rule out a short-term correction of 5-7% to shake out weak hands before a new upward impulse. I recommend taking partial profits at levels above $68,000 for BTC and rotating into undervalued altcoins with strong teams.