The past week was marked by several significant events for the global crypto industry. From geopolitical risks to regulatory breakthroughs, the market continues to adapt to new realities. Let's break down the key moments.

Bitcoin Holds Its Ground Amid Geopolitics

The start of the week was volatile: the leading cryptocurrency fell below the $62,000 mark amid the escalating conflict between Iran and the US. However, subsequent rounds of escalation, including statements about blocking the Strait of Hormuz, did not cause panic. By the weekend, the price recovered to ~$64,000, showing a 2.2% increase over the week.

Ethereum showed similar dynamics (+2.6%), while most altcoins moved into the red. The deepest declines were seen in Dogecoin (-4%) and Solana (-4.4%).

An important signal — spot Bitcoin ETFs broke a record eight-week streak of outflows, attracting $197.4 million. The total AUM of the products reached $77.4 billion, although it has lost about 32% since the beginning of the year. The Fear and Greed Index left the zone of extreme fear, rising to 26 points. The total market capitalization grew from $2.07 trillion to $2.2 trillion, while Bitcoin's dominance remained at 58.4%.

My comment: The market is showing resilience to geopolitical shocks, indicating a gradual maturation of the asset. The inflow into ETFs is the first positive signal after a long period of apathy, but a consolidation above $65,000 is needed for a trend change.

Kazakhstan: A New Hub for Digital Assets?

President Kassym-Jomart Tokayev signed a decree on the development of the crypto industry, aiming to create a "transparent ecosystem of digital financial services." The document provides for:

  • Exploring mechanisms for using digital assets and stablecoins in cross-border settlements;
  • Bringing crypto asset transactions into the legal framework, including voluntary disclosure of assets held on unregulated platforms;
  • Exempting personal income tax on individuals' income from transactions through regulated infrastructure.

This step makes Kazakhstan one of the most progressive jurisdictions in the region, offering businesses legal channels for export-import operations.

EU Prepares Ground for DeFi and NFT Regulation

The European Parliament approved an official position on further regulation of digital assets. Although the report does not directly amend MiCA, it clearly indicates the need to expand control to:

  • DeFi;
  • Crypto lending and borrowing;
  • Staking;
  • NFTs.

This happened immediately after the end of the MiCA transitional period on July 1. The main goal is to prevent fragmentation of the EU's single market due to local rules of individual countries.

US Bitcoin Reserve: A Bureaucratic Deadlock

The Trump administration's initiative to create a Strategic Bitcoin Reserve (SBR) has faced serious obstacles. Disagreements between the Treasury and the Commerce Department over the structure and oversight have stalled the process. The Justice Department is looking for legal loopholes, but the White House has yet to decide on an optimal model.

The US holds the largest state reserve of 328,372 BTC (~$21 billion). Concurrently, the BITCOIN Act and ARMA bills are being advanced in Congress, aiming to purchase 1,000,000 BTC over five years.

My comment: The bureaucratic war over control of the reserve is a bad sign. If the administration cannot quickly resolve the jurisdiction issue, the idea of creating a "crypto capital" could get stuck in bureaucratic quicksand.

What Else Happened?

  • SWIFT launched a blockchain system for round-the-clock cross-border payments using tokenized deposits. The pilot involves 17 banks, including Citi and HSBC.
  • CertiK estimated crypto industry losses from hacks at $1.32 billion over six months.
  • Strategy sold 3,588 BTC for $226 million.
  • Exchange AscendEX and service Zapper announced closures.

My final conclusion: The week showed that institutional interest is not waning despite regulatory and geopolitical storms. Kazakhstan and the EU are setting the tone in regulation, and Bitcoin once again confirms its status as "digital gold," withstanding external shocks. However, delays with the SBR in the US remind us that politics remains the main risk for the market.