Bitcoin Price Surge

Bitcoin climbed above $61,400 early Tuesday, driven by strong inflows into U.S.-spot ETFs, which recorded their second-highest inflow in August.

Bitcoin ETFs saw net inflows of over $61 million, the highest since the $192 million inflow on August 8. BlackRock’s iShares Bitcoin Trust (NASDAQ:IBIT) led the charge with $92 million in inflows, while Bitwise’s Bitcoin ETF (NYSE:BITB) attracted $25 million in outflows.

Ether prices also jumped by as much as 4% as investors looked for possible signals of upcoming rate cuts from the Federal Reserve later this week.

With a relatively light economic data calendar, market attention has turned to the release of the Fed’s July meeting minutes on Wednesday and Fed Chair Jerome Powell‘s speech at the Jackson Hole Symposium on Friday.

“Despite FUD in the media – It doesn’t matter whether the ETF elections or any other FOMO theory which will come up; all this is only storytelling to keep the mind busy. The real value is in the long-term position of this unique asset as a hedge and store of value,” Stefan Godly, Venture Studio Co-Founder, told Investing.com.

The cryptocurrency market got a boost after a tweet from Tron’s founder, Justin Sun, hinted that China might lift its ban on Bitcoin and other crypto assets.

Specifically, China’s Supreme Court and public prosecutor have updated their interpretation of the nation’s Anti-Money Laundering (AML) laws, now officially recognizing “virtual asset” transactions for the first time.

The current Anti-Money Laundering Law, which has been in place since January 1, 2007, is getting its first major update in almost 20 years with this latest revision.

Meanwhile, State Street (NYSE:STT) has partnered with digital asset custodian Taurus as part of its tokenization strategy, with plans to extend to crypto custody once the U.S. regulatory environment improves. The bank, which manages $44.3 trillion in assets, is set to launch tokenized versions of traditional assets.

The global cryptocurrency market cap jumped by 3.17% to around $2.14 trillion in the last 24 hours. Stablecoins, commonly used for trading and hedging, saw their volume hit $60 billion, making up 92.43% of the total crypto market’s 24-hour volume.

Polkadot price rose 1.3% on the day. Most meme coins are also on the rise as the broader bullish momentum boosted market favorites like Pepe, Dogwifhat, and Brett. The standout performer is Sundog, the largest meme coin launched via SunPump, Tron’s Pump.fun competitor created by the controversial entrepreneur Justin Sun.