Ethereum (eth) 
“`html
Bitcoin and several major altcoins saw significant gains on Thursday as market participants reacted positively to recent economic developments and strategic industry moves. With increasing investor interest, the cryptocurrency market showed signs of bullish momentum, providing optimism for both seasoned investors and newcomers alike.
Bitcoin Approaches Key Psychological Level
Bitcoin (BTC) surged by 3.5%, reaching $99,415 as bulls aimed to break past the critical $100,000 mark. This move could pave the way for a potential retest of its all-time high of $109,300, sparking renewed confidence among traders and investors. The psychological importance of the $100,000 threshold remains a focal point for market participants.
Top-Performing Altcoins
Altcoins also experienced notable gains during this rally. Among the best performers were:
- Pudgy Penguins (PENGU): Up 15.4%
- Virtuals Protocol (VIRTUAL): Surged 34.61%
- Brett (BRETT): Increased by 24.81%
- Pepe (PEPE): Momentum continued to build
The rapid growth of these altcoins contributed to pushing the total cryptocurrency market capitalization above $3.10 trillion.
Impact of Federal Reserve’s Interest Rate Decision
The ongoing market surge followed the Federal Reserve’s decision to keep interest rates steady at 4.25%–4.50%. This “wait-and-see” approach was largely anticipated by analysts and traders, who now expect a potential rate cut later in the year. Some forecasts, including those from ING analysts, project a rate cut as early as September.
Despite the Federal Reserve’s hawkish tone, the crypto market responded positively, as the decision aligned with market expectations. This stability has encouraged investors to remain optimistic about the broader financial landscape.
U.S.–UK Trade Agreement Lifts Sentiment
Another catalyst for the crypto rally was the announcement of a new trade agreement between the United States and the United Kingdom. Under the deal, the U.S. will reduce tariffs on UK steel and automobiles, while the UK will eliminate an $800 million digital tax targeting American tech companies. This agreement has been viewed as a step toward stronger economic collaboration, further boosting market confidence.
Additionally, upcoming trade talks between the U.S. and China in Switzerland are fueling hopes of reduced tariffs and easing geopolitical tensions. Such developments could provide further support for both cryptocurrency and equity markets, while also increasing the likelihood of future Federal Reserve rate cuts.
Binance Acquisition of Deribit Boosts Market Optimism
The market rally was further bolstered by industry news, including Binance’s acquisition of Deribit, a prominent options and futures trading platform, in a $2.9 billion deal. This acquisition positions Binance as a significant player in the derivatives market, which handles billions of dollars in daily transactions.
Commenting on the deal, Spencer Yang, Core Contributor at Fractal Bitcoin, noted:
“Global derivatives trading is a key driver of growth for Binance. Deribit is the platform of choice for global traders for Bitcoin and Ethereum options. Their platform has a strong operating history and is the only major independent company with similar DNA to Binance. They’ve not launched a token and have an AUM of $4B.”
Institutional Buying Continues to Drive Growth
Institutional interest remained strong, with spot Bitcoin ETFs adding $142 million in assets on Wednesday alone, bringing weekly inflows to $482 million. Year-to-date, these funds have accumulated over $5.7 billion in net inflows. This continued institutional activity underscores the growing acceptance of cryptocurrencies as a viable asset class among mainstream investors.
The combination of favorable macroeconomic developments, strategic industry moves, and robust institutional participation has created a positive environment for the cryptocurrency market. As Bitcoin and altcoins continue to gain traction, investors are keeping a close eye on key levels and upcoming announcements that could further shape market dynamics.
“`
