Bitcoin is at a price range similar to last week, currently around 118,000 dollars. It feels just below the 120,000-dollar resistance line. Nevertheless, it is still in the high price range.

Regarding Ethereum, while Bitcoin remains in a range around the same level, there have been six consecutive bullish candles starting on the 13th. Today only a bearish candle appears, with all other days bullish, giving the impression of strong fund inflows recently.

Currently at 3,700 dollars; last December it rose above 4,000 dollars and then fell, so we are watching whether it can reach that level again this time.

Regarding ETFs, from July 14 to July 18 (Eastern Time), Bitcoin ETFs recorded net inflows of $2.39 billion, marking six weeks of net inflows. The spot Ethereum ETF recorded net inflows of $2.18 billion, setting a new record for weekly net inflows.

From this, even though Bitcoin's market capitalization is significantly larger than Ethereum's, ETF inflows are at the same level, indicating that funds are concentrating into Ethereum. Among Ethereum ETFs, BlackRock's product appeared to have the highest inflows.

Regarding Bitcoin purchases, Value Creation, a Japanese listed company, announced it will add 100 million yen worth of Bitcoin. Also, the long-established Japanese shoe industry company Toho Remac announced it will purchase Bitcoin and Ethereum, etc. News like this is increasing in Japan as well.

◯ Three cryptocurrency laws passed by the U.S. Congress

The following three bills were passed by Congress.

GENIUS Act · Collateral for stablecoins

CLARITY Act · Clarification of the powers of the SEC and the CFTC

Anti-CBDC watchdog state act · Restrictions on issuing a state digital fiat currency (respect for privacy)

And President Trump has already signed the Genius Act. It is an important bill for practical use of cryptocurrencies and also significantly related to Ethereum.

Since this news, the cryptocurrency market has seen even larger capital inflows.

◯ President Trump to include Bitcoin in the pension

The U.S. president is expected to sign an executive order to open 401(k) plans to alternative investments beyond traditional stocks and bonds. (According to people briefed on Trump’s plans) - Financial Times

◯ Ethereum surge

Ethereum (ETH) rose about 6% in 24 hours, breaking through 3,800 dollars

Behind the rise is that major financial institutions and companies have begun injecting capital into Ethereum. Wall Street’s leading banks are paying attention. Also, last week, when the GENIUS Act established the framework for U.S. regulation of stablecoins as a major U.S. crypto law, the U.S.-listed Ethereum spot ETF recorded the largest ever weekly net inflow of $2.18 billion (about 322.6 billion yen, at 148 yen per dollar).

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Well-known analyst Tom Lee said it could reach 15,000 (2.2 million yen) dollars.

When we talk about stablecoins, the Ethereum network is used the most, so in terms of practicality, Ethereum is the answer.

In terms of inflation or hedging against existing currencies, Bitcoin is the answer, but in terms of practicality, Ethereum is the one.

Recently, BlackRock has filed applications for an Ethereum ETF with staking, which has also drawn great attention.

Also, Nasdaq-listed SharpLink Gaming in the U.S. has purchased 10 billion yen worth of Ethereum and currently holds 270,000 ETH.

◯ Results of the House of Councillors election

On the 20th, the 27th House of Councillors election was held. With 125 seats at stake, each party’s seats were decided.

The Liberal Democratic Party and Komeito failed to secure a majority, becoming the minority party in the House of Councillors following the House of Representatives. Prime Minister Ishiba intends to continue as prime minister, stating on the 21st that he will continue in his role as the leading party, as reported by NHK.

The Liberal Democratic Party fell short of a majority in the House of Councillors election.

Japan is in a difficult situation, and dissatisfaction with the current administration is rising.

Many citizens voted with the aim of tax cuts in front of them; as a result, prices are likely to rise further, living will become tougher, interest rates may go up, and mortgage burdens could increase. It could also impact Japanese stocks due to stagnation in the Japanese economy.

If that happens, Bitcoin may attract even more attention as a substitute asset for the Japanese yen.

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(This article has been distributed since 2016)

Cryptocurrency Market Analysis [July 22]