First-line market｜SOL breaks through $260 to create a new historical high, BTC is only a step away from the $100,000 mark

Daily Digest: Progress on SOL Spot ETF, Market Remains Greedy for Over 10 Days

According to Farside Investor data, the US SpotBTCETF had a net inflow of 396 million USD yesterday. Among them, Fidelity FBTC had a net inflow of 300 million USD, Bitwise BITB had an inflow of 68 million USD, and BlackRock IBIT data has not been updated yet.

Yesterday, $9 million was withdrawn from the US Ethereum Spot ETF. Among them, Fidelity's FETH had an inflow of $16.8 million, Grayscale's ETHE had an outflow of $27.1 million, and BlackRock's ETHA data has not been updated yet.

Source: Person familiar with the matter: SEC's negotiation with the issuer of SOL spot ETF 'making progress'

FOX Business reporter Eleanor Terrett said on social media that negotiations between SEC staff and the issuer of the SOL Spot ETF, who hopes to launch it, have made progress, according to two sources familiar with the matter.

The SEC is currently processing the S-1 application for SOL Spot ETF. These insiders say it is "highly likely" that we will see some 19b-4 filings submitted by potential issuers on the exchange in the next few days, which is the next step in the ETF approval process.

The ETF issuer said that based on recent staff involvement, combined with the upcoming government support for Cryptocurrency, a new sense of optimism is currently being fueled, namely that the Solana ETF may be approved at some point in 2025.

Viewpoint: After Trump's victory, institutions will increasingly tend to use BTC to fight inflation instead of gold

According to The Block, Maruf Yusupov, co-founder of Deenar, said that after Trump's victory in the US election, the rapid pump of BTC may be reshaping people's traditional views on inflation hedging. Trump's attention to tax cuts, tariffs, and cryptocurrency is driving interest in BTC as a modern alternative to gold. With the acceleration of institutional adoption, a significant shift of capital from gold to digital assets may be observed.

Nigel Green, CEO of deVere Group, also stated that Bitcoin is increasingly being seen as a tool for hedging inflation and diversifying investment portfolios, and institutional interest has reached an all-time high, with infrastructure to support large-scale adoption constantly expanding.

Copper.co's research director Fadi Aboualfa expressed the same view, emphasizing the increasing similarity between SpotBTC and gold exchange-traded funds (ETFs) in terms of PA mode.

The panic and greed index has risen to 94, and the market has been in a "extreme greed state" for 11 consecutive days.

According to Alternative.me data, today's Cryptocurrency Fear and Greed Index rose to 94 (from 82 yesterday), and the market has been in an 'extreme greed' state for 11 consecutive days.

Note: The panic index threshold is from 0 to 100, including indicators: volatility (25%) + market volume (25%) + social media popularity (15%) + market research (15%) + BTC's proportion in the entire market (10%) + Google hot keyword analysis (10%).

Market Analysis: BTC is just one step away from $100,000, and SOL breaks its previous high.

Market Hotspots

SOL broke its historical high of $260, becoming the third token among the top 10 tokens by market capitalization to break its historical high, apart from BTC and BNB. The Solana ecosystem, including JTO and SLERF, surged. According to market news, Cboe has submitted applications to the US SEC for four Solana Spot ETFs, with the issuers being VanEck, 21Shares, Canary Capital, and Bitwise. If the SEC does not reject the aforementioned filing applications, the final deadline will be around early August next year.

The well-established payment protocol XRP has surged by 26% within 24 hours, with a cumulative increase of nearly 200% in the past month; as the Trump administration is about to take office, the market generally expects a more friendly encryption environment, and the Payfi protocol, which has been troubled by SEC investigations, may regain market favor as a leader in XRP.

Market Trend

BTC big pump breakthrough 98000 US dollars, continue to create historical highs, just one step away from the psychological barrier of 100,000 US dollars, BTC ETF inflows exceeded 2 billion US dollars in the first three trading days of this week, the future of BTC is still promising;

ETH rose by 10% intraday, breaking through $3300. After BTC broke through the $100,000 mark, ETH may have a more impressive performance;

AltCoins generally rebound, but there is still no leadingToken appearing, the alts season still needs to wait for BTC to break the $100,000 mark;

Macro News: The three major US stock indexes collectively pump, and the Fed may slow down its pace of interest rate cuts

The three major US stock indexes closed higher, with the S&P 500 rising 0.53% to 5948.71 points; the Dow Jones Industrial Average rising 1.06% to 43870.35 points; and the Nasdaq Composite Index rising 0.03% to 18972.42 points. The 10-year Treasury yield, Benchmark, was 4.43%, and the 2-year Treasury yield, which is most sensitive to the Federal Reserve's interest rate policy, was 4.34%.

Federal Reserve's Guersbey said that as the Federal Reserve approaches the stable level of Intrerest Rate, slowing down the pace of interest rate cuts may be a wise move, and within the next year, Intrerest Rate will 'drop significantly'. The labor market has cooled, approaching full employment; inflation is trending downward towards 2%; the labor market is approaching a stable full employment state.

SEI Investment Company CIO Jim Smigiel said that the Federal Reserve may still cut interest rates, but the number of rate cuts in the future may be fewer than in the past. He said, 'We believe that rate cuts are possible, but the fact is that we are closer to the end of the rate-cutting cycle than the beginning.' While comments about improving government efficiency and reducing costs are also on President-elect Trump's agenda, the likelihood of rising inflation is much greater. 'Essentially, the FOMC will be forced to cut rates again in December, and then pause rate cuts until 2025 in order to avoid the appearance of policy reversal shortly after a 50 basis point rate cut.'

Author: Icing, Gate.io Researcher This article only represents the author's point of view and does not constitute any trading advice. Investment carries risks, so decisions should be made carefully. This article is original and copyrighted by Gate.io. Please indicate the author and source if you need to reprint, otherwise legal liability will be pursued.