Bitcoin climbed during Thursday trading, maintaining momentum from its recent three-week high, as market sentiment was lifted by positive developments in U.S. trade negotiations. Despite a relatively narrow upward movement, investor confidence remained supported by growing institutional adoption and macroeconomic signals. However, expectations of a more hawkish stance from the Federal Reserve following June’s non-farm payroll report capped the extent of gains. With U.S. markets set to close for the July 4 holiday, traders remained cautious, balancing optimism with macroeconomic realities.
Market Reaction to U.S.-Vietnam Trade Agreement
A newly announced trade agreement between the United States and Vietnam boosted risk appetite across financial markets. According to analysts at SaxoBank, tariffs under the deal were set at lower-than-expected levels, reducing concerns over inflationary pressures and supply chain disruptions. This development contributed to a broader rally in risk-on assets, including equities and digital currencies.
👉 Discover how global trade shifts are influencing cryptocurrency markets today.
Bitcoin responded positively, briefly testing levels near $109,700. At approximately 4:00 PM Brasília time, BTC was trading at **$109,678.76, reflecting a 0.12% gain on the day. Ethereum also showed strength, rising 0.26% to $2,586.99**, according to Binance price data.
Institutional Momentum Builds Around Crypto ETFs
One of the most significant drivers behind sustained investor interest in digital assets has been the rapid growth of exchange-traded funds (ETFs) focused on cryptocurrencies. Recent reports indicate that inflows into Bitcoin ETFs have approached $50 billion, according to analytics firm SosoValue—a clear signal of deepening institutional involvement.
The BlackRock Bitcoin ETF continues to lead the market, while the newly launched iShares Ethereum ETF has also attracted strong capital flows. These products are helping bridge traditional finance with the digital asset ecosystem, making crypto more accessible to retail and institutional investors alike.
This institutional embrace underscores a broader trend: digital assets are increasingly being recognized as a legitimate asset class. As more financial giants enter the space, regulatory scrutiny and compliance standards are also evolving, paving the way for further integration into mainstream portfolios.
Ripple Seeks National Banking License for Stablecoin Expansion
In another sign of convergence between traditional finance and blockchain technology, Ripple has applied for a national banking license in the United States. The move would allow the company to operate more broadly within the U.S. financial system and expand its dollar-backed stablecoin, RLUSD.
Stablecoins have become critical infrastructure in both decentralized finance (DeFi) and global payments. Their ability to offer price stability while enabling fast, low-cost cross-border transactions makes them highly attractive to institutions and users alike.
U.S. Treasury Secretary Scott Bessent recently highlighted the potential economic impact of regulated stablecoins, estimating they could generate $2 trillion in demand for U.S. Treasuries. Such demand would strengthen the dollar’s role in global finance while supporting monetary stability.
When asked about the dollar's value, Bessent emphasized that “the value of the dollar has nothing to do with strong-dollar policy” and noted that past predictions of its decline have often proven premature.
Payroll Data Tempers Rate Cut Expectations
Despite positive momentum in crypto and equity markets, the latest U.S. employment data introduced caution. June’s non-farm payroll report suggested a resilient labor market, reducing the likelihood of near-term interest rate cuts by the Federal Reserve.
A strong jobs market typically leads the Fed to maintain higher interest rates for longer, which can weigh on risk assets like Bitcoin. Higher rates reduce liquidity in the financial system and increase the opportunity cost of holding non-yielding assets.
However, Bitcoin’s performance shows growing decoupling from traditional macro drivers. While rate-sensitive sectors reacted cautiously, crypto held firm—indicating maturation in market behavior and increasing confidence in its long-term value proposition.
Why Bitcoin Is Gaining Resilience
Bitcoin's ability to maintain value despite mixed macro signals highlights several structural shifts:
- Increased institutional ownership reduces volatility caused by retail speculation.
- ETF approvals have created regulated entry points, boosting legitimacy.
- Global adoption continues through payment integrations and cross-border use cases.
- Supply scarcity, with halving events reducing new coin issuance, supports long-term price appreciation.
These factors combine to make Bitcoin not just a speculative asset, but an emerging store of value and hedge against systemic financial risks.
👉 See how Bitcoin is evolving beyond speculation into a strategic financial asset.
Frequently Asked Questions (FAQ)
Q: Why did Bitcoin rise despite no major rate cuts expected?
A: While rate cut expectations influence liquidity, Bitcoin is increasingly driven by institutional adoption, ETF inflows, and geopolitical trade developments—not solely by Fed policy.
Q: What impact do trade agreements have on cryptocurrency markets?
A: Positive trade news boosts investor confidence and risk appetite, often benefiting digital assets as part of broader risk-on sentiment.
Q: How do Bitcoin ETFs affect the market?
A: ETFs bring regulated exposure to crypto, attracting pension funds, asset managers, and conservative investors who previously avoided direct holdings.
Q: Is Ripple becoming a bank?
A: Ripple is seeking a national banking license to expand its financial services, particularly around its stablecoin RLUSD, signaling deeper integration into traditional finance.
Q: Could stablecoins really drive $2 trillion in Treasury demand?
A: Yes—if stablecoin issuers are required to back tokens with short-term U.S. government debt, this could create massive new demand for Treasuries.
Q: What does the payroll report mean for crypto investors?
A: A strong jobs report may delay rate cuts, limiting short-term upside for risk assets—but Bitcoin’s resilience suggests it's becoming less sensitive to these cycles.
The Road Ahead: Consolidation and Maturation
As Bitcoin approaches key psychological levels near $110,000, all eyes will be on macroeconomic indicators, regulatory developments, and institutional flows. The convergence of policy clarity, financial innovation, and global adoption is reshaping how digital assets are perceived.
With major players like BlackRock and iShares expanding their crypto offerings, and companies like Ripple pushing into regulated banking, the line between traditional and digital finance continues to blur.
👉 Stay ahead of the curve—explore how next-generation financial systems are being built today.
For investors, this environment presents both opportunity and complexity. Understanding the interplay between regulation, macroeconomics, and technological progress is essential for navigating the evolving landscape.
Core Keywords:
- Bitcoin
- Ethereum
- Federal Reserve
- Payroll data
- Crypto ETFs
- Stablecoins
- Institutional adoption
- Trade agreements
The journey of digital assets from fringe technology to mainstream finance is well underway. As 2025 progresses, expect deeper integration, stronger infrastructure, and broader acceptance—driving sustainable growth across the ecosystem.