[May 8: CRYPTO MARKET UPDATE-2]
• The Most Published News
Ethereum's Pectra upgrade has led to an 18-day low in its circulating supply and a surge in network activity. Increased validator limits and smart wallet capabilities are driving user engagement and higher ETH burn rates. Technical analysis suggests that if the current breakout holds, ETH may reclaim the $2,000 level.
Ethereum experienced a significant outflow of over 85,000 ETH from Binance right before its price climbed past $1,900. Historically, similar large withdrawals have often preceded price rallies by reducing liquidity. Additionally, the minting of $1 billion worth of USDT by Tether on the Tron blockchain hints at possible institutional demand fueling this bullish trend.
• Current Market Trends
Bitcoin is nearing the $100,000 mark again as market sentiment turns bullish, evidenced by a 93% probability bet on Polymarket. Several industry experts from Bitwise, Maelstrom, and Standard Chartered anticipate that Bitcoin could hit $200,000 by year-end. The renewed optimism follows a recovery from earlier market turbulence triggered by geopolitical tariffs and macroeconomic uncertainties.
• Regulations and Policies
Oregon Governor Tina Kotek signed Senate Bill 167, updating the state's commercial code by incorporating digital asset provisions under the UCC. The new law establishes legal clarity for cryptocurrencies, tokenized records, and electronic money, including the use of these assets as collateral. Additionally, pending legislation aims to safeguard Bitcoin and digital transactions without proposing a state Bitcoin reserve.
Arizona has enacted House Bill 2749, enabling the state to claim abandoned cryptocurrencies such as unclaimed airdrops and staking rewards. The law prohibits fresh investments with public funds, ensuring that only idle assets are used to create a digital reserve. This initiative positions Arizona alongside other states exploring innovative, low-risk approaches to digital asset management.
• Technology and Innovation
Stripe has introduced Stablecoin Financial Accounts that allow businesses in 101 countries to hold and transact using U.S. dollar-backed stablecoins. The service supports Circle’s USDC and Bridge’s USDB, offering a modern, dual-rail method combining crypto and fiat payments. This launch follows Stripe’s acquisition of Bridge and comes as the stablecoin market is projected to expand significantly in the coming years.
Sei Labs has submitted a governance proposal to transition the Sei blockchain to an EVM-only architecture. The change would phase out CosmWasm and native Cosmos account support to streamline the network. The proposal aims to enhance developer experience and transaction throughput by leveraging EVM parallelization.
• Institutional Investor News
Standard Chartered predicts that Bitcoin will soon reach a new all-time high around $120K by Q2. The forecast is based on robust ETF inflows, significant accumulation by Strategy, and increasing institutional adoption. Additionally, supportive US state policies toward strategic Bitcoin reserves further bolster this bullish outlook.
• Market Forecasts and Expert Opinions
Arthur Hayes, the former BitMEX CEO, argues that the U.S. Treasury is now the main driver of global liquidity, not the Federal Reserve. He believes that political posturing with China and strategic capital controls will lead to significant liquidity inflows. Hayes forecasts that these factors will boost Bitcoin’s price to $1 million by 2028, and his portfolio reflects a heavy weighting in Bitcoin, Ethereum, and select altcoins.
Daily crypto market update is an AI summarization of important news published in major crypto media in the last 24 hours at the time of sending. The full news story can be found at the URL below.
https://t.co/zokRJWa91M
