Reset Before Liftoff

GM Anon!

What a week! CPI gave us the green light and markets went full throttle — BTC even touched fresh all-time highs and ETH ripped to nearly $4,800 before reality checked in with that hot PPI print. Over $1.1B in liquidations later, the pump turned into a sharp fade, leaving majors split and alts bruised.

Still, ETH’s monster ETF inflows and institutional rotation show the tide is shifting, SOL broke $200, and ADA came alive with a breakout. The market feels like it’s just catching its breath, waiting for the next big catalyst to decide whether we’re gearing up for liftoff — or bracing for another shakeout.

TLDR

• CPI bullish, but hot PPI print flipped markets, triggering $1.1B liquidations.

• BTC hit fresh ATH intraday, then pulled back to close flat near $117.5K.

• ETH ripped to $4,800 before retracing; ETFs pulled in $2.3B inflows in 6 days.
  Institutions rotated hard into ETH: BMNR $2B, Sharplink $400M, BitMine $25B program.

• BTC accumulation lagged: Strategy $18M, Metaplanet $61M, Murano $500M, KindlyMD $540M raise.

• U.S. Treasury confirmed $24B in crypto, Lummis renewed BITCOIN Act; HK tightened custody, U.S. sanctioned Garantex.

• Adoption wave: Citi eyes custody, Stripe & Circle building L1s, Circle profits +53%, Google lifts wallet ban.

• SOL broke $200 with DeFi TVL at 3-year highs; ETH + SOL cut BTC dominance below 60%.

• Altcoins mixed: ADA +20%, HYPE near $50 ATH volume, but many faded post-PPI; “altcoins” searches at 2021 highs.

Market Update

Markets this week were dominated by macro data as U.S. inflation prints drove crypto’s volatility. CPI came in softer, initially fueling bullish momentum, but that optimism was cut short after a hot PPI release sent risk assets sliding. The whipsaw left over $1.1B in liquidations across majors as BTC hit fresh all-time highs before pulling back, while altcoins underperformed ETH throughout the week.

Despite the shakeout, institutional positioning remains firm. ETH ETFs logged one of their strongest runs ever, pulling in $2.3B of inflows in just six days, with daily flows ranking as the second-largest in history. As a result, ETH now outperforms BTC, with decentralized asset trusts holding nearly 2% of supply. 

Meanwhile, bullish bets are stacking—Polymarket shows 75% odds that ETH will touch $5K by the end of August, though $1.3B in liquidations are at risk if it gets there. Meanwhile, staking dynamics shifted as $3.2B worth of ETH sits queued for withdrawal, and the ETH Foundation offloaded another $13M.

Big money continues to rotate aggressively into the asset. BMNR has emerged as one of the largest ETH holders after scooping up $2B in a single week, while Sharplink announced a $400M equity raise to buy ETH, and Fundamental Global added another $200M. BitMine, looking to scale even further, expanded its ETH purchase program to $25B. ETHZilla also surged threefold as Peter Thiel took a stake.

On the Bitcoin side, accumulation remains slower—Strategy bought just $18M worth last week—but Metaplanet added $61M and Murano is preparing a $500M buy. KindlyMD joined the trend with plans to raise $540M for BTC purchases, and Abu Dhabi’s sovereign wealth fund disclosed a $534M BTC ETF position.

Governments are equally entrenched. The U.S. Treasury confirmed ownership of $24B in crypto holdings, while Senator Lummis renewed her push for the BITCOIN Act. At the same time, Washington floated the idea of “budget-neutral” BTC accumulation. Abroad, Hong Kong tightened custody rules for exchanges, the U.S. sanctioned Russian platform Garantex, and American Bitcoin is exploring listings in Asia.

Institutional adoption accelerated in parallel. Citi is considering launching crypto custody and payment services, while Stripe and Circle both revealed plans to build their own L1 blockchains—Circle also reported a 53% profit increase. Google rescinded its ban on non-custodial wallets, marking another step toward mainstream acceptance.

On the market structure side, ETH and SOL stole the spotlight. SOL broke above $200 with DeFi TVL hitting a three-year high, while ETH ETFs pushed institutional flows to record levels and cut BTC dominance below 60%. HYPE rode the frenzy as volumes hit all-time highs with prices nearing $50. Meanwhile, altcoin-related Google searches spiked to their highest levels since 2021, signaling a retail rotation building beneath the surface.

Elsewhere, crypto sentiment climbed back into “Greed” territory in just a week, supported by the fact that institutions now hold 17% of BTC’s circulating supply. Yet regulatory uncertainty lingers: the SEC delayed approvals for Bitwise and 21Shares’ Solana ETFs, and Stargate is soliciting alternative buyouts amid its LayerZero troubles. On the legal front, Do Kwon pleaded guilty to two counts of fraud, while political crypto ties continue making headlines—Donald Trump’s digital asset ventures have generated $2.4B since 2022, with Eric Trump publicly crediting banking discrimination for driving their move into crypto.

Taken together, the week highlighted crypto’s tightrope: macro shocks like PPI still spark sharp liquidations, but institutional demand—especially in ETH—is reshaping market structure. With BTC consolidating near highs, ETH roaring on ETF momentum, and SOL’s DeFi renaissance, the stage is set for another decisive move heading into late August.

Market Data Points

DeFi TVL on Ethereum has officially surpassed its previous all-time highs from the 2021 bull market, reaching $126.54B. This milestone signals a complete recovery from the sharp declines that followed in 2022 and reinforces Ethereum’s continued dominance as the backbone of decentralized finance.

While Ethereum holdings by public companies have already reached into the billions, Solana is steadily catching up. Cumulative SOL holdings by public companies have now surpassed $600M, showing a steep climb since mid-2025. If this momentum holds, it’s likely only a matter of time before this figure pushes into the billions, reflecting growing institutional confidence in the Solana ecosystem.

The U.S. M2 money supply has surged to a record $22T, signaling a fresh wave of liquidity in the system. Historically, such expansions have fueled stronger performance in risk-on assets as capital rotates out of cash and into higher-yielding opportunities. 

Crypto and equities are already reflecting this dynamic, with assets like BTC and ETH continuing to build momentum alongside broader stock market strength. If liquidity remains elevated, it could serve as a tailwind for both markets in the months ahead.

Aave’s total value locked has seen a strong surge, driven by renewed demand for lending and borrowing across DeFi. Ethereum continues to dominate as the protocol’s primary liquidity hub, holding nearly $60B in TVL—by far the largest share across all supported networks. While other chains such as Arbitrum, Base, and Avalanche are posting healthy inflows and expanding their market presence, they remain a fraction of Ethereum’s scale.

Majors & Memes

The week was defined by a classic pump-and-fade dynamic, with majors ripping into new highs before a sharp pullback on hotter-than-expected PPI data forced the market to cool. BTC briefly printed fresh all-time highs intraday before sliding back to close nearly flat at $117.5K (+0.6%). ETH was the clear leader, blasting to nearly $4,800 on heavy institutional accumulation before easing to close at $4,457 (+10.8%). Even after the retrace, ETH has firmly reclaimed $4K, with flows, network activity, and mega-whale positioning making it the dominant force among majors. BNB also notched fresh intraday all-time highs above $830, though it too gave back part of the run into the weekend to finish +4.4%. 

SOL spiked past $200 midweek but couldn’t hold, settling at $186.5 (+4.9%). ADA broke out strongly, closing +20.3% at $0.95 and emerging as the standout gainer outside of ETH. TRX added +4.3% at $0.35, while DOGE (-0.7%) and XRP (-6.4%) slipped as profit-taking weighed.

Among alt rotations, OKB stole headlines with a monster +102% run to $93.4, though it faced sharp swings into the weekend. QUBIC (+37%), RAY (+26%), SNEK (+24.5%), PROVE (+25%), and KCS (+21.5%) also delivered strong performances, while mid-tier plays like HYPE (+16.5%) and MNT (+15.2%) found steady bids.

But the other side of the board told a different story. Many names that pumped intraday closed the week in the red as liquidity thinned after the PPI print. REKT led declines at -22.6%, followed by CFX (-17%), ZBCN (-17%), and SYRUP (-14.5%). MOG (-14.1%), STORY (-14.1%), PENGU (-13.7%), and XMR (-13.2%) all corrected lower, while even speculative darlings like PEPE (-8.8%) and FLOKI (-12.9%) saw pullbacks as traders booked profits.

The takeaway: markets showed just how stretched positioning had become, with majors and alts alike surging intraday but failing to sustain those highs into the close. ETH and ADA held firm, but most others gave back gains, leaving the market at an inflection point. After a week of extremes, traders are now watching closely for the next macro catalyst to decide whether this was just a healthy reset — or the start of deeper consolidation.

Narrative Mindshare

Over the past week, market attention was spread across a rotating cast of narratives, with TROLL once again holding a commanding share of mindshare. This persistence is notable, especially since it lines up with accumulation data — wallets added aggressively (+16.72% to $1.87M), showing that in this case both attention and capital have stayed locked in.

Elsewhere, though, the story was less straightforward. SPARK remained one of the most visible names, but allocations dropped (-12.53% to $748.47K), a clear sign that while the spotlight hasn’t shifted, smart money has started trimming. CLIPPY, Tokabu, and URANUS followed the same pattern: plenty of eyes, but fading conviction on the wallet side. That kind of divergence often signals a narrative that’s hot in conversation but being sold into by larger players.

On the other hand, LAUNCHCOIN and memecoin both saw wallet builds (+20.99% and +20.82%), yet they didn’t dominate the attention charts. The same goes for TRENCHER, which quietly added +11.17%. These quieter names may not be commanding the narrative yet, but the positioning beneath the surface suggests they’re candidates for the next rotation when attention inevitably shifts.

AOL is worth flagging as well. While it hasn’t topped the mindshare rankings, it has crept higher and wallets have mirrored that with fresh inflows (+2.88% to $560.95K). That combination often signals early positioning before a broader narrative catches on.

In short, this week’s landscape shows a market still in rotation mode: TROLL stands out as the one token where hype and holdings truly align, while other attention-heavy names are being trimmed and capital is quietly building in less obvious corners. If liquidity picks up, these stealth plays could quickly step into the spotlight.

Smart Money Accumulation

Smart money activity in the Solana ecosystem over the past week shows a split market — with clear accumulation in select high-beta plays while capital is being pulled from others. The rotation isn’t broad-based, but rather targeted, reflecting a selective risk-on stance.

Tokabu remains the largest dollar allocation at roughly $2.68M, despite a -18.78% trim in holdings, signaling that while some profit-taking is underway, it’s still a core position for big wallets. On the accumulation side, TROLL jumped 16.72% to about $1.87M, and Fartcoin held near $1.99M despite a slight pullback (-8.65%), showing resilience in value even with rotation elsewhere.

Momentum plays stood out — LAUNCHCOIN surged 20.99% in holdings to around $382.93K, while Memecoin rose 20.82% to $261.50K, and TRENCHER added 11.17% to reach $360.91K. These mid-tier builds suggest traders are positioning for potential narrative-driven pops.

Meanwhile, names like SPARK ($748.47K, -12.53%), CLIPPY ($283.79K, -10.5%), and URANUS ($864.21K, -3.19%) saw reduced positions, pointing to active capital recycling rather than outright de-risking.

Overall, the data reflects a market still in rotation mode — trimming some heavyweights while selectively loading into tokens that could run if Solana liquidity deepens in the short term. The mix of trims and targeted builds suggests that the risk-on tone is still developing, not yet in full swing.

Smart money activity in the EVM ecosystem over the past week shows a strong shift toward aggressive accumulation in select names — a notable contrast to the more hesitant tone we’ve seen in prior weeks. While not yet broad-based, the scale of some of these percentage changes signals that capital is positioning ahead of potential catalysts, with Ethereum’s next move likely to dictate whether this momentum sticks.

PEPE remains the dominant dollar holding by a wide margin at $28.04M, with a modest +1.94% increase — a sign that conviction here is already maxed and new inflows are incremental rather than explosive. The most dramatic percentage gains came from BITCOIN (+285.82% to $663.30K) and SPX (+205.42% to $1.81M), both of which saw outsized wallet build-ups that suggest high-conviction bets in less crowded plays.

CULT surged 41.41% to $677.13K, while Mog jumped 51.21% to $373.44K, and Block rallied 124.47% to $254.07K — all pointing to a willingness to rotate into mid-tier, narrative-sensitive tokens. Other gainers like AP (+17.03% to $96.98K), SHRUB (+6.65% to $154.22K), and SBET (+4.5% to $137.74K) saw more measured accumulation, hinting at selective scaling rather than all-in moves.

The lone notable outflow came from COCORO (-3.03% to $117.33K), indicating some capital recycling out of this position in favor of higher-velocity names.

Overall, EVM wallets are showing clear signs of shifting into risk-on behavior, though the moves are highly concentrated. If Ethereum can break higher and sustain momentum, these concentrated bets could broaden into a more widespread accumulation wave across the ecosystem.

That wraps up this post—we hope you found the insights valuable. See you next week, anon! 🚀