Bitcoin ETF inflows, Ripple v. SEC, Tether’s probe, renewed adoption | Weekly Recap

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As a seasoned researcher with years of experience delving into the complexities of the digital asset market, I find myself both enthralled and cautious by this week’s developments. The ongoing legal battle between Ripple and the SEC, while potentially beneficial for Ripple, could set a significant precedent that may impact the entire crypto industry. On the other hand, the surge in inflows into Bitcoin ETFs is an encouraging sign of institutional interest, which, if sustained, could propel the market to new heights.

Today’s Weekly Review Highlights:

  • Ripple CLO Stuart Alderoty suggested that the appeal could either lead to the second circuit upholding Judge Torres’ decision or expanding on it. According to him, the SEC could only hope for a remand, which is unlikely.
  • The inflows into spot Bitcoin (BTC) ETFs continued last week despite market uncertainties, with positive net flows worth $294 million on Oct. 21. 
  • As a testament to the growing institutional interest, CryptoQuant confirmed last week that American institutions had procured $13 billion in Bitcoin ETF shares.
  • While the products saw outflows of $79.1 million on Oct. 22, the positive trend resumed the next day, as $192.4 million flowed into the market on Oct. 23. 
  • Bitcoin ETFs witnessed $997.6 million in net flows by the end of the week, with total flows surpassing $22 billion, a new record. Last week’s data brought October’s total inflows to $3 billion, as demand hit a 6-month peak. 
  • Reports suggested that traditional payment solution Stripe had finalized its $1 billion acquisition of Bridge, a stablecoin platform.
  • Last week, technology giant Samsung revealed plans to bolster the security of its devices embedded within the AI home ecosystem.
  • Meanwhile, an investigation found that a French trader was behind a series of accounts responsible for driving the surge in Donald Trump’s odds on Polymarket, triggering market manipulation concerns.
  • Per reports from crypto.news, Ripple co-founder Chris Larsen donated a total of $11.8 million to PACs supporting Kamala Harris, despite Ripple’s legal struggles with the current administration’s SEC.

Tether under probe?

  • Last week, a report from the Wall Street Journal claimed Tether was under investigation by U.S. authorities for the possible usage of USDT in illegal activities.
  • The WSJ also alleged the U.S. Treasury was mulling the imposition of sanctions on the stablecoin issuer. Tether and its CEO Paolo Ardonio quickly debunked the reports, suggesting no such investigation exists.

Bitcoin whale uncertainty

  • With just eight days until the U.S. presidential election, movement among Bitcoin whales has significantly declined.
  • Data shows large-holder net inflows plunged from around 38,800 BTC on Oct. 20 to 258 BTC on Oct. 26. This could indicate that whales are nervous as Election Day in the U.S., Nov. 5., approaches.
  • Crypto liquidations plunged by 85% over the past day.

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2024-10-27 19:58