Crypto markets moved higher after reports indicated that President Donald Trump had agreed to a key ethics provision connected to the proposed crypto market structure bill, helping ease concerns around the legislation’s progress.
The rally followed speculation that the final major obstacle blocking the long-awaited U.S. Clarity Act could have been resolved, boosting optimism across digital assets.
Eleanor Terrett, host of Crypto in America, reported on X that Trump had accepted a critical ethics provision within the crypto market structure legislation. The proposed language has reportedly been distributed among a group of Senate Republicans, marking an important step forward for the bill.
The ethics provision has been one of the biggest issues delaying the bill’s advancement through the Senate. The legislation aims to create a clearer regulatory framework for digital assets by establishing a distinction between cryptocurrencies classified as commodities and those considered securities, moving away from years of uncertainty driven by enforcement actions.
Bitcoin climbed above $66,000, gaining 3.5% in 24 hours and reaching its highest level in over a month. Other major cryptocurrencies, including Ether, BNB, and XRP, recorded stronger advances, while the CoinDesk DeFi Select Index jumped 9% as decentralized finance tokens rallied.
The move was further supported by developments in Asia, where semiconductor stocks recovered after last week’s sharp decline. The rebound in chip shares helped restore broader risk appetite and provided additional momentum for crypto markets.
Market Outlook and Technical Levels
Traders are now focused on whether Bitcoin can reclaim the $68,000 region. Alex Kuptsikevich, chief market analyst at FxPro, noted that the area around $68,000 represents the 61.8% Fibonacci retracement level from the May-June selloff. A sustained move above this level would offer further confirmation of a potential trend reversal.
Derivatives Market Update
Bitcoin futures activity:
Signs of stronger participation from derivatives traders are emerging as Bitcoin continues its recovery. After BTC broke above $66,000 for the first time since June 17, futures open interest increased to 770,000 contracts from below 750,000 the previous day.
The increase in open interest points to renewed capital entering the market. Bitcoin’s 24-hour open-interest-adjusted cumulative volume delta (CVD) is currently leading among major cryptocurrencies, suggesting buyers are driving the move through aggressive market orders.
Ether and altcoin positioning:
Ether futures are showing similar strength, while futures open interest for XRP and Solana has remained relatively unchanged.
Dogecoin activity:
Dogecoin futures open interest climbed to 15.50 billion tokens, reaching the highest level since May 5. However, DOGE’s negative 24-hour CVD suggests sellers remain more active despite the rise in futures participation.
Broader altcoin demand:
Open interest has also increased across tokens such as Cardano, Stellar, and Chainlink, indicating wider market participation. Many of these assets are showing positive CVD readings, reflecting stronger buying activity.
Volatility and Options Trends
Bitcoin’s 30-day implied volatility index (BVIV) stopped declining even as the cryptocurrency moved higher. Since volatility often moves inversely with spot prices, the change suggests some traders may be adding protection through options as prices rise.
A similar pattern is visible in Ether’s volatility index (EVIV), with hedging activity potentially limiting further volatility declines.
In the options market, Deribit data shows that short-term put skew has eased as prices recovered, though puts remain more expensive than calls across all maturities. This reflects continued demand for downside protection alongside strategies involving call selling for yield.
Call options have also dominated 24-hour trading volumes for both Bitcoin and Ether, signaling increasing interest in potential upside moves.
Solana and Tokenized Asset Growth
Solana’s tokenized asset volume reached a record $5.8 billion in the second quarter, representing a 114% increase from the previous quarter and marking six consecutive quarters of expansion. Tokenized equities were the primary driver behind the growth.
The rise highlights increasing institutional adoption and demonstrates Solana’s ability to support high-volume financial applications, strengthening its position as a link between traditional finance and blockchain networks.
Despite the growth in tokenized assets, SOL declined more than 11% during the quarter, though its decline was smaller than Bitcoin’s 15% drop. In July, SOL has recovered 6%, compared with Bitcoin’s 13% rebound.
The broader real-world asset tokenization market, excluding stablecoins, has also expanded significantly, surpassing $33 billion and nearly tripling from roughly $12 billion a year earlier.
