The crypto market welcomes a strong rise again, ETH breaks the 3000 USD barrier.

Recently, the crypto market has shown an accelerated rise. Following the significant pump the day before, the market experienced another sharp surge last night.

According to market data, Bitcoin surged to 117548.2 USDT last night, and as of this morning at 8:30, it reported 115408 USDT, with a 24-hour rise of 3.75%. Ethereum performed even better, breaking through the 3000 USDT mark under multiple favorable stimuli, reaching a high of 3002.99 USDT, and as of this morning at 8:30, it reported 2972.21 USDT, with a 24-hour rise of 5.77%. Another mainstream token, Solana, reported 162.7 USDT, with a 24-hour rise of 4%.

Due to the overall market rise, particularly the strong performance of Ethereum, the altcoin market has also seen a significant recovery. As of 8:30 this morning, several varieties among the top 100 altcoins recorded double-digit rise, with SUI at 3.42 USDT, a 24-hour rise of 11.7%; ARB at 0.3915 USDT, a rise of 11.1%; PEPE at 0.00001218 USD, a rise of 11.2%; and PENGU at 0.0194 USDT, a rise of 26.18%.

Data shows that the total market cap of encryption has surpassed $3.669 trillion. In terms of market sentiment, trading enthusiasm has clearly increased, with today's fear and greed index reaching 71, categorized as "greed."

In terms of derivatives trading, there was a total liquidation of $1.078 billion across the network in the past 24 hours, with short positions accounting for the majority at $969 million. In terms of cryptocurrencies, Bitcoin had a liquidation of $583 million, while Ethereum had a liquidation of $242 million.

Pump Drivers: Weakening Tariff Impact, Institutional Accumulation, Rate Cut Expectations

The recent pump in the market has multiple reasons. First, the collective psychological impact of the tariff dispute has significantly weakened, and the panic effect on the crypto market and the global economy has noticeably decreased.

Secondly, the buying power of institutions is continuously increasing. The spot Bitcoin ETF has maintained a net inflow of funds for five consecutive days, and more altcoin ETFs are expected to be approved. In addition to traditional Bitcoin-holding institutions, an increasing number of listed companies are expanding their investment targets to include ETH, Solana, and other altcoins.

In addition, recent statements from Federal Reserve officials regarding interest rate cuts have also boosted market sentiment to some extent. San Francisco Fed President Daly indicated that there may be two rate cuts and is considering implementing them in the fall. Fed Governor Waller believes that even if the employment data is strong, rate cuts should be considered at the July meeting.

Ethereum has strongly rebounded, what is the outlook for the future?

Ethereum is undoubtedly the most outstanding token in this round of market conditions. Since the market low in April, Ethereum has completed a doubling rebound, outperforming Bitcoin and Solana.

The recent strong performance of ETH can be attributed to multiple factors including regulatory easing, institutional accumulation, foundation reforms, growth in on-chain activities, and recovery of market confidence. Supported by these favorable factors, ETH, which has undergone long-term consolidation, may迎来结构性反转, with long-term trends expected to continue the pump.

However, in the short term, ETH still faces strong selling pressure around the $3000 mark. If it is to effectively break through this level, it may require further accumulation of strength. Analysis models indicate that ETH faces strong resistance near $3000, while the support area is around $2750.

It is worth noting that the Ethereum Foundation sold another 1210 ETH this morning at an average price of $2889.5. Considering the Foundation's past "top escaping" performance, this may also influence market sentiment to some extent.

Is the "Shanzhai Season" about to arrive?

With Ethereum's strong rebound, the market is once again excited about the legendary "altcoin season." Some analysts believe that under the market consensus of "altcoins are scams," the continuously rising short positions will ultimately become a driving force for the rise of altcoins due to short squeezes, thus leading to the arrival of "altcoin season."

An unprecedented phenomenon has emerged in the current market: the open interest of several altcoins exceeds their market capitalization, indicating the presence of uncovered naked shorts. The historic turning point is that as Bitcoin approaches a breakout of its previous high, a large amount of capital continues to flow into ETH, with institutions competing through various channels to acquire ETH. The altcoin derivatives market has reached a historical high, and a new generation of traders is relying on shorting altcoins to profit.

However, there are differing opinions that, although some altcoins may follow the rise, most mid-cap tokens are still expected to underperform Bitcoin. Factors such as improved regulatory environment, seasonal market activity, and potential interest rate cuts may drive Bitcoin and crypto-related stocks to new highs.

It has been a long time since the last "altcoin season", and the market seems to have lost its imagination for it. Will this time be different? Let's wait and see.