Bitcoin Defies July Headwinds, Eyes August Jobs Data and ETF Flows
Despite concerns over interest rate hikes and a major security breach, Bitcoin (BTC) rose around 8% in July, ending the month higher. According to blockchain outlet Cryptopolitan, markets are now focusing on U.S. jobs data and whether inflows into spot BTC exchange-traded funds (ETFs) resume as key variables for the next direction.
The risk of another sharp fall eased as leverage exposure in derivatives markets declined, with average daily liquidations since early July lower than peaks seen several times this year. This structural shift is cited as a reason why Bitcoin held up even after the U.S. Federal Reserve began its rate-hike phase.
Even so, security setbacks continued, with Coldcard, a major self-custody hardware wallet company, suffering a major security breach that resulted in at least $38 million worth of BTC being stolen, with estimated losses of around $70 million in crypto assets. However, Bitcoin prices kept a monthly uptrend.