"Unprecedented Virtual Asset Bull Market Expected... The Three Key Factors: Institutions, Policy, Supply/Demand"

There are growing opinions that the global virtual asset (cryptocurrency) market is likely to enter the largest bullish cycle ever, centered on Bitcoin (BTC) and Ethereum (ETH). Analysis says that the inflow of institutional funds, policy clarification, and the balance of supply and demand are combining to strengthen upward momentum.

On the 12th (Korean time), virtual asset analyst Miles Deutscher claimed on X (formerly Twitter), "The virtual asset market is preparing for the biggest bull run in history."

ETF, Retirement Funds, and Regulatory Benefits Galore

He cited inflows of institutional funds including from ETFs, regulatory clarity, and supply shocks as key factors.

According to market data, over the past 60 days, approximately $17 billion (about ₩22.5 trillion) has flowed into spot products in the form of US Bitcoin and Ethereum spot ETFs. In particular, $11 billion moved in during July alone.

The influx into ETFs continued that day. Overnight, Ethereum spot ETFs posted a net inflow of $1.196 billion, surpassing the previous record of $726.6 million. BlackRock’s Ethereum spot ETF, ETHA, alone saw a net inflow of $640 million. On the same day, $1.79 billion was also recorded as a net inflow into Bitcoin spot ETFs.

Recently in the United States, President Donald Trump signed an executive order allowing virtual assets to be included in retirement accounts like 401(k)s. This opens the way for hundreds of millions of dollars to flow into the digital asset market. The size of the US retirement fund market is about $43 trillion, of which about $9 trillion is in 401(k)s. This is larger than the total cryptocurrency market cap of about $4 trillion.

On the policy side, regulatory clarity increased as the stablecoin (cryptocurrency pegged to fiat currency) bill, the Genius Act, was passed. Stablecoins, which have surpassed a market cap of $280 billion, have marked a record high after 22 consecutive months of growth.

Deutscher also reported that politicians and celebrities continue to make statements about virtual assets. He said, "The Trump family has signaled further Ethereum accumulation and a possible direct launch of a Bitcoin spot ETF" and added, "Additionally, the Trump family is currently working on the World Liberty project together with Steve Witkoff's son Jack Witkoff, who is known to be a close friend of President Trump."

He also noted that institutional investment flows continue. Deutscher stated, "Harvard University purchased $120 million worth of BlackRock’s Bitcoin spot ETF, IBIT," suggesting that institutional demand is being stimulated by an increase in ETF accessibility.

"Bitcoin and Ethereum Stable... Altcoin Season May Arrive"

Meanwhile, Deutscher said that the volatility of Bitcoin and Ethereum has decreased. He noted, "Despite recent strong correction pressures, Bitcoin and Ethereum held their key support levels," describing this as "based on the exhaustion of selling pressure and solid demand."

He further predicted that an altcoin season may arrive, saying "Bitcoin’s market dominance has been on a gentle decline," and that “if Bitcoin and Ethereum stabilize in price, investors seeking higher returns may move into smaller-cap, riskier altcoins.”