Market Movement:

  • Ethereum up 1.40%, trading at $4,464.62, with a recent high of $4,464.69, near its all-time high levels
  • Dogecoin stabilized near $0.260 after a late-session dip, with a final price of $0.25559 (-0.59%) and a volume spike of 33.1M tokens in the last hour

Key Events:

  • Canaan secured its largest U.S. order in 3 years for over 50,000 Avalon A15 Pro miners, with shares up 12% pre-market and nearly 18% yesterday
  • XRP gained 3%, rising from $2.98 to $3.03, with a spike of 212.6M tokens, and institutional flows driven by SBI lending expansion

Trading Signals:

  • XRP’s consolidation above $3.00 with a volume spike of 212.6M tokens signals institutional accumulation, with resistance at $3.10 and support near $2.99–$3.00
  • DOGE’s late-session liquidation spike of 33.1M tokens at $0.260 indicates short-term sell pressure, but technical patterns suggest upside potential if resistance at $0.262–$0.264 is broken

Narrative Shifts:

  • Focus on BNB ecosystem tokens, with PancakeSwap’s CAKE up nearly 30% and ASTER up 18%, reflecting sector rotation into utility and fee-generating protocols
  • Institutional interest in XRP driven by SBI lending and ETF speculation, with market attention on potential ETF approvals and Asian liquidity flows
  • Market sentiment remains bullish with Bitcoin approaching $120K, while meme coins like DOGE face short-term sell-offs, highlighting sector rotation from meme to utility tokens

Risk Alerts:

  • Regulatory risks persist with pending SEC ETF decisions for XRP, with over 99% odds of approval, but still subject to market reaction
  • Dogecoin’s late liquidation spike and resistance at $0.262–$0.264 suggest fragility in short-term momentum, requiring caution for long entries

Opportunities:

  • Growth in BNB ecosystem tokens like CAKE and ASTER indicates opportunities in fee-generating protocols and on-chain activity
  • Institutional flows into XRP and the broader Asian market suggest potential for sustained upside if ETF approvals and lending momentum persist

Flows & Positioning

Bitcoin Surges Past $120K Amid ETF Inflows and Market Optimism

Bitcoin (BTC) has broken above the $120,000 mark for the first time since mid-August, driven by substantial inflows into Bitcoin ETFs and a bullish sentiment surrounding the cryptocurrency market. This surge is attributed to a combination of factors, including expectations of Federal Reserve interest rate cuts and the historical strength of October for Bitcoin, often referred to as "Uptober." The price reached $120,286, marking an 8% increase over the past week. On October 1, Bitcoin ETFs recorded their highest single-day inflows since mid-September, attracting approximately $675.8 million. BlackRock's iShares Bitcoin Trust led this influx with $405 million, signaling strong institutional interest and confidence in Bitcoin's upward trajectory.

This development highlights the growing acceptance of Bitcoin as a mainstream investment vehicle.

Institutional Activity: Record ETF Inflows and Futures Trading

Institutional interest in Bitcoin is further underscored by the record open interest in BTC futures, which has reached an all-time high of $32.6 billion. This indicates a strong conviction among traders that Bitcoin will continue to rise. Additionally, the CME Group announced plans to launch 24/7 trading for its cryptocurrency futures and options by early 2026, responding to increasing demand for continuous trading opportunities. Meanwhile, the total value of Bitcoin held in ETFs has surged to $155.89 billion, representing 6.66% of Bitcoin's market capitalization.

The robust inflows and the anticipated launch of new ETFs could significantly influence market dynamics, potentially leading to further price appreciation as institutional investors seek exposure to Bitcoin.

Market Movements: Altcoins React to Bitcoin's Rally

As Bitcoin climbs, altcoins are also experiencing significant gains. For instance, Dogecoin (DOGE) has seen a nearly 3% increase, while XRP has surged above $3.00, confirming a short-term floor near $2.99. The broader crypto market capitalization has expanded to approximately $4.18 trillion, reflecting a bullish sentiment across various digital assets. Additionally, Zcash (ZEC) has exploded in price, doubling in value over the past week as demand for privacy coins rises amid the market rally.

This trend indicates that investors are diversifying their portfolios, seeking both established cryptocurrencies and emerging opportunities within the market.

Outlook: Bullish Sentiment Prevails as October Progresses

The current market dynamics suggest a continuation of the bullish trend as Bitcoin and altcoins gain momentum. Analysts are optimistic about the potential for Bitcoin to reach new all-time highs, especially if it can maintain its position above $120,000. The upcoming decisions on ETF applications and macroeconomic factors, such as interest rate adjustments, will be critical in shaping market sentiment. Overall, the combination of strong institutional support, record ETF inflows, and positive macroeconomic indicators positions the cryptocurrency market for a potentially explosive end to 2025, with Bitcoin possibly targeting levels as high as $200,000 if current trends continue.

Corporate & Capital Markets

BTCC Launches 178,500 USDT Referral Campaign with NBA Superstar JJJ

BTCC has launched a referral campaign worth 178,500 USDT in partnership with NBA superstar JJJ. This campaign was announced on October 2, 2025.

Canaan Shares Surge After 50,000-Rig Bitcoin Mining Deal

Canaan has secured a 50,000-rig Bitcoin mining deal, marking its largest agreement in over three years. This development indicates a renewed appetite for Bitcoin mining in the U.S., as stated by the company's CEO.

Ecosystem Movers

Bitcoin and Major Altcoins Surge Amid Market Optimism

Bitcoin has recently shown remarkable price action, briefly surpassing $121,000 during early trading hours, marking a significant rally amid a broader bullish sentiment in the crypto market. This surge comes despite the ongoing U.S. government shutdown, which historically has not hindered the performance of digital assets. Ethereum also saw gains, approaching $4,400, while BNB reached an all-time high of over $1,000, reflecting a robust uptick in investor confidence across the sector.

Solana joined the rally, climbing above $224, contributing to the overall market capitalization, which now stands at approximately $4.18 trillion.

Meme Coins Lead the Charge in 'Uptober' Rally

Meme coins are experiencing a resurgence, with Dogecoin leading the charge after a 9% overnight gain, bringing its market valuation to approximately $38 billion. Analysts are optimistic about Dogecoin's potential to reach a price target of $1.56, driven by bullish market sentiment and technical indicators suggesting a new upward wave. The overall market for meme coins has bounced back to an $81 billion valuation, indicating strong investor interest in this segment as the crypto community embraces the "Uptober" narrative.

BNB's Performance and Market Dynamics

BNB has seen a notable increase of over 3.5% as expectations of a Federal Reserve rate cut have fueled a rally past key resistance levels. The token's rise from a low of $1,017.44 to above $1,050 reflects a broader market movement, with traders reacting to a weak ADP report indicating job losses. Additionally, BNB Chain's recent reduction of its minimum gas fee to 0.05 Gwei has made it one of the most cost-effective networks, further enhancing its appeal among users and investors.

Ripple's RLUSD and Market Implications

The introduction of Ripple's RLUSD, a U.S. dollar-backed stablecoin, is expected to inject $1.8 million into the market, potentially signaling a bullish phase for XRP. This development follows the approval of the GENIUS Act, which has provided a regulatory framework for stablecoins, further enhancing Ripple's position in the crypto landscape. As XRP has already demonstrated significant price movements, the influx of RLUSD could catalyze further gains, positioning XRP as a key player in the upcoming market cycle.

On-Chain & Network

Hyperliquid Maintains Dominance in Perp DEX Open Interest Despite Volume Decline

Hyperliquid continues to command approximately 62% of the perpetual decentralized exchange (perp DEX) open interest market, despite a significant drop in its trading volume share from 45% to 8% in recent weeks. This metric indicates a strong liquidity position, as open interest reflects the total number of outstanding contracts, which is often considered a more stable measure of market health compared to trading volume.

DoubleZero Launches Mainnet to Enhance Blockchain Communication

The DoubleZero Foundation has launched its mainnet-beta, designed to improve communication efficiency among blockchain validators. By utilizing dedicated fiber routes instead of the public internet, DoubleZero aims to reduce lag and enhance transaction processing speed. Currently, 22% of staked SOL is integrated into the DoubleZero network, indicating early adoption and potential for increased performance in blockchain operations.

Mantle Introduces Tokenization Platform for Real-World Assets

Mantle has launched a Tokenization-as-a-Service platform aimed at facilitating the integration of real-world assets (RWAs) into blockchain ecosystems. This platform includes compliance services such as KYC tools and smart contract deployment, which are essential for ensuring regulatory adherence in traditional finance. The initiative is part of a broader strategy to capture a share of the projected $26 billion RWA market, which is expected to grow significantly by 2030.

Stellar's XLM Sees Increased Trading Volume and Resistance Testing

Stellar's XLM experienced a 4% increase in price, supported by a surge in trading volumes that more than doubled the daily average. This activity established a support level at $0.40 and resistance near $0.41, indicating a potential consolidation phase. The heightened trading volumes during the breakout, particularly with spikes reaching 90.15 million, reflect robust market engagement and bullish sentiment.

Ethereum's Gas Limit Set to Triple Under Fusaka Upgrade

Ethereum is preparing for a significant upgrade, the Fusaka upgrade, which will increase its gas limit threefold. This change is expected to enhance transaction throughput and reduce congestion, potentially improving user experience and lowering fees for network participants.

Avalanche Treasury Co. Plans Major AVAX Acquisition Through SPAC Merger

Avalanche Treasury Co. is set to merge with Mountain Lake Acquisition Corp. in a $675 million deal, which includes a strategic partnership with the Avalanche Foundation for a $200 million initial purchase of AVAX at a discount. This initiative aims to accumulate $1 billion in AVAX to support ecosystem growth through investments and partnerships.

Macro & Policy

New York Proposes Tiered Tax on High-Consumption Crypto Miners

New York State Senator Liz Krueger has introduced a bill aimed at taxing crypto mining operations based on their electricity consumption. The proposed tiered excise tax could charge miners up to 5 cents per kilowatt-hour (kWh), with exemptions for those using renewable energy. Mining firms consuming less than 2.25 million kWh annually would be exempt, while those consuming between 2.26 and 5 million kWh would pay 2 cents per kWh, escalating to 5 cents for those exceeding 20 million kWh. This bill follows a two-year moratorium on non-renewable-powered mining that ended in 2024, highlighting the state's focus on energy consumption in the crypto sector.

Nomura Expands Crypto Trading Services in Japan Amid Market Growth

Nomura Holdings is seeking to enhance its presence in Japan's digital asset market through its subsidiary, Laser Digital Holdings, which is in pre-consultation talks with Japan's Financial Services Agency for a trading license. This move comes as Japan's crypto trading market has seen a significant increase, with transaction values doubling to approximately ¥33.7 trillion (around $230 billion) in the first seven months of 2025. The anticipated regulatory changes, including tax cuts and new rules for crypto-focused funds, are expected to further boost market participation.

Swedish Lawmakers Propose National Bitcoin Reserve

Members of the Sweden Democrats have filed a motion urging the government to explore the creation of a national Bitcoin reserve. The proposal, submitted on October 1, 2025, seeks to investigate the feasibility of establishing a strategic reserve and the appropriate authority to manage it. This initiative aligns with similar efforts in other nations to secure Bitcoin reserves as a potential response to shifts in the global financial infrastructure.

European Central Bank Advances Digital Euro Development

The European Central Bank (ECB) has announced agreements with seven entities to develop components for the digital euro, with a potential launch date set for 2029. This initiative reflects the ECB's ongoing efforts to explore central bank digital currencies (CBDCs) as part of its strategy to modernize the financial system and enhance payment efficiency across the Eurozone.

Bitcoin Price Surge Amid Market Resilience Despite US Government Shutdown

Bitcoin's price surged above $120,000, continuing a bullish trend that began in September and is characterized by a historical pattern known as "Uptober." This increase occurred despite the US government shutdown, which has furloughed over 90% of SEC staff and left the CFTC operating with minimal personnel. Analysts note that Bitcoin's resilience is indicative of its structural strength, as the market adapts to seasonal patterns and liquidity improvements typically seen in Q4.

Security & Incidents

$1.4 Million Scam Allegation in OTC Deal

A dispute over a $1.4 million loss has gripped Crypto Twitter after a trader claimed to have been scammed in an over-the-counter (OTC) deal. The controversy began when trader 0x_Leo_ shared the incident in a post on X (Twitter), lamenting, “…just got scammed for 1.4mil on an OTC deal. They transferred money out to KuCoin.” On-chain data shows the transfer of 1.40 million USDC (≈ $1.399 million) on Ethereum from an unspecified address.

Seed Phrase Theft Leads to $1.7 Million Loss

A former Singapore Armed Forces diver stole $1.7 million in USDT after photographing the victim’s seed phrase in their bedroom. Teo Rong Xuan, 34, admitted to charges including housebreaking and dealing with ill-gotten gains in court on October 1. He spent the stolen funds on luxury watches, gambling, and mortgage payments.

Disclaimer: The content provided in this newsletter is for educational purposes only and does not constitute financial, investment, legal, or tax advice. You are encouraged to conduct your own research before making any investment decisions. Daily Signals and its affiliates are not responsible for any losses or damages resulting from reliance on the information presented.

© 2025 Daily Signals. All rights reserved.