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CoinCatch Market Daily Report (August 5, 2025)
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2025-08-05 | 10m
On August 5, 2025, Bitcoin, after a period of price fluctuations, stabilized and rebounded to approximately $114,166.89. This upward movement came after a dip in its value, and the current price indicates a certain level of resilience in the market. Ethereum is approaching a crucial resistance level. As of today, its value stands at around $3,651.49, with a notable change of +3.1% in the last 24 hours. As of today, Coinbase and PayPal navigate US GENIUS Act's stablecoin rules; Aave completes $15.7 million AAVE token buyback; Sei’s daily active users surpass solana for the first time on August 2 and massive U.S. spot ethereum ETFs outflow rocks digital asset market.
Crypto Market Overview
BTC
(-0.24% | Current Price: 114,166.89 USDT) recently declined sharply from the 119,000 USDT high, breaking through the key 115,000 USDT support level. It then entered a consolidation phase between 112,000 and 114,000 USDT, attempting to find support and form a bottom. The price has since stabilized and rebounded to around 114,166.89 USDT. The 112,000 USDT level acts as a critical support zone for sustaining the rebound, while 115,000 USDT is the main resistance level — a successful breakout above it could open up further upside. On August 4th, BTC ETFs saw outflows of $323 million, with IBIT accounting for $292 million and FBTC for $40.1 million.
ETH
(+3.1% | Current Price: 3,651.49 USDT) earlier this week experienced a noticeable correction and entered a consolidation phase after reaching a local low, as it endeavored to establish a stable base. The current trend indicates a possible breakout to the upside, with the price approaching a significant resistance level near 3,500 USDT. This level has historically served as strong support and may now function as resistance. A breakout accompanied by increased volume could potentially lead to further upward movement. On August 4th, ETH ETFs saw outflows of $465 million, with BlackRock’s ETHA accounting for $375 million outflow and Fidelity’s FETH seeing $55.1 million inflow.
Altcoins: Altcoins showed an upward trend in the past 24 hours. However, the Fear and Greed Index currently stands at 55, indicating a slight decrease in investor optimism.
Macro Data: On August 4, the S&P 500 index rose 1.47% to 6,329.94; the Dow Jones Industrial Average increased 1.34% to 44,173.64; and the Nasdaq Composite gained 1.95% to 21,053.58. As of August 5, 3:00 (UTC), spot gold was priced at $3,373 per ounce, up 0.01% in the last 24 hours.
Top Gainers
MAGIC Treasure (+28.7%, Circulating Market Cap: $81.01 Million)
MAGIC is currently priced at $0.2585, up 28.7% in the last 24 hours. Treasure is building the future of AI-powered entertainment with its native token, MAGIC, which fuels a diverse suite of AI-driven products spanning AI agent technology and infrastructure, first-party games, and an AI Agent Marketplace. Treasure is focused on four core products: AI agent scaling technology (Neurochimp and Mastermind), Smolworld, Bridgeworld Canopy, and an AI Agent Marketplace. Treasure was another top crypto gainer today, jumping by 15% to its highest point since April 30. MAGIC has climbed 235% from its lowest point this year. The Treasure token rose as on-chain data showed that supply on exchanges dropped to 164 million, down from 193 million in July. Falling exchange balances are a sign that investors are not selling but moving their tokens off exchanges.
SQD Squid (+11%, Circulating Market Cap: $125.38 Million)
SQD is currently priced at $0.1726, up 11% in the past 24 hours. Subsquid Network is an innovative decentralized data lake and query engine designed to offer developers performant and permissionless access to data, aiming to build a neutral and open internet rooted in Web3 principles. Secured by ZK proofs, the Subsquid network boasts a modular architecture that enables exceptional scalability and developer convenience optimized for blockchain indexing, dApp development, and analytics. The gain of Subsquid (SQD) by 24 percent in the last 24 hours has contributed to a robust push following the listing of the coin on Coinbase in addition to a significant funding declaration.
LTC Litecoin (+13.76%, Circulating Market Cap: $9.32 Billion)
LTC is currently priced at $122.47, up 9.62% in the last 24 hours. Litecoin (LTC) is a cryptocurrency that was designed to provide fast, secure and low-cost payments by leveraging the unique properties of blockchain technology. The cryptocurrency was created based on the
Bitcoin (BTC) protocol, but it differs in terms of the hashing algorithm used, hard cap, block transaction times and a few other factors. Litecoin has a block time of just 2.5 minutes and extremely low transaction fees, making it suitable for micro-transactions and point-of-sale payments. Litecoin’s 11% jump today is more than just a random price spike—it’s supported by real adoption, regulatory momentum, and technical strength. While resistance in the $124–$131 zone may slow immediate gains, staying above $113.24 (23.6% Fibonacci level) could validate this move as the beginning of a larger macro breakout.
Market Insights
Coinbase and PayPal Navigate US GENIUS Act's Stablecoin Rules
Coinbase and PayPal have continued offering stablecoin rewards despite the
US GENIUS Actaimed at prohibiting such offerings. Following the Act's enactment on July 18, 2025, both firms maintained programs promising annualized returns of 3%-5%. The Act, however, only regulatesstablecoin issuers and does not limit secondary market activities like those of Coinbase and PayPal.
Coinbase CEO Brian Armstrong clarified during an earnings call that the company's USDC rewards are structured as non-interest incentives. PayPal similarly justifies its PYUSD returns through third-party partnerships. Such programs remain legal under current interpretations, emphasizing rewards rather than interest.
Market players view these rewards as regulatory loopholes. No significant statements have emerged from major crypto figures on this topic, though public discussion persists with legal experts asserting compliance. The interpretation of the Act suggests it sidesteps secondary market "reward" programs unless subsequent regulations specifically target them.
Aave Completes $15.7 Million AAVE Token Buyback
Aave has achieved a milestone by repurchasing $15.7 million in AAVE tokens, following a DAO-approved buyback plan, enhancing its financial stance.
This move indicates potential for a record revenue year, affecting market stability and AAVE's value while reinforcing its DeFi market position.
Aave, a leading DeFi protocol, has announced a major milestone by repurchasing $15.7 million in AAVE tokens. This buyback program, greenlit by the Aave DAO, highlights the platform's strategic commitment to boosting token value.
The buyback program was authorized by a governance vote with 99.63% approval, assigning the Aave Finance Committee to manage weekly $1 million buybacks. Marc Zeller, a key advocate and Founder of Aave Chan Initiative, emphasizes a conservative fiscal approach.
The initiative aims to enhance market strength and generate unrealized profits, which currently total around $2.6 million. The program focuses on stabilizing the platform while boosting AAVE's reputation and financial health.
By reducing AAVE token emissions, the buyback is expected to increase the protocol's asset value. Aave controls a significant 25% of DeFi's Total Value Locked (TVL), further reflecting its strong market influence and liquidity position.
Sei’s Daily Active Users Surpass Solana for the First Time on August 2
According to data from the Artemis website, Sei’s daily active users surpassed Solana for the first time on August 2. Sei’s recent launch of native USDC and the introduction of Ondo and Backpack have doubled its daily active users in the last 3 months: from 380,000 to the current 752,000. On August 2, due to a significant drop in Solana’s daily active users and transaction volume, Sei’s daily active users surpassed Solana for the first time. Additionally, in just 10 days, the issuance of native USDC on Sei reached 108 million, surpassing chains like zkSync, Algorand, and Polkadot.
The rapid growth in Sei blockchain’s daily active users, surpassing Solana for the first time, demonstrates its potential for quick rise in the competitive public chain market. The introduction of native USDC and the expansion of ecosystem projects have significantly boosted network activity, showing Sei’s strong momentum in attracting users and capital. In the future, if Sei can continue to optimize its ecosystem and improve transaction efficiency, it may occupy a more important position in the public chain domain.
Massive U.S. Spot Ethereum ETFs Outflow Rocks Digital Asset Market
The world of digital assets witnessed a truly remarkable event on August 4, as U.S. spot Ethereum ETFs recorded their largest combined net outflow in history. This single-day shift saw an astonishing $465.77 million depart from these investment vehicles, sending ripples across the market. The data, shared by crypto analyst Trader T on X, highlighted a significant moment for institutional interest in Ethereum.
Specifically, BlackRock’s ETHA led the charge with a substantial $375.68 million in outflows. Fidelity’s FETH followed, shedding $55.11 million. Grayscale’s mini ETH and its larger counterpart, ETHE, also experienced notable withdrawals of $28 million and $6.98 million, respectively. The remaining ETFs reported no change in their holdings for the day, making the concentration of these outflows particularly striking.
Such a significant movement begs the question: what prompted this unprecedented surge in Ethereum ETF outflows? While a definitive single cause is often elusive in dynamic markets, several factors could be at play. One common reason for large outflows from investment products like ETFs is profit-taking by early investors, especially after periods of strong performance. Investors might be rebalancing their portfolios or moving capital to other opportunities they perceive as more attractive.
Another contributing factor could be a broader shift in market sentiment or a reaction to specific macroeconomic indicators. Sometimes, large institutional investors, who hold substantial portions of these ETFs, make strategic decisions to reduce their exposure to certain asset classes based on their risk assessments or internal mandates. Regulatory uncertainties, though often simmering, can also occasionally trigger cautious moves among large holders, leading to significant withdrawals.
References:
Farside Investors. (n.d.).
Bitcoin ETF flows. Retrieved August 5, 2025, from
https://farside.co.uk/btc/
Farside Investors. (n.d.).
Ethereum ETF flows. Retrieved August 5, 2025, from
https://farside.co.uk/eth/
Investing.com. (n.d.).
USA Indices. Retrieved August 5, 2025, from
https://investing.com/indices/usa-indices
Investing.com. (n.d.).
XAU/USD – Gold to US Dollar. Retrieved August 5, 2025, from
https://investing.com/currencies/xau-usd
CoinCatch Team
Disclaimer:
Digital asset prices carry high market risk and price volatility. You should carefully consider your investment experience, financial situation, investment objectives, and risk tolerance. CoinCatch is not responsible for any losses that may occur. This article should not be considered financial advice.
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