Market Analysis

Memecoin TUT posted more than $42 million in liquidations over the past 24 hours, surpassing Bitcoin and Ethereum to rank as the most liquidated crypto asset. The token had jumped more than 1,100% in two days, hitting an all-time high of $0.2903 on August 9 before reversing sharply. It is now trading about 42% below that peak and saw unusually heavy derivatives activity, with 24-hour futures volume reaching $3.34 billion.

Solana futures open interest is close to $1.8 billion, representing about 23.1 million SOL in notional exposure. Funding rates on major exchanges’ perpetual contracts have risen to around 0.01% every eight hours, the highest in nearly 11 months, indicating traders are paying up to keep leveraged long positions. The last time funding was at similar levels, SOL traded above $200, while it is now above $70 and roughly 2.6% away from the $80 resistance level. Traders are watching whether SOL can break through $80.

Crypto markets had a strong week, with Bitcoin ETFs posting $853M in net BTC buying, the biggest weekly inflow in three months. Ethereum ETFs recorded $244M in net ETH buying, the largest weekly inflow in four months, while SOL broke out of a three-month downtrend. In policy developments, President Vladimir Putin signed a new law regulating crypto in Russia, and the U.S. Senate is set to vote on the Crypto CLARITY Act on September 15, which President Donald Trump said he supports. September rate-hike odds fell to 40% from 56%, and Strategy’s STRC shares hit a 51-day high of $9.4.

Tokenized funds surpassed $9.0 billion in assets under management in Q1 2026, rising 181.3% year over year. Traditional asset managers and crypto-native firms are accelerating their push into onchain markets, according to a report by CoinShares and Token Terminal. The trend points to the rise of Hybrid Finance, where Wall Street products, blockchain infrastructure and digital-asset markets are increasingly converging into a single ecosystem.

Bitcoin was trading around $65,000 ahead of the weekend as macro tailwinds and headwinds pulled in opposite directions. A softer-than-expected U.S. jobs report, including a combined 103,000 downward revision to May and June, pushed Treasury yields and the dollar lower as markets trimmed the odds of a September Fed hike. At the same time, rising tensions around the Strait of Hormuz renewed worries about inflation returning via higher energy prices. U.S.-listed spot Bitcoin ETFs took in $763.7 million this week, the fastest pace of inflows since April.

Canary XRP ETF’s Q2 Form 10-Q shows XRP fell 43% in H1 2026, with the fund’s own fair-value marks indicating a move from about $1.84 to $1.04. Over the same period, the ETF increased XRP held from 175.6M to 231.3M (+31.7%) and shares outstanding from 16.49M to 21.77M (+32%). Fair value declined from $322.9M to $241.3M, reflecting the price drop rather than redemptions. The increase in shares outstanding indicates authorized participants continued creating new baskets, pointing to capital coming in during the drawdown, according to SEC EDGAR and the Canary XRP ETF Form 10-Q (period ended 6/30/2026).

In the second quarter of 2026, applications on Ethereum generated about $1.79 billion in fees, but the base layer retained only $88.4 million, or 4.9%, widening the gap in value capture. ETH has remained below $2,000, roughly 60% off its 2025 all-time high. Only around 0.22 ETH was burned via blob fees over a recent seven-day period, weakening the earlier “ultrasound money” narrative. Even so, institutional activity on Ethereum continues to expand, contrasting with the token’s muted price performance.

Tokenized real-world assets (RWA) held in lending protocols and decentralized exchanges climbed from $2.3 billion to $7.4 billion over the past twelve months, a gain of more than 220%, according to a joint CoinShares and Token Terminal report. Over the same period, total DeFi deposits fell about 15% and DEX trading volume dropped roughly 70%. Tokenized Treasury products typically offer annual yields in the 3% to 5.5% range. CoinShares said those products can keep generating income even when posted as collateral.

JPMorgan said inflows into Hyperliquid (HYPE) spot ETFs have largely stopped, ending a two-month stretch in which the funds led non-bitcoin crypto ETF categories on an inflows-to-assets basis. The bank’s analysts estimated HYPE ETFs drew about $280 million cumulatively through June before reversing, with July posting more than $13 million in net outflows. They also cited a run of $29.8 million in outflows over twelve consecutive sessions through August 3. JPMorgan tied the shift to intensifying competition from newly regulated, U.S.-based perpetual futures platforms.

On Aug. 3, U.S. spot Bitcoin ETFs posted total net inflows of $170.1 million, reversing a $265.4 million net outflow recorded on July 31. BlackRock’s IBIT led with $111.4 million, followed by Fidelity’s FBTC at $33.4 million, while EZBC, BTCO and HODL also saw smaller gains. None of the 12 funds reported a net outflow, indicating a broader pickup in participation, according to Farside Investors.