Bitcoin surged to $58,000 during the Asian trading session, driven by a rally in US tech stocks and a positive trend in Asian markets.
Bitcoin reached $58,000 during the Asian trading session. This was driven by a general increase in US technology stocks and a favorable trend in the Asian stock markets.
Despite this financial boost, the cryptocurrency market also witnessed some significant performances, with the layer-1 blockchain token, Sui (SUI), recording significant gains for the day.
Tech Stocks and Bitcoin ETF Outflows
The increase in Bitcoin price can be attributed to a strong showing in the technology industry, with Nvidia, Microsoft, Google, and Apple among the biggest gainers on the U.S. stock market. Nvidia was on top of the list with a 8.2% rise by the end of the day, which can impact the investor sentiments across markets including cryptocurrency.
However, the US spot Bitcoin exchange-traded funds (ETFs), which have been witnessing an inflow trend in recent weeks, reported outflows during the current week. ARK Invest’s ARKB saw a significant outflow of $54 million. This outflow happened amid the US inflation data for August, which revealed an increase in the core inflation, thereby raising speculations regarding a Federal Reserve rate cut in the coming weeks.
Grayscale’s New Trust Initiative – SUI Soars
Among the cryptocurrencies, Sui had the highest rise in its performance with a 16% jump which can be largely attributed to an announcement made by Grayscale about the launch of Grayscale Sui Trust. This new trust values each Sui token at around 90 cents, as reported by Grayscale, while the market price of Sui token is slightly above $1.
This difference indicates a possible market correction to what is commonly referred to as the ‘Grayscale discount. There are several implications that can be derived from the launch of the new Grayscale trust, pointing to increased institutional interest and investment opportunities in newer blockchain technologies such as Sui.
In addition, the rest of the market, especially the AI-based blockchain tokens, also posted slight increases. This was evident with the news on OpenAI’s plans to secure significant investment which could have affected the value of NEAR Protocol and Artificial Superintelligence Alliance’s FET token among others.
