Analyst: Bitcoin may soon form a "golden cross"; current market structure differs from the 2022 cycle.

Crypto analyst Ali Charts stated in a post that two bear market end phases in Bitcoin’s history share a common trait: a strong weekly reversal candlestick that emerges unexpectedly for most market participants, acting as a trend reversal signal. Such rallies typically start with a short squeeze. As prices rise, bearish traders keep adding short positions; as the rally accelerates, these short positions get forced liquidated, further driving prices higher. Data shows Bitcoin posted a 31.98% weekly gain in 2019, a move that helped confirm the end of the bear market and the start of a new uptrend. In January 2023, amid extreme bearish sentiment following the FTX collapse, Bitcoin rallied 24.90% in a single week, defying widespread bearish expectations. A similar move may be unfolding in the current market. Many investors previously predicted Bitcoin would bottom in October based on the four-year cycle theory, but the cryptocurrency has surged from $62,700 to $79,500, notching a 26.81% weekly gain. He believes that if historical patterns repeat, this strong weekly reversal could serve as an early signal that Bitcoin is entering a new uptrend cycle.

According to CertiK’s monitoring, Term Labs has fallen victim to a governance attack, leading to an estimated $8.5 million in asset losses. The attacker’s address currently holds 2,843 ETH (valued at approximately $7.1 million) and around 1.6 million DAI. Term Labs stated that it has identified a governance vulnerability incident affecting its Term Vaults and is conducting further investigations.

Alibaba announced today that it will place new shares with non-U.S. investors outside the United States, with a total placement value of HK$80 billion. The round of placement has been oversubscribed, with strong demand from high-quality long-term bullish investors including sovereign wealth funds, according to Science and Technology Innovation Board Daily.

Hong Kong Special Administrative Region (HKSAR) Financial Secretary Paul Chan Mo-po published a blog post on the 23rd, noting that the artificial intelligence (AI) boom is injecting strong momentum into Hong Kong’s economy and consumer market. The HKSAR government is comprehensively advancing the deployment and widespread application of AI across all sectors. Chan stated that AI development has provided a significant boost to Hong Kong’s economy and financial market. Benefiting from robust global demand for AI-related products, Hong Kong’s exports have posted high double-digit growth for several consecutive quarters. In the capital market, from last December to May this year, AI-related initial public offering (IPO) fundraising in Hong Kong reached nearly HK$100 billion, accounting for around 55% of the total IPO funds raised in the period. The Hang Seng Index Company recently added multiple AI-linked firms to its indices, reflecting their growing importance to the local economy. Research estimates further suggest that if Hong Kong’s small and medium-sized enterprises (SMEs) can match large enterprises in AI adoption by 2035, the city could unlock up to HK$65 billion in economic benefits. The HKSAR government is also deepening AI integration in its operations: the AI Efficiency Enhancement Team has rolled out the first batch of 30 efficiency improvement projects spanning 13 departments. (Xinhua)

According to Defillama data, Hyperliquid's weekly revenue hit $16.93 million this week, a nearly 196% jump from last week's $5.72 million. Fueled by this week's rebound in the crypto market, demand for perpetual contract trading has risen, driving simultaneous growth in the platform's trading volume and fee revenue. Separately, HTX market data shows Hyperliquid's native token HYPE has rallied over 37% this week, currently trading at $78.66.

Bitcoin has recently rallied to a multi-month high, with Bitfinex analysts noting the current upswing is driven primarily by spot buying and short covering rather than new leveraged funds, giving it longer staying power than a typical short squeeze. As all investors who bought bitcoin over the past five months are currently in unrealized profit, the key risk to the current rally comes from profit-taking flows into trading platforms. Bitfinex identifies the U.S. Treasury’s August 19 announcement to expand its long-term bond repurchase program as a major catalyst for the recent price action. The early stage of this rally was indeed fueled by short liquidations. On the same day, U.S. spot bitcoin ETFs recorded $297.6 million in inflows. However, subsequent price gains were driven mainly by spot buying. Looking at positioning, while bitcoin prices rose 10% to 11%, open interest (OI) increased by only around 4%, indicating spot demand and short covering are the primary drivers, with leveraged funds playing a limited role. Bitfinex points out that the $68,000–$69,000 range is a key current support level, near the average cost basis of bitcoin buyers over the past five months. Holding above this level will keep those investors in profit, reducing selling pressure from previously trapped positions during rebounds. On the funding front, U.S. spot bitcoin ETFs saw a single-day inflow of $606.29 million on August 20, the largest daily inflow since May 1, with BlackRock’s IBIT accounting for roughly 82% of that total. Bitfinex says if this inflow persists for a week, it will further strengthen the market’s demand structure. However, Bitfinex warns that the biggest current risk is a surge in profit-taking bitcoin flowing into trading platforms, which could trigger the largest sell-off since 2026. Analysts add that if real yields rise back to levels that previously pressured bitcoin below $65,000, macro factors could quickly impact the market.