At the beginning of June, I asked a question, will there be a summer run?Remember how I said June was that month that wipes out all the blood the market shed in May? And how I also said there’ll be spikes along the way to tell us if there’ll be a summer run or not as June is the month that gives us a glimpse into that?

Yeah, it’s all happening now, such that at this point, the question is no longer about if we will have a summer bull run, but about how wild the summer run will be.

But before we answer that question, how did we get here? I covered it all in this post and in the posts linked to it. So everyone is euphoric about Tradfi’s new interest in crypto, even the markets are greening about it, but really, how massive could the potential effect of this interest be? Let’s dive in.

Increased Liquidity:

The interest of traditional financial institutions in the crypto market can bring about increased liquidity. This means more capital flowing into the market, which can help mitigate extreme price swings.

The resultant decrease in volatility could attract more risk-averse investors, expanding the pool of capital even further and potentially propelling the market towards a bull run.

Enhanced Regulatory Clarity:

As traditional finance enters crypto, the pressure for clear and comprehensive regulations will likely intensify. With traditional finance's reputation for strict regulatory compliance, their entry could usher in an era of enhanced regulatory clarity.

This could provide the much-needed legal certainty that would reduce the risk associated with investing in cryptocurrencies,further fueling a potential bull run.

Better Infrastructure:

Traditional financial institutions have vast resources at their disposal, which can be used to build robust and user-friendly platforms.

This can bridge the gap between traditional finance and cryptocurrencies, making it easier for retail investors to enter the market. The influx of new users could increase demand for cryptocurrencies, driving up their value.

More Institutional Investment

Major funds' interest in Bitcoin ETFs signals a growing confidence in the asset class. As more funds make similar moves, we could see an increase in institutional demand for cryptocurrencies. The institutional backing could boost investor confidence, potentially triggering a bull run.

Are these factors enough to trigger a mouth melting bull run? Balajis have predicted a $1m Bitcoin, many other speculators have said $250k and some have said $100k, a summer bull run is almost certain but how wild it will be still remains a mystery.

Is this win for only BTC?

At the beginning of June, when the SEC started to hold Binance by the neck, I wrote about how $BNB seemed to be dominating the market due to how the entire market dipped when the lawsuits dropped, but was I mistaken or what?

Well well well, the king of crypto proved itself and dominance as it ran up to new yearly highs today leaving alts behind.

But it’s not all gloom and doom for alts, this is a typical Bitcoin dominance behavior, after it settles, alts will take over and then we will see an alt season, good things happen to those who wait or something like that isn’t it? But then again what bags are you holding. We’ll talk about this in our next post.

Thanks for reading.