📈 Once selected, it will attract about $25-30 billion in passive funds to flow into its stocks
MicroStrategy has historically bought BTC by issuing additional shares or bonds, so this could mean:
The scale of its BTC purchases in Q3 may reach US$1 billion or more, driving Bitcoin to strengthen
✅ Reason 2: Crypto ETFs are approved one after another, and traditional finance fully embraces altcoins
SEC has officially approved Solana’s collateralized ETF, which will start trading today
At the same time, it approved the conversion of Grayscale's large digital asset funds into ETFs, covering BTC, ETH, SOL, XRP, and ADA
📊 According to Bloomberg analysts, the probability of approval of multiple altcoin ETFs has increased to 95% by 2025
This means:
The altcoin market is welcoming a new round of ETF-driven institutional incremental funds
✅ Reason three: The Federal Reserve starts releasing liquidity, and "invisible QE" happens quietly
On July 1, overnight repo facilities surged 11,000% to $11 billion
This means that short-term liquidity is being released forcefully, which helps to lower short-term interest rates and ease tensions in the financial system.
Although this type of operation is not equivalent to QE, it is essentially a partial release of liquidity, which has begun to drive up market risk appetite.
✅ Reason 4: The Federal Reserve may officially start the interest rate cut cycle in Q3
The Federal Reserve has suspended interest rate hikes for 9 consecutive months, and Q3 has become a window for starting interest rate cuts
After the last rate cut (September 2023), both the US stock market and the crypto market have seen a strong rebound
🗣 Trump continues to publicly pressure Powell and hints at replacing the chairman
💬 Treasury Secretary Scott Bessent also revealed that he is looking for a new Federal Reserve Chairman
This means one of two things:
Powell complies with rate cut
Replaced, the market welcomes a new round of dovish cycle
Either way, it's good for the market.
✅ Reason 5: The stock market will see an inflow of $100 billion, and the crypto market will benefit simultaneously
Volatility Control Funds to start adding U.S. stocks in July
As realized volatility continues to decline, such funds tend to build large positions at this stage
Estimates show that about $100 billion will flow into the U.S. stock market in July
Since cryptocurrencies are highly correlated with U.S. stocks (especially the Nasdaq), this will also drive the prices of Bitcoin and altcoins higher simultaneously.
🧾 Conclusion: My final thoughts
If you are still hesitating whether Q3 is suitable for entering the market, you may miss the most important market turning point this year.
In addition to the five reasons mentioned in this article, there are more mid- to long-term benefits in the works:
The GENIUS Act brings new opportunities for on-chain data and identity compliance
Ethereum staking ETF is also being promoted in full swing
📌 Summary: Q3 is a window period of resonance between funds, policies, and narratives. Whether it is the stock market or the crypto market, risky assets are very likely to usher in a round of strong rebound
