In cryptocurrency investing, Ethereum has rebounded to $3,750 amid growing adoption of Layer-2 scaling solutions. Traders are watching the $3,800 breakout level, which could trigger a move toward $4,200, supported by rising DeFi transaction volumes and positive on-chain metrics. According to experts, there are several reasons for the new all-time high. On one hand, more and more institutional investors are putting their money into Bitcoin, even though some early investors are cashing out and selling their Bitcoin holdings. Collateralized stablecoins have an element of centralization because the issuer must control the reserves. This raises privacy concerns and introduces the risk of fraud or manipulation. Privacy concerns came to the forefront in June 2025, when Tether froze $700 million of USDT assets as part of an official U.S. investigation into potentially illegal activities. Cryptocurrency investing is impacted by macro trends; Fed interest rate projections continue to influence BTC via USD strength. Short-term traders are watching CPI data releases closely for directional cues in crypto markets.
