Bitcoin and Ethereum Surge Amid Institutional ETF Inflows

The cryptocurrency market recorded its strongest weekly performance in two years between August 17 and 23, 2026. Bitcoin rose approximately 23% to close at $77,200, while Ethereum climbed over 30% to reach approximately $2,460. Other major assets, including XRP and Solana, also experienced significant gains during the rally.

Institutional demand drove the surge, with $2.6 billion in combined inflows into U.S. spot Bitcoin and Ethereum ETFs. Macroeconomic factors contributed to the momentum, including a weakening U.S. dollar and a decision by the U.S. Treasury Department to increase long-term bond repurchases. On August 18, the U.S. Securities and Exchange Commission proposed a new specialized framework for cryptoasset transactions to reduce regulatory uncertainty.

The price increases were further accelerated by the liquidation of over $4 billion in short positions. Investors are now looking toward the Jackson Hole economic symposium and a scheduled speech by Federal Reserve Chair Kevin Warsh on August 28 for potential signals regarding future monetary policy.