Market Rallies as Trump Opens 401(k) Floodgates: Crypto Daybook Americas

Key Points

1. President Trump signed an executive order opening 401(k) retirement plans to cryptocurrencies, leading to a market rally with the CoinDesk 20 index rising 5.3%.

2. A 2-3% allocation of 401(k) funds to Bitcoin and Ethereum could significantly exceed current ETF inflows, creating sustained demand.

3. Ethereum's average daily transactions reached a record high, supported by the SEC's clarification that certain liquid staking models are not securities.

4. Ether's price surged 4.6% to nearly $3,900, while traditional markets like the S&P 500 and Nasdaq showed mixed performance.

5. Investors are anticipating July's inflation report, which may influence the likelihood of a Fed rate cut in September.