On August 4, 2025, the cryptocurrency market demonstrated significant recovery despite negative U.S. job data and political instability. Major digital assets like Bitcoin and Ethereum showed considerable price rebounds.
Strong Rebound in the Crypto Market
According to CoinGecko, on August 4, the total market cap of cryptocurrencies reached $3.85 trillion with a 2.3% increase over 24 hours. Trading volume was $108 billion. Simultaneously, market volatility triggered large-scale liquidations, with over $230 million in crypto positions liquidated in the past 24 hours.
Confidence Returns Despite ETF Outflows
On August 1, significant outflows from crypto ETFs were observed. Bitcoin ETFs had a net outflow of $812 million, marking the second-largest single-day outflow in history. However, long-term inflows remain strong, indicating ongoing institutional confidence in Bitcoin, Ethereum, and the broader crypto ecosystem.
Economic Signals and Market Reactions
The disappointing U.S. job report released on August 1 increased market volatility. It showed only 73,000 new jobs created, well below expectations, raising concerns about the labor market. Additionally, political actions created further uncertainty, emphasizing the relationship between economic data and investor sentiment.
The recovery of the crypto market on August 4, 2025, was driven by both technical corrections and reactions to economic data and political instability. Investors continue to show interest in crypto assets while monitoring economic and political signals.
