BTC ETF Issuers Get Ducks in a Row, Funding Rates Soar

The crypto market commenced 2024 on a high note. BTC spearheaded the rally, climbing from just above $42k to nearly $46k, setting a new peak in the ongoing bull market. Despite a slight retracement, Bitcoin’s price remains over $45k. ETH, while not matching Bitcoin’s pace, has still made considerable bullish strides, now trading around $2,350 after briefly nearing $2,400. ETH’s Layer 2 solution, ARB 0.07% , is undergoing consolidation following its ascent towards record highs, reflecting the early stages of a Layer 2 rotation seen last week. Similarly, STX -3.45%  has rebounded, likely in response to Bitcoin’s upward move, and has seen a 9% increase in the last 24 hours. In a parallel development, SEI -5.38% , the debut parallelized EVM, has been performing beyond expectations, suggesting a strong market interest for upcoming parallelized EVMs. On the traditional markets front, the first trading day of the year is witnessing some consolidation as major US stock indices pull back amidst rising rates. With crypto prices also consolidating since the US market opened, it raises the question of whether macro correlations might reemerge soon. This week, significant macro data, including PMIs and jobs numbers, are due for release. These figures could alter the Federal Reserve’s timeline for its first rate cut.