Bitcoin Smashes Records as ETF Cash Firehose Drenches Crypto Markets

Wall Street’s latest gold rush sends BTC soaring past $100K

Institutional money floods in—because nothing says ’trust the system’ like hedge funds chasing 24/7 volatility

The ETF approval everyone mocked now looks like finance’s ultimate ’fine, we’ll play along’ moment

$105,248 witnessed a notable price increase of 3% to surpass the $105,500 threshold, sparking excitement in the market due to an impending “golden cross” formation. This ascent, bolstered by volume increase, indicates the permanence of institutional interest, prompting speculation on potential new record highs.

ContentsRecord Inflows into ETFs Fortify Investor ConfidenceTechnical Indicators Boost the Prospect of Strong bitcoin Rally

Record Inflows into ETFs Fortify Investor Confidence

BlackRock’s IBIT fund has dominated fund flows for 23 of the last 24 trading days, raising its total assets to 636,000 BTC. With a daily addition of 2,910 BTC, the capital drawn by the fund since the beginning of the year exceeded $6.5 billion.

Data from Farside Investors reveal that Fidelity’s FBTC fund received an inflow of $188 million, while Ark Invest’s ARKB fund saw an influx of $155 million, during the same session. As a result, fresh capital funneled into Bitcoin via ETF channels reached $1.1 billion in just four business days, emblematic of institutional portfolios turning to Bitcoin as a “safe haven.”

The recent wave of inflows into ETFs occurred despite a shift in risk perception following Moody’s downgrade of the U.S. credit rating. Analysts suggest rising bond yields have triggered a partial asset transition from equities to the cryptocurrency market. Investment managers assert that holding Bitcoin through spot ETFs offers protection against inflation risks without disrupting balance structures, amplifying the appeal of crypto-based investment products sanctioned by regulators.

Technical Indicators Boost the Prospect of Strong Bitcoin Rally

A key technical signal drawing market attention is the “golden cross” formation, as the 50-day moving average prepares to cross above the 200-day. Analyst Benjamin Cowen stated this formation could complete within days, recalling that similar intersections in previous cycles triggered double-digit percentage increases. As upward trends appear on charts, most buy orders come from institutional investors who view short-term corrections as buying opportunities.

The overview presented by the derivatives market supports the bulls. According to Coinglass data, open positions in futures grew by 7%, reaching $73 billion, alongside $45 million in short liquidations in the past 24 hours. Most liquidations occurred during price action above $105,000, highlighting the rapid market exit of sellers and the takeover by buyers.

In the spot market, the “net volume delta” indicator from CryptoQuant turned positive in Binance exchange. This shift indicates diminished selling pressure and a resurgence in trades based on actual Bitcoin delivery. The broadening institutional demand in the spot channel, coupled with derivatives market momentum, prepares a technical foundation for new peak attempts.

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