Bitcoin Rises With Asian Markets as S&P 500 Hits Record High

Risk-on flows sweep through Asia, pulling Bitcoin higher in their wake.

The Correlation Play

It's the old script with a digital twist. A fresh record for the S&P 500 overnight acts like a starting pistol for regional bourses—and, increasingly, for crypto. The narrative of Bitcoin as a risk asset, not a hedge, gets another line of dialogue. Capital chases momentum, and right now, momentum is painted green across screens from Tokyo to Hong Kong.

Following the Leader

Forget 'digital gold' for a day. Watch the tickers. When traditional equities rally on liquidity and sentiment, crypto often plays follow-the-leader. It's a reminder that in the eyes of many institutional algos and macro funds, Bitcoin sits in the same bucket as tech stocks—a high-beta bet on a plentiful future.

The market's message is blunt: in a world awash with central bank promises, all boats rise. Even the digital ones. Just don't call it a strategy—call it a trade. After all, what's finance but the art of buying what just went up and selling it to the next person before it remembers gravity?

Market snapshot

• Bitcoin: $92,331, up 2.4%
• Ether: $3,248, up 0.7%
• XRP: $2.04, up 1.6%
• Total crypto market cap: $3.23 trillion, up 1.9%

Asia Traders Watch Positioning Shifts As ETF Inflows Offer Brief Support

For traders in Asia, that backdrop keeps the focus on positioning data and funding rates as much as on the headline price.

One support pillar came from US spot Bitcoin exchange-traded funds. Data provider SoSo Value reported more than $223M of net inflows on Thursday, the strongest reading in twenty days.

In the current environment, however, these flows may reflect short-term positioning rather than sticky institutional demand, and could reverse quickly if equity markets wobble again.

Bitfinex analysts said the next moves will hinge on Fed signals, Treasury market reactions, ETF flows and the behaviour of ETH relative to BTC.

They noted that the steady rise in ETH/BTC, even with low network fees, suggests capital is rotating back into Ethereum’s longer-term story, making the pair a useful gauge of risk appetite in crypto.

Global Benchmarks Hit New Highs As Traders Position For Gentler Fed Settings

Global markets have been recalibrating since the Federal Reserve delivered a third consecutive interest rate cut this week while sounding less hawkish than many feared. The move helped lift the MSCI All Country World Index to a new closing high and pushed the dollar index down to a two-month low NEAR 98.30, as traders leaned into the idea that policy is slowly shifting toward easier settings.

BREAKING: The S&P 500 officially posts its highest close in history, now up +42% since the April 2025 bottom. pic.twitter.com/HsxiJIHqnm

Fed funds futures now imply about a 75.6% chance that the central bank will hold rates at its next meeting on Jan. 28, up from roughly 73.9% a day earlier. Traders are still betting on two cuts in 2026 even though the Fed’s latest projections point to only one.

In equity markets, MSCI’s broad index of Asia Pacific shares outside Japan ROSE about 0.7%, tracking Thursday’s mostly higher close in the US, where the Dow and Russell 2000 both notched new highs while the Nasdaq dipped.

The MOVE extended a global rally that has favoured cyclicals and small caps, a backdrop that often helps sentiment in higher beta assets such as crypto.

Japan Outperforms As Softbank Jumps, While Wall Street Futures Turn Cautious

Tokyo’s Nikkei 225 outperformed in morning trade, climbing around 1%. Shares in SoftBank Group jumped about 6% after a Bloomberg News report said the conglomerate is considering an acquisition of the US data centre company Switch Inc, a deal that investors see as another way to capitalise on rising demand for AI infrastructure.

Futures pointed to a more cautious open for Wall Street. S&P 500 e-mini contracts were little changed in Asian hours, while Nasdaq futures slipped about 0.2% after Oracle shares plunged 13% overnight. The company’s heavy spending plans and weak forecasts fanned doubts over how quickly large AI investments will translate into profit, triggering a fresh round of tech selling.

Tech sentiment was mixed even within the AI complex. Broadcom projected first-quarter revenue above Wall Street estimates, offering some reassurance, but its shares fell about 5% in late trading after it warned that margins WOULD narrow because a higher share of sales is coming from AI.