Bitcoin has surged beyond the $118,000 mark, propelled by unprecedented inflows into spot Bitcoin ETFs and strategic corporate treasury allocations. This rally signals robust institutional demand and a potential structural shift in the cryptocurrency market.
Spot Bitcoin exchange-traded funds (ETFs) witnessed a record-shattering single-day inflow of $1.18 billion. This massive capital influx highlights heightened institutional participation in the cryptocurrency sector through regulated vehicles.
Concurrently, spot Ethereum ETFs demonstrated strong investor interest with inflows reaching $383 million, broadening the rally beyond Bitcoin.
The dramatic price surge triggered significant market volatility, liquidating over $1 billion worth of short positions across major exchanges within a 24-hour period. This reflects intense trading activity and forced position closures during the upward move.
Analysts note this rally is primarily distinguished by institutional accumulation and favorable macroeconomic tailwinds driving demand, suggesting a departure from previous market cycles. Concurrently, Ethereum’s momentum carried it above the $3,000 level amid spiking volume, with technical indicators suggesting a potential path towards $4,000 if the trend continues.