BREAKING: Bitcoin price hits record high as ETF demand overwhelms bearish market setup

Key Points

1. Bitcoin surged over 2% on July 9, surpassing its prior all-time high of $111,970 set in May, defying skepticism and high short interest.

2. Institutional demand, including spot Bitcoin ETFs absorbing 245,000 BTC in Q2 and corporate buying, created a supply squeeze, forcing bears to cover positions.

3. Analysts describe a 'new flow regime' where institutional absorption outpaces new supply from miners by a 3:1 margin.

4. Strong U.S. economic data, including a better-than-expected June nonfarm payrolls report, has supported risk assets like Bitcoin.

5. Geopolitical tensions, such as new U.S. tariffs on several nations, may temporarily spook markets but could further drive demand for Bitcoin as a hedge.