The price of Bitcoin It’s not a coincidence that the price of Bitcoin has risen to $104,000. The rally has been fuelled by the combination of record ETF performance, surging institutional flows, and increasing corporate adoption. This is what’s contributing to the rise in Bitcoin’s price.
Large institutions such as banks, asset managers and some companies are putting money into Bitcoin through ETFs (exchange-traded funds).
On Wednesday, James Seyffart Bloomberg ETF Research announced that spot Bitcoin ETFs had officially reached a new lifetime high of $40.33 billion in flows. The sharp rebound from earlier in the year signals a strong level of investor confidence.
“Lifetime net flows is #1 most imp metric to watch IMO, very hard to grow, pure truth, no bs,” said Ericl Balchunas, Bloomberg Senior ETF Analyst. “Impressive they were able to make it to new high water mark so soon after the world was supposed to end. Byproduct of barely anyone leaving, left only a tiny hole to dig out of.”
ETF resilience suggests institutional investors not only just didn’t flinch during recent market corrections, but started buying more — a key signal that further shows Bitcoin’s base is strengthening. These data support the argument that these institutional investors want to be in it for the long term, and not just make quick profits. ETFs are on an aggressive buying spree which has helped push the price up.
The macro-adoption trends are also accelerating. Strategy Executive Chairman Michael Saylor The Bitcoin For Corporations Event at Strategy World 2030 was held earlier in the week. “Bitcoin treasury companies are getting exponentially more powerful.” Simon Gerovich CEO of Japanese public company Metaplanet shared his belief that the company is not a “tidal wave” Bitcoin will become a more popular reserve asset for companies.
Phong Le, CEO of Strategy, supports this outlook prediction The number of companies that hold Bitcoin will increase from 70 up to 700 by the end of next year. This is a bold prediction, but it’s one that has been backed up by Bitcoin becoming a popular treasury asset at a time when the dollar is depreciating and there are concerns about sovereign debt.
Julien Bittel, Head of Macro Research at Global Macro Investor, shared a chart showing how Bitcoin’s price continues to closely follow the global M2 money supply — a measure of worldwide liquidity. The updated chart shows that there is a high correlation with an upward trend. “We’re going higher,” Bittel suggested that some Bitcoins are landing as money floods into the world economy.
Bitcoin’s price is rising, according to all indications: increased institutional demand, adoption of corporate Treasury by corporations, the M2 correlation and increasing investor confidence.
In addition to all this, there’s growing belief that Bitcoin is becoming more accepted as a long-term store of value — like digital gold. Some investors, who are worried about inflation and the U.S. Dollar, have turned to Bitcoin to safeguard their funds.
The bullish technical narrative is supported by the data. ChartsBTC This week, X revealed that Bitcoin’s present price of $102,766 represents a 10 percent gain for the year to date. The previous high was $93,381 in 2024.
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Source: bitcoinmagazine.com
