Bitcoin Holds Above $93,000 Despite Market Volatility
A Glimpse into the Daily Crypto Landscape
Stock Markets Surge Despite Increased Anticipation of Interest Rate Reductions in the Context of Bitcoin Remaining Unfazed
Bitcoin's rolled with the punches on Thursday, maintaining its position above $93,000 despite market fluctuations driven by rising rate cut expectations and US President Donald Trump's latest trade remarks.
The cryptocurrency recently hovered around $93,300, showing minimal change over the previous day, after dipping to a day-low of $91,800 earlier in the day, according to crypto data provider CoinGecko. Ethereum struggled, decreasing 1.8% to $1,760, while Solana managed a 1% increase, standing at approximately $151.
In an interview with CNBC's Squawk Box, Beth Hammack, the President of the Federal Reserve Bank of Cleveland, shared her views on the central bank’s potential preemptive approach towards rate cuts. She explained that the central bank will be more reactive when it becomes clear how Trump’s inconsistent tariffs are affecting the U.S. economy.
Meanwhile, Wall Street witnessed a surge with the S&P 500 rallying 2% and the tech-heavy Nasdaq soaring 2.6%, as per Yahoo Finance. Bitcoin, on the other hand, has experienced gains since Trump revealed “reciprocal” tariffs on nearly every nation. It’s worth noting that Bitcoin had previously been closely connected to the tech stocks, a significant portion of these indices.
Despite slightly dipping in price, spot Bitcoin ETFs have witnessed noteworthy inflows, accumulating $1.8 billion over the past two days, as per crypto data provider CoinGlass. This two-day total is the highest since January 3-4. Commenting on this trend, Valentin Fournier, the lead research analyst at research firm BRN, suggested that institutional buying is now being counterbalanced by profit-taking and reduced retail activity.
Trump took to Truth Social to seemingly pressurize China, urging airline manufacturer Boeing to default on China for failing to buy the completed planes China had agreed to purchase.
Daily Debrief Newsletter
Bitcoin ETF Inflows Soaring to Record Levels
With US spot Bitcoin ETFs recording $2.68 billion in net inflows during the week ending April 25, the highest since December 2024, Bitcoin's price is showing signs of a rebound. BlackRock's iShares Bitcoin Trust (IBIT) alone contributed $1.3 billion of this total, while a single day (April 22) saw inflows spike to $912 million—over 500 times the 2025 daily average.
Bitcoin's price surged 11% in the week following these inflows, stabilizing near $95,000 by April 26. This upward trends follows early-April lows tied to macroeconomic uncertainties, with BTC breaking away from traditional asset correlations as noted by Coinbase Institutional's David Duong.
The inflows reflect renewed institutional confidence, driven partly by basis trade strategies (long ETF/short futures), which now account for nearly 10% of ETF activity. Analysts suggest sustained inflows could propel Bitcoin toward $130,000 by late 2025, though surpassing the largest ETFs (e.g., Vanguard's $593.5B VOO) would require $3-4B daily inflows.
These developments emphasize the growing role of Bitcoin ETFs in price discovery and institutional adoption.
- Bitcoin, despite market volatility, held above $93,000, defying expectations of falling further.
- The cryptocurrency landscape saw Ethereum struggling with a 1.8% decrease, while Bitcoin maintained its position.
- President Hammack of the Federal Reserve Bank of Cleveland suggested the central bank might employ a more reactive approach towards rate cuts due to US trade issues.
- Wall Street experienced a surge with the S&P 500 rallying 2% and the Nasdaq soaring 2.6%, contrasting with Bitcoin's performance.
- Spot Bitcoin ETFs witnessed significant inflows, accumulating $1.8 billion over two days, with institutional buying counterbalanced by profit-taking and reduced retail activity.
- Trump called on Boeing to default on China for failing to buy agreed-upon planes, fueling pressure on China.
- The surge in US spot Bitcoin ETF inflows totaled $2.68 billion in the week ending April 25, a record level since December 2024.
- Analysts predict Bitcoin could reach $130,000 by late 2025 if sustained inflows continue, although surpassing large ETFs would require $3-4B daily inflows.
