Bitcoin Rockets Past $94,000 on Trade Optimism and ETF Inflows

Bitcoin (BTC-USD) Breaks Above $93,000 as Trade Tensions Ease

Bitcoin surged through resistance, climbing to a two-month peak near $94,500 after a rally of almost 7 percent in a single session. The move came as U.S. President Donald Trump signaled a retreat from threats to remove Federal Reserve Chair Jerome Powell and hinted at trimming tariffs on Chinese imports. Investors interpreted this dovish shift as a green light to reallocate capital into risk assets, a sentiment mirrored by major equity benchmarks that jumped over 2 percent in tandem with Bitcoin’s advance. The cryptocurrency’s ascent above the $93,000 mark reflects its growing role as a barometer of global liquidity conditions amid shifting U.S.–China relations.

Institutional Demand Drives Record ETF Inflows

Spot Bitcoin exchange-traded funds in the U.S. attracted a staggering $936 million in net new capital on Tuesday, the largest single-day inflow since mid-January. This influx marks the end of an eight-week outflow streak that had drained roughly $910 million from those vehicles. Fidelity’s FBTC led the surge with $380 million, followed closely by BlackRock’s IBIT and Grayscale’s GBTC, which collectively saw record-breaking subscription levels. The rush into ETFs underscores a resurgence of institutional confidence, as Wall Street’s biggest asset managers position for what they expect to be another leg higher in crypto prices.

CME Futures and Liquidations Paint a Bullish Landscape

Hedge funds and professional traders have abandoned bearish bets on the Chicago Mercantile Exchange, where open interest in Bitcoin futures climbed above 140,000 contracts—the highest in three weeks—even as premium levels on deferred contracts shot beyond 9 percent. A brutal short squeeze wiped out $317 million in losing positions over 24 hours, with nearly 95 percent of liquidated contracts belonging to those betting on further declines. Such forced buy-backs have turbocharged the upmove, drawing in fresh momentum from momentum-focused algos and signaling that market participants are now skewed heavily toward long exposure.

M2 Expansion and the Gold–Bitcoin Nexus

Macro strategist Ryan McMillin of Merkle Tree Capital points out that global M2 money supply remains the ultimate driver behind store-of-value rallies. Gold, which spiked to $3,500 before retracing to $3,300, reacted immediately to liquidity injections, whereas Bitcoin traditionally lags by roughly 90 days. Yesterday’s gold reversal may thus foreshadow continued strength for Bitcoin in the weeks ahead, as mounting fiat issuance and expected central-bank easing trickle through to decentralized assets. Historically, each major leg higher in gold has presaged a subsequent advance in Bitcoin, a dynamic that appears to be playing out once again.

Altcoins Mirror Bitcoin’s Resurgence

The entire crypto complex rallied alongside Bitcoin’s advance. Dogecoin jumped nearly 9 percent to $0.172, Solana climbed 8 percent toward $151, Ethereum surged 10 percent above $1,780, and XRP traded up 7 percent at $2.25. The broad-based participation shows that speculative appetite has returned across risk-on tokens, with total market capitalization swelling by close to 7 percent to approach $3 trillion. Even mid-cap projects such as Polygon and Avalanche saw double-digit gains, underscoring a revived conviction that digital assets can deliver outsized returns amid accommodative macro backdrops.

Cantor’s SPAC, SoftBank and Tether Unveil $3.6 Billion Bitcoin Vehicle

Brandon Lutnick, now chair of Cantor Fitzgerald’s SPAC arm after his father, Commerce Secretary Howard Lutnick, transitioned to a trade envoy role, has teamed with SoftBank, Tether and Bitfinex to create Twenty One Capital. The reverse-merger vehicle will commence operations with an initial reserve of 42,000 BTC—valued at $3.6 billion based on an $85,000 price—making it the world’s third-largest public holding. Tether committed at least $1.5 billion in coins, while SoftBank and Bitfinex fill the balance. The SPAC will raise a $385 million convertible bond at $10 per share and a $200 million private placement at $13 per share to buy additional Bitcoin, a structure designed to mirror MicroStrategy’s debt-and-equity approach to asset accumulation. This high-profile consortium reflects growing institutional resolve to secure digital gold ahead of broader adoption.

Technical Breakout Points Toward Six-Figure Targets

Bitcoin’s daily chart shows a textbook breakout from a multi-month falling wedge, a bullish reversal pattern that projects a price objective near $102,700. The 50-day moving average has crossed above the 200-day average—sidestepping a dreaded “death cross”—and the Relative Strength Index sits at 68, still below overbought thresholds. A sustained close above $95,000 would pave the way toward retesting the psychological $100,000 barrier. Short-term pullbacks to the $89,000–$91,500 zone may offer buying opportunities, but the prevailing momentum favors further appreciation as breakout confirmation attracts chasing flows.

On-Chain Metrics Signal Renewed Confidence

On-chain data reveal that short-term holders are back in the money, with realized price band metrics showing that most recent BTC acquisitions now trade profitably above the $91,000 mark. Exchange inflows have declined sharply, suggesting less overhead supply, while wallet addresses holding at least 1,000 BTC have increased their balances by 3 percent since mid-April. These trends indicate conviction among both retail and institutional cohorts, reducing the risk of panic selling and supporting a bullish bias.

After weighing all evidence from trading floors, on-chain analytics and landmark SPAC deals, it’s clear that Bitcoin has entered a fresh bull phase. Given the high-conviction positioning, a backdrop of easing geopolitical frictions and unprecedented institutional commitments, the recommendation is to buy on dips, with a target zone of $100,000–$110,000 over the next two months.

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