Bitcoin Tops $123K on ETF Inflows, Nears All-Time High
Bitcoin has climbed above $123,000, approaching its all-time high, on the back of $2.2bn in US spot Bitcoin ETF inflows over four days. The surge reversed August outflows and included record $676m and $627m on Wednesday and Thursday. BlackRock’s IBIT fund now holds $80bn in BTC, while MicroStrategy keeps adding to its $76.8bn Bitcoin treasury. A recent US executive order could unlock $9tn in 401(k) crypto investments. Expectations of Federal Reserve rate cuts and a broader “debasement trade” are fuelling demand. Technical indicators remain bullish with a daily RSI at 67.7 and a positive MACD cross. Analysts warn that a break above $123,000 may trigger algorithmic buying and retail FOMO, aiming for $126,000–$129,000, while forecasting retests of $124,000 and gains to $140,000–$150,000 by year-end. JPMorgan sees Bitcoin at $165,000 by end-2025. The rally lifted the total crypto market cap to $4.14tn, with Ethereum topping $4,300 on $4bn in institutional inflows and new ETH ETFs. A US government shutdown has paused new ETF approvals, keeping focus on existing Bitcoin ETFs and potential listings by brokers like Vanguard.
Bullish
Strong US spot Bitcoin ETF inflows reversing prior outflows, combined with corporate accumulation by BlackRock and MicroStrategy, and a supportive US executive order, underpin a bullish outlook. Fed rate cut expectations and positive technical indicators (RSI, MACD) are likely to drive further short-term gains above $123,000, with analysts projecting higher targets through year-end and into 2025. The rally’s lift on total market cap and Ethereum’s ETF-driven surge reinforce broader market strength.