Bitcoin surges 23% in 1 week to trade nearly $78K as liquidity hopes, ETF inflows boost crypto markets
Bitcoin surged nearly 23% in a week to around $78,000, while Ethereum and major altcoins also rallied. Strong crypto ETF inflows, softer US dollar expectations, Treasury buybacks and reduced Fed tightening hopes boosted sentiment. Analysts flagged improving institutional participation, though profit-taking and long-term holder selling remain key risks.
Bitcoin surged nearly 23% in a single week, trading close to the $78,000 level as liquidity prospects and influxes from ETFs boosted the cryptocurrency markets. Ethereum also experienced a significant increase, climbing 29.7% over the same period. Among other major altcoins, BNB, XRP, Solana, Tron, Hyperliquid, Dogecoin, and Cardano saw gains of up to 56.3%. The global cryptocurrency market capitalization surged $2.2 trillion, reaching $2.53 trillion within the span of a week, according to Coingecko.
Nischal Shetty, Founder of WazirX, attributed the strong weekly recovery to heightened liquidity expectations, despite pressure from rising oil prices and long-term bond yields. Lowered expectations of further Federal Reserve tightening, Treasury buybacks, and a weaker US dollar bolstered risk appetite. Bitcoin moved from a bearish technical setup to a bullish daily structure as buyers pushed the price above the $64,000, $70,000, and $74,000 levels.
Crypto ETFs registered approximately $1.45 billion in net inflows across four consecutive sessions, reversing around $220 million in outflows during the previous three sessions. Shetty noted that the strongest daily inflow was nearly $710 million, which corresponded with the return of capital as rising crypto prices indicated institutional participation and improving market confidence.
In the last 24 hours, Bitcoin climbed 2.8%, while Ethereum rose 3% to trade at the $2,440 mark. Among the major altcoins, BNB, XRP, Solana, Tron, Hyperliquid, Dogecoin, and Cardano increased by 19.7%. The global crypto market capitalization rose 3.1% to $2.71 trillion, as per Coingecko.
Bitcoin is currently trading near the $78,000 mark, having risen more than 18% from the $63,000 region earlier in the week. Ethereum is near $2,500. Research Analyst Riya Sehgal of Delta Exchange highlighted that strong Bitcoin ETF inflows maintained prices even after over $4 billion in crypto short positions were liquidated. On-chain data also showed some distribution from long-term Bitcoin holders, so continued selling near higher levels could be worth monitoring, Sehgal added.
SB Seker, Head of APAC at Binance, commented that Bitcoin's move back above the $75,000 mark represents a positive sign of renewed participation after a period of heightened volatility and macro uncertainty.
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