Bitcoin (BTC) climbed over $125,000, its record high earlier this week. The rally comes timely as U.S. spot Bitcoin ETFs experienced $3.24 billion inflows during the last week, their second-largest so far since they opened in January 2024. The rally follows a prior week with $902 million outflows, providing a picture-perfect $4.14 billion reversal.
Strong ETF Inflows Drive Market Momentum
BlackRock’s IBIT ETF saw the largest influx leading the way, with $1.8 billion entering it. With $96.2 billion in managed assets, IBIT is the largest of its type in the Bitcoin ETF space. Fidelity’s FBTC also saw an enormous outflow as $692 million entered it, which is about 38% of BlackRock’s intake.
The solid outflows occur as Bitcoin probes its all-time high of roughly $124,000 that it reached in August. October has historically been a great month for Bitcoin, and the just-concluded government shutdown might have gone to continue propelling demand for Bitcoin as a hard asset.
Market Cycles and Investor Sentiment
In the opinion of Saad Ahmed, APAC head at Gemini, Bitcoin’s four-year cycle will still be driven by human emotions and not technical. Market cycles kick in when investors get overly optimistic, and then corrects arrive. The psychological cycle remains in play, even when institutions are investing in the market.
Coinglass data analytics shows Bitcoin price behavior of recent is conforming to historical halving cycle patterns. Q4 is always Bitcoin’s strongest quarter ever, averaging 79.39% return since 2013, according to note. The experts anticipate a possible October market top is coming, particularly if history were to repeat itself.
Estimated Continuing Growth
In the wake of the recent rally and enormous ETF inflows, expectations are running high for the future of the cryptocurrency. Renowned analyst Charles Edwards has indicated a possible breakout to $150,000 in Q4 2025, provided BTC continues to trade above the psychological mark of $120,000.
Recent inflow values are the sentiment barometer of the crypto economy. Nexo’s Iliya Kalchev noted that routine inflows can retire over 100,000 BTC from the system at prevailing prices, more than double the new issuance.
With flows to ETFs again picking up, the cryptocurrency appears poised to hold the gains. Market players and analysts closely observe market fundamentals for relentless bullish pressure in and around the month of October.
