Key Takeaways
- Bitcoin reached a new all-time high of $113,855 driven by strong US demand, sustained ETF inflows, and corporate adoption.
- At least 21 companies have collectively announced plans to invest an estimated $3.5 billion in Bitcoin treasuries recently.
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Bitcoin extended its rally on Friday, reaching a new high of $113,855 after clearing the $112,000 milestone on Thursday. The surge is driven by several key factors, including growing demand from US investors, robust ETF inflows, and sustained corporate accumulation.
“Since 8 May, Bitcoin has closed every day north of $100,000. That’s 62 days of price stability in six-figure territory. For an asset once defined by volatility, this price consolidation over a significant period of time shows that Bitcoin is maturing,” said Gadi Chait, Head of Investment at Xapo Bank, in a recent note.
Rising demand from US investors
According to CryptoQuant analyst Burak Kesmeci, Bitcoin’s move past $112,000 came as the Coinbase-Binance premium index hit 42 points, meaning Bitcoin traded $42 higher on Coinbase than on Binance, a sign of rising demand from US buyers.
That spread wasn’t even at the peak of the week. Just days earlier, the premium reached over 87 points, suggesting even stronger buying pressure from US investors.
The Coinbase Premium Index is viewed as a key indicator of institutional and US retail interest. A consistently positive reading often reflects persistent demand.
Steady Bitcoin ETF inflows and growing corporate adoption
On the ETF front, US-listed spot Bitcoin ETFs have attracted over $510 million in net inflows so far this week, extending their winning streak to five consecutive days, according to Farside Investors.
Meanwhile, corporate adoption shows no signs of cooling off. Several companies announced major Bitcoin purchases or accumulation plans today.
Sequans Communications acquired 370 BTC and plans to accumulate over 3,000 BTC in the coming weeks. KULR Technology added 101 BTC to its holdings, bringing its total to 1,021 BTC.
DDC Enterprise formed a strategic partnership with Animoca Brands to manage a Bitcoin portfolio worth up to $100 million.
South Korea’s K Wave Media made an initial purchase of 88 BTC, with access to up to $1 billion in funding.
Analysts see signs of Bitcoin’s institutional maturity
Chait noted that Bitcoin’s stability and institutional demand have remained strong despite heightened macroeconomic uncertainty and geopolitical tensions, conditions under which most volatile assets would falter.
According to Mauricio Di Bartolomeo, co-founder of Ledn, the rally may just be getting started since most of the money planned for Bitcoin purchases has not hit the market yet.
If companies and investors keep allocating capital to Bitcoin, and if more of that sidelined money enters, it could push the price even higher.
“Bitcoin is showing why it’s in a class of its own,” commented OKX CEO, noting that institutions are increasingly viewing Bitcoin as a tool to protect against inflation and geopolitical instability.
“July will test the market, but Bitcoin looks built for it,” he added.
Bitcoin was trading at $113,553 at the time of reporting, up 2% in the last 24 hours, per TradingView data.
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