Bitcoin markets have experienced notable volatility in recent days. After briefly surging to $82,000, Bitcoin pulled back to a level near $81,000, as geopolitical risks remain elevated. US President Donald Trump rejected Iran’s latest counterproposal, with Iranian state media reporting that Tehran’s demands included war reparations, sovereignty over the Strait of Hormuz, and the lifting of US sanctions.
Global factors and rising Bitcoin demand
Market analysts highlight that Bitcoin’s swift recovery was influenced by several intertwined factors. New inflows into spot Bitcoin ETF products, an uptick in institutional buying, increased positions by large investors, and anticipation of clearer digital asset regulations in the US all contributed to this rebound. According to CoinShares, digital asset investment products attracted total inflows of $857.9 million last week, with $706.1 million specifically directed into Bitcoin. Year-to-date inflows have reached $4.9 billion.
Spot Bitcoin ETFs registered a net inflow of $623 million, marking six consecutive weeks of uninterrupted positive flows. This trend clearly underscores sustained institutional interest in Bitcoin. However, short-term investors were seen taking profits by selling around the $80,000 level.
The ongoing interest in spot Bitcoin ETFs, now showing six straight weeks of new inflows, reveals that both short-term and long-term investor activity is influencing market momentum.
A two-day streak of outflows suggests that a segment of quick-moving investors reduced their positions, though medium and long-term strategies remain robust among major market players.
Growing attention for Ethereum, Solana, and XRP
Institutional interest extended beyond Bitcoin. Last week, Ethereum ETFs attracted $70.49 million in new capital. Notably, BlackRock’s ETHA Ethereum ETF saw a net inflow of $100 million, indicating strong demand concentrated in a handful of flagship products.
Investors also showed significant interest in Solana and XRP. Spot Solana ETFs recorded a net inflow of $39.23 million, while spot XRP ETFs received $34.21 million in new funds. In a period marked by heightened risk appetite, many investors shifted focus to high-volatility cryptocurrencies beyond Bitcoin.
Key technical signals and regulatory developments
On-chain data points to continued market improvement. Bitcoin’s adjusted spent output profit ratio (SOPR) has stayed above 1.0 for nine consecutive days since May 1. This indicator shows that, on average, investors have been selling at a profit, marking the strongest profitability run since October-November 2025.
Market analyst CW pointed out a new early bull signal in Bitcoin’s bull-bear cycle indicator—a sign last observed in early 2023. CW noted that while such signals have not always triggered sharp rallies historically, large investors are now holding Bitcoin close to their all-time high levels.
Regulatory developments have further buoyed market sentiment. This week, the US Senate Banking Committee is set to review the Digital Asset Market Clarity Act, which aims to establish a clear federal framework for cryptocurrencies. Under the bill, oversight will be split between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Market participants believe these moves could encourage greater institutional participation.
Several macro events are also in focus in the days ahead, including key US inflation, producer price, and retail sales figures, as well as OPEC’s monthly oil report. President Trump and China’s Xi Jinping are scheduled to meet in Beijing to discuss trade, national security, rare earths, and Middle East issues. Analysts also note that the Russia-Ukraine war appears to be nearing a conclusion, fostering expectations of further Bitcoin gains.
From a technical perspective, Bitcoin is finding strong support in the $79,100 to $80,600 range, with major resistance at $86,500. If this resistance level is breached, analysts expect a move toward $90,000. However, if support is lost, prices could retreat toward $73,400.
