Bitcoin Breaks $112K as Institutional Demand and ETF Inflows Ignite Bullish Momentum

🟠 Bitcoin Blasts Past $112,000: Is This Just the Beginning?

Bitcoin (BTC) soared to a new all-time high of $112,000 on Thursday, extending its remarkable rally with a 25% gain over the past 30 days. Despite the sharp ascent, market analysts believe the top cryptocurrency may have plenty of runway left.

According to Secure Digital Markets, BTC’s momentum has been fueled by accelerating institutional inflows, rising corporate adoption, and a favorable macro backdrop that is pushing capital toward alternative stores of value.

“Easing U.S.-China trade tensions and Moody’s downgrade of U.S. credit have reframed Bitcoin as a serious hedge,” their analysts noted. “Once highly correlated with risk assets, BTC now seems to be following its own bullish path.”

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📈 ETF Flows Signal Strong, Structural Demand

One of the most powerful drivers behind Bitcoin’s breakout is the surge in U.S.-listed spot ETF inflows. Data shows:

• Only two days of net outflows in May
• $1.6 billion in net inflows over the past week
• $4.24 billion month-to-date inflows
• Public company BTC holdings now total $349 billion, representing ~15% of circulating supply

As a result, BTC has gained 18% year-to-date, with momentum showing no signs of slowing.

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📊 Kraken Economist: “We’re Far from the Cycle Top”

Thomas Perfumo, Global Economist at Kraken, believes the crypto bull market has more room to run:

“Bitcoin’s new all-time high is the clearest signal yet that this rally is far from over. Recovering equities, strong ETF flows, and corporate demand are all working in tandem.”

Perfumo highlighted three key drivers:

1. Global equities are recovering, giving investors more risk appetite
2. BTC ETF demand is structural, not speculative, with net inflows rebounding at ~$87K and hitting a record $7.3B YTD
3. Corporate accumulation continues, with firms like MicroStrategy launching a new $21B equity program to boost BTC holdings

“The feedback loop that carried BTC beyond $100K remains intact. Unless something disrupts this trio of tailwinds, dip-buyers are likely to control the narrative.”

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🧠 Volatility Index Suggests Rally Still Measured, Not Overheated

Thomas Erdösi, Head of Product at CF Benchmarks, flagged a rare technical setup based on the Bitcoin Volatility Index (BVX):

• BVX has moved modestly from 43 → 48 in the past five days
• This remains well below the 60+ levels seen at prior cycle tops

“Futures basis remains stable, and there’s no sign of excessive leverage in the derivatives markets,” Erdösi explained. “This is not a euphoric top — the market still has room to run.”

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🔍 BTC Price Levels to Watch

Price Area	Level
All-Time High	$112,000
Near-Term Support	$110,000
Technical Breakout	$111,700
Next Resistance (Speculative)	$115,000 → $120,000

BTC briefly tested the $110,000 level overnight before surging above $111,700 early Thursday. The final push through $112,000 came around 1:33 PM EDT, reinforcing bullish sentiment as Bitcoin enters uncharted territory.

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