Bitcoin stabilised on Tuesday after reaching its highest level in several months as institutional demand strengthened.
Spot Bitcoin ETFs attracted another USD 337 million yesterday, a sixth consecutive session of net inflows.
The run began last week, supported by reports of US Treasury bond buy-back plans and by President Donald Trump’s endorsement of the CLARITY Act. However, the latter remains on hold, leaving some caution regarding regulatory progress.
Markets continue to monitor major bitcoin holders, including Strategy. The company raised approximately USD 2 billion through common stock sales to bolster its cash reserves. While it was a significant bitcoin accumulator, Strategy put its purchases on hold and sold small volumes lately. A return to an accumulation phase could help the cryptocurrency reach new highs.
Attention now turns to tomorrow’s US PCE and GDP releases, which could influence expectations for monetary policy. This data is particularly significant given Federal Reserve Chair Kevin Warsh’s preference for less forward guidance. Currently, markets are anticipating only one interest rate increase towards the end of the year. Additionally, NVIDIA’s results after market close tomorrow could affect risk appetite and influence Bitcoin’s direction.
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