- BTC breaks above $107K, fueled by ETF inflows and institutional demand.
- Fed’s rate cut signals boost risk-on sentiment, pushing Bitcoin to new highs.
- Low selling pressure and $700M shorts may trigger a powerful short squeeze.
On Friday, the price of Bitcoin erupted. The weekly candle closed strong, igniting hopes for a massive continuation. Traders are watching with wide eyes as BTC pushes into uncharted territory. The breakout above $107,000 wasn’t driven by hype alone. Institutional buyers, ETF flows, and a shift in macro sentiment have combined like gears in a well-oiled machine. As Bitcoin closes in on $120,000, the next big milestone, $135,000, seems closer and more real than ever.
Fed Spark the Fire, Bitcoin Feeds the Flames
BTC closed at $109,203 last Sunday, marking its highest-ever weekly close . The start of the week saw sideways action, hovering near $108,000. By midweek, the market caught fire. On Wednesday, the Fed’s June meeting minutes dropped a quiet bomb—some officials favored cutting rates as early as July. Risk assets instantly reacted. Bitcoin surged past $111,999, setting a new all-time high. The fuel didn’t stop there. On Thursday, Trump’s Social post added more flame with a Truth. “FED SHOULD RAPIDLY LOWER RATE TO REFLECT THIS STRENGTH.”
That single sentence rippled through markets. Bitcoin ripped past $117,000, and the rally didn’t miss a beat. Investors now expect a softer monetary policy, which historically benefits assets like Bitcoin. It’s not just the charts talking. Spot Bitcoin ETFs saw massive inflows. According to SoSoValue, $1.69 billion poured in between Monday and Thursday. Thursday alone brought $1.18 billion—the highest single-day inflow since Trump’s election win in November.
Demand Swells, Sellers Shrink, and Short Sellers Sweat
Behind this rally lies real conviction. Institutions are loading up. On Monday, Japanese investment firm Metaplanet added 2,205 BTC to its holdings. Blockchain Group followed with another 116 BTC. Real estate giant Murano Global announced plans for a $500 million Bitcoin treasury. These aren’t emotional buys. They’re calculated moves from players with deep pockets.
Confidence is growing from every angle. Meanwhile, sellers are quiet. CryptoQuant’s data showed that only 18,000 BTC moved to exchanges Thursday—the lowest since April 2015. That’s not selling pressure; that’s scarcity.
Whales have also gone quiet. Fewer big transfers hit exchanges. The daily amount sent in 100+ BTC batches dropped to 7,000—down from 62,000 in November. Supply is shrinking. Demand is rising. That’s a recipe for fireworks. On Thursday, over $1 billion in shorts got liquidated. Still, another $700 million hangs by a thread. A push past $120,000 could set off a violent short squeeze. That could send BTC flying straight toward the $135,000 Fibonacci extension.
