Bitcoin Rebounds to $85,000 Amid Growing Institutional Demand
Bitcoin has regained $85,000 for the first time in eight months and climbed around 10% in a week, reviving investor sentiment. The crypto market has shown resilience despite setbacks such as the failure of the CLARITY Act in the U.S. Senate and a 0.25 percentage-point rate increase by the Federal Reserve.
The recent price surge can be attributed to growing expectations that Bitcoin could become a strategic asset for the U.S. government, as evidenced by the approval of the Modernizing America's Reserves Act by the U.S. House Financial Services Committee.
U.S.-listed spot Bitcoin ETFs have recorded net inflows of around $1 billion over three straight trading days, signaling stronger institutional demand. However, inflation and rate hikes remain key variables that could impact the market.