Bitcoin Stalls Near $87k Amid ETF Inflows and Trump-Xi Summit

Bitcoin prices held steady near $87,000 on Wednesday, following a recent rebound in the cryptocurrency. The world's largest digital currency rose 1.3% to $86,534.4 by 01:57 ET (05:57 GMT), with earlier gains reaching as high as $87,000.

The rally in Bitcoin was driven by improving capital flows into exchange-traded funds and increased institutional investment. Spot ETF inflows surged to $1.71 billion this week, marking the best weekly performance since late-August, according to data from SoSoValue.

The trend indicates that institutional investors are regaining confidence in Bitcoin despite the recent failure of the Clarity Act in clearing Congress. However, the Securities and Exchange Commission's exemption for tokenized stocks on the blockchain was seen as a positive development by crypto proponents, opening up new integration opportunities between blockchain technology and traditional finance.

Crypto prices remained upbeat on Wednesday, with broader markets encouraged by top corporate Bitcoin holder Strategy Inc's disclosure of additional purchases. The upcoming summit between U.S. President Donald Trump and Chinese President Xi Jinping in Washington was also a focus point for market sentiment.