Bitcoin Surges Past $80,000 as Institutional Demand Rebounds
Bitcoin has surged past $80,000 for the first time since May, driven by renewed interest from institutional investors and improving appetite among retail traders. According to Bloomberg, a 'brighter mood' in speculative markets and a return of inflows to bitcoin exchange-traded funds (ETFs) have contributed to this recovery. Investors added $2.6 billion to U.S. bitcoin ETFs over the last eight trading sessions, with firmer U.S. demand driving trading to a premium on Coinbase versus Binance for the first time in three months.
Lacie Zhang, a research analyst at Bitget wallet, noted that this trend suggests institutional allocation through ETFs is returning, while broader U.S. exchange demand is improving but has yet to become decisively strong. The recent rebound in bitcoin's price supports the view of BlackRock Head of Digital Assets Robbie Mitchnick, who believes that bitcoin diversifies portfolios and tends to rebound whenever investor sentiment is weak.
The crypto rally began last week, with Solana emerging as the largest gainer, rising 13.5% over the previous 24 hours and 44% since early last week. Large holders, known as 'bitcoin whales', had been buying back into the market after months of selling bitcoin, purchasing about 43,000 coins worth around $2.75 billion in just 60 days.