Bitcoin Surges to New Highs Amid Strong ETF Inflows and Liquidity

Bitcoin's price surged nearly 25% last week to above $80,000, marking its strongest weekly performance in over three years. Strong inflows into Bitcoin exchange-traded funds (ETFs) and the U.S. Treasury's bond buyback announcement contributed to the rally.

According to CoinDesk Research data, market liquidity remained high as prices climbed from around $64,000. The average 0.5% market depth on August 18 was approximately $9.6 million, closely matching the level seen on January 1 when Bitcoin traded near $88,000.

The 1% and 2% depth measures also showed a similar pattern, with liquidity remaining broadly stable throughout Bitcoin's advance. This stability could help distinguish broad demand from a rally driven by only a few large orders.