Key Points:
- Institutions have bought around 11,000 BTC over two days, despite the recent dip in Bitcoin’s price.
- Bitcoin ETF responses differ from earlier in the year during market retests.
- There’s a forecast predicting BTC could reach $135,000 in six months as ETFs continue to purchase Bitcoin.
On Tuesday, Bitcoin (BTC) appeared as an attractive option for institutions, particularly after it dropped below $116,000.
According to data from Onchain Analytics Firm GlassNode, large investors seem to be moving quickly, even while BTC/USD adjusts with the latest profit-taking.
Institutions Remain Steadfast Amid Price Drop
Bitcoin’s institutional investors are shifting how they respond to sudden price changes.
GlassNode has indicated that there has been a strong inflow into Bitcoin Exchange-Traded Funds (ETFs) this week, even as the price dropped over $7,000.
“On Monday, we observed one of the largest daily inflows into Bitcoin ETFs in the past three months, totaling +7,500 BTC,” a post on X mentioned on Wednesday.
“What’s surprising is the reaction on Tuesday; the agency didn’t back down and added another 3,400 BTC.”
This behavior marks a notable change from early 2025 and last year, when price dips led to immediate ETF outflows. For instance, in late February, when BTC/USD dropped from around $100,000 to about $75,000, net outflows soared above $3.2 billion over eight days, according to UK investment data from Farside Investor. This included a single day with net outflows over $1.1 billion.
Optimism for BTC Prices Reaches $135,000
As demand increases, so does the optimism regarding how institutions might influence BTC’s pricing strength.
Network economist Timothy Peterson noted that “the US Bitcoin ETF is acquiring Bitcoin faster than it can be mined,” while discussing trends from last weekend.
“Bitcoin’s digital scarcity caps supply production at a fixed rate, halving every four years. The current net Bitcoin shortfall amounts to around 343,000, equating to about $40 billion in value due to US Bitcoin ETF purchases.”
Peterson anticipates that BTC/USD could climb another $18,000 by year-end, depending on inflow trends.
“This could elevate prices to around $130,000-$135,000 over the next six months unless there are significant market shifts.”
This article does not provide investment advice. All trading and investment actions carry risks, and readers should conduct their own research when making decisions.
