Bitcoin returned to the spotlight, as it rises to a height of seven weeks from 91,000 dollars. After struggling near $ 74,400 a few weeks ago, she wore the largest encrypted currency in the world with impressive profit by 22 %.
But this price leap is not only related to bitcoin, as Ethereum, too, has returned to green, and is now trading over $ 1700 after an increase of 5.5 % in only 24 hours.
So, beyond this sudden price pump? Let’s divide it.
Institutional funds flow to Bitcoin
One of the biggest reasons behind Bitcoin’s jump is the return of institutional investors. The US -based Bitcoin investment funds have seen its largest daily flow in the past few weeks, with $ 381.3 million.
The fees were the Ark’s Bitcoin ETF for $ 116 million, followed by Fidelity Fund for $ 87 million. This strong flow shows that institutional players are confident of Bitcoin’s future again.
Political pressure on the Federal Reserve Bank to reduce prices
Another major reason is the political pressure that is placed on the federal reserve. US President Donald Trump urges the Federal Reserve to low interest rates, often leading to alternative assets such as bitcoin and excitement.
There are even talks about whether Trump can try to remove the Federal Reserve Jerome Powell, which creates uncertainty in traditional markets.
Poor dollar and increased liquidity
The US dollar index (DXY) recently reached its lowest point since February 2022, as it decreased to about 98.77. The weakest dollar tends to increase encryption prices, especially when global liquidity rises.
With more money flowing across the system, digital assets such as Bitcoin and Ethereum often benefit.
Bitcoin and Ethereum prices expectations
As of now, Bitcoin is trading at $ 90,859, an increase of 4 %, with the maximum market near $ 1.8 trillion. But the encryption expert Ali Martinez warns of the upcoming obstacles, as major resistance levels between 95,600 dollars and 98,290 dollars It can slow it down. If Bitcoin is invented, the path may be opened to $ 100,000.
On the other hand, Ethereum sees trading about $ 1,695, an increase of 5.5 % last day. According to Crypto Rover, two of the big investors (called whales) bought 4,500 ETH at a value of $ 7.36 million.
This indicates strong confidence in Ethereum and can help pay its price up – some even believe it may reach $ 10,000 day.
