Bitcoin continued its upward momentum on Thursday, breaking above the $45,000 level for the first time in nearly a year as institutional inflows into spot ETFs reached a fresh record.
Key Highlights
- Bitcoin rallies above $45,000 amid record ETF inflows.
- Ethereum climbs past $2,400 as staking activity accelerates.
- Market cap of top cryptocurrencies surpasses $1.8 trillion.
- Analysts warn of potential pullback despite strong momentum.
Bitcoin Breaks $45,000 on Heavy ETF Demand
Institutional Buyers Drive Momentum
Spot Bitcoin ETFs recorded more than $1.2 billion in net inflows over the past week, providing strong tailwinds for BTC price action. The influx of institutional demand mirrors similar trends seen during previous bull cycles.
Market strategists say the ETF approval “has fundamentally altered liquidity dynamics,” creating a more accessible investment vehicle for traditional asset managers.
Ethereum Rises as Staking Participation Grows
ETH Pushes Toward Multi-Month Highs
Ethereum traded above $2,400, supported by a steady increase in staking participation and upgrades aimed at improving network efficiency. Data from Beacon Chain shows that new ETH deposits have accelerated over the last month.
Developers continue preparing for the next major protocol update, which is expected to enhance transaction throughput and reduce network congestion—key factors supporting long-term adoption.
Crypto Market Cap Surpasses $1.8 Trillion
Broad-Based Rally Across Altcoins
Beyond Bitcoin and Ethereum, altcoins such as Solana, XRP, and Cardano posted strong gains, contributing to the crypto market’s overall valuation increase. Risk appetite has improved significantly as global macro conditions stabilize.
However, analysts caution that market enthusiasm may be outpacing fundamental developments in some smaller tokens.
Risks of Overheating Despite Strong Momentum
Experts Warn of Short-Term Pullback
Despite the bullish sentiment, several analysts warn of a potential short-term correction, especially as BTC’s relative strength index (RSI) enters overbought territory. Historically, similar breakouts have often been followed by profit-taking.
Bottom Line
The latest surge highlights the growing maturity of the cryptocurrency market, driven by ETF adoption and stronger ecosystem development. While momentum remains strong, traders should remain cautious of short-term volatility as the market digests recent gains.