Bitcoin Smashes Past $118,000 as ETFs See Record Inflows

Bitcoin Smashes New Record, Tops $118,000

Bitcoin Smashes to a new all-time high of $118,872 on Friday before settling around $117,955. The price increase comes as institutional investors poured record funds into Bitcoin ETFs, signaling strong market confidence.

Data from SoSoValue revealed that Thursday saw $1.18 billion in Bitcoin ETF inflows — the highest daily figure so far in 2025. Ether ETFs followed closely, with $383.1 million in inflows, marking their second-largest day ever.

Bitcoin Smashes Institutions Lead the Crypto Rally

The rally gained momentum midweek after the Federal Reserve’s latest meeting minutes hinted at internal disagreements over rate cuts. Market sentiment shifted further when President Trump suggested removing Fed Chair Jerome Powell, triggering speculation over a potential dovish pivot in monetary policy.

“Whoever replaces Powell is expected to be more dovish,” said Markus Thielen, CEO of 10x Research. “Combine that with fiscal concerns from the ‘One Big Beautiful Bill,’ and Bitcoin gains even more appeal.”

Thielen noted that since April 17, ETF inflows have surged, with institutional purchases nearing $16 billion to date.

Short Liquidations Push Prices Higher

The spike in prices triggered more than $550 million in short liquidations for Bitcoin in the last 24 hours, with Ether shorts losing over $195 million. These liquidations contributed to further price momentum, forcing traders to buy back assets and drive prices up.

Bitcoin’s strong correlation with tech stocks also added to the bullish push, with equity markets rallying on Thursday.

Weekly Performance and Outlook

• Bitcoin is up nearly 10% for the week, heading for its best performance since April 25.
• Ether has gained over 21%, marking its strongest week since May 9.
• Ether also crossed back above the $3,000 mark for the first time since February.

Investors are now eyeing further gains in the second half of 2025, as corporate treasuries increase crypto allocations and Congress inches closer to passing crypto-friendly legislation.

However, Thielen warned that summer markets may remain short-term focused due to a lack of macro catalysts.