Bitcoin extended its bullish streak Thursday, briefly crossing $97,000 for the first time since February 2025, buoyed by a surge in institutional inflows and favorable macroeconomic developments. The rally lifted broader sentiment across the cryptocurrency market, with the total market capitalization rising 1.5% to hover around $3.01 trillion.
The positive market momentum was reflected across major digital assets, with Ethereum (ETH), Cardano (ADA), and Litecoin (LTC) posting modest gains. Still, the performance among top-20 cryptocurrencies remained mixed, revealing a more cautious yet selectively bullish investor mindset.
Crypto Market Snapshot: Top Movers
In the past 24 hours, Bitcoin rose by 1.89%, trading at $96,696 as of Friday morning in Asia. Ethereum followed with a 1.32% gain to reach $1,831. Among the top 20 assets by market cap, Litecoin led the gainers with a 4.93% increase, followed by Dogecoin (+3.14%) and Cardano (+3.08%). On the downside, BNB (–0.37%) and TRON (–0.77%) slipped slightly.
Stablecoins such as Tether (USDT) and USD Coin (USDC) remained stable, reflecting investor demand for liquidity as volatility increases.
Bitcoin’s Resurgence: A Confluence of Catalysts
Bitcoin’s push toward the psychological $100,000 level has been fueled by a series of bullish developments, particularly in the institutional space. According to data from Farside Investors, U.S.-listed spot Bitcoin ETFs saw $422.5 million in net inflows on May 1—the highest daily inflow since March. BlackRock’s IBIT ETF alone contributed $2.45 billion in April, accounting for over 80% of Bitcoin ETF net inflows last month.
Technical momentum has also strengthened. Bitcoin breached key resistance at $95,000, triggering automated buys and short liquidations. Analysts are now eyeing $100,000 as the next test, with support firmly anchored around $93,000 to $95,000.
Macro Tailwinds: Rate Cuts and Trade Relief
Macroeconomic indicators have also played a crucial role in Bitcoin’s recent surge. Softer U.S. economic data—including a slowdown in manufacturing and a modest uptick in jobless claims—has reinforced expectations that the Federal Reserve may begin cutting interest rates in the second half of 2025. Lower interest rates traditionally favor risk assets, including cryptocurrencies.
In a further boost to risk sentiment, the U.S. finalized a series of trade agreements with major economies, including India, aimed at easing tariffs and reducing geopolitical tensions. The easing of trade hostilities has prompted a broad-based rally in equities and digital assets.
“The global digital asset market is witnessing a wave of positive momentum as macroeconomic conditions surrounding the financial markets improve,” said Shivam Thakral, CEO of BuyUcoin. “BTC climbed above the $97,000 mark, and with the current momentum sustaining, Bitcoin may surpass the $100k mark in the coming weeks.”
Institutional Accumulation Accelerates
MicroStrategy and Metaplanet, among the most prominent corporate Bitcoin holders, have continued to accumulate aggressively in recent weeks. MicroStrategy, which holds over 214,000 BTC, recently filed to raise an additional $700 million in convertible notes to fund further Bitcoin purchases. Meanwhile, Tokyo-listed Metaplanet is rapidly emerging as Japan’s MicroStrategy equivalent, acquiring BTC to hedge against long-term currency devaluation.
Such moves reflect growing conviction among treasuries that Bitcoin is not merely a speculative asset but a long-term store of value, akin to digital gold. As institutional portfolios diversify into BTC, the supply on exchanges continues to shrink, creating further upward pressure on price.
Bitcoin is up nearly 28% since its April 2025 low near $75,000, as renewed demand from both retail and institutional players fuels bullish momentum.
U.S. Equities Edge Higher as Fed Bets Mount
The cryptocurrency rally coincides with gains in traditional markets. On May 2, the U.S. stock market closed higher, driven by expectations that the Federal Reserve’s tightening cycle may have peaked. The S&P 500 rose 1.1%, the Nasdaq Composite gained 1.3%, and the Dow Jones Industrial Average climbed 0.9%.
Investors were encouraged by dovish comments from Fed officials and tepid economic data, including weaker factory orders and a slowdown in construction spending. Yields on U.S. Treasuries fell, supporting the case for rate cuts in the coming quarters.
Expert Take: BTC Poised for a Breakout or Caution Ahead?
“Bitcoin’s break above $97,000 is significant, but without continued ETF inflows and strong macro support, it could face short-term consolidation,” said Analyst Team at AlexaBlockchain. “We’re seeing resistance around $97,300, a level aligning with the average cost basis of short-term holders. A breakout above $100,000 would require stronger conviction from both spot and derivatives markets.”
Options market data show neutral skews and low premiums, suggesting that traders are not yet pricing in extreme volatility in the short term. Still, the build-up in open interest on call options above $100,000 signals growing expectations for a major upside breakout.
Looking Ahead: Bitcoin as a Portfolio Cornerstone
As the lines between traditional finance and crypto continue to blur, Bitcoin’s role as a portfolio staple appears increasingly solidified. A growing number of hedge funds, pension funds, and family offices are allocating to BTC—not for quick gains but for structural diversification.
The emergence of regulated ETF products and clearer taxation guidelines in key markets such as the U.S., Singapore, and Germany are making it easier for traditional investors to gain exposure. Moreover, Bitcoin’s fixed supply and decentralized architecture are being viewed as a hedge against inflation, sovereign debt risks, and geopolitical uncertainty.
“Bitcoin is becoming an essential part of retail and institutional portfolios,” added Thakral. “We may witness another major rally this year retesting the previous all-time high.”
With strong fundamentals, robust institutional demand, and improving macro conditions, Bitcoin seems well-positioned to test $100,000 in the coming weeks. Whether it can sustain a breakout or faces profit-taking will depend on the continued alignment of market structure, sentiment, and policy developments.
The crypto market is entering a pivotal phase, where the confluence of macroeconomic relief, institutional support, and technical strength is setting the stage for a potentially historic run. Bitcoin’s flirtation with the six-figure mark is no longer a question of if, but when—and whether the broader crypto ecosystem is ready to capitalize on that momentum will shape the narrative for the rest of 2025.
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