Bitcoin Surge: BTC Blasts Past $96,000, Eyes Historic $100K Milestone Amid ETF and 

Institutional Buying Frenzy

ASJ Financial Desk | May 2, 2025

Bitcoin, the world's largest and most influential cryptocurrency, has crossed the $96,000 mark for the first time in history, igniting fresh enthusiasm across global financial markets. Fueled by strong institutional inflows, robust ETF activity, and a wider acceptance of Bitcoin as a legitimate asset class, the digital asset has entered a new bullish phase—one that many analysts now believe could soon drive BTC to the coveted $100,000 mark.

The breakout has redefined sentiment in the crypto sector, which had been consolidating for weeks after Bitcoin's halving event in April. As macroeconomic indicators stabilize, and risk appetite returns among institutional investors, Bitcoin is reasserting itself as a digital store of value, diversifier, and inflation hedge.

In this comprehensive breakdown, we unpack the key drivers, current market dynamics, institutional traction, ETF data, and expert insights driving Bitcoin’s ascent.

Bitcoin Price Overview: Record-Breaking Rally in Motion

Bitcoin soared to $96,287 in early May trading hours, marking a fresh all-time high and registering a near 9% weekly gain. On a YTD basis, Bitcoin is now up more than 67%, outperforming traditional benchmarks such as the S&P 500, NASDAQ, and gold.

The rally has been particularly impressive considering the reduction in miner rewards post-halving, typically a period marked by price stagnation. However, demand from spot ETFs and sovereign funds has more than offset supply tightness.

Institutional Interest Hits Peak Levels

The biggest shift in 2025 has been the unprecedented institutional participation in the crypto space. Hedge funds, asset managers, pension funds, and insurance firms have all increased exposure to Bitcoin, aided by:

1. U.S. SEC approval of Bitcoin Spot ETFs in Q1 2025.

2. Clarity on crypto custody regulations for institutions.

3. Rising interest in Bitcoin-denominated treasury allocations by Fortune 500 companies.

“Bitcoin is no longer a speculative punt. It’s now an institutional-grade, cross-border macro asset,” said Rahul Chauhan, Chief Investment Strategist at CryptoEdge Capital.

Fidelity, BlackRock, and Vanguard collectively now hold over 750,000 BTC across spot ETF products.

Spot ETF Flows: The Game-Changer

The launch of Bitcoin Spot ETFs has reshaped the market’s liquidity and volatility profile. Data from Business Standard and The Economic Times reveal that over $20 billion has poured into U.S.-regulated Bitcoin ETFs since January.

ETFs are acting as a price floor and demand engine, allowing investors to gain exposure to BTC without directly holding private keys—solving custody, compliance, and liquidity concerns.

Limited Supply Meets Surging Demand

With the April 2025 halving event reducing block rewards from 6.25 BTC to 3.125 BTC, the daily issuance of new Bitcoin is now just 450 BTC per day, or ~$43 million at current prices. That’s a sharp contrast to the estimated daily ETF inflows of over $110 million, resulting in a net supply deficit.

“Bitcoin has entered a supply crunch. ETFs and long-term holders are draining exchanges at a pace never seen before,” explained data analyst Vikram Joshi at ChainMonitor.

Exchange reserves are at their lowest level since 2017, further limiting short-term selling pressure.

What’s Driving Institutional FOMO?

Several macroeconomic trends are converging to push institutions toward Bitcoin:

1. Sticky inflation in the U.S. and Eurozone above 3.5%.

2. Geopolitical instability in Eastern Europe and the Middle East.

3. Growing concerns over currency debasement due to rising global debt.

4. Bitcoin’s strong performance versus gold, the traditional safe haven.

“In the face of de-dollarization and multi-polar reserve assets, Bitcoin offers a digital hedge—fungible, portable, and independent,” said Shikha Mehra, blockchain consultant and regulatory expert.

Technical Analysis: BTC Eyes $100K Next

Bitcoin’s price breakout has also been confirmed by technical indicators and on-chain metrics:

• RSI (Relative Strength Index): 71.4 (Overbought, but trending stable)

• MACD (Moving Average Convergence Divergence): Bullish crossover confirmed

• 200-Day Moving Average: Strong upward slope

• Glassnode Net Position Change: Long-term holder accumulation increasing

Key Resistance Levels:

• $96,800

• $98,250

• $100,000 (psychological)

Support Levels:

• $92,500

• $89,000

• $85,750

If BTC holds above $94,000 this week, analysts expect the momentum to carry the price above $100,000 by mid-May.

Global Acceptance: Beyond the Price

Bitcoin adoption is no longer speculative. Real-world integrations are expanding:

• Latin American governments exploring BTC reserves.

• Global payment giants like PayPal, Stripe, and Mastercard offering BTC settlement.

• MicroStrategy continues accumulating, now holding 228,000 BTC valued at ~$22 billion.

“Bitcoin has gone from fringe tech to boardroom asset. This is an institutional supercycle,” said Karan Thakkar, founder of BlockAlpha India.

Risks on the Horizon

While momentum is bullish, caution is warranted. Key risks include:

• Regulatory crackdowns in the EU or U.S.

• Technical corrections post-ATH rallies.

• Liquidity mismatches due to sudden ETF outflows.

• Sudden macro shocks (e.g., war escalation or Fed tightening).

However, analysts say that the depth and quality of current BTC holders reduces the chance of a 2021-like drawdown.

Expert Opinions

“Bitcoin hitting $100,000 is a milestone, but the more interesting story is the infrastructure being built underneath—ETFs, custody solutions, and real-time settlement,” — Ramesh Ganatra, Fintech Analyst.

“We may see some short-term volatility at $100K, but the long-term trajectory remains bullish. I won’t be surprised to see $120K by August,” — Neha Arora, Head of Crypto Research, Edelweiss Digital.

Comparison: Bitcoin vs Traditional Assets

Bitcoin has not only outperformed every major asset class but has done so with increasing mainstream validation.

The Road to $100K and Beyond

Bitcoin’s ascent past $96,000 is more than just a price milestone—it marks the transition of crypto into institutional mainstream. With spot ETF flows acting as persistent demand catalysts, limited new supply, and increasing global acceptance, the $100K mark is now a realistic near-term target.

The real story, however, is the shift in capital—from skepticism to conviction, from retail to institutional, and from speculative hype to structured investment.

As Bitcoin eyes the six-figure territory, it solidifies its status not merely as an asset, but as an economic revolution in real time.