Bitcoin has seen buyers emerge at the weekend and could get another push higher this week.
BTCUSD – Daily Chart
BTC dipped to the $115,600 level again and found buyers over the weekend. The price will now seek to maintain momentum for another test of the highs above $120,000. Any move below the buy zone would be a bearish signal.
There was some weakness in BTC exchange-traded fund flows last week, and that would be a concern if the move higher from current levels is weak. Many investors have been seeing Ethereum as the value investment and have been pouring money into Ethereum ETFs.
Data last week showed a total net inflow of nearly $2.4 billion into ETFs, far ahead of the $827 million that flowed into Bitcoin ETFs. It was a rare flip in sentiment and caught the attention of traders, as institutional interest in Ethereum continues to grow.
BlackRock’s iShares Ethereum ETF (ETHA) was the most popular with $1.79 billion of the total. That was almost 75% of the overall amount that moved into Ether ETFs and ETHA has become the third-fastest ETF to reach $10 billion in assets under management.
The data will be important to watch in order to see if it was a short-term diversification move from investors, or if it will usher in a new trend.
Bitcoin dominance over the cryptocurrency market has risen from around 38% in January to above 60%. However, the move last week sent it to 60% as ETH now holds 11% of the market after the recent bounce.
Institutional interest could even see that gap closing further, while the ‘others’ now control around 27% of the market.
Smaller investors have been hoping to see an altcoin rally take hold but that will depend on sentiment in the market going forward. The institutional interest theme has been the key driver in 2025, but there is potential for smaller coins to begin seeing corporate buyers. Dogecoin was one coin gaining new investment flows from a firm seeking to add a crypto treasury.
The week ahead could see volatility based on the Fed meeting, tariffs, and the NFP jobs number on Friday.
A failure to see deals with Europe and Canada by Friday could rattle the market, but may not be as severe as the weakness in March-April.
