Bitcoin ETFs have seen a dramatic recovery in investor sentiment, logging over $912 million in inflows on April 22. This rebound follows US President Trump’s comments about decreasing tariffs, which has contributed to a surge in Bitcoin’s price. Analyst forecasts suggest Bitcoin’s value could reach new heights by the end of 2025, bolstered by institutional investments and the decline of the US dollar.
Investments in Bitcoin exchange-traded funds (ETFs) have surged, mirroring levels seen in January. On April 22, US spot Bitcoin ETFs recorded cumulative inflows of over $912 million, marking the highest daily investment in more than three months. James Butterfill from CoinShares commented that this spike represents a significant rebound in investor sentiment following earlier concerns about global trade tensions.
The positive shift in investor sentiment coincided with remarks from US President Donald Trump regarding potential decreases in import tariffs on Chinese goods. This softer tone in negotiations appears to have eased market anxieties, contributing to Bitcoin’s price increase, which surpassed $93,000 for the first time in seven weeks, as reported by Cointelegraph.
Increased institutional investment and the prevalence of ETFs may expedite Bitcoin’s traditional four-year cycle, potentially propelling its value to new highs before 2025. Analysts suggest that this trend augurs well for Bitcoin’s position as it becomes more entrenched in financial markets.
The decline of the US dollar also appears to enhance Bitcoin’s appeal among investors. The US Dollar Index (DXY), which indicates the dollar’s strength against major currencies, has dropped nearly 9% since early 2025, reaching an over three-year low of 98.8. Macro factors, including the dollar’s weakness, may reinforce Bitcoin’s status as a hedge against economic fluctuations, according to Bitget Research’s chief analyst, Ryan Lee.
The relationship between cryptocurrency markets and traditional stocks exhibits a tenuous balance influenced by ongoing political and economic developments. Iliya Kalchev from Nexo noted that Bitcoin’s resurgence is bolstered by strong ETF inflows, institutional investments, and a weaker US dollar, indicating a recalibration of what is considered a safe asset in the current climate.
Alex Svanevik, CEO of Nansen, remarked on Bitcoin’s maturation into a reliable asset, increasingly perceived as a safe haven akin to gold rather than technology stock like Nasdaq. However, economic recession concerns could pose a challenge to its price trajectory. On April 21, BitMEX co-founder Arthur Hayes forecasted that the opportunity to acquire Bitcoin below $100,000 may be diminishing, anticipating potential catalysts from US Treasury buybacks.
