Bitcoin’s price surged past $95,100 on April 27 as market bulls took over, spurred by Trump’s tariff reduction on Chinese imports. Institutional interest is high, with $3.1 billion inflowing into Bitcoin ETFs. Technical indicators suggest a rally towards $102,500, while the asset’s connection to traditional stocks grows weaker.
Bitcoin (BTC) recently surged past the $95,100 threshold as bulls asserted their dominance in the market, particularly during pre-market trading on April 27. According to reports, the digital asset was previously languishing near $93,000 but saw a significant uptick, peaking at $95,115. This upswing coincided with U.S. President Donald Trump’s announcement regarding reductions in tariffs on Chinese goods, which helped create a positive ripple effect across both equities and commodities markets, ultimately bolstering Bitcoin’s prospects.
In terms of numbers, Bitcoin recorded a one-day gain of about 1.0%, while for the week, it enjoyed a notable rise of 10.6%. Impressively, for the month, BTC’s gains stand at 11.8%, contributing to a whopping 48.4% return year-to-date. It’s worth noting that Bitcoin’s recent performance outpaced traditional assets such as gold and the S&P 500 Composite index, indicating a shift in investor confidence towards cryptocurrency.
Institutional investors are also getting involved, as demonstrated by a staggering $3.1 billion in net inflows into spot Bitcoin exchange-traded funds (ETFs) over a brief period of five days. This surge suggests that mainstream acceptance of Bitcoin is on the rise, as evidenced by considerable short position liquidations, amounting to over $450 million since April 21. As Bitcoin steadily climbed above $94,000, several short sellers felt the pressure.
Adding to the bullish sentiment was Binance’s co-founder Changpeng Zhao, who cheekily encouraged followers with a light-hearted message on X (formerly Twitter): “I hope you bought the dip. 😆🤷♂️” Shortly after Bitcoin surpassed $95,000, Zhao’s status resonated within the crypto community, showcasing his influence as a prominent figure in cryptocurrency trading.
The technical indicators appear promising for Bitcoin as well. Bitcoin concluded trading firmly within the upper limits of the Keltner Channel, closing at $94,319.51. Experts suggest that this movement could lead to a significant push towards the $102,500 target. Additionally, the current reading on the Parabolic SAR remains below the current price level, further potentially solidifying the bullish trend.
Interestingly, although Bitcoin remains in a strong upward trajectory, the digital asset’s correlation with traditional markets is seemingly lessening. Recent statistics noted a 30-day correlation with the S&P 500 at just 29%—a stark decline from the previous 60% between March and mid-April. This shift suggests that Bitcoin may be carving out its identity as a discrete asset class.
Even after gold hit an all-time high of $3,500 on April 22, it struggled to maintain momentum, which many see as a positive for Bitcoin in its journey towards independence as a financial asset. Additional insights about the ongoing dynamics in the market reveal a rising interest among professional traders to adopt bullish positions, despite the caution among retail investors. This accumulation trend potentially sets Bitcoin on an upward trajectory toward that tantalising $100,000 mark in the foreseeable future.
