Bitcoin held above $74,000 on Wednesday as a wave of risk appetite swept through global markets, with Asian stocks joining Wall Street benchmarks to fully recoup losses suffered since the start of the US-Iran conflict in late February.
Ether gained 4% over the week to trade near $2,325, outpacing Bitcoin’s 3.9% rise. Solana fell 1.5% to $83, Cardano ADA fell 1%, while dogecoin fell 1.3% to $0.093. Tron bucked the trend with a 3% weekly gain.
China’s CSI 300 Index became the latest indicator to completely erase war-related declines, joining Taiwan and Singapore. The S&P 500 is approaching its record high from the end of January.
Optimism that a second round of negotiations between the United States and Iran will take effect in the coming days has kept the price of crude oil below $100 per barrel, easing the inflationary effect that weighed on markets until March.
The current price of Bitcoin is near the estimated average entry price for spot Bitcoin ETF holders in the United States, a level that could serve as a floor rather than a ceiling. Investors who stayed until the dip below $60,000 have little incentive to sell at break-even, removing a layer of potential supply overhead.
U.S. cash ETFs saw $471 million in net inflows on April 6, their largest single-day inflow since February, pushing cumulative inflows past $56 billion since the products launched in January 2024 – a move that some observers say reflects a bullish market structure.
“It’s optimistic for adoption even though it’s not self-custody,” said Vikrant Sharma, founder of CakeWallet.
“Institutions dumping $471 million in a single day and surpassing $56 billion cumulatively means that Bitcoin is attracting a whole new class of long-term holders. Selling off custodial wallets is simply natural profit-taking, but the fact that it doesn’t lead to a price collapse is a very optimistic sign,” he added.
Market participants are also pricing in the possibility of a Federal Reserve rate cut later this year, a move that would channel additional liquidity into risky assets after months of trading in limited ranges.
