Bitcoin: Will it hit $90,000 as $1.1 billion in ETF funds pour in?

▲ BlackRock Bitcoin/ChatGPT generated image ©

The reason Bitcoin (BTC) reclaimed $81,000 was not a simple rebound, but a massive re-influx of institutional funds, led by BlackRock's iShares Bitcoin Trust ETF (IBIT).

According to investment media TradingNews on May 5 (local time), US Bitcoin spot ETFs saw a net inflow of $532.2 million in a single day on May 4. This marks three consecutive trading days of net inflows, with the cumulative inflow over the past three trading days reaching $1.18 billion. Amidst this trend, Bitcoin rose to $81,668, gaining 1.92% in a day, and reclaimed the $81,000 level for the first time since late January.

BlackRock was at the center of the fund inflows. IBIT attracted $335.5 million, accounting for approximately 63% of Monday's total net inflow, while Fidelity Wise Origin Bitcoin Fund (FBTC) added $184.6 million. With these two products making up about 98% of the total inflow for the day, a clear trend emerged where institutional investors concentrated funds into leading, highly liquid ETFs. IBIT traded at $46.28, rising 1.94% in a day, but it is still approximately 35% below its 52-week high of $71.82.

The reversal in ETF supply and demand began in earnest in April. The net inflow into US Bitcoin spot ETFs in April was $2.44 billion, marking the largest monthly inflow since October 2025. Since their launch in January 2024, the cumulative net inflow for the 13 Bitcoin spot ETFs has reached $59.3 billion, with total net assets amounting to $106.4 billion. This accounts for 6.7% of Bitcoin's total market capitalization.

A short squeeze (buying pressure that occurs to liquidate or cover short positions) also influenced the price increase. Approximately $270 million worth of short positions were liquidated during Bitcoin's rebound, expanding the upward momentum. Technically, Bitcoin surpassed the $79,498 level for two consecutive days, confirming a breakout structure. The next resistance levels are identified as the 200-day simple moving average at $83,435 and the range of $83,871 to $84,445. If these levels are surpassed, $88,000-$90,000 is cited as the next target.

Market sentiment also recovered rapidly. The Crypto Fear & Greed Index rose from extreme fear at 13 a month ago to a neutral zone of 45. The media reported that $61.29 million also flowed into Ethereum (ETH) spot ETFs on Monday, and $7.5 million and $1 million flowed into XRP (Ripple)-related funds and Solana (SOL) funds, respectively, indicating that fund inflows were not limited to Bitcoin.

However, variables remain. Geopolitical risks in the Middle East, oil price fluctuations, US cryptocurrency market structure legislation, the CLARITY Act processing schedule, and expectations for a change in the US Federal Reserve Chair were all cited as factors that could sway short-term direction. The media analyzed that as long as Bitcoin maintains $78,068, the upward structure will persist, but if it breaks down, the possibility of correction to $76,008 and $73,711 increases. Conversely, if ETF inflows continue and Bitcoin breaks past $83,435, a re-challenge of $90,000, and in the mid-term, $100,000, becomes possible.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*