Key Highlights
- BTC surged beyond the $85,000 threshold for the first time since January, touching approximately $85,248.
- The cryptocurrency has recovered its 50-week EMA positioned around $77,769 following last week’s close at $81,120.
- American spot Bitcoin ETFs saw $435 million in net capital inflows on Friday, marking the highest single-day figure since September 3.
- Declining crude oil valuations and relaxing bond yields provided support to risk-oriented assets, despite ongoing market expectations of additional Fed rate adjustments.
- Strategy acquired an additional 950 BTC worth $75.7 million, bringing their accumulated holdings to 846,000 BTC.
Bitcoin (BTC) pushed through the $85,000 level on Monday, marking its strongest performance in approximately eight months. The cryptocurrency reached a peak of $85,248 after concluding the prior week at $81,120.
This breakthrough represented BTC’s initial crossing above $85,000 since the closing days of January. The digital asset subsequently traded near $85,139, reflecting an approximate 5.7% daily gain.
The upward movement followed a rebound from levels below $76,000 that occurred after the Federal Reserve’s rate hike last week. Market participants re-entered positions during the weekend, propelling BTC past its prior May peak around $82,950.
Liquidations of short positions gained momentum as valuations climbed higher. Liquidations across the cryptocurrency market exceeded $600 million within a 24-hour period.
Exchange-Traded Fund Activity and Oil Prices Boost Bitcoin
The leading cryptocurrency has regained its 50-week exponential moving average positioned around $77,769. The daily relative strength index also approached the 70 threshold as bullish momentum intensified.
Demand from exchange-traded funds strengthened in tandem with the price surge. American spot Bitcoin ETFs attracted $435 million in net capital on Friday, representing their most robust daily performance since early September.
Fidelity’s Wise Origin Bitcoin Fund captured $310 million of these inflows, temporarily surpassing BlackRock’s IBIT as the primary destination for investor capital that session.
BTC is now nearing the average purchase price for American spot ETF investors, calculated at approximately $85,638. This positions the current market value near the equilibrium point for the collective ETF investment base.
Energy commodity prices offered additional tailwinds. West Texas Intermediate crude dropped beneath $94 per barrel after exceeding $100 the previous week, while Brent crude similarly declined as markets monitored renewed diplomatic initiatives between the United States and Iran.
Reuters indicated that reduced oil valuations supported international equities and fixed income securities on Monday, even as market participants continued anticipating another rate increase from the Federal Reserve.
Strategy Expands Bitcoin Holdings by 950 Coins
Strategy acquired an additional 950 Bitcoin worth $75.7 million during the period spanning September 14 through September 20, at an average cost of $79,670 per unit. The company’s aggregate position now totals 846,000 BTC.
Market analyst Ted Pillows shared via social media that Bitcoin had established its initial higher high while recapturing its 50-week moving average. He characterized the market floor as validated, expressing his optimistic view of the recent technical patterns.
The regulatory environment also showed improvement following the SEC’s announcement of a temporary five-year exemption permitting select platforms to facilitate trading of tokenized American equities on blockchain infrastructure. The commission clarified that the provision carries conditions and applies to approved tokenized securities platforms and market makers.
Currently, Bitcoin maintains its position above the $85,000 level, with the ETF investor average cost basis situated near $85,638 and the January peak zone representing the next crucial resistance point.
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