On Friday, the crypto market experienced notable gains, with Sui (SUI), Bitcoin Cash (BCH), and Hedera’s HBAR leading the charge in the CoinDesk 20 Index. Bitcoin (BTC) remained at the forefront of this rally, continuing its spring momentum, and some analysts are now suggesting that the current rally could mark the beginning of a new all-time high for Bitcoin.
Bitcoin maintained a strong hold above $95,000 throughout the U.S. afternoon trading session, marking a 1.8% increase in the past 24 hours. Ethereum’s ether (ETH) followed closely, up 2%, resting just above $1,800. In the broader crypto market, Sui’s native token (SUI), BCH, and Hedera’s HBAR posted the largest gains, showcasing strong investor interest.
The crypto market’s surge follows a period of turbulence earlier in April, largely due to global tariff disruptions. Bitcoin has gained more than 11% this week, putting it on track for its biggest weekly increase since November 2024, when the U.S. presidential election and Donald Trump’s victory triggered a broader market rally.
Bitcoin ETFs See Record Inflows
Investor interest in Bitcoin also spiked due to increased inflows into Bitcoin exchange-traded funds (ETFs). U.S.-listed spot Bitcoin ETFs saw $2.68 billion in net inflows this week, marking the largest inflows since December. Friday’s inflow data will be published shortly.
Bitcoin Breaking Away from Traditional Assets
Bitcoin’s recent performance, especially its decoupling from traditional assets like stocks and gold, has sparked discussions among analysts. David Duong, the global head of research at Coinbase Institutional, noted that the market may be witnessing a significant inflection point.
“We’re seeing Bitcoin mature into a store-of-value asset, increasingly viewed by both institutional and retail investors as resilient against broader macroeconomic forces,” Duong explained. “This divergence from traditional assets could signal a fundamental shift in the way investors perceive Bitcoin.”
Duong also pointed out that the growing adoption of Bitcoin by corporations as part of their treasury management, including the launch of Twenty One Capital—a firm backed by major players such as Tether, Bitfinex, and SoftBank—further bolsters this view.
Liquidity Challenges Could Lead to Higher Volatility
Dr. Kirill Kretov, the lead strategist at CoinPanel, raised concerns about Bitcoin’s liquidity, noting that a significant amount of liquidity has been drained from active Bitcoin addresses since November 2024. This withdrawal of liquidity could lead to more volatile price movements, making the market more susceptible to swings driven by large transactions.
“With reduced liquidity, Bitcoin is more vulnerable to sharp price movements,” Kretov stated. “Price fluctuations of 10% or more are likely to persist in the current market environment.”
Bitcoin on Track for New Heights
Despite the risk of short-term volatility, John Glover, chief investment officer at Ledn, remains bullish on Bitcoin’s long-term prospects. He believes that Bitcoin is entering the final phase of its multi-year bull market, based on the Elliott Wave theory, which suggests that asset prices follow predictable wave patterns influenced by investor sentiment.
While Glover acknowledges the possibility of a price correction to around $75,000, he is optimistic that Bitcoin will continue its upward trajectory, with a potential price target of $133,000 to $136,000 by the end of 2025 or early 2026.
