Bitcoin News Today: Macroeconomic Shifts and ETF Inflows Shield Bitcoin From Trade War Sell-off

Bitcoin's price has rebounded to approximately $115,000 after a volatile week marked by a record $20,000 intraday drop driven by fears of a U.S.-China trade war. Despite the turbulence, the cryptocurrency has shown resilience, supported by robust institutional inflows and a shift in macroeconomic sentiment. Spot Bitcoin ETFs absorbed much of the selling pressure, with net inflows reaching $2.72 billion for the week ending October 10, led by BlackRock's iShares Bitcoin Trust (IBIT), which alone attracted $2.63 billion BTC Price Prediction: Strong Bounce Suggests $130K Soon as ETF Inflows Anchor Bitcoin^[1]. This influx prevented Bitcoin from falling below the critical $100,000 threshold, underscoring institutional confidence in the asset.

Technical indicators also suggest the broader uptrend remains intact. Bitcoin found crucial support at its 50-week simple moving average (SMA), a level historically associated with the end of major corrections. Momentum metrics, including the stochastic oscillator, have turned higher, signaling renewed buying interest BTC Price Prediction: Strong Bounce Suggests $130K Soon as ETF Inflows Anchor Bitcoin^[1]. On-chain data further reinforces this narrative, with long-term holders increasing their net positions by over 167,000 BTC in the past month, valued at nearly $14 billion Bitcoin’s Uptober Breakout: Glassnode Explains Two Key Factors^[5]. This accumulation indicates strategic buying during periods of market weakness, a pattern observed in prior bull cycles.

The rally is being fueled by a combination of macroeconomic optimism and policy shifts. The U.S. government shutdown and rising debt levels have prompted investors to seek alternative assets, with Bitcoin gaining traction as a store of value. Additionally, the Federal Reserve's dovish pivot-with markets pricing in a 90% probability of further rate cuts-has bolstered risk assets. Globally, nations like the Philippines, Malaysia, and Thailand are exploring Bitcoin integration into national reserves, adding to the asset's appeal BTC Price Prediction: Strong Bounce Suggests $130K Soon as ETF Inflows Anchor Bitcoin^[1].

Institutional demand remains a key driver, with ETF inflows continuing to anchor prices. IBIT now holds nearly 800,000 BTC, or 4% of the circulating supply, and manages close to $100 billion in assets, making it the fastest-growing ETF in U.S. history BTC Price Prediction: Strong Bounce Suggests $130K Soon as ETF Inflows Anchor Bitcoin^[1]. Meanwhile, smaller and mid-tier investors have also contributed to accumulation, with wallets holding 10–1,000 BTC steadily increasing balances while larger whales take moderate profits .

Analysts remain cautiously optimistic. While short-term volatility persists, the broader structure of Bitcoin's price action points upward. Strong ETF inflows, dovish central bank policies, and institutional accumulation are seen as key supports. If trade tensions remain contained, Bitcoin could retest record highs by year-end, potentially reaching $130,000 or beyond BTC Price Prediction: Strong Bounce Suggests $130K Soon as ETF Inflows Anchor Bitcoin^[1]. However, rising leverage in futures markets-annualized funding rates now exceed 8%-introduces short-term fragility, as leveraged long positions could amplify corrections .

Bitcoin's recent performance highlights its maturing role in global finance. With institutional demand outpacing retail speculation and macroeconomic tailwinds strengthening, the cryptocurrency appears well-positioned to navigate short-term shocks and continue its long-term ascent.