Bitcoin News Today: Bitcoin Surges Past $118,000 on Record ETF Inflows and Institutional Demand

Bitcoin’s price surged past $118,000 in mid-July 2025, driven by historic institutional inflows and a strengthening market narrative surrounding its role as a store of value. The milestone, which marks the first time Bitcoin has traded above this threshold in recent months, followed over $14.8 billion in ETF inflows and a surge in institutional buying activity [1]. On-chain data highlighted the significance of this period, with Bitcoin’s realized capitalization breaching the $1 trillion mark as prices stabilized above $118,000, a level analysts associate with increased market maturity [2]. Key figures like Michael Saylor and Nayib Bukele bolstered this growth, with Saylor, a vocal advocate since 2020, emphasizing Bitcoin’s role in corporate treasury strategies [3].

The rally reflects a broader shift in institutional sentiment, driven by macroeconomic tailwinds and regulatory clarity that have reduced barriers for large investors. ETF sponsors reported over $226 million in inflows on July 24 alone, with BlackRock’s ETHA and other Ethereum ETFs also attracting substantial capital [3]. Analysts like Tom Lee of Fundstrat predict a potential surge to $250,000 by year-end, citing continued institutional adoption [1]. Citi similarly forecasts a $199,000 price target under a bullish scenario, attributing this to ETF inflows exceeding $15 billion and a 20% growth in user base [7]. However, cautionary voices, including Peter Brandt, stress the importance of diversified portfolios and warn against overreliance on Bitcoin for long-term financial stability [1].

Market dynamics underscore Bitcoin’s evolving ecosystem. The $118,000 level has become a focal point for stabilization and volatility, with on-chain metrics indicating strong institutional participation [9]. OTC trading data from Binance showed Bitcoin consolidating around this price after briefly hitting $120,000 on July 22 [9]. While Bitcoin’s stability has drawn capital to alternative cryptocurrencies like Zora and Sahara AI, its inherent volatility remains a challenge. A recent correction saw prices dip below $116,000, liquidating $585.86 million in long positions over 24 hours and triggering discussions about risk management [10].

Regulatory developments and corporate investments in Bitcoin remain contentious. Unified policy proposals, such as those suggested by Cointelegraph, are seen as critical to attracting further institutional capital [5]. Valuation expert Aswath Damodaran, however, cautions against the misuse of shareholder funds in digital assets [4]. Despite these concerns, Bitcoin’s resilience has begun to challenge historical perceptions of its volatility, reinforcing its narrative as a hedge against traditional financial uncertainties [3].

Looking ahead, the interplay between institutional demand and macroeconomic trends will likely shape Bitcoin’s trajectory. Global M2 money supply growth, projected to expand 8–10% annually through 2025, creates a favorable environment for Bitcoin, which thrives amid monetary expansion [6]. Short-term technical indicators suggest potential for upward movement: If Bitcoin breaks the $122,000 resistance, traders speculate it could reach $135,000–$150,000 within weeks [11]. Institutional liquidity surges, including those triggered by stop-loss cascades, have reinforced Bitcoin’s role as a stabilizing force in volatile markets [9].

The $118,000 threshold stands as both a testament to institutional confidence and a reminder of the risks inherent in a rapidly evolving market. While bullish forecasts abound, the market remains cautiously balanced, with long-term success hinging on Bitcoin’s ability to maintain dominance while fostering innovation in adjacent sectors.

Sources:

[1] [Bitcoin’s Significant Role to Rise in Future] (https://coinmarketcap.com/community/articles/68852cb3cd505a2fad82d4fe/)

[2] [Bitcoin Hits $1T Realized Cap as Price Holds Above $118K] (https://www.coindesk.com/markets/2025/07/26/bitcoin-hits-usd1t-realized-cap-as-price-holds-above-usd118k-after-usd9b-btc-sale-by-satoshi-era-whale)

[3] [Bitcoin Bulls 'In Control' as BTC Price Rebounds to $118K] (https://cointelegraph.com/news/bitcoin-bulls-in-control-as-btc-price-rebounds-to-118k)

[4] [The 'Dean of Valuation' Says Most Companies Buying ...] (https://finance.yahoo.com/news/dean-valuation-says-most-companies-170119737.html)

[5] [What Happens if Bitcoin Reaches $1 Million?] (https://cointelegraph.com/explained/what-happens-if-bitcoin-reaches-1-million)

[6] [Global Liquidity Surge Sets Stage for Bitcoin Price Explosion] (https://news.bitcoin.com/global-liquidity-surge-sets-stage-for-bitcoin-price-explosion/)

[7] [Wall Street's Bold Bet: Bitcoin Could Hit $200K By ...] (https://www.mitrade.com/insights/news/live-news/article-3-989308-20250726)

[9] [Bitcoin Surges 2% as Institutional Buying Fueled Recovery ...] (https://www.ainvest.com/news/bitcoin-news-today-bitcoin-surges-2-institutional-buying-fueled-recovery-118-000-analysts-eye-120-000-rally-2507/)

[10] [Bitcoin Price Prediction: BTC Could Surge to 135,000–150,000 After Breaking 122,000 Resistance] (https://blockchain.news/flashnews/bitcoin-price-prediction-btc-could-surge-to-135-000-150-000-after-breaking-122-000-resistance)

[11] [Bitcoin enters reserve conversation, but gold still rules] (https://crypto.news/bitcoin-reserve-gold-still-rules-dollar-weak/)