Bitcoin News Today: Institutional Capital Flocks to Bitcoin ETFs as Safe-Haven Demand Surges, Pushing Price Past $125K

U.S.-listed spot Bitcoin exchange-traded funds (ETFs) have seen a historic surge in inflows, with $676 million in net capital flowing into these funds over the past three days, marking the largest weekly inflow since their launch. This momentum has propelled Bitcoin to an all-time high above $125,000, signaling renewed institutional and retail confidence in the cryptocurrency. Data from SoSoValue indicates that Bitcoin ETFs recorded a net inflow of $3.24 billion in the week ending October 3, the second-largest weekly inflow on recordtitle1^[1]. This inflow coincided with Bitcoin's price surging past $124,000, a level last reached in August 2025title1^[1].

The surge in ETF inflows reflects a broader shift in investor sentiment, driven by macroeconomic factors and institutional adoption. The U.S. government shutdown has heightened demand for safe-haven assets, with Bitcoin increasingly viewed as a hedge against geopolitical and financial uncertaintytitle1^[1]. Analysts attribute the inflows to a combination of accommodative Federal Reserve policies, including the anticipation of rate cuts in October and December 2025, and the growing legitimacy of Bitcoin as an asset classtitle2^[2]. For example, BlackRock's iShares Bitcoin Trust (IBIT) led the inflow with $1.78 billion, while Fidelity's FBTC added $692 milliontitle3^[3]. These figures underscore the scale of institutional capital flowing into Bitcoin ETFs, which now hold over 1.47 million BTC, or 7% of the total supply.

The price action of Bitcoin has closely mirrored ETF inflow trends. After a brief consolidation phase in late September, Bitcoin reclaimed its $120,000 level in early October, fueled by ETF-driven demand. Technical indicators, including the Relative Strength Index (RSI) and MACD histogram, suggest continued upward momentum. The surge has also triggered renewed optimism among investors, with some forecasts predicting Bitcoin could reach $165,000 by year-end, according to JPMorgantitle4^[4]. Standard Chartered analysts project a target of $135,000, citing the ETF boom as a catalyst for institutional adoptiontitle4^[4].

The broader cryptocurrency ecosystem has benefited from this rally. Ethereum (ETH) and other altcoins have seen increased inflows, with Ethereum ETFs attracting $1.29 billion in the same weektitle3^[3]. The surge in Bitcoin ETFs has also spurred activity in decentralized finance (DeFi) and tokenized assets, as investors seek diversified exposure to digital assetstitle2^[2]. Additionally, the U.S. Securities and Exchange Commission (SEC) is reviewing 92 crypto ETF applications, including proposals for Solana and XRP, with a high probability of approval this year.

Looking ahead, the convergence of macroeconomic tailwinds and institutional adoption suggests a sustained bullish cycle for Bitcoin. The Federal Reserve's accommodative monetary policy, global liquidity expansion, and regulatory clarity are expected to drive further inflows into Bitcoin ETFstitle2^[2]. Meanwhile, European investors have poured $105 billion into U.S.-listed Bitcoin ETFs year-to-date, reflecting cross-border demand. However, experts caution that short-term volatility remains a risk, particularly as Bitcoin approaches key resistance levels.