$100 billion flows into Bitcoin in 7 hours as BTC targets $105k
Bitcoin (BTC) bounced back from a sharp market sell-off, increasing its market capitalization by roughly $100 billion within seven hours, reaching $2.07 trillion. The cryptocurrency traded at around $104,300, gaining 3.44% over 24 hours following ETF outflows, macroeconomic concerns, and market volatility. Heavy ETF withdrawals, including $379 million from BlackRock, and Federal Reserve Chair Jerome Powell's indications of prolonged elevated interest rates had contributed to earlier panic selling. Market sentiment also suffered after Donald Trump announced tariffs and export controls on China effective November 2025, triggering a 12% Bitcoin drop. Despite extreme leverage and liquidations, institutional buyers such as Strategy (Michael Saylor’s firm) are accumulating Bitcoin, showing confidence in the long-term potential. Analysts attribute the recent rally to institutional inflows, not retail-driven speculation, with potential for continued growth if FOMO and retail participation remain subdued.
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Bitcoin's Dramatic Rebound
Bitcoin (BTC) has quickly rebounded from a sharp market sell-off, adding roughly $100 billion to its market cap within just seven hours as renewed demand pushed the flagship cryptocurrency toward the $105,000 mark. By press time, Bitcoin’s market capitalization reached $2.07 trillion at 18:30 UTC, up from $1.97 trillion at 01:30 UTC, with the asset trading around $104,300, a 3.44% gain over the past 24 hours.
Market Volatility and Triggers
The rebound occurs after a period of high volatility triggered by heavy ETF outflows, macroeconomic concerns, and panic selling. Earlier in the week, investors withdrew nearly $1.8 billion from Bitcoin and crypto ETFs, with major firms like BlackRock offloading more than $379 million in Bitcoin and Ethereum products over just two days.
Impact of Federal Reserve Policies
The selling pressure intensified following Federal Reserve Chair Jerome Powell’s comments indicating that interest rates may remain elevated longer than anticipated, boosting the U.S. dollar and negatively impacting risk assets. This macroeconomic uncertainty contributed significantly to the crypto market's turbulence.
October Turmoil in the Crypto Market
Crypto markets were also roiled in October when President Donald Trump announced sweeping 100% tariffs and export controls on China, set to take effect on November 1, 2025. This announcement triggered a 12% slide in Bitcoin prices and even larger declines of up to 40% in other major crypto assets. Extreme leverage compounded the decline, with daily liquidations averaging around 300,000 traders, including a massive $20 billion liquidation wave on October 10.
Institutional Buyers Demonstrate Confidence
Despite the downturn, institutional buyers have started to emerge. For instance, Michael Saylor’s firm, Strategy, purchased 397 BTC at an average price of $114,771. This move highlights a strong long-term conviction, even as Bitcoin trades below the firm’s acquisition cost.
Key Drivers of the Current Rally
Analysts suggest the latest surge in Bitcoin's value is being driven by quieter capital inflows instead of retail frenzy. They note that as fear begins to fade, the rally might continue—especially as FOMO (fear of missing out) remains controlled and retail participation stays minimal. Historically, this has favored Bitcoin's upward momentum.