Bitcoin surges toward $80,000 as ETF inflows and inflation bets fuel rally

Bitcoin surged to 74,000, its highest level in over three weeks, as investors piled into spot Bitcoin ETFs and inflation fears reignited. The BTC/USD pair has entered a bull market, rising more than 20% from its 2024 low of 60,000. Last week alone, spot Bitcoin ETFs pulled in over $786 million in net inflows, a dramatic acceleration from the prior week’s $22 million. BlackRock’s IBIT now holds $57 billion in assets, while Fidelity’s FBTC has reached $13.8 billion. The surge in ETF demand coincided with rising futures open interest, which climbed to nearly $50 billion from a year-to-date low of $39 billion—another signal of strengthening demand. The rally followed the March consumer inflation report, which showed headline inflation jumping to 3.3% from 2.4%, driven by soaring energy prices amid geopolitical tensions. With gasoline prices exceeding $4 a gallon, consumer confidence has slumped to its lowest level since 2009, raising concerns about stagflation. Technically, Bitcoin formed a double-bottom pattern on the daily chart, with the price now nearing the pattern’s neckline at 76,065. It has moved above the 50-day Exponential Moving Average, and the Relative Strength Index (RSI) is approaching 70, a level typically associated with overbought conditions. Traders are now targeting 80,000 as the next major milestone, with a stop-loss at 68,000 to guard against a reversal.