Bitcoin is back in rally mode. The Bitcoin price rally pushed the leading crypto to a weekly high of $69,500 on Wednesday, surging from lows near $62,400 in under 24 hours. The move aligns with renewed institutional demand and improving macro sentiment following President Trump’s State of the Union address.
The Catalyst: ETF Inflows Return With a Bang
Spot Bitcoin ETFs recorded $257.7 million in net inflows on February 24, decisively ending five consecutive weeks of redemptions that had drained $3.8 billion from the products . Fidelity’s FBTC led the charge with approximately $83 million, followed closely by BlackRock’s IBIT at $79 million and ARK’s ARKB at $71 million .
The inflow reversal coincides with a broader improvement in risk appetite. Trump’s State of the Union address emphasized falling mortgage rates and a 1.7% decline in core inflation, signaling reduced near-term policy uncertainty after weeks of tariff and Supreme Court volatility .
Healthy Structure: A Spot-Driven Bitcoin Price Rally
What makes this Bitcoin price rally particularly interesting is what’s not happening in derivatives. Aggregated futures open interest has eased from highs above 240,000 BTC to approximately 235,167 BTC, indicating that excess leverage was flushed during the recent volatility .
Funding rates remain slightly negative at -0.0037%, meaning short positions are still paying longs . This combination—cooling open interest and neutral-to-negative funding—suggests the rally is being driven by genuine spot demand, not a buildup of leveraged long positions.
The cumulative volume delta (CVD) has edged higher, confirming that spot buyers are the primary engine behind this move . Options dealers are holding positive gamma, a condition that typically smooths volatility as dealers buy dips and sell rallies to stay hedged.
Key Levels to Watch as Rally Targets $70K
With BTC now testing $69,500, all eyes turn to the $70,000–$74,000 resistance zone on the weekly chart—an area that acted as major resistance throughout much of 2024 . A decisive reclaim and hold above that band would mark a structural shift and restore a bullish outlook.
the downside, the $60,000–$63,000 region demonstrated strong bid absorption during the recent dip and now serves as critical support . If sell pressure builds again at current levels without a breakout, it could signal a slowdown in buy-side aggression.
My Thoughts
This Bitcoin price rally has the hallmarks of a sustainable move. When leverage is flushed and spot demand leads, the foundation is stronger. The ETF flow reversal is the most significant signal—institutions are stepping back in after weeks of de-risking.
The macro backdrop is also improving. Falling inflation and policy clarity are exactly what risk assets needed. Combined with the negative gamma structure noted by Coinbase (which can amplify downside but also create reflexive buying on reclaims), the setup is intriguing .
For traders, the path forward is clear: $70K is the line in the sand. A decisive breakout with sustained volume could accelerate toward $74K. Failure to break could lead to another test of the $65K–$66K range. Either way, volatility is returning—and that’s where opportunities are made.
