#Binance and the rise in liquidity.
The decrease in the supply of Bitcoin on exchanges is driving prices up, indicating growing institutional interest.
The technical breakout for Bitcoin points to strong bullish momentum, with a key resistance level at $100,000. Immediate demand and ETF inflows are driving the price of Bitcoin upward.
As we enter the second quarter of 2025, the demand for Bitcoin in the spot market is clearly increasing. Inflows into major ETFs, such as the iShares Bitcoin Trust ETF (NASDAQ: IBIT), are a key factor. Last week, the IBIT Bitcoin investment fund saw a $1.5 billion influx of new money. This increasing institutional interest enhances liquidity while reducing market supply, which could push prices downward.
Unlike the spikes of 2021 and 2023, this rise in demand for Bitcoin in the spot market is supported by a more stable market that is less reliant on leverage. The focus is now on direct purchases rather than derivatives.
At the same time, Bitcoin trading volume on exchanges has fallen to its lowest level in five years. By the end of April, major investors in $BTC.