$BTC

Bitcoin’s BTC

$94,442

price has dropped by 4.3% in the last three days after nearly reaching $97,900 on May 2. Despite showing resilience at the $94,000 level on May 5, some traders are disappointed that strong institutional inflows have not been enough to maintain bullish momentum. However, several encouraging signs suggest that a new all-time high for Bitcoin in 2025 remains within reach.

Bitcoin’s dominance over the broader cryptocurrency market has surged, currently standing at 70%, its highest since January 2021. This has occurred despite a wave of new token launches, including several top-50 projects such as SUI, Toncoin (TON), PI, Official Trump (TRUMP), Bittensor (TAO), Athena (ENA), and Celestia (TIA). This dominance makes riskier altcoins less appealing to new market entrants.

The spot Bitcoin ETFs recorded $4.5 billion in net inflows between April 22 and May 2. At the same time, the increasing appetite for Bitcoin futures signals growing institutional adoption regardless of whether leverage is used for downside protection or bullish bets.

According to CoinGlass, the total open interest in Bitcoin futures markets has reached 669,090 BTC, a 21% increase since March 5. Even after Bitcoin’s price crashed below $75,000 in early April, demand for leveraged positions remained strong. The open interest in BTC futures on the Chicago Mercantile Exchange (CME) alone exceeds $13.5 billion, indicating robust institutional demand.

Several factors explain why Bitcoin has struggled to reclaim the $100,000 level. Traders who bought in anticipation of the US Strategic Bitcoin Reserve bill on March 6 are growing increasingly frustrated, as the government has yet to disclose its BTC holdings or announce plans for further purchases. Additionally, similar state-level Bitcoin bills have repeatedly failed, including the latest setback in the US state of Arizona.