Last week (ending March 20, 2025), Bitcoin experienced “a lot of drama” but ended quietly at $84,150, nearly unchanged after 7 days. ETF inflows reversed positively, the SEC “greenlighted” Bitcoin mining, but the highest volatility in 6 months made investors anxious. Is this a sign of stability or just “calm before the storm”? Let’s explore!
Bitcoin: Up and Down, Still “Intact”
Bitcoin (~$84,150, CoinGecko) rose 0.2% on the day but remained unchanged for the week. On Wednesday, the price $BTC surged after Fed Chair Jerome Powell reassured that Trump's tariffs only have a “temporary” impact on inflation. Previously, every time Trump announced unexpected tariffs in the past month, both Bitcoin and stocks declined. Powell's words seemed to relieve investors, pushing BTC to a weekly high before cooling down to $84,150.
Bitcoin ETF: Money is Back
After U.S. investors massively withdrew from Bitcoin ETFs at the beginning of the month, this week saw a reversal. According to Farside Investors, over $734 million flowed into Bitcoin ETF funds from the start of the week to Wednesday, with positive cash flow recorded every day. Confidence shifted as speculators expect the Fed to cut interest rates by the end of the year. However, the Ethereum ETF is “underperforming,” extending a 13-day loss streak (as of Friday), in contrast to Bitcoin ETF’s 6-day gain.
High Volatility: The “Storm” is Not Over
Despite stable prices, Bitcoin faces the highest volatility in 6 months, according to Amberdata. Greg Magadini, Amberdata's derivatives director, told #Decrypt : “Short-term volatility will persist.” Concerns about the U.S. economy and geopolitical tensions (such as Israel-Hamas) are making investors adopt a “risk-off” mentality, pushing Bitcoin into “whirlpools.” Data shows this unstable sentiment may continue, challenging both traders and holders.
SEC: Good News for Bitcoin Mining
On Thursday, the SEC announced that Bitcoin mining using Proof-of-Work (PoW) “is not related to the offer or sale of securities,” as the rewards do not depend on third-party management efforts. This exempts mining companies from SEC regulations – a major victory under the crypto-friendly Trump administration. The agency is “cleaning up the mess” from the Biden era, withdrawing many lawsuits against Coinbase, Ripple, and now “clearing” PoW. However, mining stocks like MARA (-1.5%), CleanSpark (-4.5%) still fell on Friday, indicating good news is not enough to revive the sector.
What Does BlackRock Say About Bitcoin?
Robert Mitchnick, BlackRock's Digital Asset Director, appeared on CNBC Squawk Box to refute the notion that Bitcoin is a “high-risk” asset (risk-on). He said: “That perspective is sometimes a self-inflicted wound from the crypto industry.” BlackRock, managing the iShares Bitcoin Trust (successful since January 2024), seems to want to position BTC as a utility asset, not just volatile according to the market. Is this a strategy to attract new customers for their ETF?
Impact on the Market
Bitcoin: Stable Price (~$84,150) and ETF growth indicate a recovery of confidence, but high volatility poses hidden risks.
Mining Sector: SEC guidance reduces legal pressure, but mining stocks have not benefited due to the overall market decline (Nasdaq -0.03%).
ETF: $734 million inflow into Bitcoin ETF is a positive signal, but Ethereum ETF losses show clear differentiation.
Conclusion: Is Bitcoin Peaceful or Under Currents?
This week, Bitcoin held steady at $84,150 amid returning ETF inflows and good news from the SEC about PoW. However, the highest volatility in 6 months, along with macroeconomic concerns, indicates that the “ship” BTC has not yet exited the troubled waters. BlackRock is reshaping Bitcoin's image, the SEC is paving the way for coin mining, but industry stocks remain in the red – all creating a contradictory picture. Is this the beginning of stability, or just a prelude to a bigger storm? Next week may reveal the answer!
Risk warning: Crypto investments carry high risk due to price volatility. Please consider carefully before participating.