BTC Returns to $95,000, BlackRock Possibly the Biggest Driver
BTC has returned to the $95,000 level and held steady, marking its first time back at this level since February 24. According to market data, BTC has risen 2.43% in the past 24 hours, with a cumulative weekly gain exceeding 11.71%. Elsewhere, BTC ETFs have also seen their largest weekly net inflow since Trump took office.
The most direct impact of this strong rally is the return of market confidence. Ethereum (ETH) rose 1.76%, Dogecoin (DOGE) increased by 2.5%, and TrumpCoin (TRUMP) surged 12.6%, with a staggering 67% gain over the week.
The strong rebound in the crypto market can be attributed to several factors, including growing expectations of a Fed rate cut, a pro-crypto stance from the new SEC Chair Paul Atkins, and continuous institutional inflows led by BlackRock.
- Growing Expectations of a Fed Rate Cut
The primary driver of this rally is the market’s expectation of a shift in the Federal Reserve’s monetary policy. Traders widely believe that the Fed will initiate its first rate cut in June and deliver a total of about 75 basis points of cuts this year. This expectation mainly stems from recent signs of cooling inflation and a slowdown in U.S. economic growth, fueling hopes for the onset of a "loosening cycle."
Meanwhile, the yield on the 2-year Treasury note has continued to decline, while the 10-year yield remains relatively firm, leading to a flattening yield curve that further strengthens bets on rate cuts.
Against this backdrop, "high expectation assets" like Bitcoin are being aggressively bought, especially as volatility increases in traditional financial assets. Bitcoin's "digital gold" safe-haven appeal has once again been highlighted. In addition, investors' concerns over "policy uncertainty" have eased somewhat, as rate cut expectations provide clear liquidity support, leading to a broad rally in crypto assets.
- New SEC Chair Paul Atkins' Pro-Crypto Stance
On April 25, during the SEC’s third cryptocurrency roundtable, newly appointed Chair Paul Atkins signaled a "pro-industry" stance, expressing willingness to "address the long-standing regulatory challenges for digital assets and listen to external opinions."
Atkins emphasized that blockchain technology offers "tremendous benefits" in enhancing efficiency, reducing costs, increasing transparency, and managing risks. He stated that regulatory rules should be "clear and stable." He further noted, "This is my fourth day back at the Commission, and I am eager to work with my colleagues and staff to ensure that regulation neither stifles innovation nor neglects risk" (original quote by Paul S. Atkins).
Compared to former Chair Gensler’s "enforcement-first" approach, Atkins leans toward "rulemaking before enforcement," which undoubtedly boosts market confidence.
Industry insiders believe Atkins' remarks suggest the SEC may ease thresholds in areas such as custody, brokerage, and ETF approvals, attracting more institutional capital. This stance complements the Fed's "rate cut + liquidity easing" expectations — together providing a dual boost of liquidity and regulatory friendliness to drive up digital asset prices.
- Continuous Institutional Inflows Led by BlackRock May Be the Biggest Catalyst
Another direct catalyst for this rally is the concentrated buying by institutions, with BlackRock’s iShares Bitcoin ETF standing out. On April 23, the ETF recorded a single-day net inflow of approximately $643 million, the largest since January 21.
According to SoSoValue data, Bitcoin ETFs collectively saw a net inflow of around $2.68 billion this week, the largest weekly inflow since Trump's inauguration. BlackRock’s iShares Bitcoin Trust (IBIT), leveraging its low fee structure and brand influence, dominated the overall inflows, attracting over $1 billion this week alone. Meanwhile, other major players like ARK 21Shares and Fidelity also continued to inject capital, jointly pushing Bitcoin back to rare highs.
Institutional heavy buying not only directly lifted spot prices but also tightened liquidity in the derivatives market — with both open interest and borrow rates rising, creating a "bullish synergy" effect.
More importantly, the high-frequency creation and redemption mechanism of ETFs enables rapid capital flows, amplifying liquidity spillover effects and providing sustained momentum for short-term market activity.
Conclusion
Overall, BTC’s return and stabilization at $95,000 is the result of a combination of factors: expectations of monetary easing, a friendlier regulatory environment, and robust institutional inflows. It also signals the maturing development of the digital asset market. Investors are advised to continue monitoring macro policy trends and ETF capital flows, maintain diversified asset allocation, seize opportunities, and manage risks prudently.
