Bitcoin has achieved an unprecedented surge, reaching as high as $103,608 on May 10, 2025. This rally is driven primarily by substantial inflows from institutional investors, especially those utilizing Bitcoin ETFs, which recorded $564.7 million in inflows over the past week. Notably, retail participation has been minimal during this surge, with network activity showing a significant absence of new users.
Data from ETF providers highlights continued bullish momentum, with the ARK 21Shares Bitcoin ETF (ARKB), Fidelity’s Wise Origin Bitcoin Fund (FBTC), and BlackRock’s iShares Bitcoin Trust (IBIT) leading inflows. Recent days saw BlackRock, for instance, making single acquisitions of over $8 million worth of BTC. Bitcoin’s upward movement also appears correlated with gains in tech stocks, as demonstrated by its strong 0.75 correlation with the Nasdaq index. Despite the enthusiasm in most ETFs, Grayscale Bitcoin Trust (GBTC) has seen some outflows, attributed to higher management fees and investor migration to cheaper alternatives, as well as geopolitical uncertainties.
Market sentiment is shifting, with financial analysts noting that the current pattern of institutional-driven growth marks a break from historic surges that accompanied robust retail network engagement. The prevailing hypothesis suggests this pattern of institutional accumulation may persist in the near term unless interrupted by major geopolitical or macroeconomic events.