Bitcoin holds steady near $118,500 as Ethereum Leads gains on ETF Inflows
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Bitcoin steadies despite Fed-triggered volatility
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Regulatory backdrop: Clarity but few specifics
Mixed Altcoins
The cryptocurrency market showed resilience on Thursday with Bitcoin (BTC) stabilising above the $118,500 mark and Ethereum (ETH) gaining ground, bolstered by renewed institutional interest and strong ETF inflows As of 12:14 pm IST, Bitcoin was trading at $118,565, up 0.26%, while Ethereum rose 1.11% to $3,868, according to data from CoinMarketCap. The global crypto market capitalisation climbed 0.28% to reach $3.89 trillion.Ethereum outperformed Bitcoin, supported by a surge in spot ETF inflows — jumping to $219 million, even as Bitcoin ETF inflows halved from nearly $157 million to just $80 million. This shift in capital suggests growing institutional preference for ETH, further strengthened by developments such as ETH Strategy's $46.5 million fundraise and BTCS Inc.'s $2 billion Ethereum treasury expansion.'Ethereum is strengthening above $3,820, backed by institutional moves,' said Riya Sehgal, Research Analyst at Delta Exchange. 'The market appears to be in a consolidation phase, with traders cautiously optimistic about Ethereum's upside.'The broader market was reacting to the Federal Reserve's decision to hold interest rates steady at 4.25%–4.50% for the fifth consecutive time. Although this was largely expected, markets saw volatility spike immediately after the announcement, leading to nearly $200 million in leveraged liquidations as Bitcoin briefly dipped below $116,000 before recovering.'Bitcoin continues to show impressive strength above $118,000, despite macro uncertainty,' said Shivam Thakral, CEO of BuyUcoin. 'While the Fed's stance remains hawkish, the crypto market seems better prepared to absorb economic shocks.'Technical indicators suggest Bitcoin remains range-bound, with resistance near $119,000–$120,000 and support at $116,000, according to CoinSwitch Markets Desk. Momentum signals are mixed, pointing to further sideways movement unless a breakout occurs.Alongside the Fed decision, the White House released a 163-page crypto strategy report, outlining policy proposals under the GENIUS and Clarity Acts, pushing for CFTC oversight of non-security tokens, and discouraging a U.S. CBDC. However, details on the Strategic Bitcoin Reserve remained unclear.'The macro backdrop, regulatory clarity, and growing adoption continue to favor long-term upside,' noted Sathvik Vishwanath, Co-Founder and CEO of Unocoin. 'A breakout above $120,000 could push Bitcoin toward $125,000–$130,000, while a drop below $111,000 could trigger deeper corrections.'The altcoin space was divided, with XRP, Sui, Stellar, Chainlink, Hedera, Litecoin, and Toncoin trading up between 0.2% and 4.5%. On the flip side, BNB, Solana, Dogecoin, Tron, Cardano, and Avalanche witnessed declines.While sentiment remains cautiously bullish across the board, traders are keeping a close eye on macro developments — including rising geopolitical tensions and potential disruptions from U.S. tariff policies under former President Trump.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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