Bitcoin Climbs to $109,500: Why the Price is Up?

Bitcoin rose 1.78% over the past 24 hours to reach $109,500 at the time of writing, driven by surging institutional inflows into spot ETFs, easing global trade tensions, and strengthening technical momentum.

The rally builds on growing demand from regulated investment vehicles and improving macroeconomic sentiment, positioning Bitcoin for further upside.

ETF Inflows Lead the Charge

According to market data through July 3, spot Bitcoin ETFs brought in more than $1 billion in inflows over just two days. Major issuers including BlackRock and Fidelity led the charge, marking a significant shift in institutional appetite. Analysts note that regulated products now hold approximately 40% of Bitcoin’s U.S.-based circulating supply, a factor that continues to tighten available liquidity and apply upward price pressure.

Trade Easing and Liquidity Boost Broader Sentiment

The U.S. government’s move to cut tariffs on Vietnamese goods from 46% to 20% has also lifted market sentiment. The decision is seen as a step toward de-escalating trade tensions and fostering international cooperation. At the same time, U.S. M2 money supply has grown to $55.48 trillion, adding macro liquidity that often finds its way into risk assets like Bitcoin.

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Technical Indicators Confirm Bullish Structure

From a charting perspective, Bitcoin has broken above both its 7-day simple moving average (SMA) of $107,350 and 30-day SMA of $105,926, reinforcing a short-term bullish structure. Momentum indicators remain positive, with the 14-day Relative Strength Index (RSI) at 58.32, suggesting more upside potential before overbought conditions are reached. Additionally, the MACD histogram at +240.66 reflects strengthening bullish momentum.