Bitcoin price surges 10% in January above 100k backed by ETF inflow
Bitcoin surges 10% in 2025, reclaiming $102K as ETF inflows and bullish sentiment rise
Bitcoin price has surged into the new year, gaining 10% in the first few days of January 2025 to reclaim the $102,000 level.
This remarkable recovery has reversed nearly all losses sustained since mid-December 2024. However, with the price now nearing overbought levels, questions linger about whether the rally can hold.
BTC price dynamics (November 2024-January 2025). Source: TradingView
After falling from a peak of nearly $109,000 on December 17, Bitcoin found support at $92,000, a critical level that acted as a cushion for declining prices since late November 2024. From this base, the cryptocurrency mounted a steady climb, closing above the $100,000 mark on January 6. This breach coincided with Bitcoin surpassing the Fibonacci golden ratio level, signaling renewed bullish strength.
Institutional interest has played a key role in this rally. On January 6, U.S.-listed Bitcoin ETFs recorded inflows of $987 million—the highest since November 21. Fidelity’s FBTC led the pack with $370 million in inflows, followed by BlackRock’s IBIT at $209 million and Ark Invest’s ARKB with $71 million. Remarkably, nine of the twelve ETFs posted gains, with none showing outflows. Adding to the bullish sentiment are expectations surrounding former President Donald Trump’s upcoming inauguration and his potential crypto-friendly policies. Traders appear optimistic, with Bitcoin often leading the market ahead of broader altcoin rallies.
Bitcoin price rally threatened by overbought RSI and Fed monetary policy
Despite the current optimism, headwinds remain. Research firm 10x Research highlights that the U.S. Federal Reserve’s stance on interest rate cuts poses a significant hurdle. A lack of monetary easing could weigh on risk assets, including Bitcoin, in the near term.
Bitcoin price currently trades near $102,500 with low volatility of just 1% during the Asian and early European sessions today between $101,500 and $102,500. Looking ahead, price faces near-term resistance at $103,670, reinforced by the Fibonacci 0.786% level. While on the downside, the $100,000 level, previously a hurdle for bulls in late December, has now flipped to a support level. As such the rally may face short-term pressure due to overbought conditions.
Strong Asian session trading fueled Bitcoin’s five-day winning streak. Bitcoin challenges the pivotal $100,000 resistance level after gaining 7% in 2025.
