- Bitcoin faces a mild correction around $92,000 as profit-taking increases, but strong ETF inflows and positive market sentiment support the bullish outlook.
- A rally toward $97,000 remains possible if institutional demand continues and the $90,000 support holds.
Bitcoin (BTC) has hit the pause button on its recent bullish run, undergoing a mild correction on Thursday as traders locked in profits. After rallying 8.55% this week and reaching a high of $94,696, BTC is now trading around $92,000. While some cooling off was expected, market fundamentals suggest this pullback could be short-lived.
Profit-Taking Sparks Pullback, But Bulls May Still Be in Control
Data from CryptoQuant indicates that investors have been transferring BTC to exchanges, signaling intent to sell. A net inflow of 3,135 BTC suggests increasing short-term selling pressure, a typical behavior when prices spike. However, this kind of profit-taking isn’t unusual during a strong uptrend and doesn’t necessarily indicate a reversal.
Despite this, Bitcoin has found support near the psychological $90,000 level. Technical indicators such as the Relative Strength Index (RSI), currently at 63, show that while bullish momentum is fading, the market hasn’t tipped into bearish territory just yet.
Also read: Ethereum Won’t Survive the Next 15 Years, Says Cardano Founder Charles Hoskinson
ETF Inflows Reflect Robust Institutional Confidence
Offsetting the bearish signs is a surge in institutional demand. According to SoSoValue, US spot Bitcoin ETFs saw a net inflow of $916.91 million on Wednesday—marking three straight days of positive flows. Such sustained interest from institutions adds a strong floor to Bitcoin’s price, reinforcing the possibility of a continued rally.
Trump’s Softened Rhetoric Boosts Risk Appetite
Macro sentiment is also favoring riskier assets. Reports that the Trump administration is considering reducing tariffs on Chinese goods and easing its stance on the Federal Reserve have sparked a risk-on wave in global markets. With equities in Asia climbing and investors seeking high-yield opportunities, Bitcoin has benefited from this broader optimism.
The Road Ahead: Watch the $90K Level
While the recent dip may rattle some nerves, the broader picture remains constructive. If BTC holds above $90,000 and ETF inflows persist, a push toward $97,000 remains well within reach. Traders should monitor RSI levels and exchange inflow data for signs of either renewed bullish strength or deeper correction risks.
For now, Bitcoin’s momentum may be cooling, but the fire underneath still burns.
