Bitcoin has surged past $90,000, marking its biggest rally since May 2025, driven by strong ETF inflows and a rebound in crypto markets. This 6.7% daily gain reflects renewed investor confidence amid favorable liquidity measures from the Federal Reserve.
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Bitcoin price hits $90,339 after a 6.7% increase in the past 24 hours, per CoinGecko data.
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Ethereum climbed nearly 10% to above $3,000, boosted by anticipation for its upcoming network upgrade.
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ETF inflows topped $1 billion over the past week for Bitcoin, Ethereum, and XRP, according to CoinShares reports, with trading volume doubling to over $92 billion.
Bitcoin surges past $90,000 in 2025’s biggest rally since May, fueled by ETF inflows and Fed liquidity. Explore how this impacts crypto markets and what to watch next—stay informed on the latest trends today.
What Caused Bitcoin to Surge Past $90,000 in 2025?
Bitcoin’s surge past $90,000 stems from robust ETF inflows and improved market liquidity following the U.S. Federal Reserve’s actions. The cryptocurrency gained 6.7% in a single day, reaching $90,339, as reported by CoinGecko. This momentum has liquidated over $157 million in short positions, signaling a strong rebound across digital assets.
How Are ETF Inflows Driving the Crypto Rebound?
Exchange-traded funds for Bitcoin, Ethereum, and XRP saw net inflows exceeding $1 billion in the past week, per CoinShares analysis. This influx, continuing into recent sessions with $8.5 million added to Bitcoin ETFs, underscores growing institutional interest. Ethereum ETFs faced minor outflows of $79 million, yet the overall trend supports broader market recovery. Data from Farside Investors highlights Solana funds’ $13.5 million redemptions as a counterpoint, but the net positive flow bolsters price stability. Analysts note that such fund dynamics often mirror crypto price movements, providing a reliable indicator for investors. Trading volumes more than doubled to above $92 billion, intensifying the rally’s impact.
Frequently Asked Questions
What Factors Are Influencing Bitcoin’s 2025 Price Rally?
The primary drivers include surging ETF inflows and Federal Reserve liquidity injections totaling $13.5 billion via overnight repos, as noted by Wintermute trading desk experts. These measures ease year-end strains without signaling a full policy reversal, fostering market confidence. Additionally, liquidations of $312 million in derivatives have amplified the upward pressure on prices.
Will the Federal Reserve’s Meeting Impact Crypto Prices?
The upcoming Federal Open Market Committee meeting on December 9-10 could significantly affect crypto, with prediction markets indicating a 91% likelihood of a 25 basis point rate cut. Such decisions historically correlate with asset flows into high-risk markets like cryptocurrencies, potentially sustaining Bitcoin’s rally above $90,000 if positive.
Key Takeaways
- Market Rebound Strength: Bitcoin’s 6.7% gain to $90,339 outpaces recent sessions, with Ethereum up 10% ahead of its Fusaka upgrade and XRP rising 7.3% to $2.14.
- ETF Flow Dynamics: Over $1 billion in weekly inflows highlight institutional buying, though Ethereum saw slight withdrawals, per Farside Investors and CoinShares data.
- Liquidity’s Role: Federal Reserve’s $13.5 billion injection stabilizes markets; monitor FOMC outcomes for future crypto trends and investment opportunities.
Conclusion
Bitcoin’s surge past $90,000 in this 2025 rally, propelled by ETF inflows and Federal Reserve liquidity measures, signals a resilient crypto ecosystem amid fragile conditions. As Ethereum and XRP follow suit with notable gains, investors should track upcoming policy decisions for sustained momentum. This rebound offers a timely reminder of crypto’s sensitivity to macroeconomic shifts—position yourself wisely for potential further upside in digital assets.
The rally has not only boosted trading volumes to over $92 billion but also triggered substantial short position liquidations worth $157 million for Bitcoin alone, according to Coinglass figures. This event marks the largest single-day increase since May, surpassing the 9.52% jump on March 2, as per historical records from Investing.com.
Market participants remain cautious, with analysts emphasizing the Federal Reserve’s recent end to quantitative tightening as a stabilizing factor rather than a catalyst for expansive easing. Wintermute’s note to industry observers describes these repos as routine tools for short-term relief, distinct from broader quantitative easing programs. The injection’s scale, the second-largest since the COVID era, has nonetheless injected optimism into crypto circles.
Broader altcoin performance aligns with Bitcoin’s trajectory. Ethereum’s approach to the Fusaka network upgrade has drawn speculative interest, pushing its price above $3,000 for the first time in days. XRP’s 7.3% advance to $2.14 reflects parallel investor enthusiasm, potentially tied to regulatory clarity expectations. Together, these movements illustrate a cohesive market recovery, though volatility persists.
Looking at derivatives data, the $312 million in total liquidations across products underscores the rally’s intensity. Short sellers faced heavy losses, reinforcing bullish sentiment. CoinGecko’s aggregation shows this as part of a pattern where increased volumes precede sustained price action.
For those analyzing long-term trends, the interplay between traditional finance and crypto remains pivotal. The Fed’s December meeting looms large, with Myriad prediction markets—operated under Dastan’s umbrella—betting heavily on rate adjustments. A cut could channel more capital into risk assets, benefiting Bitcoin’s position above $90,000.
Institutional adoption via ETFs continues to mature the space. CoinShares’ report details how these vehicles absorbed significant capital, reversing prior outflows. While Ethereum and Solana experienced mixed results, Bitcoin’s steady inflows of $8.5 million on a recent day exemplify targeted confidence.
Overall, this surge positions 2025 as a year of notable crypto milestones, building on earlier gains. Investors are advised to consider diversified exposure while awaiting clarity from central bank policies. The market’s fragility, as highlighted by experts, calls for measured optimism rather than unchecked exuberance.
