Bitcoin Price Prediction: BTC extends advance as ETF inflows, Iran war mediators' proposal lift risk mood
- Bitcoin extends gains, trading above $65,800 on Tuesday after closing beyond the key 50-day EMA the previous day.
- US-listed spot ETF recorded an inflow of $226.92 million on Monday, marking the fifth consecutive day of positive flows.
- The 10-day ceasefire proposed by mediators to revive the US-Iran interim deal has lifted risk sentiment, providing an additional tailwind for BTC.
Bitcoin (BTC) extends its gains, trading above $65,800 on Tuesday after closing above the key technical hurdle the previous day. The bullish price action is further supported by the return of institutional demand, with spot Exchange Traded Funds (ETFs) continuing their inflows on Monday. In addition, the renewed hopes for peace between the US and Iran have lifted risk sentiment, providing an additional tailwind for the Crypto King.
US-Iran peace hopes lift risk sentiment
According to Reuters, mediators proposed a 10-day ceasefire between Iran and the US on Monday in an effort to revive last month’s interim agreement.
Earlier in the day, an Axios report also showed that US President Donald Trump will either accept the 10-day ceasefire with Iran and resume negotiations toward an interim deal or call for a joint full-scale military campaign with Israel against Iran.
Renewed hopes for peace in the Middle East after recent exchange of attacks have boosted risk appetite across financial markets, with BTC surging above $65,800 on Tuesday.
Return of institutional demand
Institutional demand began the week on a positive note. SoSoValue data shows that spot BTC ETFs recorded an inflow of $226.92 million on Monday, marking the fifth consecutive day of positive flows after weeks of withdrawals. The sustained inflows suggest institutional investors are gradually returning to the market. If these flows continue and intensify this week, BTC could see further recovery.
In an exclusive interview with Lacie Zhang, Research Analyst at Bitget Wallet, told FXStreet that the proposed 10-day ceasefire between the US and Iran, coupled with steady inflows into US spot Bitcoin ETFs, has improved market sentiment and reinforced institutional confidence in Bitcoin.
Zhang noted that easing geopolitical risks could encourage capital to rotate into risk assets, supporting BTC’s ongoing recovery. Looking ahead, she expects Bitcoin to consolidate in the $65,000–$68,000 range through the end of the week, provided ceasefire talks progress and ETF inflows remain positive.
“Such movement reflects constructive consolidation that builds stronger market foundations, encouraging wider participation and long-term industry development," she added.
Bitcoin Price Prediction: BTC closes above the key hurdle
Bitcoin price trades at $65,800 on Tuesday, holding above the 50-day EMA at $65,072 but still capped by the 100-day EMA at $68,100. This configuration suggests a neutral-to-bullish near-term tone, with the reclaim of the short-term EMA hinting at improving demand. At the same time, the longer EMAs overhead keep the broader recovery in check.
The Relative Strength Index (RSI) on the daily chart reads 58 and leans constructive without being overbought. At the same time, the Moving Average Convergence Divergence (MACD) indicator remains in positive territory, reinforcing a gradual bullish momentum bias.
On the topside, initial resistance is seen at the 100-day EMA near $68,100, followed by the 200-day EMA at $73,914, before a more distant horizontal barrier at $84,410.
On the downside, immediate support comes from the 50-day EMA at $65,072, ahead of a horizontal floor at $64,004, a break of which would weaken the current constructive bias and open the door to a deeper corrective phase.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Bitcoin, altcoins, stablecoins FAQs
Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.
Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.
Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.
Bitcoin dominance is the ratio of Bitcoin's market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.
추천 기사
