11.09.2025 22:55
Drawing from online resources, Bitcoin has surged past the $114,000 mark, achieving a two-week zenith on Thursday morning. This notable price appreciation is directly linked to a substantial influx of $757.1 million into U.S. spot Bitcoin ETFs on Wednesday, marking the highest inflow recorded over an eight-week period. Analysts are pointing to the August inflation report and the subsequent potential interest rate cut decision by the Federal Reserve as pivotal factors fueling this surge in ETF investment.
Following a dip to $110,714 on Tuesday, Bitcoin experienced a significant rebound, breaching the $114,000 threshold on Thursday morning. This ascent represents the cryptocurrency's highest valuation since August 24, according to data from CoinGecko. The impressive performance coincided with U.S. spot Bitcoin ETFs attracting $757.1 million in inflows on Wednesday, an eight-week high as reported by SoSoValue. Cumulatively, U.S. ETFs have channeled a remarkable $1.39 billion into Bitcoin throughout September.
A pseudonymous and verified analyst from CryptoQuant, known as DarkFrost, attributed these substantial inflows primarily to the highly favorable Producer Price Index (PPI) figures, which significantly outperformed expectations. DarkFrost further characterized Bitcoin's recent advance beyond $113,000 as a highly "encouraging sign," highlighting that this upward trajectory was accompanied by a notable 6.60% increase in open interest, reaching $43.3 billion, and underscored by positive funding rates.
In stark contrast to the flood of capital into Bitcoin ETFs, Ethereum funds have experienced a net outflow of $668.72 million for September, as indicated by SoSoValue data. This divergence, according to Illia Otychenko, lead analyst at CEX.IO, suggests a "capital rotation pattern" where funds are reportedly moving from Ether back into Bitcoin. This strategic shift is perceived as an anticipatory move ahead of the anticipated Federal Reserve interest rate cut scheduled for September 17.
The Federal Reserve finds itself under increasing pressure to lower interest rates, a situation exacerbated by discouraging job market data released in July and August. However, the persistent core inflation rate, remaining above 3%, presents a quandary, clashing with the central bank's dual mandate. Consequently, investors are anticipating a more substantial rate cut from the Fed than initially projected, in an effort to stimulate the economy. With a quarter-point rate reduction seemingly inevitable…
