Bitcoin hits new all-time high above $117,000, spot BTC ETFs see nearly $1.2 billion in daily inflows amid ‘increased institutional appetite’

Bitcoin hit a new all-time high above $117,000 early Friday morning, driven by rising institutional appetite and positive signals from the industry.

The world's largest cryptocurrency rose 5.5% in the past 24 hours to reach $117,176 at the time of writing. Ether jumped 7.3% to trade at $2,981.

"We believe that bitcoin hitting another all-time high is a major signal that the industry is on the cusp of kicking off a major bull run," Jeff Mei, COO of crypto exchange BTSE told The Block. 

Vincent Liu, CIO of Kronos Research, said that calmer macro conditions and rising institutional adoption have "reignited interest in bitcoin." 

"The shift reflects growing confidence in BTC as a regulated, long-term  asset similar to gold," said Liu. "Strong institutional demand may continue unless macro uncertainty around the July 15 CPI data sparks profit-taking and cools momentum."

The crypto market appears to see strong institutional demand, with spot bitcoin exchange-traded funds recording $1.18 billion in inflows on Thursday — the second-highest daily inflow since their launch.

"The recent surge in inflows to spot bitcoin ETFs appears driven by renewed expectations of U.S. interest rate cuts and increased institutional appetite," said Min Jung, research analyst of Presto Research. 

"We're seeing more companies, following Strategy's lead, incorporate bitcoin into their strategic asset allocation. This broadening base of demand, combined with improved institutional accessibility since the ETF approvals, has helped propel bitcoin toward new all-time highs," Jung added. 

While short-term uncertainties such as potential tariff risks continue to loom over the market, several positive factors are expected to drive continued growth in the crypto space, according to Jung. 

"Looking ahead, while short-term uncertainties like tariff risks persist, we believe the onset of a rate-cutting cycle and growing institutional adoption offer strong tailwinds." said Jung. "These factors suggest that demand for spot bitcoin ETFs could remain robust in the medium term, especially as bitcoin's role in diversified portfolios continues to evolve." 

Investors are also closely watching recent regulatory developments, said Nick Ruck, director of LVRG Research. "Recent regulations, such as the GENIUS Act and the removal of a key crypto broker tax rule, have fueled institutional demand for bitcoin and other major cryptocurrencies as costly barriers and legal complications are gradually removed from traditional financial systems," said Ruck.