Here’s What Has Been Fueling Bitcoin’s All-Time High Weekly Close

2 mins mins

In Brief

Bitcoin records its highest weekly close ever at $124,266, up 10.54% this week.
Spot Bitcoin ETFs saw $3.3B in inflows, lifting total net inflows above $60B.
Exchange balances fall to 2.3M BTC as long-term holding boosts price stability.

Bitcoin achieved its highest weekly close in history, ending the week at $124,266 and confirming sustained bullish momentum. According to Coinglass, the cryptocurrency now trades near $123,892, down 0.77% on the day but up 10.54% for the week and 32.66% year-to-date.

The record close followed a surge in spot Bitcoin ETF inflows, which totalled $3.3 billion last week, the second-largest weekly inflow since launch. Total net inflows have now surpassed $60 billion, highlighting accelerating institutional participation and renewed capital rotation into Bitcoin.

Bitcoin hit ATHs last night after the ETFs went wild last week with +$3.3b in a week, $24b for year (also notable $IBIT and $ETHA w $10b for month, rank 3rd and 4th overall) and now $60b lifetime (new high water mark). Pretty good. No way @WhalePanda can still be pissed, right? pic.twitter.com/xHH3yjp4U7
— Eric Balchunas (@EricBalchunas) October 5, 2025

Bloomberg ETF analysts noted that inflows into BlackRock’s IBIT and ETHA exceeded $10 billion in the past month, ranking among the top-performing funds. These inflows came amid the “debasement trade,” where investors sought protection from a weakening U.S. dollar and potential government shutdown.

In addition, Morgan Stanley’s Global Investment Committee, managing $1.3 trillion in assets, formally recommended allocating 2–4% of client portfolios to cryptocurrencies. The committee described Bitcoin as a “scarce digital asset” comparable to gold and highlighted its growing role in diversified portfolios.

Falling Exchange Balances and Bullish Forecasts Strengthen Outlook

On-chain data from Glassnode shows Bitcoin balances on exchanges have dropped to a six-year low below 2.3 million BTC. The decline from a 3.1 million BTC peak in 2020 signals growing long-term holding behaviour and reduced sell-side pressure.

BTC Balance on Exchanges | Source: Glassnode

This trend supports Bitcoin’s price stability near $120,000, suggesting a limited available supply as demand rises from institutional inflows. The steady accumulation aligns with the broader shift toward long-term investment strategies among large holders.

Meanwhile, Standard Chartered’s Head of Digital Assets Research, Geoffrey Kendrick, reaffirmed his $200,000 year-end Bitcoin target. He cited ETF inflows and macroeconomic uncertainty, including the U.S. government shutdown, as short-term bullish drivers.

With a market capitalisation of $2.47 trillion and open interest near $93 billion, Bitcoin remains firmly supported by strong derivatives activity and investor confidence. Analysts expect continued momentum, with potential upside toward $135,000 in the coming weeks if inflows persist.

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