The leading cryptocurrency, Bitcoin (BTC), remains in the spotlight, surpassing $90,000 for the first time since early March. This fuels the expectations of those hoping to see it reach all-time highs again. However, it’s still a long way from its ETH peak, which reached $109,000 in January.
What’s happening with crypto-linked stocks?
Crypto-linked stocks have recently recovered, driven by a new jump in Bitcoin’s price and optimism about tariffs.
Incidentally, according to Keefe Bruyette & Woods analyst Bill Papanastasiou: “The main driver has clearly been the spot price of Bitcoin.”
However, after a tough first quarter, many stocks have declined this year, as Bitcoin’s price fell and dragged many down.
Conversely, some stood out strongly, posting significant gains. For example, we could highlight Coinbase, CleanSpark, and Strategy, which saw their stocks rise. The key factor? Bitcoin’s price, as when it rises, it typically strongly boosts crypto company stocks.
Who’s leading the new institutional interest?
The progressive shift in the perception of digital assets among institutional investors is becoming increasingly evident. They now view cryptocurrency-backed instruments more favorably, marking a milestone in integrating the crypto sector into traditional finance.
On this note, according to Reuters data, Microstrategy-A, Robinhood, Riot Platforms, and Mara Holdings appreciated between 7% and 8%.
Similarly, Bitwise’s report reveals that the total BTC in corporate wallets was 665,618 units. It now stands at 746,302 BTC.
It’s worth acknowledging that Bitcoin is now deeply embedded in corporate treasuries. And adoption is becoming more frequent. Some of the companies leading in acquisitions are:
- Strategy. 553,555 BTC
- Marathon Digital
- Riot Platforms
- Galaxy Digital
- CleanSpark
- Tesla
- Hut 8
- Abraxas Capital
Funds that increased exposure
In this group of leaders, we must mention the Bitcoin exchange-traded funds (ETFs) in the United States, which reported net inflows exceeding $380 million in a single day—the highest figure since January 2025.
It’s worth noting that the best performance was led by Ark Invest and the 21Shares ETF (ARKB), which raised $116.13 million. Fidelity’s Bitcoin ETF (FBTC) came in second with $87.61 million in new investments. Another notable fund is the iShares Bitcoin Trust ETF, which manages approximately $48 billion in assets.
As such, Bitwise’s CIO, Matt Hougan, expects Bitcoin ETFs to see increased demand from Wall Street in 2025. He also predicted that Bitcoin ETFs will set a new record for inflows by the end of 2025, surpassing the $35 billion milestone of 2024.
Similarly, Robert Mitchnick, BlackRock’s Head of Digital Assets, commented on the renewed interest in Bitcoin ETFs during a panel discussion at the Token 2049 event in Dubai. As a result, Bitcoin ETF inflows are resurging as institutional investors return to the crypto market.
Why are investors returning to the sector?
Truthfully, investors continue to seek alternatives that can offer better returns. And Bitcoin, whose performance history far surpasses many traditional assets over extended periods, emerges as an option for those looking to protect and grow their capital.
Additionally, Bitcoin has earned a reputation among investors as an asset that can offer protection against monetary and fiscal weakness by governments.
The institutional domino effect
The progressive participation of large financial institutions, tech companies, and investment funds in the crypto space creates a domino effect.
As more institutional players invest in Bitcoin and other crypto assets, or integrate Blockchain technology into their operations, other institutional investors feel more confident and validated to enter the market, further boosting liquidity and the sector’s legitimacy. When the King rises, everyone wins!
Thus, the perception that other players are achieving significant gains drives more funds to join, creating a domino effect that amplifies capital inflows.
It’s important to remember that markets are cyclical. Today’s safe investment may turn into a million-dollar loss tomorrow. That’s why it’s crucial to keep a cool head and not get carried away by the moment’s excitement.
BTC as a “thermometer” for crypto-regulated assets
Bitcoin functions as a “thermometer” for crypto-regulated assets due to its position as the first and largest cryptocurrency, influencing the perception and behavior of other cryptocurrencies. Specifically, Bitcoin serves as:
- Institutional confidence.
• A trend indicator.
• A benchmark.
• ETF performance. Showing interest as a hedge against economic uncertainty.
• Development.
Mining as a proxy for adoption and network security
Similarly, Bitcoin mining activity is an indirect indicator of adoption and network security. An increase in Bitcoin’s hash rate suggests greater network activity and stronger economic incentives for miners, which in turn signals growing confidence in Bitcoin’s long-term viability.
What risks remain despite the optimism?
Despite the optimism surrounding Bitcoin’s price, several significant risks persist that investors should keep in mind, as the crypto market remains vulnerable:
• Regulatory Risks. The lack of a unified global regulatory framework also adds complexity.
• Volatility.
• Security Risks. The crypto ecosystem remains susceptible to security attacks.
• Macroeconomic Risks: While some argue that Bitcoin is a store of value against inflation and economic uncertainty, it is not entirely immune to adverse macroeconomic conditions.
Conclusion: Toward a new wave of interest in crypto infrastructure?
Today, more than ever, the word Bitcoin is synonymous with financial innovation and global economic transformation, generating a renewed wave of interest in crypto infrastructure as a whole.
Regarding the future of the cryptocurrency, Julián Colombo, General Manager of Bitso Argentina, stated that in the medium and long term, the trend will be bullish. However, investors must be willing to coexist with these short-term fluctuations.
Meanwhile, Richard Teng, CEO of Binance, noted: “In the short term, this type of macroeconomic uncertainty tends to trigger a risk-averse response, with investors pulling back as they wait to see how things unfold regarding growth, policy, and trade. Many long-term holders continue to view Bitcoin and other digital assets as resilient during periods of economic stress and shifting political dynamics.”
So, does everything indicate that we are on the verge of a new phase of prominence and consolidation for the world’s most important and disruptive cryptocurrency? Let’s hope so, or as Binance co-founder Changpeng Zhao puts it: “The window to buy cheap may soon close.”
