Bitcoin climbed above $65,800 following a strong inflow into spot Bitcoin ETFs, which recorded $226.92 million on Monday, marking five consecutive days of positive demand. This steady stream of institutional investment helped push BTC's price upward, continuing its rebound from July lows near $58,000.
The optimism around Bitcoin's price was further boosted by a proposed 10-day ceasefire between the United States and Iran, which eased geopolitical tensions and improved risk appetite across financial markets. Reports from Reuters indicated that mediators were working to restore an interim agreement, while Axios highlighted the US president's decision between accepting the ceasefire plan or supporting a joint military campaign.
ETF Inflows Fuel Bitcoin Momentum
Monday's $226.92 million inflow into spot Bitcoin ETFs came as institutional investors returned after several weeks of withdrawals. This consistent demand supported liquidity and buying pressure, enabling Bitcoin to hold above critical technical levels. Despite some volatility, the market saw buyers defend gains during Tuesday’s session, with Bitcoin trading near $66,311 after a 1.77% increase.
Geopolitical Developments Lift Market Sentiment
Improved sentiment due to the ceasefire proposal led to increased exposure to risk assets like Bitcoin. The de-escalation in conflict fears removed some immediate pressure, encouraging traders to back the recovery. This geopolitical shift played a significant role in Bitcoin's advance during the recent trading days.
Technical Analysis and Outlook
Bitcoin rebounded from a low near $65,140 to reach an intraday high around $66,329 on Tuesday, keeping the focus on a potential move toward the $68,000 resistance level. However, technical indicators showed mixed signals: the Directional Movement Index revealed weak trend strength, with the ADX near 13.45. The positive directional indicator slightly outpaced the negative one, indicating buyer preference but not confirming a strong trend.
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