Bitcoin topped $75,000 on Friday as U.S. spot bitcoin and ether ETFs pulled in a combined $800 million in a second straight day of surging inflows. The buying suggests institutions, not short covering, are behind the breakout, though the pace of the rally has left traders watching for signs it could reverse.
Two days of accelerating bitcoin ETF inflows point to institutions chasing bitcoin's break higher rather than a one-day liquidation spike doing all the work. Bitcoin cleared $69,000 on Wednesday and pushed above $72,000 on Thursday, and the flows since then answer the question of whether that move reflected real demand.
ETF inflows accelerate for a second day
U.S. spot bitcoin ETFs took in $606 million on Aug. 20, up from $517 million the day before. Ether ETFs pulled in $221 million. Every listed asset drew inflows, with XRP funds adding $13 million and Solana $15 million.
Bitcoin extends its four-day rebound
Bitcoin traded near $75,500 on Friday after touching $72,344 on Thursday, holding most of the week's gains. Separately, bitcoin surged above $75,000, its highest level since late May. The move extended a four-day rebound of roughly 20%. Over the past 24 hours, bitcoin has gained more than ETH and SOL.
Traders weigh room to run against a bull-trap risk
Trader DonAlt said: "Very good reaction from support finally", arguing the recent low could mark the bottom of the cycle. He has flagged $82,000 as the first resistance level and $95,000 as the first "actually good" resistance, though he stopped short of confirming the bottom is in. According to Weiss Crypto, bitcoin has crossed a long-term downtrend line after spending nine days trading around it.
Sentiment swings to greed as options expiry looms
The Bitcoin Fear and Greed Index has moved into the greed zone, reading 72, even as bitcoin remains roughly 40% below its record high. The shift followed one of the year's strongest short squeezes, with more than $3 billion in bearish positions liquidated during the initial breakout. Coinbase Markets said Friday's options expiry carries about $2.01 billion in combined notional open interest. Bitcoin accounts for roughly $1.67 billion of that, with a max-pain level near $66,000, while ether's $345 million carries a max pain near $1,960.
But resistance levels aren't the only risk: bitcoin has run from below $64,000 to above $72,000 in three days, and rallies that steep tend to give back ground once the momentum cools. If ETF buying holds into next week, the breakout has a foundation; if it fades, the move looks more like a spike than a trend.
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