Bitcoin Pushes Towards $130K Breakout After Setting New All-Time High

After quietly printing a fresh record at $109,487.23 on Wednesday, Bitcoin’s spotlight has already shifted to whether a $3.6 billion May ETF buying wave can catapult the coin through $120K. Analysts now treat $130K—once a bold call—as only an early waypoint toward summer highs.

A bullish golden cross, renewed whale accumulation, and soaring basis yields also have some desks sketching a $150K ceiling before year-end.

ETF Inflows Fuel $130K Forecasts

Investor confidence has increased in Bitcoin-focused exchange-traded funds (ETFs) in particular.

To put this rally in context, after the first gold ETF launched in 2004, gold prices skyrocketed about 250% over the subsequent years. Analysts suggest Bitcoin’s trajectory could mirror gold’s post-ETF surge, especially given Bitcoin’s four-year halving cycles that historically precede bull runs.

In May alone, spot Bitcoin ETFs in the U.S. have attracted over $3.6 billion in net inflows, already exceeding April’s total of $2.97 billion and reversing the outflows seen earlier this year.

According to data from SoSoValue, Bitcoin ETFs saw $329.02 million in net inflows on May 20 alone, bringing the week’s total to $996.46 million.

This turnaround comes after a sharp dip in April when Bitcoin fell to a year-to-date low of $74,393 and ETF outflows hit $4.6 billion between February and March.

Improved macroeconomic conditions, particularly easing tensions between the U.S. and China, have also helped to restore investor sentiment.

For instance, on May 8, Bitcoin ETFs reached an all-time high in total inflows, surpassing $41 billion since their launch in early 2024.

Leading the charge is BlackRock’s iShares Bitcoin Trust (IBIT), which has attracted $6.96 billion in year-to-date inflows, surpassing even the SPDR Gold Trust (GLD), the world’s largest gold ETF, which has drawn $6.5 billion.

Technical Indicators Support Bullish Case

The long-term buying pressure from whales (large holders) further supports the outlook for a continued rally.

“Bitcoin is going to all-time highs today,” popular analyst AlphaBTC explained on May 21, pointing to a chart that showed Bitcoin trading within a rising channel since its April 9 rebound.

Order book data from CoinGlass shows strong buying interest just below the $106K mark, providing a cushion of support as well.

From a technical standpoint, the moving average ribbon suggests a strong uptrend. Short-term moving averages (20- and 50-day) have crossed above long-term ones (100- and 200-day), forming a golden cross, a bullish indicator that often precedes extended gains.

Currently, BTC is testing the psychological level of $110K. If it breaks above this level with strong volume, the next potential targets could be around $120K, assuming no immediate macroeconomic shifts.

On the downside, any short-term pullback may find support at $102K or the 20-day SMA near $101K. Bitcoin appears set for further gains, with market observers now focusing on when, rather than if, it will reach $130K soon.

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