Bitcoin is maintaining stability above the psychologically important $100,000 mark for over 5 weeks, defying broad market downturn and strengthening its role as a macroeconomic hedge, despite escalating geopolitical tensions and ongoing macroeconomic uncertainty.
According to The Block on the 19th (local time), Elliot Johnson, CEO of the newly launched Bitcoin Treasury Corporation, highlighted Bitcoin's strength amid the Israel-Iran conflict and this week's hawkish but not catastrophic Federal Open Market Committee (FOMC) update.
Johnson stated in an email that "Bitcoin showed incredible resilience over the past week" and that the psychologically important $100,000 level is now "firmly" established.
The US Federal Reserve kept interest rates unchanged on Wednesday, but the updated dot plot now anticipates only one rate cut in 2025, which is less dovish than the market expected. As previously reported by The Block, analysts predict this wait-and-see attitude will extend the sideways movement of stocks and bonds.
Johnson said, "The recent strength is evidence of not only resilience as a safe asset but also its growing role as an alternative to the depreciating US dollar and a legitimate long-term treasury asset."
Johnson's Bitcoin Treasury Corporation aims to help institutions allocate Bitcoin as long-term treasury reserves. While there are concerns that the surge in cryptocurrency treasury companies could trigger new liquidations during an economic downturn, some argue that the related risks are more limited than those following previous market collapses.
Michael Saylor's Strategy, the largest Bitcoin corporate holder, purchased an additional $1.05 billion worth of Bitcoin last week, which analysts say signals that institutions are still in an aggressive accumulation mode.
Nic Puckrin, founder of The Coin Bureau, pointed out the sideways pattern across oil, gold, S&P 500, and dollar, stating that "the market is trapped in a wait-and-see mode". However, Bitcoin defied that trend.
Puckrin said, "$100,000 is no longer just a support level. It has firmly established itself as a benchmark price in investors' minds."
Puckrin also sees forming macroeconomic tailwinds, noting that two rate cuts are still expected this year and the Bank of Japan hints at quantitative tightening easing in 2026. He believes Bitcoin will be the biggest beneficiary when liquidity flows in.
With institutions aggressively buying and liquidity ready to return, analysts warn that individual investors could become exit liquidity for whales positioning for the next upward movement if they are too hasty in realizing profits.
Notably, spot Bitcoin ETFs have drawn $2.4 billion over the past 8 trading days, centered on BlackRock's IBIT and Fidelity's FBTC, reinforcing the institutional demand story. The US market will be closed on Thursday for Juneteenth federal holiday.
According to The Block's Bitcoin price data, the price at publication is trading around $104,200. Over the past 24 hours, the world's largest cryptocurrency recorded a trading volume of $23.4 billion.
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