The new trading week began with a 4.3% correction in Bitcoin, sliding from a near-peak of $97,900 on May 2 to $93,500. Although the price recovered to around $94,000 by May 5, some traders remain cautious due to what they see as insufficient institutional buying to sustain the upward momentum. Nonetheless, underlying market dynamics still support a bullish long-term trajectory.
Bitcoin currently accounts for 70% of the total cryptocurrency market capitalization — its highest dominance since January 2021. This comes despite the recent wave of new altcoin launches, including major projects like SUI, Toncoin (TON), PI, Official Trump (TRUMP), Bittensor (TAO), Ethena (ENA), and Celestia (TIA). However, these tokens have yet to divert investor attention from Bitcoin’s solid foundation.
Between April 22 and May 2, spot Bitcoin ETFs saw net inflows totaling $4.5 billion. At the same time, demand for Bitcoin futures has surged, underscoring increased institutional interest. Data from CoinGlass shows that total open interest in Bitcoin futures has reached 669,090 BTC — up 21% since March 5. At the Chicago Mercantile Exchange (CME) alone, open interest has surpassed $13.5 billion, clearly signaling growing participation from institutional players.
Still, certain factors may weigh on Bitcoin’s short-term momentum. While the U.S. Strategic Bitcoin Reserve Bill was announced on March 6, the government has yet to disclose its BTC holdings or outline any future purchase plans. Moreover, several Bitcoin-related bills at the state level — such as in Arizona — have failed to pass, slightly dampening market sentiment.
Despite these challenges, the overall data suggests Bitcoin is in a healthy accumulation phase, with a strong likelihood of reaching a new all-time high in 2025 — especially if institutional capital continues to flow in at the current pace.
