Bitcoin Holds Above $77,000 as ETF Demand Fuels Rally Despite Japan Yield Risk

Bitcoin traded near Rs. 73.6 lakh on Monday as the cryptocurrency market consolidated after last week's sharp rally. Ethereum (ETH) was trading near Rs. 2.3 lakh, while major altcoins also remained in positive territory. According to market participants, stronger institutional demand and broader participation have supported the latest rally, although stretched technical indicators, thin liquidity and rising Japanese bond yields could increase volatility. According to CoinGecko data, Bitcoin traded near $77,600 (roughly Rs. 74.2 lakh), and Ethereum (ETH) traded near $2,400 (roughly Rs. 2.3 lakh).

The world's largest cryptocurrency gained 1.03 percent in the last 24 hours, as per the Gadgets 360 price tracker. Analysts said the latest move is increasingly being supported by institutional demand, with Bitcoin and Ether ETFs attracting approximately $2.6 billion (roughly Rs. 24,879 crore) this week. However, rising Japanese bond yields remain a risk, while Bitcoin's stretched momentum means the cryptocurrency could consolidate before attempting another move higher.

Major altcoins traded with positive momentum on Monday.

Binance Coin (BNB) was priced around $697.29 (roughly Rs. 66,724), while Solana (SOL) traded near $93.92 (roughly Rs. 8,987). XRP hovered around $1.47 (roughly Rs. 141), while Dogecoin (DOGE) was trading close to $0.092 (roughly Rs. 8.8), indicating that participation has continued to broaden beyond Bitcoin and Ethereum.

Investors Assess Whether Strong Buying Can Sustain the Recovery

Pointing to the factors supporting Bitcoin's latest rally and the risks facing the market, Prateek Gupta, Head of Business, Mudrex, said, “Bitcoin is holding around $77,000 (roughly Rs. 73.7 lakh) despite weekend volatility and thin liquidity. The move is increasingly supported by ETF demand rather than just short covering, with Bitcoin and Ether ETFs drawing $2.6 billion (roughly Rs. 24,879 crore) this week, while Bitcoin has gained more than 26 percent.”

Highlighting the broader participation in the rally and the importance of institutional flows, Avinash Shekhar, Co-Founder & CEO, Pi42, said, “After such a sharp upward move, technical indicators across major assets are showing stretched conditions, which could lead to some consolidation before the next directional move [...] Investors should remain disciplined rather than chase prices after a strong rally [...] The focus should now be on whether Bitcoin can hold its recent gains, whether trading volumes remain supportive and whether capital continues to broaden into assets such as Ethereum and XRP.”

Assessing Bitcoin's consolidation and the latest institutional flows, Vikram Subburaj, CEO, Giottus.com, said, “Attention is now shifting to macro conditions. US PCE inflation is due August 26, followed by Jackson Hole on August 27-29. Markets currently see roughly a 40 percent probability of a Fed rate hike in September [...]  Investors should avoid chasing recent gains. Staggered entries and smaller positions are preferable, with 75,500-76,000 the immediate Bitcoin support zone to watch.”

Overall, analysts said Bitcoin's ability to hold above $75,000 (roughly Rs. 71.7 lakh) will be crucial for sustaining the latest recovery, with a move above $80,000 (roughly Rs. 76.5 lakh) potentially opening the way towards higher levels. The upcoming US PCE inflation data and Jackson Hole meeting will also provide important signals for the broader market.