On Friday, cryptocurrencies such as Sui (SUI), Bitcoin Cash (BCH), and Hedera’s HBAR led the CoinDesk 20 Index in growth, as Bitcoin (BTC) continued to surge, with analysts suggesting that this might signal the start of a fresh wave towards all-time highs for the flagship cryptocurrency.

Bitcoin maintained a price around $95,000 during the U.S. afternoon trading hours, up 1.8% in the last 24 hours. Ethereum’s ether (ETH) saw a 2% increase, hovering above $1,800. Meanwhile, Sui’s native token (SUI), BCH, and Hedera’s HBAR experienced significant gains, outperforming other assets in the broader market.

The positive momentum has been remarkable, especially after the downturn in early April due to global tariff disruptions. Since the start of the week, Bitcoin has surged by over 11%, marking its largest weekly gain since November 2024 when Donald Trump’s presidential win triggered a broader rally across the crypto space.

Investor confidence has also been restored, with Bitcoin ETFs seeing a strong rebound in inflows. U.S.-listed spot Bitcoin ETFs recorded $2.68 billion in inflows this week, the largest since December, according to data from SoSoValue. (The final inflow data for Friday will be released later.)

Bitcoin’s Growing Independence from Traditional Markets

The recent strength of Bitcoin, particularly in comparison to U.S. stocks and gold, signals the cryptocurrency’s growing independence from the influence of traditional macroeconomic forces, according to David Duong, Coinbase Institutional’s global head of research.

“It’s rare to witness market inflection points in real time, but Bitcoin’s performance this week, which stands apart from traditional assets, might be one such moment,” Duong said in his Friday report. “This divergence highlights Bitcoin’s maturing role as a store of value—one that institutional and retail investors alike are increasingly viewing as resilient to broader economic pressures.”

Duong also noted the growing trend of companies incorporating Bitcoin into their corporate treasuries, following the example set by Michael Saylor. One such company, Twenty One Capital, backed by Tether, Bitfinex, SoftBank, and Cantor Fitzgerald, plans to hold 42,000 BTC at launch, demonstrating the increasing institutional adoption of Bitcoin.

Liquidity Drain in Bitcoin’s Spot Market

Dr. Kirill Kretov, lead strategist at CoinPanel, observed that liquidity in Bitcoin’s spot market has been significantly drained. According to CoinPanel’s blockchain analysis, much of the Bitcoin liquidity from active addresses, including exchanges, has been withdrawn since November 2024, leaving the market highly susceptible to volatile price movements.

“The market remains thin, and large players can trigger significant price swings,” Kretov explained. “As a result, we can expect sharp fluctuations of 10% or more in either direction.”

Bitcoin’s Path to New Record Heights

Despite the potential for volatility, many analysts remain optimistic about Bitcoin’s long-term prospects. Some believe that this week’s rally marks the beginning of Bitcoin’s next climb toward new all-time highs. John Glover, chief investment officer of crypto lender Ledn, believes that Bitcoin has entered the final phase of its bull market, based on Elliott Wave theory.

Elliott Wave theory suggests that prices move in predictable patterns driven by investor psychology, with the final wave typically marking an impulsive rally. Glover sees Bitcoin’s current price action as part of the fifth and final wave, which is likely to push the price higher.

While Glover acknowledges the possibility of Bitcoin testing its recent low around $75,000, he expects the cryptocurrency to rise to a new cycle peak, forecasting a target range between $133,000 and $136,000 by the end of 2025 or early 2026.