- Bitcoin ETFs have attracted $15 billion in inflows over the past three months, driven by political pressure, especially from Donald Trump, on the Federal Reserve to cut interest rates.
- This surge has reignited bullish sentiment, pushing traders back into the market and fueling expectations for continued upside amid strong seasonal trends.
Bitcoin is once again at the center of a financial and political storm, as U.S.-listed spot Bitcoin exchange-traded funds (ETFs) attract a staggering $15 billion in investor inflows over the past three months.
According to analysts, this surge is largely driven by political pressure on the U.S. Federal Reserve to cut interest rates, pressure that’s coming most loudly from former President Donald Trump.
Since mid-April 2025, the inflow of capital into spot Bitcoin ETFs has been relentless. As Bitcoin consolidates around the $111,000 level, ETF demand continues to grow, signaling renewed confidence from investors.
Markus Thielen, founder of 10x Research, says that “under-positioned” bulls are now being forced to re-enter the market as the bullish momentum intensifies.
The political backdrop is adding fuel to the fire. Trump has been vocal in criticizing Federal Reserve Chair Jerome Powell, calling for his resignation and demanding a rate cut to 1%.
This rhetoric is drawing comparisons to Turkish President Recep Tayyip Erdoğan, who famously dismissed central bank officials in his country for refusing to lower interest rates between 2019 and 2021. The parallels are raising concern but also pushing financial markets into a frenzy.
It’s not just Trump. Other political figures, including Federal Housing Finance Agency director Bill Pulte and Senator Cynthia Lummis, have echoed calls for Powell to step down.
The Fed itself remains divided on policy direction, as the minutes from its July 17–18 meeting revealed mixed opinions, some officials are pushing for cuts this month, while others see no need for reductions this year.
This environment of uncertainty and political tension has become a catalyst for Bitcoin bulls. With the fear of missing out (FOMO) creeping back in, traders have been actively purchasing call options with strike prices as high as $130,000, a clear indication of bullish sentiment for Bitcoin’s near-term future.
Historically, July has been a strong month for Bitcoin. Data from Coinglass shows that BTC has posted positive returns in eight of the past 12 Julys, averaging a gain of over 7%. With macroeconomic conditions shifting and strong seasonal trends in play, analysts like Thielen believe the backdrop remains supportive for further upside.
Bitcoin recently touched a new all-time high near $112,000 on several exchanges, validating the optimism. As political pressure mounts on the Fed and ETF inflows remain steady, market watchers are closely eyeing whether this momentum will lead to a sustained rally, potentially pushing Bitcoin to even greater heights in the coming weeks.
In the words of Thielen, “The backdrop remains supportive for further upside.” The Bitcoin bulls are back, and they’re betting big on a politically charged macro narrative.
