Bitcoin Tops $77k as Morgan Stanley Boosts Holdings
Bitcoin (BTC) price rose 6.42% to $77,118 on Friday as opportunistic buyers entered the cryptocurrency market, driving a broader market rally.
BTC’s sustained price appreciation has been supported by a surge of institutional capital into spot Bitcoin ETFs, the largest daily inflow in over three months.
Retail and institutional buyers entered positions at relatively low prices on the US Treasury liquidity boost, optimism, and regulatory tailwinds.
According to Arkham monitoring, Morgan Stanley has increased its Bitcoin holdings for two consecutive days recently, spending $21.91 million through its spot Bitcoin exchange-traded fund, MSBT, to add approximately 320.951 BTC. As of now, its total Bitcoin holdings have reached 6,995 $BTC, valued at approximately $515 million.
The combination of a macro liquidity injection and verifiable institutional buying through ETFs has broken Bitcoin out of its prolonged range, shifting the market structure to a bullish bias.
Spot Bitcoin ETFs recorded a net inflow of $606.3 million on August 20, the largest single-day haul since early May, with BlackRock’s IBIT alone attracting over $500 million. T
This four-day inflow streak totalling $1.6 billion represents a decisive return of institutional capital after a period of apathy.
The rally is underpinned by “sticky” institutional demand, not just speculative leverage, which provides a more durable foundation for gains.
The U.S. Treasury’s decision to double its long-term bond buyback operations lowered yields and weakened the dollar, creating a favourable liquidity backdrop for risk assets like Bitcoin.
This macro shift ignited a violent short squeeze, liquidating over $692 million in BTC short positions within 24 hours and amplifying the upward move.
The rally was turbocharged by forced buying from over-leveraged bears, a mechanical effect that can accelerate price discovery.
Traders look forward to stabilisation in funding rates, as persistently high positive rates can indicate excessive bullish leverage.
The immediate bullish case hinges on Bitcoin holding the $75,000 breakout level, with the next major resistance cluster near $80,300.
The key near-term triggers are the Treasury’s expanded buybacks starting September 9 and the CLARITY Act cloture vote on September 15. If ETF inflows fade and price breaks below $75,000, a retest of $70,000 support becomes likely.
The trend is bullish but extended; the market needs to absorb profits and confirm support on any pullback. The $75,000 level is critical support; a daily close below it would signal a loss of momentum. US Treasury Double Down Bond Buyback to $4bn