Analysts say that BTC's long-term follow is easing war panic

Gate News bot news, according to CoinDesk, as geopolitical tensions ease after the ceasefire between Israel and Iran, the BTC price soared to over $106,000. Analysts say that institutional demand and macro Liquidity are increasingly determining the market behavior of BTC.

After a tense weekend of U.S. bombing of Iranian nuclear facilities, BTC has stabilized, hovering around $106,000 at the opening of Asian stock markets on Wednesday, surpassing levels seen earlier this month during Israeli bombing of Iran.

Glassnode and Avenir Group recently released a report stating, “In the past few markets, BTC's sensitivity to traditional asset categories and macroeconomic indicators has changed significantly, reflecting its increasing integration into a broader macro financial system. Institutional infrastructure has reshaped the interaction between capital and BTC. Therefore, BTC's market behavior is increasingly constrained by structural Liquidity, long-term holdings, and regulated access points.”

This week, this institutional pillar has once again emerged.

Pythagoras Investments' Director of Capital Formation and Investment Strategy, Semir Gabeljic, believes that ETF liquidity is a major positive: "Last week, the massive capital inflow of 1.1 billion USD into BTC ETF, and today alone, it has reached 3.5 billion USD," is driving this positive trend.

Core contributor Spencer Yang of Fractal Bitcoin added that one of the reasons BTC was able to quickly shake off the war tensions is that fundamentally, the Middle East conflict did not affect this asset class in any way.

All the indicators of BTC that investors are concerned about still exist, and other bullish market sentiments may be coming soon.

He added, "We see continued growing interest in protocols like BRC-20, especially after the recent upgrades, as well as the highly anticipated Runes and Alkanes protocols. Therefore, overall, on-chain activities are increasing significantly due to these types of assets."

With the increasing influence of institutional demand and macro Liquidity on BTC, analysts believe that its price trend is more dependent on long-term capital inflows than on reactions to news headlines. It is this structural shift that allows the BTC price to remain stable above $100,000 amidst various noises.