27-7-2025 – Bitcoin’s age of dramatic price spikes has concluded as institutional adoption through ETFs transforms the cryptocurrency into a more stable asset, Bloomberg analyst Eric Balchunas warned in a recent social media post.
Balchunas noted that Bitcoin has gained 250% since BlackRock’s spot ETF filing while experiencing significantly reduced volatility and fewer severe corrections. The analyst attributed this shift to increased institutional participation, arguing that steadier prices enhance Bitcoin’s potential as a functional currency rather than purely speculative investment vehicle. “You could almost divide bitcoin’s history into two eras: BE and AE. Before ETF and After ETF,” Balchunas stated.
The transformation is evident in recent market behavior, where Galaxy Digital’s massive 80,000 Bitcoin sale failed to trigger significant price declines. Current trading remains within a $116,000-$120,000 range despite heavy institutional activity. While this stability attracts larger investors and supports long-term adoption, it eliminates the explosive “God candles” that previously characterized Bitcoin’s price action.
Industry experts remain bullish despite reduced volatility, with Citigroup predicting Bitcoin could reach $199,000 by year-end driven by steady ETF inflows. The bank estimates each $1 billion in ETF flows adds 3.6% to Bitcoin’s price, suggesting institutional capital will continue driving gradual appreciation.
