Bitcoin Price Analysis: BlackRock Leads Historic $934M BTC ETF Inflows as Trump Tackles $250,000,000 EU Trade Deficit

Bitcoin price stayed resilient above $111,500 on Friday, May 23, supported by surging ETF inflows and escalating trade tensions after Trump threatened to impose fresh tariffs on the European Union (EU).

Bitcoin (BTC) Buyers Hold Firm at $108K as Trump Slaps 50% Tariff on EU Imports

Bitcoin surged to an intraday high of $111,800 on Thursday before consolidating near $111,500, according to CoinGecko data.

The rally came in the immediate aftermath of U.S. President Donald Trump’s Truth Social post announcing a proposed 50% tariff on all goods imported from the European Union (EU), starting June 1, 2025.

This shock declaration, framed as a retaliation against what Trump labeled “unjustified lawsuits, trade barriers, and monetary manipulation,” sent tremors across bond and equity markets, but catalyzed fresh inflows into crypto.

“The European Union, which was formed for the primary purpose of taking advantage of the United States on TRADE, has been very difficult to deal with. Their powerful Trade Barriers, have led to a Trade Deficit with the U.S. of more than $250,000,000 a year, a number which is totally unacceptable. Therefore, I am recommending a straight 50% Tariff on the European Union, starting on June 1, 2025.”

– US President Donald Trump said via TruthSocial on Friday.

The post’s timing appears to have reinforced Bitcoin’s role as a geopolitical hedge. Rather than triggering profit-taking after recent gains, bull traders held their ground.

BTC price consolidated above $111,500 for the better part of Friday before dipping towards $108,400 at the time of publication.

More so, at press time on Friday, Bitcoin’s daily volume has surpassed $75 billion for the first time in two weeks, signalling aggressive buy-side participation.

As global investors brace for a potential trade war, Bitcoin’s resilience above $110,000 suggests it is becoming a preferred safe-haven alternative to fiat-denominated assets, particularly as investor confidence deteriorates across both the United States and the European Union traditional markets .

BlackRock’s IBIT Dominates $934M Bitcoin ETF Inflows Amid Institutional Rotation

Institutional demand for Bitcoin intensified Thursday as U.S. spot Bitcoin ETFs posted a record $934.8 million in net inflows. This represents the largest single-day inflow since the US Securities and Exchange Commission approved the Bitcoin derivatives for trading in US regulated public markets in January 2024.

According the Farside data, BlackRock’s iShares Bitcoin Trust (IBIT) led the charge with  $877.2 million inflow, accounting for nearly 90% of total BTC ETF deposits on the day.

Notably, other prominent ETF issuers remained flat or posted negligible activity including Grayscale, Valkyrie, Franklin, and VanEck.

Given BlackRock’s dominance within the sector, the could prompt strategic demand surge among other US ETF issuers who sat out the latest buying frenzy on Thursday

Aligning with Trump’s tariff threats on the US, the latest $877 million Bitcoin demand from Blackrock’s IBIT ETF which trades in both the US and EU signals a rapid response to the escalating trade tensions and corporate rotation out of Bond markets as regulators in both regions are poised to cut rates to avert recession forecast.

As institutional investors appear to be rotating funds into Bitcoin for diversification, and mitigation against dollar debasement, BTC price look set for another leg-up in the days ahead.

What’s Next for Bitcoin Price?

Having established a firm support base around $110,000, Bitcoin’s technical outlook suggests the next psychological target lies near $120,000. Bulls’ refusal to take profits even after a strong rejection near $111,800 hints at further upside pressure.

More so, Bitcoin’s 24-hour trading volume crossed the $75 billion mark on Thursday, the highest in 14-days dating back to May 7, signalling the on-set of another upward catalyst.

Trump’s tariff announcement could trigger uncertainty in both sovereign bond markets of both the EU and US. As investors facing yield instability and weaker demand, Bitcoin may benefit from a flight-to-safety rotation.

In the short term, BTC’s ability to hold above $110,000 will be closely watched by traders. A breakout above $112,000 could accelerate gains toward the $118,000–$120,000 resistance band.

Bitcoin Price Forecast Today: Pullback After $112K Peak Could Prime BTC for $120K Target

Bitcoin price slipped 3.13% to $108,200 in today’s session, retreating from an intraday high of $111,800. Despite the pullback, technical momentum remains tilted to the upside.

The short-term 9-day moving average continues to trend firmly above the green 21-day moving average, confirming a bullish crossover since early May that historically precedes price expansion.

The brief BTC price correction seen on the daily candle appears to be a healthy consolidation after an aggressive rally from sub-$100K levels, with support near $106,500, the 9/21 MA convergence zone is likely to act as a potential re-entry point.

Bitcoin price forecast today remains bullish in structure, as the MACD still shows a positive bias. The MACD line at 4,117 sits comfortably above the signal line at 3,927, despite a minor curve inward.

Importantly, histogram bars are still printing above zero, signaling that upward pressure remains intact. As long as BTC price remains above the MA support zone and MACD stays in positive territory, the dominant trend remains upward.

A bullish breakout could resume if BTC reclaims $111,000 on strong volume. A confirmed close above $112,000 opens the path toward $118,000 to $120,000, which aligns with the Fibonacci extension targets and prior resistance clusters.

On the flip side, failure to hold $106,500 may trigger a deeper correction toward $103,000, where the 21-day MA provides critical trend support.