While traditional financial markets around the world paused operations in observance of International Labor Day, the relentless 24/7 nature of cryptocurrency trading ensured that market action didn’t stop entirely. In fact, on this quiet day for stocks, bonds, and commodities, Bitcoin seized the spotlight with a notable bullish breakout — reclaiming the $65,000 mark for the first time in over two weeks.
This sudden surge wasn’t fueled by macroeconomic data or geopolitical headlines, but rather by a wave of optimism surrounding Bitcoin spot ETFs. A combination of renewed institutional inflows and dovish-sounding remarks from the U.S. Securities and Exchange Commission (SEC) propelled the flagship cryptocurrency to levels not seen since early April.
Bitcoin Reclaims $65K: What Sparked the Move?
As of midday May 1st, Bitcoin (BTC) is trading at $65,420, marking a 6.1% gain in the past 24 hours. The upward momentum began building late on April 30th and intensified during the early Asian session on Thursday, catching many market participants off-guard on a day when global equity markets remained shuttered.
Catalyst 1: ETF Inflows Resume
According to data from Glassnode and Arkham Intelligence, net inflows into U.S.-based Bitcoin spot ETFs reached over $320 million on April 30, the highest daily tally in nearly a month. This capital influx marked a turnaround from the trend observed in the second half of April, when outflows from Grayscale’s GBTC and sluggish demand for new entrants like BlackRock’s IBIT led to a period of stagnation for crypto markets.
Market participants view this shift as a signal that institutional appetite is reviving, particularly amid stabilizing macroeconomic conditions and the growing perception of Bitcoin as a portfolio hedge.
Catalyst 2: SEC Hints at More Supportive Posture
On April 30, during a virtual fireside chat at the Georgetown Financial Regulation Forum, SEC Commissioner Hester Peirce — known in crypto circles as “Crypto Mom” — remarked that the agency is “increasingly open to more comprehensive engagement with digital asset products” and emphasized the importance of “regulatory clarity to support innovation.”
While Peirce’s views don’t necessarily represent the consensus within the Commission, they reflect a changing tone that investors are interpreting as potentially bullish for crypto ETFs. Notably, she added that “if products are meeting compliance requirements, there is no reason they shouldn’t have the opportunity to access the market.”
Such statements, albeit cautiously worded, helped fuel optimism that the SEC’s previously rigid stance on crypto-related financial products may be softening.
Broader Crypto Market Follows Bitcoin’s Lead
The rally in Bitcoin also spilled over into the broader cryptocurrency space:
- Ethereum (ETH) jumped by 4.3% to trade at $3,340, benefiting from both Bitcoin correlation and continued speculation around the possible approval of an Ethereum spot ETF in the second half of 2025.
- Solana (SOL) surged 6.9% to reach $147, as altcoin traders returned to risk-on mode.
- Polygon (MATIC) rose 5.1%, driven by increased DeFi activity and recent announcements of ecosystem expansion.
The Crypto Market Cap crossed $2.55 trillion, a level not seen since early April, reaffirming that the recovery is being felt broadly and not just confined to Bitcoin.
No Action from Traditional Markets — But Correlations Remain in Focus
Even though equity markets from New York to Frankfurt and Hong Kong remained closed for the Labor Day holiday, traders kept an eye on futures and digital asset correlations. U.S. equity futures remained flat in electronic trading, with the S&P 500 E-Mini contract last quoted at 5,265, showing little movement.
The rising divergence between crypto and equities during quiet sessions like today highlights how digital assets are starting to develop a more independent risk narrative, even as macro correlations still exist.
Market Sentiment and On-Chain Metrics
According to the Crypto Fear & Greed Index, sentiment has shifted from “Neutral” to “Greed”, with the index moving to 71 as of May 1st — its highest reading in nearly five weeks.
On-chain data from IntoTheBlock shows:
- Whale accumulation of BTC rose by 8.2% over the past 72 hours.
- The number of addresses holding more than 1,000 BTC increased by 3.1%, signaling large investor confidence.
- The percentage of BTC supply held by long-term holders has risen to 69.4%, suggesting that investors are in no rush to take profits.
Technical Analysis: Where to Next for BTC?
Bitcoin has broken through its 50-day moving average ($63,800) and is now attempting to solidify support above the psychologically important $65,000 level.
Key resistance levels:
- $66,300 – April 12th local top
- $68,900 – multi-month high from March
- $70,000 – major psychological barrier
Support levels:
- $63,800 – recent breakout zone and 50-day MA
- $61,500 – April consolidation floor
A sustained close above $65K on daily charts could open the door to a retest of $68K in the near term, especially if ETF flows remain robust.
Global Implications and Forward Outlook
The resurgence of Bitcoin, despite macro inactivity today, carries implications beyond price charts:
- ETF momentum and regulatory signals are shaping market structure in profound ways. With trillions of dollars managed by U.S. institutions now having potential access to compliant crypto products, the capital base for Bitcoin is changing rapidly.
- Geopolitical neutrality and 24/7 availability make crypto a preferred instrument for market participants in holiday or weekend periods, which could further amplify its role during low-liquidity events.
Looking ahead, attention will shift to Friday’s U.S. Nonfarm Payrolls (NFP) data, which could reintroduce macro volatility to the broader risk asset space. However, crypto markets — having found fresh internal drivers — may not be as tightly tethered to traditional market cues as in previous cycles.
Conclusion
Even as Wall Street and other major financial centers observed a pause for International Workers’ Day, crypto markets reminded investors of their ceaseless nature. Bitcoin’s climb above $65,000 is more than just a technical breakout — it represents a renewed belief in institutional adoption, backed by ETF inflows and softening regulatory rhetoric.
With market structure evolving and sentiment tilting back toward greed, the path ahead for Bitcoin — and crypto more broadly — could be paved with renewed upside momentum. But as always, volatility is never far in the crypto space.
