Bitcoin hovered just below the $85,000 mark on Saturday, trading at $84,823 after a 0.27% decline. The drop extended Friday’s modest losses and signaled cooling investor sentiment following early-week optimism tied to the Federal Reserve’s dovish tone.
Now, the focus has shifted sharply to Capitol Hill, where the reintroduction of the Bitcoin Act could shape near-term price action.
Senator Cynthia Lummis reintroduced the Bitcoin Act on March 11, calling for the U.S. government to purchase one million BTC over five years and hold it for two decades. Market observers view the bill’s progress as a potential turning point.
After surging to a record high of $109,312 in January amid speculation of government Bitcoin acquisitions, traders now see legislative traction as a key driver of a renewed rally.
The previous Executive Order signed by President Trump in March 2025 had fallen short of investor expectations. The order called for creating a Strategic Bitcoin Reserve sourced from seizures in criminal and civil cases. It did not authorize large-scale purchases, dampening hopes and limiting upward momentum.
ETF Inflows Signal Institutional Confidence
Despite political uncertainty, institutional interest in Bitcoin has picked up. The U.S. Bitcoin spot ETF market broke a five-week outflow streak, recording $744.3 million in net inflows for the week ending March 21. BlackRock’s iShares Bitcoin Trust (IBIT) led with $537.5 million, while Fidelity’s Wise Origin Bitcoin Fund (FBTC) added $136.5 million, ending its seven-week streak of outflows.
By March 22, twelve ETFs collectively held $94.35 billion in BTC, amounting to 5.65% of Bitcoin’s total market capitalization. BlackRock’s IBIT alone contributed over $104 million in inflows on March 21, driving that day’s $1.3 billion trading volume.
According to Sosovalue data, cumulative net ETF inflows stood at $36.05 billion as of March 21. BlackRock accounted for nearly $40 billion of that total, followed by Fidelity at $11.48 billion. Other ETFs saw limited movement.
Technical and Derivatives Data Suggest Turning Point
Bitcoin remained range-bound between $83,265 and $88,000 through the weekend, with trading volumes dropping significantly. Binance volumes fell from 22,900 BTC on March 20 to just 5,420 BTC by March 22.
Analysts suggest this decline may indicate whale accumulation at current levels, as large investors sidestep OTC fees and make strategic buys in a low-volatility environment.
Open interest across Bitcoin derivatives dipped to $51.98 billion, while options open interest stood at $33.51 billion. CryptoQuant’s Bull Score Index dropped to 20—the lowest since January 2023—indicating weak market sentiment and reducing the likelihood of a near-term rally.
However, liquidations data hinted at stabilization. Over 12 hours, short positions absorbed $806,590 in liquidations, exceeding those from long positions. The long-short ratio remained nearly neutral at 0.9589, with Binance and OKX skewing slightly long.
If BTC climbs above $86,263 and the 200-day EMA, technical models suggest it could challenge the $90,742 level and reopen the path to $100,000. But failure to hold $83,500 could invite another retest of the March 11 low at $76,642.
