Bitcoin surged on Wednesday after major corporate holder Strategy announced a fresh multibillion-dollar purchase of the cryptocurrency. However, the rally lost some momentum as data pointed to continued weakness in U.S. retail demand.
The world’s largest cryptocurrency climbed 4.5% to $96,589 by 09:52 ET (14:52 GMT), marking its highest level in two months before easing slightly from intraday highs.
Strategy makes its largest Bitcoin purchase since July
Bitcoin’s gains were largely driven by news that Strategy, led by executive chairman Michael Saylor, acquired 13,627 bitcoins at an average price of $91,519 per coin. The transaction was valued at roughly $1.25 billion.
Following the purchase, Strategy’s total Bitcoin holdings rose to 687,410 coins, further cementing its status as the largest corporate owner of Bitcoin globally. The acquisition was the company’s biggest since July 2025 and was financed through a mix of common stock sales and preferred equity issuance.
The announcement helped ease concerns that Strategy had slowed its Bitcoin accumulation, after buying only small amounts of the cryptocurrency since mid-December.
Despite its aggressive buying strategy, Strategy’s shares have fallen nearly 50% so far in 2025. Investor sentiment has been weighed down by worries over the long-term sustainability of its Bitcoin-focused strategy, as well as the prolonged downturn in Bitcoin prices. The decline had also raised fears that the company could eventually be forced to sell some of its holdings to service debt obligations.
U.S. retail Bitcoin demand remains subdued
Signs of weak retail demand in the United States persisted, with Bitcoin trading at a discount on Coinbase Global compared with global prices.
Bitcoin’s price on Coinbase is widely viewed as a proxy for U.S. retail sentiment, given the exchange’s dominant position in the domestic market. Data from Coinglass showed that Bitcoin has traded at a consistent discount on Coinbase since mid-December, signaling subdued buying interest from retail investors during that period.
Spot Bitcoin ETFs see strongest inflows in three months
In contrast to weak retail demand, institutional interest showed renewed strength. U.S. spot Bitcoin exchange-traded funds recorded their largest single-day inflows since October 7, 2025, according to data from SoSoValue.
Spot Bitcoin ETFs attracted $753.7 million in net inflows on Tuesday, the strongest showing in nearly three months. Fidelity’s FBTC led the way, accounting for $351 million of the total.
Institutional demand also spilled over into Ethereum, where ETFs recorded combined inflows of $130 million across five products.
Altcoins outperform Bitcoin
Broader cryptocurrency markets outpaced Bitcoin on the day, helped in part by largely in-line U.S. consumer price index data for December. Core inflation came in slightly below expectations but matched November’s reading, reinforcing expectations that the Federal Reserve will keep interest rates unchanged later this month.
Ether, the second-largest cryptocurrency, jumped around 6% to $3,336.66, while XRP gained more than 4%. Solana and BNB advanced roughly 3.5% each, and Cardano rallied close to 6%.
Among memecoins, Dogecoin surged 6%, while the $TRUMP token added about 2.8%.
