Bitcoin surges to highest since January 2026 amid ETF inflows

Bitcoin Surges to Highest Since January 2026

The cryptocurrency Bitcoin surged nearly 5 percent on Monday, September 21, surpassing $84,000 and touching $85,000, its highest level since January 2026, according to market data.

The rally came as US spot bitcoin exchange-traded funds attracted $593 million in inflows over Thursday and Friday last week. For the entire week, net inflows into these funds turned positive at approximately $6 million, reversing the earlier modest outflows.

Market sentiment also improved after the US Securities and Exchange Commission on September 18 allowed digital versions of securities to begin trading in the United States.

The surge follows a period of caution after the Federal Reserve raised interest rates for the first time in three years. Investors had grown wary of volatile assets like cryptocurrencies, but the recent ETF inflows and regulatory clarity have renewed appetite.

Technical analysts caution that the rally could reverse in the near term, as the momentum strength index approaches 70, a level often seen as signaling overbought conditions.

US-China Talks and Oil Prices Shape Market Sentiment

The crypto rally coincided with positive signals from high-level US-China talks held in New York over the weekend, according to officials. US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng led the discussions, covering artificial intelligence, trade, and investment.

Bessent described the talks as very successful, helping lift global investor risk appetite across Asian and major US stock futures on September 21 during the session.

Oil prices continued to fall, with West Texas Intermediate crude futures dropping to about $93 per barrel on September 21. Brent crude futures declined to near $101 per barrel, marking a fourth consecutive day of losses for the global benchmark.

Falling oil prices could ease inflation pressure, but the Federal Reserve's first rate hike in over three years still heavily weighs on volatile assets like cryptocurrencies.

Jeff Mei, Chief Executive Officer of the BTSE exchange, said any Fed statement on tightening or loosening policy could move markets. Meanwhile, analyst Rekt Capital warned that bitcoin still risks a reversal as price makes higher highs without matching momentum strength.

Broader Market Rallies Amid Greenland Deal and Stock Moves

US stock index futures rose in pre-market trading on September 21, buoyed by positive signals from the high-level US-China talks. President Donald Trump announced a security agreement with Denmark and Greenland, ensuring a long-term US role and expanded military deployment.

Greenland-themed stocks surged, with Greenland Energy up about 163 percent, Greenland Mines up 120 percent, and Critical Metals up 31 percent. MicroStrategy rose over 6 percent as bitcoin recovered, lifting its unrealized profit on company bitcoin holdings to about $5.02 billion.

Executive Chairman Michael Saylor posted the company's bitcoin holdings chart on the social media platform X, signaling continued strong confidence in the cryptocurrency's overall market value.

Other pre-market movers included Accenture, up over 6 percent on an AI safety partnership with Anthropic, and Intel, up 5.4 percent on advanced Micro LED packaging.

E-commerce giant Alibaba rose over 1 percent and will host its Apsara Conference 2026 in Hangzhou from September 22 to 24. The company's plan aims to invest 380 billion Chinese yuan over the next three years, according to its strategic announcement.