Bitcoin surged to $85,222 as risk appetite lifted crypto markets

Bitcoin crossed the $85,000 (about AED 312,162) mark for the first time in eight months, with total crypto market value reaching $2.8tn.

Bitcoin surged to $85,222 (about AED 312,862) in early New York trading on Monday, marking its highest level in eight months. The cryptocurrency gained as much as 5.1% during the session, buoyed by renewed risk appetite across global markets and optimism ahead of the upcoming summit between US President Donald Trump and China’s Xi Jinping. At the time of publication, bitcoin was trading at $84,583 (about AED 310,673), with bullish momentum evident in the charts and $85,500 flagged as the next near-term checkpoint.

The rally began late last week after the market shrugged off the failure of the Clarity Act, a proposed measure aimed at providing clearer regulation for the digital asset sector. Sentiment was further supported by the US Federal Reserve’s first rate increase in over three years, followed by the US Securities and Exchange Commission granting approval for digital versions of securities to trade on Thursday.

This positive momentum has driven the total cryptocurrency market value to $2.8 trillion, its highest since the end of January. According to Bloomberg, open interest in call options on Deribit reached 272,000 contracts, compared to 154,000 put contracts, indicating a shift from downside protection to positioning for further gains. US spot bitcoin ETFs saw inflows of $433 million on September 18, led by Fidelity’s FBTC and BlackRock’s IBIT, partially reversing earlier outflows.

Despite the rally, retail investor participation remains cautious, with many opting for AI-linked equities over cryptocurrencies for speculative allocations. Bitcoin is still trading below its January 2026 high of over $97,000, while crude oil prices remain above $100 a barrel and US Treasury yields are elevated. Notably, two Abu Dhabi sovereign funds—Mubadala and Al Warda Investments—held a combined stake exceeding $1 billion in BlackRock’s spot bitcoin ETF, IBIT, at the end of 2025, according to SEC filings. Mubadala’s holding stood at about $566 million, while Al Warda Investments held approximately $408 million, reflecting continued institutional interest from the Gulf region.

Source: https://gulfnews.com/your-money/cryptocurrency/bitcoin-hits-eight-month-high-as-risk-appetite-returns-1.500682487