Spot bitcoin exchange-traded funds posted their strongest single-day inflow on record Friday, bringing in about $1.2 billion as the cryptocurrency moved above $112,000. The surge added fresh momentum to a rally driven by renewed institutional demand.

The latest inflows suggest large investors are continuing to use regulated funds as a channel into the asset class. Market analysts have pointed to growing confidence in bitcoin exposure through ETFs as a key factor behind recent price strength.

Bitcoin’s climb comes as traders position for the next halving cycle, a recurring event that reduces the rate of new supply. While the long-term implications remain debated, the combination of heavy ETF demand and tighter supply expectations has helped push sentiment higher.

Even so, crypto markets remain volatile and sensitive to shifts in risk appetite, policy, and liquidity. After the sharp move above $112,000, investors are watching whether the latest wave of fund inflows can sustain the rally.