Bitcoin reached 52,043 on the evening of February 14th on the cryptocurrency exchange Binance, leading many analysts to believe that Bitcoin is now in an “Up Only” mode.
Bitcoin ETF has seen consecutive days of high net inflows. GBTC has significantly reduced its outflow of funds. Is Bitcoin becoming more popular than gold ETFs? Is it an unbeatable combination of election year, halving, and ETF?
The overall net inflow for Bitcoin ETF on the previous day remains high at $631 million, with over $400 million in net inflows for consecutive days since February 8th:
– February 8th: $405 million
– February 9th: $541 million
– February 12th: $493 million
– February 13th: $631 million
Analysts supporting this view believe that if the weekly production of Bitcoin and the weekly net inflow of funds into Bitcoin ETF continue to exceed demand, it will significantly drive up the price of Bitcoin.
The value of Bitcoin transferred from Grayscale’s GBTC to Coinbase on February 15th was only $105 million, similar to the past few days, which is a stark contrast to the initial days of ETF launch when hundreds of millions were being withdrawn daily.
Analysts supporting this phenomenon believe that GBTC has stopped the selling trend and has a positive effect on Bitcoin prices, which is also the reason for the overall net inflow of Bitcoin ETF.
Bloomberg analysts who continue to track Bitcoin ETF have noted that while Bitcoin ETFs are highly popular, ETF products related to gold are experiencing annual net outflows. This phenomenon is also considered beneficial for Bitcoin products.
The narrative surrounding Bitcoin seems to have excellent support in terms of news. The halving of Bitcoin reduces production, the support of the US election year on the stock market, and the continuous increase in demand due to Bitcoin ETF have led many analysts to have high expectations for new highs this year.
In conclusion, the overall community expects excellent performance in the second quarter, which seems to have started early in the first quarter. Will this accelerate the end of this bull market? For experienced cryptocurrency traders, knowing when to exit is another art.
ETF
Bitcoin
Gold
Related reading:
CME’s open interest in futures contracts reaches January peak as Bitcoin rises to $52K, reaching a market cap of $1 trillion.
Is Bitcoin ETF gradually becoming the main catalyst? Bitcoin has been rising steadily for several days, with stable and high net inflows into ETFs.