Bitcoin has made significant gains in recent weeks, extending its rally to above $47,000 for the first time in nearly a month. This rally has brought a sense of relief to investors, who have endured a recent temporary drop to 38,500 shares and now feel comfortably in the profit zone amid the market recovery.
Interestingly, the latest data from CryptoQuant analysts suggests that the market is nearing a ‘tipping point’.
Where is Bitcoin headed?
Net Unrealized Gain/Loss (NUPL) is a key metric for assessing the overall sentiment of Bitcoin investors and whether the market is overvalued or undervalued. As of February 8, 2024, the NUPL value is 0.48, and investors are clearly still making profits, although there are signs of a transition to an important stage.
CryptoQuant’s analysis reveals that NUPL’s importance goes beyond just a profitability metric. It also serves as a harbinger of a market trend, with its value historically above 0.5, indicating the beginning of a bullish phase in the market.
Therefore, the current NUPL value indicates a possible shift to a more bullish stance. Investors may interpret this as a signal to increase their exposure to the largest cryptocurrencies. Such sentiments could further fuel Bitcoin’s price rise.
Bitcoin ETF sets record
Signals of the beginning of a bull market coincided with notable inflows recorded by the US Spot Bitcoin ETF, despite facing early challenges.according to data Since its inception on January 11, Bitcoin ETFs have attracted a total of $2.11 billion in inflows, according to research from BitMEX.
The ETF had inflows of $405 million, which equates to nearly 8,935 BTC. Companies primarily contributing to these inflows include investment giants BlackRock (IBIT) and Fidelity (FBTC).
According to reports crypto potato, the performance of the BlackRock ETF and Fidelity ETF is outstanding, especially considering that many of the other ETFs on the list are classified as “Bring Your Own Assets” (BYOA) ETFs, making it easy for a single investor to This suggests that the company was responsible for all of its assets under management. (parrot).
Additionally, these two ETFs have consistently received inflows each trading day since their launch.