Bitcoin (BTC) topped $49,000 on Monday, supported by last week’s strong exchange-traded fund (ETF) inflows and signs of institutional accumulation.
The largest cryptocurrency was hovering around $48,000 earlier in the day, but suddenly rose to $49,100 at the start of the US trading session. At the time of writing, BTC is trading just above $48,900, up nearly 2% over the past 24 hours, outpacing a minor 0.2% decline in the broader market CoinDesk 20 Index (CD20). Ta.
This price move has been supported by strong inflows into Spot Bitcoin ETFs over the past week, as outflows from established funds such as Grayscale Bitcoin Trust (GBTC) and ProShares Futures-Based ETFs have slowed. It has attracted more than $1.1 billion in net new capital, asset management firm CoinShares reported on Monday. .
However, potential selling pressure from bankruptcy-protected crypto financier Genesis liquidating its $1.6 billion worth of GBTC holdings could weigh on the ETF’s net inflows and price in the coming months. There is.
Macro analyst Noel Acheson said Bitcoin is currently on the rise mainly due to expectations for capital injections from China to stem the stock market crash, as well as expectations for currency devaluations that are inevitable in developed countries in the future. He said he is benefiting from the increasing accumulation of Bitcoin.
“Given the lack of clear catalysts to explain BTC’s movements over the past few days, perhaps what we are seeing is increased accumulation due to the aforementioned reasons, as well as an ETF marketing machine. The continued expansion of Bitcoin awareness. About them.