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As bitcoin (btc), the largest cryptocurrency by market capitalization, inches closer to its all-time high of $73,700 reached in March, the US bitcoin ETF spot market has re-emerged as a key driver of the recent increase in cryptocurrency prices.
Tuesday Total Spot bitcoin ETF Trading Volume x.com/sashahodler/status/1851335179802972566″ target=”_blank” rel=”nofollow”>surpassed $3 billion, coinciding with bitcoin price briefly above the pivotal $73,000 mark for the first time in over 7 months.
bitcoin ETF Market Will Soon Pass 1 Million btc Holdings
Notably, cryptocurrency investor BigRig noted a notable increase in bitcoin ETF purchases over the past two weeks. x.com/BitcoinBigRig/status/1851338742281228725″ target=”_blank” rel=”nofollow”>inform 2.673 million dollars in tickets since October 16.
This represents a substantial 11.8% of total ETF inflows over this period, suggesting strong interest from institutional and retail investors. BigRig also noted that, prior to Tuesday's trading volume, this period represented the best day for ETF inflows.
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Bloomberg ETF analyst Eric Balchunas added to the bullish narrative by x.com/EricBalchunas/status/1851253463734190477″ target=”_blank” rel=”nofollow”>indicating that US spot ETFs are on track to hold 1 million bitcoin by next Wednesday, surpassing the holdings of Satoshi Nakamoto, the enigmatic creator of bitcoin, in mid-December with an average addition of around 17,000 btc per week.
However, Balchunas also warned that market volatility could affect these projections. “Anything can happen,” he said, referring to the possibility of a sudden liquidation that could delay the schedule.
On the contrary, if prices continue to rise and political factorsAs a possible Trump victory in the upcoming elections contributes to increasing market enthusiasm, the expert believes that this influx of new investors could accelerate the pace of bitcoin's rise to new highs.
The accumulation of whales stimulates optimism
Despite increased activity in the bitcoin ETF market, the price of the largest cryptocurrency recently failed to reach its level all-time highretracing to approximately $72,250 at the time of writing.
However, there are positive indicators for bitcoin bulls. The cryptocurrency has been consolidating above key support levels, with strong support around the $66,000 mark.
This support has effectively prevented any significant decline over the past week and has contributed to the ongoing rally. However, what would be a notable fact bullish indicator It would be a sustained consolidation above the $70,000 level for the bulls, which could further demonstrate the strength of the current move.
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Market expert Miles Deutscher has been vocal about his bullish outlook for bitcoin, particularly in the final months of the year. the recently x.com/milesdeutscher/status/1851359360678838566″ target=”_blank” rel=”nofollow”>pointed out a significant trend: whales (large bitcoin holders) are accumulating the cryptocurrency at an “unprecedented pace.”
This observation suggests that institutional demand for bitcoin is currently outpacing retail interest, a change that could have implications for massive upward price movements in the near future.
Deutscher more x.com/milesdeutscher/status/1851325889369550888″ target=”_blank” rel=”nofollow”>highlighted that bitcoin currency reserves have reached historic lows. This means that the amount of bitcoin available on exchanges for trading has decreased, indicating a reduction in supply.
Featured image of DALL-E, chart from TradingView.com
