Bitcoin’s rally is gaining momentum, with its value surpassing $68,000, a peak not seen since November 2021.
Robust demand for U.S.-based Bitcoin ETFs drives the uptick, marking a notable cryptocurrency recovery.
As of Monday afternoon, Bitcoin boasted a 7.40% increase, reaching $68,299.
This represents a weekly gain of +29% and a monthly increase of +58%, culminating in a remarkable 187% rise over the past year.
The enthusiasm around Bitcoin ETFs in the U.S., which began trading on January 11, has played a pivotal role.
These ETFs, including BlackRock’s offering in Brazil through a BDR on B3, have attracted $7.35 billion in net inflows.
This demand suggests a strong investor appetite for Bitcoin, potentially driving its value closer to or surpass its all-time high of $69,000.
Anticipation builds for Bitcoin’s halving event in April. It halves Bitcoin’s issuance rate, potentially boosting demand amidst reduced daily supply growth.
Bullish sentiment extends to crypto derivatives with record high open contracts for Bitcoin and Ethereum futures.
This signals increasing interest from U.S. institutions in crypto exposure and hedging.
Analysts are optimistic, predicting that Bitcoin could test its all-time highs soon, with the $70,000 mark seen as a significant resistance level.
In addition, the crypto market’s broad rally includes gains in altcoins like XRP, Ether, and Solana.
This surge reflects a dynamic reminiscent of the 2021 bull run, where retail traders chased quick profits in a volatile market.
The rally highlights the dynamic cryptocurrency market, driven by tech advancements, regulations, and investor sentiment.
In short, it offers opportunities for seasoned and new investors alike with rapid value shifts.