On Monday, a flood of capital brought Bitcoin within striking distance of record values, sending it soaring to a two-year high. exceeding $68,000. At its peak, the price was $68,800.
At the moment of writingBitcoin traded at $67,980, up 6.6% and 20.6% in the daily and weekly time frames, Coingecko data shows.
As investment in U.S.-listed bitcoin funds has increased dramatically in recent weeks, the value of the largest cryptocurrency by market capitalization has risen by half this year.
Bitcoin is heating up
As more and more people become interested and optimistic about the market, Bitcoin’s incredible upward trajectory becomes apparent upon a close examination of the weekly chart.
The price of bitcoin has soared recently, helped in part by the adoption of spot Bitcoin ETFs, and is already approaching the all-time high of $69,000, which the cryptocurrency reached in November 2021. It has already surpassed numerous major resistance levels.
Bitcoin 24-hour price ascent. Source: Coingecko
Antoni Trenchev, co-founder of crypto exchange Nexo, stated that after the launch of these nine new ETFs, major market movements will no longer take place on weekends, but rather during the regular trading week.
Trenchev also pointed out that today’s events could be a repeat of last week’s, when Bitcoin’s value rose by $10,000 in just a few days.
The price of bitcoin has soared this year and its market capitalization has already surpassed $1.3 trillion, making it one of the largest assets in the world.
BTCUSD trading at $66,887 on the 24-hour chart: TradingView.com
The world’s most valuable cryptocurrency, Bitcoin, has surpassed Meta Platforms (META), Facebook’s parent company, and is currently approaching silver’s market value of $1.4 trillion, according to figures from CompaniesMarketCap.
More than half of the $2.17 billion net inflows into the top ten US spot bitcoin funds in the week leading up to March 1 went to BlackRock’s iShares Bitcoin Trust (IBIT.O), opens a new tab, according to LSEG stats .
Ethereum, a smaller competitor, has benefited from rumors that Ethereum, too, could soon offer exchange-traded funds that drive inflows. It has risen 50% this year and reached a two-year high on Tuesday, rising 2.5% to $3,517.
Bitcoin shows the way
At the same time, Bitcoin has boosted many cryptocurrency tokens, especially meme currencies. Dogecoin saw a 30% increase and Shiba Inu a 90% increase. People who have been sitting on their hands during the current crypto boom are finally getting back into it, according to analysts. According to crypto data source Kaiko, the weekly transaction volume of meme tokens rose to the highest level since late 2021 last week.
#Bitcoin is about to discover the price (again) and people are somehow bearish?
It couldn’t be me.
— Caleb Franzen (@CalebFranzen) March 4, 2024
Meanwhile, Caleb Franzen, CEO of Cubic Analytics, made the observation in a Sunday report that Bitcoin is beating the tech-heavy Nasdaq 100 Index (NDX). Breaking through a critical level connecting the highs in the first quarter and the end of quarter 2021, he characterized bitcoin’s breakout versus NDX as “very encouraging.”
“Bitco is about to discover price (again) and people are somehow bearish? It can’t be me,” he said in an X-post on Monday.
Joel Kruger, a market strategist at digital currency exchange LMAX Group, told CBS MoneyWatch that investors are seeing the benefits of treating bitcoin as an uncorrelated asset, making it very attractive for portfolio diversification.
Featured image from P2E Crypto Media, chart from TradingView
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