Bitcoin Skyrockets to $64,000, Igniting Frenzy Amid Surging ETF Demand!

Key Points:

• Bitcoin skyrockets mark a second day of gains, reaching $64,279 before settling at $63,622.
• US-listed Bitcoin ETFs, trading since January 11, drive robust demand, resulting in a 186% surge in the last 12 months.

Bitcoin skyrocket edged closer to its all-time high, reaching $64,279 before settling at $63,622.

This spike, the highest since November 2021, is attributed to the fervent anticipation surrounding robust demand for exchange-traded funds (ETFs) at the start of the week.

The catalyst for this surge is the relentless appetite for the primary crypto token from US-listed Bitcoin ETFs, which commenced trading on January 11. Over the past 12 months, Bitcoin has soared by an impressive 186%, underlining the cryptocurrency’s robust growth.

ETF Demand Propels Cryptocurrency to New Heights!

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Hayden Hughes, co-founder of Alpha Impact, a social-trading platform, noted, “Given the low liquidity over the weekend, markets are moving north in anticipation that tonight’s ETF inflows will continue and prices will continue to rally.”

Since the launch of US Bitcoin ETFs, featuring funds from notable entities like BlackRock Inc. and Fidelity Investments, a substantial $7.35 billion has flowed into the market. Traders are now positioning themselves for a potential breach of the record $69,000 mark, reached during the Covid pandemic. This optimism is fueled by the strong demand for ETFs and the looming Bitcoin halving later this year.

Bitcoin’s Record Surge Driven by ETF Enthusiasm and Halving Hype!

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The impending halving, a process reducing mining rewards by half, is expected to intensify the supply-demand dynamics, adding further pressure on the crypto’s availability. Analysts, including Hughes, express confidence in Bitcoin’s ability to surpass its previous all-time high, citing positive sentiment and the impending halving.

While Bitcoin takes the spotlight, other altcoins such as Ether and Solana also experienced positive movements, with gains of 0.15% and 1.82%, respectively, on Monday. The broader crypto market appears to be riding the wave of Bitcoin’s rally, suggesting an optimistic outlook for the digital asset space.