Bitcoin's upward trend continues, breaking through $67,000, with a cumulative increase of nearly 50% so far this year.
Bitcoin's upward trend continues, breaking through $67,000, with a nearly 50% increase year-to-date. The influx of funds into Bitcoin ETFs has driven the rapid rise in Bitcoin prices. Ethereum is also speculated to launch an ETF due to market speculation. The upward trends of Bitcoin and Ethereum echo the new highs set by the Nikkei Index, Pro UltrPro Shrt S&P 500, and Invesco QQQ Trust. Volatility indicators in the stock and forex markets are decreasing. The market sentiment has returned to 2021, where everything is on the rise.
Zhitong App learned that on Monday, March 4th, Bitcoin's upward trend continued, breaking through $67,000 per coin, with a daily surge of over $4,100. Previously, Bitcoin had reached a historical record of $68,999.99 per coin in November 2021.
As one of the largest cryptocurrencies by market value, Bitcoin has risen by nearly 50% so far this year, with most of the gains concentrated in recent weeks. In particular, the influx of funds into the U.S.-listed spot Bitcoin ETF has driven the rapid rise in Bitcoin prices.
Earlier this year, the U.S. approved the listing of spot Bitcoin ETFs, providing new opportunities for large investors and reigniting the enthusiasm and momentum similar to 2021.
Markus Thielen, Director of Research at 10x Research, a cryptocurrency analysis firm in Singapore, stated, "Investors are confident in the price rise, and funds continue to flow in."
According to data from LSEG, in the week ending March 1st, a net capital inflow of $2.17 billion was recorded in the top ten U.S. spot Bitcoin funds.
Meanwhile, smaller competitors like Ethereum are also affected by market speculation and may soon launch ETFs to attract more capital inflows. As of that day, Ethereum has risen by 50% this year and is hitting a two-year high, rising by 2.6% to $3,518 per coin.
The upward trend of Bitcoin and Ethereum echoes the new highs set by the Japanese Nikkei Index, the S&P 500 Index, and the tech-heavy Nasdaq Index, while volatility indicators in the stock and forex markets are decreasing.
"With the Nasdaq Index hitting new highs, cryptocurrencies are performing well because Bitcoin remains a high-volatility tech proxy and liquidity gauge," said Brent Donnelly, trader and president of Spectra Markets. "We are back to the market atmosphere of 2021, where everything is on the rise, and everyone is enjoying it."