The price of Bitcoin (BTC) has soared to a new all-time high of over $72,000, following record inflows into crypto exchange traded products (ETPs).
As of March 8, crypto investment products had generated a record $2.7 billion worth of inflows, according to a March 11 post by CoinShares analyst James Butterfill.
Year-to-date, crypto ETPs have generated $10.3 billion worth of inflows, which is already roughly equivalent to the $10.6 billion worth of inflows into crypto ETPs in all of 2021.
Bitcoin accounts for the bulk of this figure, with $2.6 billion in inflows year-to-date and currently accounting for 14% of total global crypto-related assets (AUM).
A few days later, on March 11, the price of Bitcoin rose to an all-time high of $72,900. The asset has since leveled off, trading around $72,000, up 6.9% in the past week and 29% in the last month, according to TradingView data.
Increased investment in the recently approved Spot Bitcoin ETF in the US has significantly accelerated inflows into crypto ETPs, with total trading volume exceeding $110 billion since its launch on January 11th. .
James Seifert, Bloomberg ETF Analyst I got it. A total of five US Spot Bitcoin ETFs currently have more than $2 billion in assets under management, with crypto-native asset manager Bitwise's BITB Fund being the latest addition to the club.
“Of the approximately 3,500 U.S. ETPs, only 445 have assets in excess of $2 billion,” Seifert added.
In an analyst note seen by Cointelegraph, IG market analyst Tony Sycamore predicted that the current rally could push Bitcoin prices towards $80,000 in the coming months. It added that crypto assets will be “well supported” against any potential downside.
Related: SEC radio silence on Ethereum ETF 'not a good sign' — Bloomberg Analyst
Mikkel Morch, founder of the digital asset investment fund ARK36, told Cointelegraph that Bitcoin's new all-time high was due to the London Stock Exchange accepting Bitcoin and Ether (ETH)-listed banknotes, and the UK financial act. He said that this coincided with a growing desire to Authority to accept new crypto-related financial products.
“This important regulatory change not only reflects London's intention to remain a major player in the financial world, but also signals broader acceptance and institutionalization of cryptocurrencies. .”
Molch believes that increasing international regulatory acceptance of crypto assets, the upcoming halving event, and the continued increase in Bitcoin ETF inflows usher in “a new era of growth and mainstream adoption for cryptocurrencies.” I noticed it as something to tell.
“The cumulative effect of these factors is likely to sustain stock price appreciation and foster a stronger and more diverse investment environment for digital assets,” he said.
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