Bitcoin continues to show impressive growth, reaching an all-time high of $120,947. Experts predict further growth based on stable market sentiment and Bitcoin's integration into the global financial system.
Reasons Behind Market Sentiment Growth
CryptoQuant, a prominent analysis firm, notes that despite active short-term investor actions, the overall market sentiment remains stable. This rally is linked to Bitcoin's integration into the global financial structure rather than speculative activities. CITE_NA: "Data shows no significant overheating in the market, and a cautious atmosphere prevails."
The Role of ETFs in Price Increases
The launch of Bitcoin related exchange-traded funds (ETFs) in the U.S. has played a key role in propelling its price. The IBIT fund from BlackRock reached $80 billion in assets within just 374 days. Additionally, for the first time, these ETFs now account for over 6% of the total Bitcoin supply, which totals 1,268,094 BTC, valued at $153 billion.
Evolution of Bitcoin's Role in Finance
Expert opinions suggest that Bitcoin's recent price increase is directly linked to an expanding investor base and innovative financial instruments. Significant events are anticipated, such as the U.S. crypto policy report and the Federal Open Market Committee meeting. The increasing volumes of ETFs acquiring Bitcoin signal growing institutional interest.
Bitcoin's rise to record highs demonstrates changes in cryptocurrency perception. An increasing number of investors view Bitcoin as a risk management tool, and the current global economic uncertainties are likely to sustain this interest.
