In an impressive display of market strength, Bitcoin has demonstrated potential for a significant breakout. Recently, it soared to an all-time high of $97,858, with its market capitalization climbing to an astounding $1.91 trillion. This remarkable leap represents a 4.74% increase within just a few hours. Moreover, trading volume has surged by 17.88%, reaching a notable $88.38 billion within the last 24 hours.
Bitcoin’s historic rally has also significantly impacted U.S. Bitcoin ETFs, pushing them beyond the $100 billion mark in total assets. This milestone was achieved merely 10 months after their inception in January. On a single day, these ETFs attracted $773 million in inflows as Bitcoin reached a new record of $97,892. This begs the question: What factors are driving this bullish rally, and how close are we to Bitcoin hitting the much-anticipated $100K milestone?
Trump’s Pro-Crypto Wave Fuels Market Optimism
Bitcoin’s bullish trend has been amplified by the pro-crypto stance of President-elect Donald Trump. His plans to foster the growth of the cryptocurrency industry and discussions around establishing a White House digital-asset policy position have further boosted market optimism. Trump, now seen as a prominent advocate of cryptocurrency, has injected enthusiasm into both investors and industry insiders.
Caroline Bowler, CEO of BTC Markets, notes, “This price rally is being fueled by the frequent pro-crypto news associated with the incoming Trump administration.” In 2024 alone, Bitcoin has surged by an impressive 129%, outpacing traditional assets such as gold and stocks. Since the recent election, U.S.-listed Bitcoin ETFs have attracted over $4 billion in inflows, reflecting growing confidence in upcoming crypto-friendly legislation.
BlackRock Dominates Bitcoin ETF Inflows
BlackRock’s IBIT ETF has taken the lead in the Bitcoin ETF market, securing a staggering $626.52 million in inflows on just one day, November 20. With cumulative inflows now exceeding $30 billion, BlackRock continues to be a dominant force in the Bitcoin ETF space.
Other ETFs are also showing strong performance. Fidelity’s FBTC ETF has gathered $133.94 million, while ARK’s ARKB and Bitwise’s BITB have recorded inflows of $9.25 million and $3.77 million, respectively. Total Bitcoin ETF trading volume has risen to $5.71 billion as of November 20, marking a significant increase from the previous day’s $4.78 billion.
Ethereum ETFs Face a Different Story
While Bitcoin ETFs are thriving, Ethereum ETFs are experiencing a contrasting scenario. Spot ETFs have seen outflows for the fifth consecutive day. Fidelity’s FETH led the decline, losing $30.75 million on November 20, while Grayscale’s ETHE recorded $16.29 million in outflows. Despite the prevailing bearish sentiment, BlackRock’s ETHA ETF managed to attract $16.74 million in inflows, demonstrating resilience against the trend.
What’s Next for BTC?
Bitcoin continues its upward trajectory towards the $100,000 milestone, currently trading at $97,659 following a 5.6% increase in the past 24 hours. In contrast, Ethereum remains relatively stable at approximately $3,107, indicating a pause in its upward momentum. Investors are closely monitoring the market as Bitcoin maintains its dominance and sets new benchmarks within the cryptocurrency industry.
With Bitcoin surpassing the $97K mark, the path to $100K seems within reach, and many analysts are optimistic that Bitcoin could potentially double by year-end. What are your predictions for Bitcoin’s future?
