Bitcoin hits $80K as spot ETFs fuel demand surge
- Bitcoin (BTC) has surpassed the 80,000 USD mark.
- Analysts predict further gains by early 2025.
- Spot ETFs (Exchange-Traded Funds) have significantly impacted BTC demand.
- The supply shortage could drive the price even higher.
Bitcoin Reaches New All-Time High of 80,000 USD
After a period of sideways movement and consolidation, Bitcoin has reached a new all-time high. The price surged by more than 5% within 24 hours and by 18% over the past week. This development follows the recent approval of Bitcoin spot ETFs by the U.S. Securities and Exchange Commission (SEC) in January 2024.
Spot ETFs Drive Bitcoin Demand
Since the introduction of Bitcoin spot ETFs, nearly 26 billion USD has flowed into these funds. This has led to a shortage of available Bitcoin supply in the markets. According to current data, around 5.21% of the total Bitcoin supply is held in these ETFs, further driving demand.
Macroeconomic Factors Support the Uptrend
In addition to developments in the crypto market, macroeconomic factors are also influencing Bitcoin’s price. Inflation in the U.S. has significantly cooled down in recent months, and the job market has stabilized. This has led the U.S. Federal Reserve (Fed) to keep interest rates unchanged, encouraging investors to increasingly turn to riskier assets like cryptocurrencies.
Supply Shortage Intensifies Price Pressure
Due to the growing number of Bitcoins tied up in spot ETFs, the available supply on exchanges is becoming increasingly scarce. Data shows that only about 9% of the circulating Bitcoin supply is held on exchanges, a significant drop compared to 12% at the beginning of 2024. At the same time, demand is increasing from both institutional and retail investors.
Future Predictions: More Price Gains Possible?
The combination of decreasing supply and rising demand could propel Bitcoin to new heights in the coming months. Analysts like Ali Martinez predict that the peak of the current market cycle will be reached between November 2024 and February 2025. The current all-time high of 80,000 USD may just be the beginning.
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Our Assessment
The recent developments surrounding Bitcoin and the introduction of spot ETFs have the potential to transform the market sustainably. The supply shortage and increasing demand from both institutional and retail investors could push the price even higher. It remains to be seen whether the bullish sentiment will continue and whether Bitcoin will reach new record highs in the coming months.
| Symbol | BTC |
| Coin type | Alt Coin |
| Transaction Speed | Slow |
| Pros |
|
| Cons |
|
| Price | $97,737.00 |
| 24h % | -1.27 % |
| 7d % | 7.98 % |
| 30d % | 43.33 % |
| 60d % | 51.60 % |
| 1y % | 161.92 % |
| Market Cap | $1,933,755,928,694.00 |
| Max. Supply | 21,000,000.00 |
| Official Links | Website | Whitepaper | Source Code |
| Socials | Reddit | X | Message Board |
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