Bitcoin Hits Record High of $70,973 Amid US ETF Demand Surge
In Brief
Bitcoin, the world’s largest cryptocurrency, has broken the $70,000 mark, reaching a new all-time high (ATH). This rise is driven by increasing demand from the spot ETFs recently introduced in the US. The demand for Bitcoin is currently about five times greater than the supply.
Bitcoin Breaks Through the $70,000 Mark
Bitcoin stylishly broke the $70,000 mark, just a few days after it surpassed its previous all-time high. At the time of writing this article, it had reached a new ATH, with Bitcoin trading at $70,973. This new high was achieved by a 2% increase within 24 hours and an appreciation of 12% over a period of 7 days.
The Rise Continues
The coveted digital currency has risen by 65% since the beginning of 2024 and seems ready to make further gains. The historic rise led to a 3.87% increase in open interest (OI) in Bitcoin futures, which amounted to over $34 billion at the time of writing this article.
Demand Exceeds Supply
The rise of Bitcoin is driven by the increasing demand from the spot ETFs recently introduced in the US. On March 8, Bitcoins worth nearly $223 million were purchased by issuers. This brought the cumulative net inflows since the listing day to an impressive $9.59 billion. At the time of writing this article, Bitcoins worth $55.5 billion were behind these spot ETFs, making up more than 4% of the total Bitcoin supply.
Experienced Investors Hold Firm
Meanwhile, the Bitcoin supply on the exchanges continues to decline. Just over 4% of the total supply was available for trading at the time of writing this article. This occurred despite a network profitability of 100%. The underlying insight was that long-term holders (LTH) were not yet out for gains, but used Bitcoin as a store of value.
Our Assessment
The continued rise of Bitcoin shows that the demand for the cryptocurrency remains strong and exceeds the supply. This suggests that Bitcoin is likely to continue to record gains. However, it is important to consider the volatility of cryptocurrencies and make careful investment decisions.
Sources: Aniket Verma, Saman Waris, CoinMarketCap, Coinglass, SoSo Value, Santiment, AMBCrypto.
| Symbol | BTC |
| Coin type | Alt Coin |
| Transaction Speed | Slow |
| Pros |
|
| Cons |
|
| Price | $92,544.00 |
| 24h % | 0.53 % |
| 7d % | 5.73 % |
| 30d % | 35.13 % |
| 60d % | 46.95 % |
| 1y % | 153.03 % |
| Market Cap | $1,830,920,727,151.00 |
| Max. Supply | 21,000,000.00 |
| Official Links | Website | Whitepaper | Source Code |
| Socials | Reddit | X | Message Board |
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