Record-breaking growth: Fourth peak in Bitcoin value in just six days
Bitcoin has achieved a historical zenith, marking the fourth time within a six-day span. The milestone owes greatly to a surge of funds into the US Exchange-Traded Funds (ETFs) that are linked with the premier cryptocurrency.
As per CoinDesk data, the world’s largest cryptocurrency reached a high of $73,678.86, before it experienced a slight dip to approximately $73,000 at the time this report was prepared. Reports from Bloomberg suggest that the day’s inflow of funds into US spot Bitcoin ETFs crossed $1 billion. BlackRock’s spot ETF, IBIT, set a new record with its one-day total reaching $849 million.
An analyst specializing in digital assets at the Swiss private bank Julius Baer, Manuel Villegas cited demand for Physically-backed ETF and a shallow market depth as the factors driving the upsurge. As issuers acquire substantial volumes of Bitcoin to back their ETFs, the overall supply continues to dwindle, explained Villegas.
According to Villegas, Bitcoin’s weekly issuance of 6,300 units is “insignificantly small” when compared with the demand of cryptocurrency ETFs that reached 40,000 Bitcoins in recent weeks. It’s also noteworthy that total Bitcoin capitalization surpassed $1.3 trillion earlier this week, which exceeds the total market value of silver.
