Bitcoin is on the verge of entering a “parabolic run” fueled by increasing inflows into United States spot Bitcoin exchange-traded funds (ETFs), according to crypto analysts. As of June 6, more than $15.5 billion have flowed into spot Bitcoin ETFs with the funds holding around 5.2% of all BTC in circulation. Analysts say if this trend continues, Bitcoin’s price will surpass its all-time high of $73,835 set in March. Continued inflows into ETFs will see BTC breach key resistance levels into price discovery, according to experts.
Spot Bitcoin ETFs have witnessed positive flows for 19 straight days, with close to $1.7 billion coming in this week alone, according to data from Farside Investors. Independent trader Jelle shared a BTC weekly chart showing the price fighting resistance from the $72,000 psychological level. The recent jump in flows has come as demand for digital asset-focused investments resumes with May seeing $2 billion inflows. Bloomberg senior ETF analyst Eric Balchunas referred to the recent upswing in flows as the “third wave” turning into a tidal wave.
Pseudonymous trader and analyst Moustache spotted the price of Bitcoin about to cross above a key resistance line on the five-day chart, signaling a potential final parabolic run for the cryptocurrency. Another analyst, Jelle, observed that BTC’s price had crossed above its all-time highs on the weekly timeframe. Bitcoin was recently trading over $71,000, roughly flat over the past 24 hours and 3.6% down from its all-time high reached in March. However, the asset is up more than 4% for the week and 68% year-to-date, showcasing its potential for further growth.
Analysts believe that the recent inflows into spot Bitcoin ETFs are driving the cryptocurrency towards a parabolic run, with the potential to surpass its previous all-time high. With over $15.5 billion having flowed into Bitcoin ETFs and the funds holding around 5.2% of all BTC in circulation, experts predict that continued inflows will see BTC breach key resistance levels into price discovery. Demand for digital asset-focused investments has been on the rise, with $2 billion inflows in May alone, indicating growing investor comfort with the assets.
Pseudonymous trader Moustache and analyst Jelle have both noted key indicators on the charts that suggest Bitcoin is gearing up for a significant price surge. Moustache highlighted a cross above a key resistance line on the five-day chart, signaling a potential final parabolic run for Bitcoin. Jelle, on the other hand, observed that BTC’s price had crossed above its all-time highs on the weekly timeframe, indicating a possible parabolic uptrend if it sustains above this level. Bitcoin’s recent price movements reflect its potential for further growth and a potential new all-time high.
In conclusion, the recent inflows into spot Bitcoin ETFs have set the stage for a potential parabolic run for the cryptocurrency, driven by growing investor interest and comfort with digital assets. Analysts are optimistic about Bitcoin’s price prospects, with key resistance levels being breached and indicators pointing towards a potential final parabolic run. While Bitcoin was recently trading below its all-time high, it is up significantly year-to-date, indicating its potential for further growth in the coming months. Investors are advised to conduct their own research and carefully consider their investment decisions.
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