Bitcoin Price Punches Above $48,000 Amid Strong ETF Inflows, Bullish Seasonality, Fading Miner Sell Pressure, US Equity Upside
The Bitcoin price topped $48,000 briefly on Friday for the first time since the first day following spot Bitcoin ETF launches on the 11th of January, and was last up close to 5.0% on the day.
Bitcoin (BTC) bulls have taken decisive control of the market once again in wake of a strong day of ETF inflows.
As per ETF.com, spot Bitcoin ETF inflows topped $405 million on Thursday, the third strongest single day so far.
But various other factors are also supporting the market and raising the probability of a near-term test of $50,000.
Bitcoin historically posts strong gains around the time of Chinese New Year.
Over the past 9 years, traders would have made money every time if they bought Bitcoin three days before Chinese New Year then sold ten days after, 10X Research founder and Matrixport head of research Markus Thielen argued in a note.
Thielen forecasted that Bitcoin could hit $52,000 by mid-March.
Elsewhere, CryptoQuant noted earlier this week that miner sell pressure has fallen, citing on-chain data.
And new ETF demand, lower miner sell pressure and strong seasonality come as US equity markets scale fresh record highs.
The S&P 500 burst above 5,000 this week for the first time ever, is up 1.5% this week.
Positive sentiment in the equity market has historically spilled into crypto, raising the Bitcoin price.
Spot Bitcoin ETF Inflows Just the Tip of the Iceberg
The spot Bitcoin ETF launch has been a historic success.
BlackRock and Fidelity’s ETFs were amongst the fastest in history to reach the $2 billion in assets under management (AUM).
And while its AUM has shrunk by over $6 billion, Grayscale’s GBTC still has over $20 billion in AUM.
As per Blockworks, Excluding GBTC, newly launched spot Bitcoin ETFs have north of $8 billion in
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