Bitcoin prices are steady above the $66,000 support as of writing on October 25. Although confidence is high, the coin is still below the psychological round of $70,000. It still has to shake off the sellers in early October.
Demand for spot Bitcoin ETFs shoots to a six-month high
However, looking at the emerging Bitcoin ETF trends, this is about to change. The newest analysis by Ki Young Ju of CryptoQuant on October 25 shows that demand for these crypto derivatives products has increased over the past 30 days.
The rebound has driven demand for spot Bitcoin ETFs in the United States to a six-month high, attracting more than 64,900 net BTC.
Net flows, which take into account total inflows and outflows over the test period, can be used to gauge institutional interest. Whenever it rises, coupled with growing inflows, it means more institutions are gaining exposure to the digital gold. The more institutional rates rise, the more likely BTC will shoot higher.
Soso value data shows that issuers in the United States collectively manage more than $66 billion. On October 24, investors purchased more than $188 million worth of BTC through their issuers. So far, BlackRock, through its IBIT, is the largest issuer, controlling $27 billion worth of BTC.
In recent months, Grayscale’s GBTC has seen massive outflows. On October 24, more than $7 million worth of BTC was exchanged GBTC.
Will Institutions Push BTC Above $70,000?
There are high hopes that the approval of spot Bitcoin ETFs in the United States will pave the way for institutions to raise prices. Previously, most found exposure to BTC through approved trusts, some offered by Grayscale.
Meanwhile, some institutions bought MicroStrategy shares as their performance mirrored BTC, given the publicly traded company’s heavy investments in the digital asset.
According to Bitcoin treasuriesMicroStrategy owns over 250,000 BTC, the largest holdings of any publicly traded company in the United States and worldwide. Since their strategy of regularly stacking BTC, the stock, MSTR, has outperformed the top stocks and indices in the United States over the years.
Only time will tell if the BTC bulls have what it takes to get above $70,000. The round number marks the highlights of September. If Bitcoin builds on the rejection of lower prices on October 24, it could find the momentum needed to set its short-term trajectory.
A firm close above this psychological resistance line paves the way for a retest of $72,000 and record highs.
Feature image from Canva, chart from TradingView