Bitcoin Spot ETFs See $556M Inflows Amid Bull Market Sentiment

Bitcoin spot ETFs witnessed a significant surge in inflows on Monday, with over $556 million pouring into the market—the highest amount since early June. Fidelity’s ETF (FBTC) led the charge with $239 million in new capital, followed by Bitwise’s ETF (BITB) with $100 million, according to data from SoSo Value.

While most ETFs saw positive inflows, WisdomTree and Hashdex’s spot Bitcoin ETFs recorded no new funds. Notably, none of the twelve funds experienced outflows, signaling strong demand for Bitcoin exposure among institutional investors.

Market Movement and Growing Interest

Bitcoin’s price surged in tandem with the ETF inflows, climbing to $65,780 as of Tuesday morning in Europe, up 2.5% for the day. Earlier in the session, Bitcoin reached a high of $66,486, continuing its upward momentum. Ethereum (ETH) also saw gains, rising 3.5% to $2,620.

The overall crypto market saw $183 million in liquidations over the past 24 hours, with $136 million of short positions wiped out, suggesting that the market is leaning toward bullish sentiment. Data from CoinGlass shows that open interest in Bitcoin derivatives has reached an all-time high of $19.8 billion, signaling increased liquidity and attention on the crypto space.

Bullish Signals and Market Predictions

According to CryptoQuant contributor EgyHash, the surge in open interest and positive funding rates indicates that the majority of this activity is driven by long positions. These trends point to growing optimism among traders, with many expecting Bitcoin’s price to break through key resistance levels in the near future.

Market analysts at 10x Research noted that Bitcoin is showing signs of bullish activity, with open interest in Bitcoin options standing at $18.3 billion. Although this is slightly lower than the $21-22 billion seen during previous breakouts, analysts believe this signals potential for a further surge, particularly as call buying increases.

“With Bitcoin recently breaking through the $65,000 resistance level, we could see aggressive traders selling puts to buy calls, positioning for a potential move higher,” 10x Research explained. Traders are reportedly employing strategies like selling $60,000 puts and buying $75,000 calls for nearly zero premium, indicating confidence in Bitcoin’s upward trajectory.

Next Target: $70,000?

If Bitcoin manages to hold above its current resistance level, analysts believe it could hit $70,000, with the potential for new all-time highs as the U.S. Presidential election approaches. A dovish stance from the Federal Reserve, along with rate cuts from the European Central Bank (ECB) and Asian central banks, is expected to provide additional liquidity support, creating a favorable environment for Bitcoin.

10x Research analysts emphasized the importance of the next 48 hours in solidifying Bitcoin’s breakout. “If successful, the next price target of $70,000 seems within reach,” they wrote.

The recent surge in Bitcoin spot ETF inflows and bullish market activity has sparked renewed optimism among investors. With institutional interest growing and Bitcoin pushing past key resistance levels, market watchers are eyeing $70,000 as the next major milestone. If current trends hold, the coming weeks could see Bitcoin continuing its upward climb, potentially setting new records as global liquidity conditions improve.