Bitcoin Steady at $52K as Investors Speculate on New All-Time High

Share via:



The price of Bitcoin has been holding steady, trading for $52,246.31 at the time of writing—a 0.3% drop from the same time yesterday. But the weekly gains Bitcoin has made are nothing to sniff at.

Bitcoin has posted a 12% gain since this time last week and seen its average weekly trading volume rebound in a big way. So far this year (and unsurprisingly) BTC saw $36.4 billion average volume—its highest since the start of the year—the same week that 10 spot Bitcoin ETFs began trading.

In the weeks after, when traders were unloading billions worth of GBTC shares in a sell-the-news wave, trading volumes dipped. But even before this current week has ended, CoinGecko data shows that average trading volume for the week could again top $30 billion for the first time since Bitcoin ETFs got their start.

Trader optimism is showing up in other ways, too.

In Bitcoin derivatives markets, call options (contracts used to bet that Bitcoin’s price will increase) have far outnumbered puts (contracts used to bet it will go down). At the time of writing, CoinGlass data shows 65% of the options open interest in calls, although in the past 24 hours the split has been an even split.

Looking ahead, traders seem to think it’s likely Bitcoin has more room to grow in the coming months. Of the $4.4 billion worth of notional value in contracts expiring on March 29, there’s $2.8 billion call options, according to CoinGlass. It’s also worth nothing that there’s a growing number of traders betting that BTC could see prices between $60,000 and $75,000 before the end of next month.

Meanwhile, there’s still lots of action on those U.S. spot Bitcoin ETFs. Vetle Lunde, a K33 Research senior analyst, noted on Twitter that the funds saw 100,000 BTC in flows yesterday.

The sustained interest from Wall Street has been encouraging for traders. But that means there’s been stiff competition among the issuers. Yesterday VanEck announced that it was cutting fees on its HODL spot Bitcoin ETF to 0.20%—just under the 0.25% now being charged by the iShares Bitcoin Trust—to better compete with its peers.

Earlier this week, Gemini co-founder Cameron Winklevoss reasoned that the growing amount of BTC that’s being held by ETF custodians and the reduced rate at which new coins will be issued after the Bitcoin halving could be very bullish.

IntotheBlock data shows that BTC volatility has calmed down slightly over the past couple days. That’s due, in part, to the growing liquidity that’s on exchanges. The easier it is for traders to buy and sell large amounts of Bitcoin without causing the price to fluctuate, the less volatile an asset it will become. Even so, exchange outflows have slightly outpaced inflows over the past week, according to the blockchain analytics firm.

Stay on top of crypto news, get daily updates in your inbox.





Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

Popular

More Like this

Bitcoin Steady at $52K as Investors Speculate on New All-Time High



The price of Bitcoin has been holding steady, trading for $52,246.31 at the time of writing—a 0.3% drop from the same time yesterday. But the weekly gains Bitcoin has made are nothing to sniff at.

Bitcoin has posted a 12% gain since this time last week and seen its average weekly trading volume rebound in a big way. So far this year (and unsurprisingly) BTC saw $36.4 billion average volume—its highest since the start of the year—the same week that 10 spot Bitcoin ETFs began trading.

In the weeks after, when traders were unloading billions worth of GBTC shares in a sell-the-news wave, trading volumes dipped. But even before this current week has ended, CoinGecko data shows that average trading volume for the week could again top $30 billion for the first time since Bitcoin ETFs got their start.

Trader optimism is showing up in other ways, too.

In Bitcoin derivatives markets, call options (contracts used to bet that Bitcoin’s price will increase) have far outnumbered puts (contracts used to bet it will go down). At the time of writing, CoinGlass data shows 65% of the options open interest in calls, although in the past 24 hours the split has been an even split.

Looking ahead, traders seem to think it’s likely Bitcoin has more room to grow in the coming months. Of the $4.4 billion worth of notional value in contracts expiring on March 29, there’s $2.8 billion call options, according to CoinGlass. It’s also worth nothing that there’s a growing number of traders betting that BTC could see prices between $60,000 and $75,000 before the end of next month.

Meanwhile, there’s still lots of action on those U.S. spot Bitcoin ETFs. Vetle Lunde, a K33 Research senior analyst, noted on Twitter that the funds saw 100,000 BTC in flows yesterday.

The sustained interest from Wall Street has been encouraging for traders. But that means there’s been stiff competition among the issuers. Yesterday VanEck announced that it was cutting fees on its HODL spot Bitcoin ETF to 0.20%—just under the 0.25% now being charged by the iShares Bitcoin Trust—to better compete with its peers.

Earlier this week, Gemini co-founder Cameron Winklevoss reasoned that the growing amount of BTC that’s being held by ETF custodians and the reduced rate at which new coins will be issued after the Bitcoin halving could be very bullish.

IntotheBlock data shows that BTC volatility has calmed down slightly over the past couple days. That’s due, in part, to the growing liquidity that’s on exchanges. The easier it is for traders to buy and sell large amounts of Bitcoin without causing the price to fluctuate, the less volatile an asset it will become. Even so, exchange outflows have slightly outpaced inflows over the past week, according to the blockchain analytics firm.

Stay on top of crypto news, get daily updates in your inbox.





Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

Website Upgradation is going on for any glitch kindly connect at office@startupnews.fyi

More like this

Scroll lists on Binance, sparking debate over centralization concerns

Scroll’s Binance listing has sparked community debate, with...

Swiggy’s Sriharsha Majety, Investors Sold Shares Worth INR 670...

SUMMARY Leading up to filing its updated DRHP, Swiggy...

Indian Startup Funding — Startups Raised $114 Mn This...

SUMMARY Indian startups cumulatively raised $114 Mn across 22...

Popular

Upcoming Events

Startup Information that matters. Get in your inbox Daily!