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Key Reason Why Bitcoin Just Leaped Toward $29,000

Published 2023-06-21, 06:30 a/m
© Reuters Key Reason Why Bitcoin Just Leaped Toward $29,000
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U.Today - Bitcoin once again, leaping toward the $29,000 mark. According to data from TradingView, the dominant cryptocurrency has surged by 6.9% within 24 hours and by 10.6% over the past week.

This recent upturn has also seen Bitcoin's market dominance climb to 51%. This revival is attributed in part to the of institutional interest, particularly from four significant ETF institutions, including iShares, Bitwise, WisdomTree and Invesco, as well as financial titan BlackRock (NYSE:BLK). These institutions have recently applied for Bitcoin ETFs, which could potentially see even more capital flowing back into Bitcoin.

The uptick in Bitcoin's value does not appear to be the result of a short squeeze, a phenomenon often witnessed when an asset's price jumps sharply due to a rush of investors closing out their short positions.

Instead, there seems to be a notable increase in buying activity, according to CryptoQuant's Ki Young Ju. Although the exact identity of these buyers remains unknown, this surge in purchases points to growing confidence in the value of Bitcoin.

Notably, Bitcoin's price has been maneuvering around the short-term holder cost-basis (STH-CB) line, an essential determinant of the market trend. Data from Glassnode shows that Bitcoin's cost basis remains at $26,550, which has been crucial in its recent market direction. While the price briefly deviated below this line, it quickly returned, further affirming the ongoing uptrend.

The global cryptocurrency market cap today is $1.18 trillion, marking a 5.6% change within the last 24 hours, according to .

Bitcoin remains the leader of the pack with a current price of $28,859.08, representing an 11.5% increase within the past week and dwarfing the growth of other major cryptocurrencies, such as Ethereum (ETH) and Cardano (ADA), over the same period of time.

This article was originally published on U.Today

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