Bitcoin surpasses $84,000, reaching an eight-month high
Growing investor interest in US-based spot Bitcoin ETFs and optimistic expectations in the options market have pushed the cryptocurrency to an eight-month peak.
Bitcoin has reached its highest level in eight months, climbing to $84,129 as investor appetite for US spot exchange-traded funds (ETFs) has been revitalized. This upward trend in the market has also positively impacted Ether and other altcoins.
Market rally
Bitcoin surpassed a significant resistance point, climbing as high as $84,129 in early trading. The cryptocurrency, which stabilized around $83,900 in the morning hours London time, continued its rally following a gain of over 6% recorded on Friday.
General optimism in the market has also reflected on other assets. Ether, the second-largest cryptocurrency, gained 2.8% in value, while other digital assets such as XRP, Solana, and Monero also followed the upward trend.
ETF inflows and investor appetite
The rise is primarily driven by increasing investor interest in spot Bitcoin ETFs in the US. Recording a total capital inflow of $593 million on Thursday and Friday, these funds offset outflows from previous days, resulting in a net weekly increase of $6 million.
Bullish expectations in the options market
Data from the Deribit platform indicates that investors are focused on bullish expectations. While there are over 272,000 contracts for call options, the number of put options remains at the 154,000 level.
Apollo Crypto portfolio manager Pratik Kala stated that investors are abandoning hedging strategies against declines and are instead taking positions to capitalize on the rally.
Future expectations and the Fed effect
BTSE COO Jeff Mei stated that while there is no major catalyst currently affecting the market, statements from Fed officials could be decisive for the market's direction.