In a remarkable turn of events, Bitcoin surged past the $48,000 milestone, marking its highest point since the inception of spot Bitcoin exchange-traded funds. The flagship cryptocurrency’s price soared by 4.6% to reach $47,587.37, as reported by Coin Metrics. Ether, Bitcoin’s counterpart, also experienced a notable increase, climbing by 2.69% to settle at $2,492.97.
Bitcoin’s impressive rally saw it reaching heights of $48,207.78, a feat not achieved since January 11th, when it briefly touched $49,058.48 amidst volatile trading following the introduction of spot Bitcoin ETFs. Prior to this, Bitcoin had not breached the $48,000 mark since March 2022.
Over the past fortnight, Bitcoin’s trading volume and sentiment had been subdued, fueled by concerns over significant outflows from the Grayscale Bitcoin ETF and apprehensions regarding a potential deeper pullback in its price, despite anticipations of an upward surge later in the year.
However, Bitcoin concluded the week with a notable gain of 10.76%, marking its most substantial weekly growth since December 8th. Ether also enjoyed a surge, closing the week with an 8.46% increase, making it its best performance since January 12th. Coin Metrics, the crypto measurement standard, defines a week from the 4:00 p.m. ET stock market close on one Friday to the next.
The resurgence in positive sentiment is evident as the outflows from GBTC have slowed down. Moreover, the momentum witnessed in the S&P 500 briefly touching 5,000 on Thursday for the first time ever seems to be positively influencing the crypto market.
Sylvia Jablonski, CEO and chief investment officer at Defiance ETFs, attributed the recent surge in Bitcoin’s price to various factors, including inflows into spot ETFs, the imminent halving event, which historically generates investor optimism and price hikes, and the overall momentum in the market.
As Bitcoin continues to showcase resilience and investor confidence returns, the crypto landscape remains poised for further developments and potential breakthroughs.
