Bitcoin is making a bold move toward its two-month high of $69,000, fueled by significant inflows into spot exchange-traded funds (ETFs) and a surge in short position liquidations.
Bitcoin’s Climb to $69,000
Currently trading around $67,739, Bitcoin (BTC) has seen a 0.6% increase over the past day, with a market capitalization of $1.33 trillion and a trading volume near $30 billion. This upward trend is driven by both rising ETF investments and liquidated short positions.
Short Liquidations Fuel Price Rally
Recent data from Coinglass reveals that Bitcoin’s price jump is largely due to a spike in short liquidations. Over the past 24 hours, Bitcoin saw $17.91 million in short liquidations, compared to $11.8 million in long liquidations. The forced covering of these shorts has driven additional demand, pushing prices upward.
Spot Bitcoin ETF Inflows Reach Record Levels
U.S.-based spot Bitcoin ETFs have seen unprecedented inflows. Over the past week, ETFs attracted more than $2.12 billion in consecutive net inflows. BlackRock’s IBIT ETF alone pulled in $165.54 million on October 24, marking nine consecutive days of positive inflows. Bitwise’s BITB ETF saw an inflow of $29.63 million, while Grayscale’s GBTC ETF experienced $7.05 million in outflows.
Since the first spot Bitcoin ETFs launched in January, the 12 products now available have amassed $21.53 billion in net inflows, a notable achievement. Bloomberg ETF analyst Eric Balchunas commented that this feat took gold ETFs five years to reach, underscoring Bitcoin’s rapid adoption.
Political Support Boosts Bitcoin Sentiment
The political climate in the United States is also adding momentum to Bitcoin’s growth. The prospect of a pro-crypto administration, possibly led by Donald Trump, has sparked optimism. With potential plans to replace SEC Chair Gary Gensler and advocate for crypto-friendly policies, investors anticipate a regulatory shift that could encourage Bitcoin adoption further.
