Bitcoin’s price has experienced a slight increase of 0.14% over the past 24 hours, drawing attention to significant sales from a previously inactive wallet. Despite a week of decline, the cryptocurrency is currently trading at $64,200. So, what factors have contributed to this rise in Bitcoin’s price?
Bears Lose Strength and Bitcoin Rises
Over the past seven days, the market has taken notice of significant sales, including the transfer of 25,000 BTC from a dormant wallet that had held the coins for three to five years. This transaction, worth $1.6 billion, has sparked speculation about the motives behind these sales. Additionally, an unknown wallet transferred over 11,000 BTC in two transactions, leading some to believe that these movements indicate a sale.
On the other hand, it is also worth noting that the recent declines in Bitcoin’s price could be attributed to these sales. However, there are views suggesting that the bears may be exhausted after the decline, which could lead to a market recovery and increased buying pressure.
Spot Bitcoin ETF Exits
The spot Bitcoin ETF sector has also experienced significant developments, particularly in terms of exits. Last week, $545 million was withdrawn from BTC ETFs, raising concerns about Bitcoin’s short-term price performance. The combination of these large-scale exits and stagnant trading activities has led analysts to speculate about a potential price drop.
Despite these concerns, spot Bitcoin ETF providers and investors maintain an optimistic outlook, believing that the exits and falling prices could attract eager investors.
Spot Ethereum ETF Process
Meanwhile, there is growing curiosity about the potential developments surrounding spot Ethereum ETFs. Applicants have resubmitted their S-1 amendments and are now awaiting approval from the United States Securities and Exchange Commission (SEC).
Recent information suggests that the approval process could be completed in the first week of July. Furthermore, the SEC has indicated that it will not pursue an investigation related to Ethereum 2 in the ConsenSys case. This positive outlook for spot Ethereum ETFs could potentially have a ripple effect on Bitcoin.
Taking all these factors into consideration, it is possible that Bitcoin may first reclaim the $70,000 level and then reach $100,000 in the medium term.
Disclaimer: The information provided in this article should not be considered as investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and conduct their own research.
