Bitcoin (BTC) price has continued to shine in the price discovery phase amid the heightened demand from institutional investors. The flagship coin rallied to a new all-time high (ATH) of around $73,650 on Wednesday during the mid-London session.
As a result, the global cryptocurrency market cap is almost reclaiming the prior ATH of above $3.1 trillion, which was set during the peak of the 2021 bull run.
Up around 2 percent in the past 24 hours, the total crypto market cap has reached around $2.9 trillion. Meanwhile, more than $324 million has been liquidated from the entire crypto leverage trading in the past 24 hours following a spike in volatility.
Top Reasons Bitcoin Price Edged Higher
The notable rise of crypto prices led by Bitcoin in the recent past has been attributed to different macroeconomic factors and the notable demand from institutional investors. On the top list is the historical approval of spot Bitcoin exchange-traded funds (ETFs) in the United States, which has triggered a huge volume of cash inflows from large Wall Street firms.
For instance, spot Bitcoin ETF cash inflows on Tuesday surpassed over $1 billion with BlackRock’s IBIT registering over $849 million.
The heightened Bitcoin volatility towards a new ATH has also been triggered but Tuesday’s revelation that the United States inflation is nowhere close to being tamed amid rising national debt.
Meanwhile, the crypto market has registered heightened speculation following today’s activation of Ethereum’s Dencun upgrade on the mainnet.
Short-Term Expectations
Bitcoin price against the US dollar could easily rally to a six-figure after clearing all the technical hurdles in the past few weeks. Although some crypto analysts led by Michaël van de Poppe have warned of a possible 20-30 percent market correction, it is safe to assume the Bitcoin bulls are in control.
Meanwhile, the altcoin market is fast catching up with Bitcoin bulls led by Ethereum, BNB, and Avalanche (AVAX), among others.
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