BlackRock’s Bitcoin ETF Hits $1B Daily Trading Volume Amid Rising Interest
What Does BlackRock ETF’s Daily Volume of 1 Billion Dollars Mean for Bitcoin?
February 7th was a big day for BlackRock’s Bitcoin [BTC] ETF as the daily trading volume exceeded 1 billion dollars. According to Bloomberg Intelligence analyst James Seyffart, the ETF, whose ticker is IBIT, had a significantly higher volume than its competitors, including Bitwise and Fidelity.
Rising Interest in Bitcoin ETFs
The increase suggests that interest in Bitcoin ETFs has been steadily rising since their introduction. However, the volume increase did not have a significant impact on the Bitcoin price. The reason for this is that an increase in volume does not necessarily mean that the demand for Bitcoin exceeds the supply – which is considered the most important metric. Despite the lack of impact on the Bitcoin price, BlackRock seems to be leading the pack among all Bitcoin ETFs. This is evident in IBIT’s position among all ETFs issued in the USA.
BlackRock Leads in Bitcoin ETFs
On February 6th, Eric Balcuhnas, another senior analyst at Bloomberg, posted that IBIT had more inflows than 99.98% of the ETFs issued in the USA. Therefore, it can be confirmed that BlackRock is far ahead in the approved Bitcoin ETFs.
Bitcoin Price Reaches 44,000 Dollars
On the same day that IBIT’s volume reached 1 billion dollars, the Bitcoin price broke the 44,000 dollar mark. Current data shows that BTC has continued to rise and is trading at 44,665 dollars. This jump corresponds to an increase of 3.96% in the last 24 hours. Technical indicators suggest that the price could continue to rise.
Future Projections for Bitcoin
One of the reasons for this forecast could be the position of the Exponential Moving Average (EMA). At the time of publication, the 50 EMA (blue) had crossed the 200 EMA (yellow) on the daily chart. Also, the Bitcoin price had surpassed both levels. If this position remains the same, BTC could potentially rise above 50,000 dollars. The increase could coincide with a post-halving rally, but this does not mean that Bitcoin could not surpass the 44,000 dollar mark before the halving.
Intense Accumulation of Bitcoin
For example, the Accumulation/Distribution (A/D) indicator showed that the coin’s accumulation has been intense in recent days. If the distribution does not outweigh, the Bitcoin price could briefly surpass 47,000 dollars. Furthermore, indications from the Money Flow Index (MFI) supported the forecast. At the time of publication, the MFI value had risen to 76.24. The jump indicates an increase in capital flow, which could predict a price increase. If liquidity continues to flow into the ETFs and the Bitcoin spot market, then a rise to 47,000 dollars could be the next significant mark that the coin reaches.
AMBCrypto, Bloomberg, TradingView
|Percent Change 24h