- Despite market volatility, Bitcoin ETF volume continued to grow.
- The price of BTC rose along with its speed.
Following Bitcoins [BTC] As the price rose to $70,000, speculation about an impending correction intensified.
Despite the ongoing battle between Bitcoin bulls and bears in the cryptocurrency space, sentiment in traditional financial markets remained evident.
ETF volumes are rising
According to Santiment data, Bitcoin ETF volumes have shown no signs of slowing down, even four weeks after BTC hit its all-time high.
For assets such as GBTC, IBIT, FBTC, ARKB, BTCO, BITB and HODL, trader activity remained elevated compared to the turning point in late February, after individual trading activity has continued since then.
It is very likely that this increased activity will continue until the April halving. This continued interest, even after Bitcoin's all-time high, suggests strong investor interest.
This led to increased demand for Bitcoin as ETFs hold actual Bitcoin to hedge their stocks. Although this could potentially drive up the price of Bitcoin, it is not without risks.
High volume can also lead to significant price fluctuations if investor sentiment in the ETF market suddenly changes.
On the bright side, the popularity of Bitcoin ETFs could bring Bitcoin to a wider audience and further legitimize it in the traditional financial world.
Source: Santiment
However, it wasn't all positive news for BTC. Defiance recently filed an ETF application that is twice as large as MicroStrategy.
MicroStrategy, the company led by Michael Saylor, is known to be extremely bullish on BTC. The company has accumulated Bitcoin at different prices in different market cycles.
The creation of this ETF suggests that not everyone on Wall Street has the same positive attitude towards BTC.
Source: SEC
Even though MSTR did not experience similar growth to BTC, both assets showed some correlation over the past six months.
Source: Portfolios Lab
Read Bitcoins [BTC] Price prediction 2024-25
State of Bitcoin
At press time, BTC is trading at $72,029.22 and its price has increased by 3.98% in the last 24 hours. The speed at which BTC was traded had also increased during this period.
BTC's rising speed suggested that the frequency with which BTC was traded had also increased along with its price over the past few days.
Source: Santiment
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