Bitcoin hopes for its longest winning streak in a year

Thanks in part to the historic launch of US exchange-traded funds for the currency, Bitcoin is on the verge of a profitable run not seen since the beginning of the year.

As of 9:50 a.m. on Monday in Singapore, the digital asset increased by around 1% to $48,436. If the rise continues, it would be the longest daily gain streak since January 2023. Bloomberg’s data supports this theory.
Since they started trading in the US on January 11, nine new spot Bitcoin funds have drawn in over $9 billion in capital from investors. According to assets amassed after a month on the market, two of the offerings—from BlackRock Inc. and Fidelity Investments—rank as the most successful ETF launches, according to a report written by Bloomberg Intelligence analysts Eric Balchunas and James Seyffart.
According to Caroline Bowler, CEO of cryptocurrency platform BTC Markets Pty, there are signs of a “growing inflow of institutional capital into the asset class” on Bloomberg Television.
On the same day that the new funds went online, the biggest portfolio devoted to the cryptocurrency, the more than ten-year-old Grayscale Bitcoin Trust, turned into an ETF. The Grayscale vehicle’s more than $6 billion outflow has decreased. A net $2.8 billion has been drawn to the batch of 10 ETFs.
Last year, excitement about the ETFs spurred a comeback for Bitcoin, which momentarily surged beyond $49,000 on the day it started trading. Then, when investors booked gains and watched to see how the ETFs performed, a multiday, $10,000 selloff occurred. After a further upsurge, $50,000—a number last seen in 2021—has come into reach.
Around cryptocurrency, optimism is also growing around the upcoming April quadrennial Bitcoin halving. The amount of Bitcoin that miners earn for running the powerful computers that validate transactions on the blockchain is reduced by halves. Due to historical precedence, the occurrence is often seen as supporting prices.
Fundstrat Global Advisors said in a statement that, apart from ETF inflows, sentiment toward Bitcoin is “typically positive” during the Lunar New Year celebrations that are presently taking place in Asia.
The record high that Bitcoin reached in 2021, during a pandemic-era bull run fueled by cheap money, is still about $20,000.