that much bitcoin price At the time of writing, it remains trading at $52,246.31, down 0.3% from the same time yesterday. However, the weekly gains achieved by Bitcoin are not negligible.
Bitcoin It’s up 12% since this time last week and has seen a significant rebound in average weekly volume. Year to date (unsurprisingly), BTC has recorded an average trading volume of $36.4 billion, the highest since the beginning of the year, in the week that the 10 spot Bitcoin ETFs began trading.
Trading volume declined in the weeks that followed as traders unloaded billions of dollars worth of GBTC stock amid a wave of news selling. But even before the week ends, average trading volume this week could again surpass $30 billion for the first time since the Bitcoin ETF was launched, according to CoinGecko data.
Trader optimism is showing in other ways as well.
In the Bitcoin derivatives market, the number of call options (contracts used to bet that the price of Bitcoin will rise) far outnumber puts (contracts used to bet that the price of Bitcoin will fall). As of this writing, CoinGlass data shows 65% of options are open interest on the currency, but over the last 24 hours the split has been evenly split.
Going forward, traders seem to think Bitcoin will have more room to grow in the coming months. Of the $4.4 billion notional value of contracts expiring March 29, call options account for $2.8 billion, according to CoinGlass. It’s also worth noting that a growing number of traders are betting that BTC could see prices between $60,000 and $75,000 before the end of next month.
Meanwhile, there is still a lot of action on the US spot Bitcoin ETF. K33 Research senior analyst Vetle Lunde said: Mentioned on Twitter Yesterday there was 100,000 BTC in funds flow.
Yesterday US net spot ETF flows exceeded 100,000 BTC!
This represents two-thirds of the annual decline in BTC issuance after the upcoming halving. pic.twitter.com/lQH8LssJwz
— Vetle Lunde (@VetleLunde) February 16, 2024
The continued interest on Wall Street was encouraging for traders. However, this meant that there was fierce competition among issuers. Yesterday, VanEck announced that it was cutting the fees on its HODL spot Bitcoin ETF to 0.20% (just under the 0.25% currently charged by iShares Bitcoin Trust) to better compete with its peers.
Earlier this week, Gemini co-founder Cameron Winklevoss reasoned that an increase in the amount of BTC held by ETF custodians and a decline in the rate at which new coins are minted following the Bitcoin halving could be very optimistic.
According to IntotheBlock data, BTC volatility has calmed down slightly over the past few days. This is partly due to increasing liquidity on exchanges. The easier it is for traders to buy and sell large amounts of Bitcoin without causing price fluctuations, the less volatile the asset becomes. Nonetheless, exchange outflows have slightly outpaced inflows over the past week, according to the blockchain analytics firm.
