Bitcoin Surges Past $118,000 Driven by Spot ETF Demand
Bitcoin recently hit a new all-time high, soaring past the $118,000 mark. This milestone was achieved on July 11, with BTC reaching a peak of $118,872. It then stabilized around $117,300,showing a daily rise of 3%. The excitement isn’t limited to Bitcoin; other cryptocurrencies like Ethereum, Dogecoin, and Shiba Inu are also performing well.
Kraken’s global economist, Thomas Perfumo, believes Bitcoin is breaking out of a long-standing price range. over $1 billion in short positions were cleared in just 24 hours. This indicates strong market activity.
Perfumo also notes that U.S. stocks are doing well, which supports a positive outlook for crypto. With Bitcoin’s market share dropping slightly to 54%, there’s renewed interest in altcoins.
Spot ETF demand seems to be a major driver behind this growth. On Thursday, Bitcoin ETFs saw unprecedented inflows of $1.18 billion. Ethereum ETFs also performed strongly, gaining $383 million.
Nansen’s research analyst, Nicolai Sondergaard, agrees. He views this as an “isolated event,” less influenced by macroeconomic factors. U.S. policies like fiscal expansion are creating a favorable environment for Bitcoin.
Corporate adoption is on the rise, reflecting greater institutional trust in BTC. If this trend continues, we might witness a new era where crypto’s internal dynamics drive its value.
