The Bitcoin spot exchange-traded fund (ETF) recorded an inflow of $1.38 billion on November 7, the largest single-day inflow since its launch in January.
This record-breaking capital inflow occurred the day after Donald Trump's victory in the US presidential election, leading to speculation that investors are interpreting his win as a positive signal for the cryptocurrency industry. What will Bitcoin's next move be?
BlackRock's IBIT Leads Historic Inflows
According to crypto data provider Sosovalue, the net inflow into Bitcoin ETFs on November 6 was $621.9 million, a significant increase from the previous three days.
However, the innovative inflow was driven by accumulation from the world's largest asset manager, BlackRock. According to Pasaside Investors data, BlackRock recorded an inflow of $11 billion on that date.
Closely following BlackRock, Bitwise's Bitcoin ETF (BITB) recorded an inflow of $190 million. Other issuers also saw inflows, but none reached the billions of dollars level.
As mentioned earlier, this inflow suggests that investors are positioning themselves for a more crypto-friendly regulatory environment under Trump.
In this regard, Bitwise's Chief Investment Officer Matt Hougan said that a good regulatory environment would be beneficial for investors.
"A crypto-friendly regulatory environment will provide a shield for institutional investors who have long wanted to invest in this space. It's a game-changer," Hougan posted on X.
Additionally,
Bitcoin's price has reached a new all-time high, breaking the record immediately after Trump's victory. A few hours ago, BTC soared to $76,943 before retreating slightly to the current $75,915.
Another factor behind Bitcoin's rise may be the recent
interest rate cut by the Federal Reserve, which was reduced by 25bp.
Given these developments, predictions have emerged that BTC could reach $100,000. Meanwhile, the Pi Cycle Top indicator using Glassnode data presents an even more ambitious forecast, suggesting BTC could rise as high as $117,496.
BTC Price Forecast: Cruising Towards $80,000
After being rejected several times around $71,484, Bitcoin is currently trading within an ascending channel, a price pattern characterized by higher highs and higher lows.
With this pattern already in place, there is a high likelihood that BTC's rally will continue up to $80,066 in the short term. However, this may require the inflow into the Bitcoin spot ETF to maintain momentum in the billions of dollars.
If that happens, the forecast could be valid. Conversely, a retreat to $71,484 would invalidate this hypothesis, potentially leading to a drop in Bitcoin's price to $66,650.
