Bitcoin Marches Near 100K Again

Bitcoin (BTC) kept getting closer to the $100,000 mark in Monday’s trading session.

Increased holdings among the wealthiest could encourage retail investors to increase their BTC holdings, tipping the supply-demand balance in favor of Bitcoin, according to market sentiment regarding demand.

Market participants predicted that the correction would persist, pushing Bitcoin below $90,000, however, the bulls intervened to prevent such a price moderation. Instead, Bitcoin began to rebound and experience significant price fluctuations amid market volatility.

Publicly traded companies are joining the fray, along with the incoming Trump Administration, which intends to create a strategic Bitcoin reserve. The Donald Trump Administration plans to keep them rather than sell them.

The Coinbase Premium Index, which calculates the difference in BTC prices between Coinbase and Binance, is a crucial indicator that highlights the general attitudes of US investors toward Bitcoin and cryptocurrency. It indicates that US-based investors are making significant investments when it soars into positive territory, and vice versa. According to reports, the metric recently fell to an all-time low, coinciding with the increasing outflows from ETFs following the FOMC meeting.

However, data from CryptoQuant now indicates that it nearly instantly returned to neutral territory after hitting that low. This demonstrates that institutional investors and the US’s sentiment has returned.

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ABOUT THE AUTHOR See More
Olumide Adesina
Olumide Adesina
Financial Market Writer
Olumide Adesina is a French-born Nigerian financial writer. He tracks, analyzes, and reports changes in financial markets with over 15 years of working experience in investment trading.
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