Cryptocurrency trader and analyst Ali, known as @ali_charts on social media, recently posted on Twitter/X regarding substantial cash inflows to two leading cryptocurrencies—Bitcoin (BTC) and Ethereum (ETH). What’s striking about this observation is the flow of tens of billions of US dollars into BTC and ETH within a single day.
Ali noted a similar influx of funds into these currencies three years ago, followed by Bitcoin reaching its all-time high. “Is Bitcoin targeting $65,000?” ponders Ali.
He pointed out that today, a staggering $19.7 billion has flowed into Bitcoin and Ethereum. He mentioned observing a similar money flow almost to these major currencies in December 2020.
Subsequently, in April 2021, Bitcoin managed to surpass the $65,000 mark. It hit its second all-time high in October, reaching $69,000.
While this record surge hasn’t been surpassed yet, Ali hints that it might happen in the near future if history repeats itself.
The primary reason for Bitcoin’s surge to $65,000 and the massive inflows of capital might be attributed to the fact that in February 2021, Elon Musk’s Tesla announced that the electric vehicle company purchased Bitcoin, investing a substantial $1.5 billion and placing BTC on its balance sheet.
Soon after, Tesla announced it would start accepting Bitcoin payments for its electric cars. On February 18, Bitcoin’s price surged significantly above $52,000, and on April 15, it broke the astonishing $65,000 mark.
However, April brought a negative turn for Bitcoin as Elon Musk reversed Tesla’s stance, no longer accepting Bitcoin, citing environmental concerns surrounding Bitcoin’s Proof of Work mining algorithm. Nonetheless, Tesla retained Bitcoin in its balance sheet.
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At the time of writing, this Bitcoin piece is valued at $417,230,028.
As per recent data, Tesla has reportedly sold all its Bitcoin holdings. The leading cryptocurrency is trading at $42,973, marking a 5.16% increase from $40,865.
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