The balances of Bitcoin investment funds have reached all-time highs as the digital currency continues to surge. The optimism surrounding the anticipated approval of Bitcoin exchange-traded funds (ETFs) in the immediate market has contributed to this increase.
According to the weekly market developments report from investment advisory company ByteTree, currency balances this week have surged to 863,434, surpassing the previous record set in April 2022. Over the past month, the funds have added approximately 22,100 Bitcoin.
Charlie Morris, an analyst at ByteTree, noted, “It is no wonder that the price of Bitcoin (BTC) has surged strongly of late.”
Bitcoin has captivated the interest of major investors, as all types of cryptocurrency investment funds have seen an increase in new cash flows in recent weeks. The latest report by digital asset management company CoinShares revealed a net influx of $767 million over the past six weeks, marking the largest amount recorded during a similar period since the bull market in 2021.
Additionally, James Butterfill, Head of Research at CoinShares, noted earlier on Friday that net flows into digital asset funds so far this year have surpassed $1 billion.
For more details, read this article: Investors Pour Money into Crypto for Sixth Week, Ether Sees Largest Inflows Since August 2022.
Naturally, Bitcoin is the primary driver behind these inflows, as investors seek to capitalize on price increases ahead of the expected approval of several immediate BTC ETFs.
Matt Hougan, responsible for investments at Bitwise Asset Management, mentioned in an earlier interview with a digital currency news site this week that the market pricing for the approval of an ETF is still a long way off.
He implied that the price of Bitcoin is still far from the value it would reach with the influx of new funds from immediate BTC ETF investors in the event of its approval.
Despite the recent news, Hougan believes that the vast majority of financial advisors still view the arrival of an ETF as not occurring until 2025 or perhaps even later.
The price of Bitcoin (BTC) reached its highest level in 18 months earlier this week, at $37,960, marking a 39% increase over the past month and a 125% surge since the beginning of the year. It is currently trading at $37,300.
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