Bitcoin back at $55,000 after 8.5% recovery, ETF investors show “diamond hands”
The post Bitcoin back at $55,000 after 8.5% recovery, ETF investors show “diamond hands” appeared on BitcoinEthereumNews.com.
Key Takeaways Bitcoin rebounds 8.5% to $55,000 as ETF investors show strong holding behavior. Spot Bitcoin ETFs experience record $5 billion trading volume with minimal 0.3% outflows. Bitcoin (BTC) is back at the $55,000 price level after a sharp 8.5% recovery over the past 24 hours. Spot BTC exchange-traded funds (ETF) investors’ activity has shown resilience so far, with ETFs such as BlackRock’s IBIT registering zero outflows on Aug. 5. Major altcoins registered even larger movements, such as Solana’s (SOL) 21.4% growth in the period. This recovery could be a natural movement from the market since BTC faced the deepest correction of the current cycle after falling 29% in two weeks, as highlighted by the trader identified as Rekt Capital. Notably, the $49,000 price region was respected as short-term support so far, as Bitfinex analysts suggested in a recent statement. However, Bitcoin could revisit this area if macroeconomic conditions worsen. On the upside, Bitcoin could rise to the range between $59,400 and $62,550, as this is a new “CME gap” created after the Aug. 4 crash, according to Rekt Capital. Bitcoin CME gaps is the name given to the differences between BTC opening and closing prices at the Chicago Mercantile Exchange. They are particularly noticeable during weekends when the traditional markets are closed, potentially making the gaps between Friday closing prices and Monday opening prices more significant. ETF holders display “diamond hands” On Aug. 5, Bitcoin ETFs saw the largest daily trading volume since mid-April, surpassing $5 billion. Bloomberg senior ETF analyst Eric Balchunas highlighted on X (formerly Twitter) that volumes on bad days represent “a reliable measure of fear.” However, the deep liquidity seen yesterday is desirable by institutions when investing in an ETF. Despite the high trading volume, Balchunas shared that only $168 million left the spot Bitcoin…
Filed under: News - @ August 6, 2024 3:14 pm