Bitcoin (BTC)’s unprecedented soaring above $90,000 has strengthened its linkage with mainstream financial assets, According to Go to the latest “Bitfinex Alpha” report.
BTC reached an all-time high of $93,318, pushing its market cap to $1.8 trillion, surpassing the total market cap of silver. This achievement makes Bitcoin the eighth largest traded asset in the world.
Breaking the $90,000 threshold represents a 39.5% increase from the pre-election drop to $66,880. The nine-day rally marks Bitcoin's biggest price jump since January 2021, and will require significantly more capital given the market's expansion. At the time, Bitcoin's market capitalization was around $450 billion, a fraction of its current valuation.
Profit-taking capped market gains, with net outflows of $640 million over the past two trading days. This led to a consolidation phase that mirrored the pattern seen in traditional financial markets, where investors lock in profits after a sharp rally.
Meanwhile, retail activity is also surging, with Bitcoin transactions under $100,000 hitting a three-year high. cryptoquant Ki Yong Joo CEO.
However, it remains far below the retail interest seen during the 2021 bull market, when Coinbase's iOS app reached the top rank on the Apple Store. Similarly, Google search remains well below levels seen in previous cycles, suggesting that a large portion of the retail industry remains inactive for now.
Massive inflow of ETFs
The report also highlights record capital inflows into the US Spot Bitcoin ETF, which currently holds over 1 million BTC. Analysts expect Bitcoin ETFs to surpass the market cap of gold ETFs within two months, five years earlier than experts originally predicted.
BlackRock iShares Bitcoin ETF (IBIT) exemplifies this momentum, recently outgrowing the company's iShares Gold ETF (IAU). Remarkably, IBIT achieved this milestone in less than 10 months, a feat that took IAU 20 years.
As Bitcoin solidifies its place as a mainstream asset, its trajectory demonstrates growing investor confidence in the digital asset as an important part of the global financial ecosystem.
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