Bitcoin surged to a new all-time high of $93,477 during late trading on Wednesday, November 13, as reported by CoinGecko. However, by Thursday morning in Asia, the price corrected to approximately $90,000.
This decline appears to be temporary as Bitcoin continued its upward trajectory, contributing to a substantial 20% increase over the week. Since the start of November, Bitcoin has soared by an impressive $24,000, largely influenced by Donald Trump’s victory in the U.S. presidential elections.
ETFs Boosting Bitcoin Demand
Bitcoin exchange-traded funds (ETFs) are currently the primary catalyst for demand, effectively absorbing nearly all sell-offs from long-term holders, according to analyst James Check on November 14.
The #Bitcoin ETFs are clearly the main driver of $BTC demand currently, soaking up nearly all selling from Long-Term Holders.
Meanwhile, CME open interest is not showing significant growth, underscoring that this rally is primarily spot-driven. pic.twitter.com/LpD4xrO7dC
— _Checkmate ⚡☢️️ (@_Checkmatey_) November 13, 2024
Wednesday marked another significant day for spot ETF inflows, with $510 million pouring into the eleven Bitcoin funds in the United States. Over the past six trading days, these spot Bitcoin ETFs have collectively attracted an astonishing $4.7 billion, according to Farside Investors.
Bloomberg ETF analyst Eric Balchunas pointed out that BlackRock’s IBIT fund has now placed in the top 1% of all ETFs by asset size, and at just 10 months old, it surpasses all 2,800 ETFs introduced in the last decade.
He added that there seemed to be a slowdown until IBIT achieved $5 billion in daily trading volume for the first time. On November 13, the BlackRock Bitcoin ETF experienced an inflow of $230 million.
I thought things were slowing down, but no, $IBIT just saw $5b in volume today for the first time ever. Only 3 ETFs and 8 stocks saw more activity today. Up to $13b in 3 days this week. Its counterparts are seeing increased volume as well but on a smaller scale. $FBTC had $1b, the biggest day since March. pic.twitter.com/9SQP5oPsMM
— Eric Balchunas (@EricBalchunas) November 13, 2024
According to the blockchain betting platform Polymarket, there is currently a 61% chance that Bitcoin will reach a six-figure price by the end of this month, being just 10% away from that target.
Total Market Cap Reaches Previous Highs
Despite Bitcoin’s success, altcoins have lagged behind, with Bitcoin dominance exceeding 61% at its new price peak. Nevertheless, the overall market capitalization has returned to its record high of $3.12 trillion.
Ethereum rose to $3,300 but dipped back to $3,200 during Thursday’s morning session. Both Solana (SOL) and Cardano (ADA) are exhibiting daily gains of 3-4%, although the rest of the altcoin market remains stable.
In contrast, the PEPE meme coin has seen a remarkable 74% increase following listings on Coinbase and Robinhood, while Dogwifhat (WIF) surged by 35% on the same day due to its recent support addition on Solana by Coinbase.
Economist Alex Krüger noted that meme coins are notably dominating this market cycle.
Outside of Bitcoin, the current crypto landscape is largely centered around memecoins. That’s what consumers are demanding. Period.
Exchanges are responding accordingly, as evidenced by Binance’s listings of PNUT and ACT, along with Coinbase’s listings of PEPE and WIF.
“Anyone can make it big; don’t stop hustling.”…
— Alex Krüger (@krugermacro) November 13, 2024
Photo Credit: Shutterstock/K.unshu
