{"id":35919,"date":"2024-02-08T12:54:14","date_gmt":"2024-02-08T16:54:14","guid":{"rendered":"http:\/\/cryptocornercafe.com\/cafe\/?p=35919"},"modified":"2024-02-08T12:54:14","modified_gmt":"2024-02-08T16:54:14","slug":"bitcoin-price-jumps-above-44000-here-are-the-factors-driving-it","status":"publish","type":"post","link":"http:\/\/cryptocornercafe.com\/cafe\/2024\/02\/08\/bitcoin-price-jumps-above-44000-here-are-the-factors-driving-it\/","title":{"rendered":"Bitcoin Price Jumps Above $44,000, Here Are The Factors Driving It"},"content":{"rendered":"

Bitcoin is back above $44,000<\/a> for the first time since the Spot Bitcoin ETFs were approved for trading in January<\/a>. This price surge is believed to be due to several factors that have played out in favor of the bulls in recent times.\u00a0<\/p>\n

BTC Whales Accumulate More Bitcoin<\/h2>\n

Citing data from Glassnode, crypto analyst Ali Martinez<\/a> revealed<\/a> recently that Bitcoin whales have been accumulating more BTC, with around 73 new addresses now holding 1,000 BTC or more. This figure is said to mark a 3.66% increase in the last two weeks, thereby continuing the accumulation trend.\u00a0<\/p>\n

NewsBTC had previously reported<\/a> how Bitcoin whales had gone on a buying spree following Bitcoin\u2019s decline to below $40,000. The flagship crypto token is believed to have dropped to that level due to the significant selling pressure from Grayscale<\/a>, the issuer of the GBTC Spot Bitcoin ETF.\u00a0<\/p>\n

The asset manager has, however, cooled off on its BTC sell-offs recently as outflows from the fund continue to decline. This is another factor that could have contributed to Bitcoin\u2019s recent price surge. Data from the on-chain analytics platform Arkham Intelligence shows that other whales like FTX and Alameda Research<\/a> have also eased off on offloading their crypto tokens.\u00a0<\/p>\n

Spot Bitcoin ETFs Doing Their Bit<\/h2>\n

There has been increased institutional demand<\/a> for Bitcoin thanks to the Spot Bitcoin ETFs. This is evident in the success which these funds have achieved since their launch. As a result, the issuers of these funds, like the world\u2019s largest asset manager, BlackRock<\/a>, have had to accumulate a significant amount of Bitcoin.<\/p>\n

Recently, these asset managers were reported<\/a> to hold over 657,000 BTC, thereby accounting for more than 3% of Bitcoin\u2019s circulating supply. The newly listed Spot Bitcoin ETFs<\/a> (excluding Grayscale) alone hold about 187,000 BTC. Interestingly, these funds are well on their way to surpassing MicroStrategy<\/a>, which has a BTC holding of 190,000.<\/p>\n

Meanwhile, Spot Bitcoin ETFs could launch soon<\/a> in Hong Kong with 10 applications already made to the country\u2019s financial regulators. This is another narrative that could be driving Bitcoin\u2019s current price surge, seeing the impact<\/a> that the approval rumors in the US had on Bitcoin\u2019s price towards the end of last year.\u00a0<\/p>\n

Hong Kong isn\u2019t the only country in Asia showing crypto enthusiasm as Thailand was recently reported<\/a> to have removed VAT (Value Added Tax) on crypto trading.\u00a0<\/p>\n

At the time of writing, Bitcoin was trading at around $44,800, up over 4.4% in the last 24 hours, according to data from CoinMarketCap.\u00a0<\/p>","protected":false},"excerpt":{"rendered":"

<\/p>\n

Bitcoin is back above $44,000<\/a> for the first time since the Spot Bitcoin ETFs were approved for trading in January<\/a>. This price surge is believed to be due to several factors that have played out in favor of the bulls in recent times.\u00a0<\/p>\n

BTC Whales Accumulate More Bitcoin<\/h2>\n

Citing data from Glassnode, crypto analyst Ali Martinez<\/a> revealed<\/a> recently that Bitcoin whales have been accumulating more BTC, with around 73 new addresses now holding 1,000 BTC or more. This figure is said to mark a 3.66% increase in the last two weeks, thereby continuing the accumulation trend.\u00a0<\/p>\n

NewsBTC had previously reported<\/a> how Bitcoin whales had gone on a buying spree following Bitcoin\u2019s decline to below $40,000. The flagship crypto token is believed to have dropped to that level due to the significant selling pressure from Grayscale<\/a>, the issuer of the GBTC Spot Bitcoin ETF.\u00a0<\/p>\n

The asset manager has, however, cooled off on its BTC sell-offs recently as outflows from the fund continue to decline. This is another factor that could have contributed to Bitcoin\u2019s recent price surge. Data from the on-chain analytics platform Arkham Intelligence shows that other whales like FTX and Alameda Research<\/a> have also eased off on offloading their crypto tokens.\u00a0<\/p>\n

Spot Bitcoin ETFs Doing Their Bit<\/h2>\n

There has been increased institutional demand<\/a> for Bitcoin thanks to the Spot Bitcoin ETFs. This is evident in the success which these funds have achieved since their launch. As a result, the issuers of these funds, like the world\u2019s largest asset manager, BlackRock<\/a>, have had to accumulate a significant amount of Bitcoin.<\/p>\n

Recently, these asset managers were reported<\/a> to hold over 657,000 BTC, thereby accounting for more than 3% of Bitcoin\u2019s circulating supply. The newly listed Spot Bitcoin ETFs<\/a> (excluding Grayscale) alone hold about 187,000 BTC. Interestingly, these funds are well on their way to surpassing MicroStrategy<\/a>, which has a BTC holding of 190,000.<\/p>\n

Meanwhile, Spot Bitcoin ETFs could launch soon<\/a> in Hong Kong with 10 applications already made to the country\u2019s financial regulators. This is another narrative that could be driving Bitcoin\u2019s current price surge, seeing the impact<\/a> that the approval rumors in the US had on Bitcoin\u2019s price towards the end of last year.\u00a0<\/p>\n

Hong Kong isn\u2019t the only country in Asia showing crypto enthusiasm as Thailand was recently reported<\/a> to have removed VAT (Value Added Tax) on crypto trading.\u00a0<\/p>\n

At the time of writing, Bitcoin was trading at around $44,800, up over 4.4% in the last 24 hours, according to data from CoinMarketCap.\u00a0<\/p>\n

<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[82],"tags":[],"class_list":["post-35919","post","type-post","status-publish","format-standard","hentry","category-blockchain"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/35919","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/comments?post=35919"}],"version-history":[{"count":1,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/35919\/revisions"}],"predecessor-version":[{"id":35925,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/35919\/revisions\/35925"}],"wp:attachment":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/media?parent=35919"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/categories?post=35919"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/tags?post=35919"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}