Bitcoin (BTC) has achieved a groundbreaking milestone, reaching a new all-time high of $93,318 and surpassing silver in market capitalization with a valuation of $1.8 trillion. This development cements Bitcoin's status as a mainstream financial asset, ranking it as the eighth-largest asset globally by market cap, according to the Bitfinex Alpha report.
The surge reflects a 39.5% gain from its previous dip to $66,880, marking Bitcoin’s most significant price climb since January 2021. The expanded market size required significantly greater capital investment compared to past rallies, demonstrating Bitcoin's growing influence in financial markets.
While profit-taking activities have triggered $640 million in net outflows over two trading days, retail activity has surged, with transactions under $100,000 hitting a three-year peak. Despite this, overall retail participation remains below levels seen during the 2021 bull run, as indicated by lower search interest and app activity.
Bitcoin ETFs have played a pivotal role in this growth, with U.S. spot ETFs holding over 1 million BTC and showing record-breaking inflows. Analysts predict Bitcoin ETFs will surpass the market cap of gold ETFs within two months, accelerating adoption timelines significantly. BlackRock’s iShares Bitcoin ETF (IBIT) has already overtaken the firm’s iShares Gold ETF (IAU) in assets under management, achieving in under 10 months what took IAU two decades.
Bitcoin’s rapid ascent highlights its solidifying role in the global financial landscape, with growing adoption signaling a shift in investor confidence towards digital assets.
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