Bitcoin Rises as ETF Inflows and Short Squeeze Boost Crypto
Bitcoin reached $87,360, a 24-hour high, due to ETF buying pressure. Due to a large short position liquidation and a cryptocurrency market rise, aggregate market capitalisation rose over one percent. Net inflows for U.S. Bitcoin Spot ETF products rose to $999 million on Monday from $433 million on Friday after Wall Street’s tech-driven spike. Net inflows from iShares Bitcoin Trust ETF reached $381 million. ARK 21Shares Bitcoin ETF posted $289 million in net inflows, while Fidelity Wise Origin Bitcoin Fund followed with $239 million. Net inflows for U.S. Ethereum Spot ETFs rose to $270 million on Monday from $144 million on Friday. iShares Ethereum Trust ETF reached $110 million net inflows.
Expectations of a fresh diplomatic initiative to resolve the Middle East problem have lowered crude oil prices, which has boosted cryptocurrency values. Brent Oil futures for November settlement are down 1.8% at $98.55, while WTI Crude Oil is down 2.2% at $90.31. Recently falling bond yields and a weaker dollar have raised bitcoin prices. Crypto prices are rising due to the market short squeeze. The 24-hour liquidations totalled $624 million. Long bets were liquidated for $201 million, compared to $423 million for short positions. Expectations of institutional backing for the cryptocurrency sector boosted market sentiment. On Monday, Virginia-based Strategy Inc. announced the purchase of 950 Bitcoins worth $75.7 million from September 14 to 20. The prominent Bitcoin treasury led by Michael Saylor now holds 846,000 Bitcoins at an average cost of $75,416.
The U.S. SEC’s tokenised stock trading decision also boosted market sentiment. On Thursday, the SEC granted Tokenised Securities Venues temporary, conditional exemptive relief to trade tokenised National Market System stock using new permissioned automated market makers and liquidity pools. The five-year exception allows onchain trading of tokenised stocks to modernise America’s capital markets. Due to favourable market factors, bitcoin market capitalisation has reached $2.91 trillion. Over the preceding 24 hours, market capitalisation rose 1.5 percent and trading volumes rose 28%. Bitcoin, the largest cryptocurrency, rose 1.7 percent overnight to $85,893.85. The leading cryptocurrency rose 11.5 percent last week, reducing year-to-date losses to 1.9 percent. Data ranks Bitcoin 12th in global asset market capitalisation. The leading cryptocurrency is between Broadcom, 11th, and Saudi Aramco, 13th.
Ethereum is trading 1 percent higher at $2,742.09. The leading alternative coin rose 10.4% last week. Ethereum has moved to the 58th position in the global ranking of all assets based on market capitalisation, as reported. The 4th ranked BNB witnessed a 0.29 percent boost overnight, bringing its price to $786.86. 5th ranked XRP, a payments-focused cryptocurrency, added 2.9 percent overnight and is presently trading at $1.53. The price of 7th ranked Solana grew by 0.77 percent overnight, reaching $116.82. Solana Spot ETF products listed in the U.S. received net inflows of to $26 million on Monday. TRON is 8th in the rankings and trading at $0.3464, up 0.6 percent. After falling 2.1 percent overnight, 9th-ranked Zcash traded at $1,503.65. 10th-ranked Hyperliquid fell 0.12 percent to $95.20. U.S. hyperliquid Spot ETFs saw $3 million in net inflows on Monday.
