Bitcoin traded to a two-week high on June 5, as analysis linked Bitcoin’s price rise to new institutional interest.
Trader: BTC price reaction “not surprising”
Data from Cointelegraph Markets Pro and TradingView showed that Bitcoin (BTC) hit a local high of $71,286 on Bitstamp after the daily close.
The bulls managed to maintain their gains during the Asian session, with the focus now shifting to the open on Wall Street after a “strong performance” that accompanied the start of the US trading week.
Analyzing the market, popular trader Skew noted that US-based Bitcoin exchange-traded funds (ETFs) have helped fuel the bullish momentum.
They recorded net inflows of around $900 million on June 4, according to data from sources including British investment firm Farside – the second largest daily tally in its five-month history.
“Not surprising to see this,” he summarized in his comment on the BTC price action on X.
“We had a huge spot supply behind the price throughout the day yesterday until the end of the US session. Generally consistent spot purchases through Coinbase have been linked to the Spot ETF – preceding capital inflows.
Scio added that the world’s largest exchange, Binance, could now play a key role in fueling the rise.
“The advantage for some time has been what Binance Spot does in terms of price movements before and after big flow days,” he concluded.
At the same time, physical trading resource indicators highlighted the extent of resistance that exists between the current spot price and the all-time high of $73,800.
He said bidders were placing liquidity above $69,000 – a key level that needed to be reversed to support – in order to increase the price of Bitcoin.
“Time will tell if this is enough to keep the price above the R/S Flip line,” read X’s commentary that day.
“At the same time, liquidity requirements are above $71.5k and very dense around $72k. Some mergers over $69,000 would be healthy. A fuse below this line would cancel the R/S action.
Bitcoin ETFs receive global green light
Continuing the ETF theme, trading firm QCP Capital has seen broader bullish winds for Bitcoin thanks to institutional investments from around the world.
Related: Bitcoin Could Reach New High if U.S. Hiring Slows
“As BlackRock’s Bitcoin Spot BTC fund becomes the fastest ETF to cross $20 billion, we see more follow-up with Thailand’s Securities and Exchange Commission approving the first Bitcoin ETF and the first Bitcoin ETF in Australia to start trading today,” she wrote. in an update. For subscribers to the Telegram channel on June 4.
“Unprecedented access to traditional capital around the world will undoubtedly keep the BTC price supported.”
QCP added that it expects US unemployment data, expected at the end of the week, to further boost Bitcoin – especially if it shows that restrictive fiscal policy is having a greater impact than foreseen.
“Could this be a catalyst for breaking all-time highs? I asked.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research before making a decision.
