News View Non-AMP

Bitcoin Dip? Don’t Panic! Analyst Predicts 75% Surge After ETF Volume Boom

Published by
Mustafa Mulla

Bitcoin is back in the spotlight, and this time it’s the exchange-traded funds (ETFs) making headlines. According to Santiment, a market intelligence powerhouse, trading volume for top Bitcoin ETFs has skyrocketed, reaching its highest level since mid-May. But wait, there’s more!

According to a report by Santiment, a market intelligence platform, the combined trading volume for the top seven largest Bitcoin ETFs hit around $2.89 billion.

Despite this surge in ETF activity, interest from retail investors in Bitcoin has dipped to its lowest point in five months, reminiscent of a similar trend observed in January. However, historical data suggests that such declines can precede substantial upswings, as evidenced by a remarkable 75% surge over the following two months.

Analyzing the Surge: Bitcoin ETF Trading Volume

The recent spike in Bitcoin ETF trading volume has piqued the interest of investors and analysts alike. Santiment’s report reveals a significant increase in trading activity across the top seven BTC ETFs, including well-known names like GBTC, IBIT, FBTC, ARKB, BTCO, BITB, and HODL.

The latest surge, amounting to $2.89 billion, mirrors patterns observed previously on March 5th, when volume peaked at an impressive $11.13 billion. This surge indicates a renewed interest among investors, possibly signaling a reaction to market dips.

Contrast: Outflows in U.S. Spot Bitcoin ETFs

In contrast, U.S. spot Bitcoin exchange-traded funds have seen net outflows of $200 million on Tuesday, continuing a trend from Monday, which marked the end of their 19-day streak of net inflows.

Grayscale led this exodus, experiencing the largest net outflows of $121 million, followed by Ark Invest with $56 million in net outflows.

Understanding Retail Investor Sentiments

Meanwhile, CryptoQuant author Axel Adler, pointed out that Interest in Bitcoin from retail investors has dropped to the lowest level in five months, similar to what happened back in January. But back then, Bitcoin shot up by a whopping 75% in the next two months.

Adler notes a significant -17% average monthly change in Bitcoin demand among retail investors (<$10K). Previously, a similar -18% drop led to Bitcoin’s price skyrocketing from $40K to $70K after the approval of spot Bitcoin ETFs in the U.S.

Adler suggests that while retail demand for Bitcoin may currently be low, historical trends hint at the potential for a 75% surge, possibly propelling Bitcoin’s price to around $120k in the coming months.

As of now, Bitcoin is trading at $67,412, reflecting a 1.4% decrease in the last 24 hours. Despite this drop, trading volume has surged by 8%, reaching $31.3 billion, with a market cap of $1.32 trillion.

Also Read: Bitcoin ETF Tracker: May Month Performance Review and Insights 

Mustafa Mulla

Mustafa has been writing about Blockchain and crypto since many years. He has previous trading experience and has been working in the Fintech industry since 2017.

Recent Posts

Ethereum Price Prediction 2025: ETH Price May Trigger a 10x Rally, if This Trade Setup Plays Out Well

The crypto markets are experiencing a powerful bullish wave, highlighted by Bitcoin’s breakout and a…

April 25, 2025

What’s Next for the Chainlink (LINK) Price-Will it Reclaim $20 Before the End of the Month?

The recent rise in the bullish momentum has elevated the markets above the bearish captivity…

April 25, 2025

Coinbase Inks Strategic Partnership With PayPal to Enable Mainstream Adoption of PYUSD Stablecoin

The PayPal USD (PYUSD) stablecoin is fast approaching the $1 billion market cap milestone. The…

April 24, 2025

Cardano (ADA) Enters a Decisive Phase:  Will a Golden Cross Trigger a Move Above $1?

The crypto market is in a pivotal phase, marked by trend reversals, mixed short-term performance…

April 24, 2025

MultiBank (MBG) Token Analysis: A Standout Opportunity in the CEX Token Landscape

After examining the major centralized exchange tokens like BNB, OKB, CRO, and others, MultiBank's MBG…

April 24, 2025

Should You Be Bullish on POL (Prev. MATIC) Price? Will It Ever Reach $1?

The crypto market is witnessing some cautious declines today, with the total market capitalization dropping…

April 24, 2025