Bitcoin price hits 2023 high due to growing institutional interest and short-seller liquidations

Bitcoin’s price hit a year-to-date high of $31,431 due to institutional interest from BlackRock and Fidelity Investments in applying for spot Bitcoin ETFs. BlackRock is the largest applicant to date, making it a significant development in Bitcoin’s history. The company will use Coinbase to secure the BTC in the trust. Deutsche Bank has also applied for a digital asset custody license in Germany, and Valkyrie has applied for a BTC spot ETF and a Bitcoin Miner ETF.

Short-sellers have been losing due to liquidations, shifting fortunes away from them. On June 23, 53% of options were skewed short, creating an opportunity for a potential short-squeeze and greater Bitcoin price upside. Additionally, investors’ excitement over the cooling US dollar index has led to a sentiment for risk assets like Bitcoin to increase, and it could continue to rally alongside equities markets.

Despite the bullish momentum in the short-term, the Bitcoin Fear & Greed Index has reached a 3-month high. As every investment move involves risk, readers should conduct their research before making any decision.

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