A new report suggests that Bitcoin (CRYPTO:BTC) could surge to $101,694 by January 27, 2025, driven by strong market momentum and growing institutional demand via ETFs in the spot market.
What happened The report, authored by 10x Research, highlights Bitcoin’s resilience as it hits a six-month high, a milestone that has historically led to a three-month median return of +40%. If this trend continues, Bitcoin is expected to cross the $100,000 mark early next year.
“We see Bitcoin absorbing energy from the altcoin market, much like a gravitational black hole would,” noted analysts at 10x Research.
Bitcoin dominance, that is to say the share of the cryptocurrency market that Bitcoin represents, increased from 38% to 58%, its highest level since April 2021.
This dominance signals a “powerful gravitational pull effect” within the crypto ecosystem, where Bitcoin is increasingly seen as a safer and more reliable asset compared to altcoins, particularly those that lack cryptocurrencies. substantial use.
The report attributes this momentum to growth in institutional demand, driven in part by the recent acceleration of ETFs in the cash market, which accumulated $4.1 billion in October 2024 alone.
Spot ETFs added another $830 million in Bitcoin last night alone, bringing their five-day total to $2.1 billion, bolstering demand for Bitcoin among institutional investors.
“With demand for spot ETFs going parabolic, Bitcoin is on track to follow this trend,” the report said. Analysts expect this trend to propel Bitcoin towards the $100,000 mark in January 2025, making it a critical deadline for reaching this milestone.
In accordance with the data from SoSo Value, spot Bitcoin ETFs saw a total of $870 million in net inflows on October 29, the highest number of net inflows recorded in a single day since June 5.
The highest number of secondary net inflows was $1.05 billion on March 12, followed by $887 million on June 4.
On October 29, the ETFs of BlackRock (NYSE:BLK) recorded inflows of $643 million and those of Fidelity (CBOE:FBTC) saw inflows of $134 million.
And also: JD Vance about to reveal information on the CIA, JFK and another controversial topic
Ethereum spot ETFs (CRYPTO:ETH) saw a total of $7.65 million in net inflows.
The total net value of spot Bitcoin ETFs is $72.5 billion, and the market value of ETF net assets accounts for 5.07% of the total market value of Bitcoin, this is the first time in the history that the latter exceeds 5%.
Unlike March 2024, when cryptocurrency exchanges saw significant BTC inflows, which is often a prelude to sell-offs, current data suggests minimal selling pressure even as Bitcoin nears its former all-time highs. .
This relative scarcity of sellers reflects a broader trend, placing Bitcoin not as a speculative asset, but as a “buy-and-hold hedge,” as Larry Fink, CEO of BlackRock (NYSE:BLK).
The analysts of QCP Capital have meanwhile highlighted the impact of growing demand for Bitcoin via spot ETFs, which raked in an impressive $4.1 billion in October alone, as well as an additional $830 million in just than the last five days.
“With demand for ETFs going parabolic, Bitcoin is on track to follow this trend,” 10x Research said, noting this influx as a key driver toward Bitcoin’s $100,000 target.
QCP Capital added that this “significant influx into spot ETFs” is one of the main catalysts for Bitcoin’s price rise alongside “new rounds of monetary easing in major economies” and the potential of a victory for Donald Trump.
The prospect of a cryptocurrency-friendly president has gained traction in recent weeks, with key states like Nevada and Pennsylvania reportedly leaning in Trump’s favor.
With the election results expected to be announced soon, the famous “exchange Trump” has contributed to Bitcoin’s recent gains, positioning the asset as a potential hedge against the uncertainty of the regulatory environment that has characterized the current administration.
What happens next The information provided by 10x Research is timely, as the event Future of Digital Assets by Benzinga, taking place on November 19, will bring together leading voices from the cryptocurrency world to discuss evolving trends in digital finance.
Image: Shutterstock
