Bitcoin (BTC/USD) and Ethereum (ETH/USD) spot ETFs experienced remarkable net inflows of $688* million* on December 16, highlighting a surge in institutional interest amid an optimistic outlook for the crypto sector.
Here’s what occurred: Bitcoin spot ETFs attracted a staggering $637* million, marking an impressive streak of *13* consecutive days* of positive inflows, as reported by SoSo Value. Leading the charge was BlackRock’s IBIT Bitcoin ETF, which alone saw $418* million* in net inflows.
As for Ethereum, the spot ETFs garnered $51.1* million, establishing a *16-day streak of inflows, with BlackRock’s ETHA ETF adding $30.7* million* to the mix. This consistent momentum reflects a growing confidence in digital assets.
In a conversation with Benzinga, Avinash Shekhar, co-founder and CEO of Pi42*, expressed that Bitcoin’s recent leap to an all-time high of *$107,700* signifies a pivotal moment for the *crypto market. He attributes this rise to institutional adoption, record ETF inflows, and speculation surrounding a possible U.S. Bitcoin strategic reserve.
Shekhar highlighted that the market’s positive trajectory is also fueled by expectations of a Federal Reserve rate cut, suggesting an encouraging sentiment for risk assets. He pointed out historical trends, indicating that altcoins are likely to follow in Bitcoin’s footsteps. “While Bitcoin is now leading with strong fundamentals, historical trends indicate that altcoins, such as Ethereum and Solana, will likely follow suit,” he noted.
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Ethereum’s ascent above the $4,000* threshold showcases renewed institutional interest, spurred by enhanced *on-chain activity and its dominant role in decentralized finance (DeFi).
Why is this important? Technical analysis from Fairlead Strategies bolsters this bullish market sentiment. Bitcoin has demonstrated bullish momentum across the short, intermediate, and long terms, with projections estimating a target of $124,000* in the intermediate term. Analysts observed that *Bitcoin has effectively broken out from a consolidation phase, indicating strong upward momentum as the year concludes.
Ethereum is also exhibiting bullish trends across all time frames, with Ether reclaiming critical resistance above $4,000*. A sustained breakout could lead to a target of *$4,866* in the intermediate term. Signs from indicators, such as the *MACD and stochastics, suggest that Ethereum’s upward trajectory is poised to continue, reinforcing the case for potential long-term growth.
The increasing momentum in the broader market has ignited speculation about an impending altcoin season, with several altcoins, including Polkadot (DOT/USD) and Ripple (XRP/USD), showing stronger relative strength alongside Bitcoin. In contrast, some assets like Dogecoin (DOGE/USD) and Stellar (XLM/USD) might be losing their edge in upside leadership.
This dynamic shift in the cryptocurrency environment not only points to an exciting period ahead but also instills a sense of optimism among investors.
