Bitcoin Surges Past $79,300 on Strong ETF Inflows

After breaking through a six-week price range, Bitcoin's value rose to $79,300. The total amount of short position liquidations in the market reached $2.7 billion. Wintermute analysts revised their forecast for Bitcoin, predicting further growth depends on investment in exchange-traded funds (ETFs) and maintaining key price levels.

The U.S. Treasury's statements about increasing bond buybacks provided a powerful impetus for the cryptocurrency market. According to Wintermute experts, the Bitcoin breakout was reinforced by a significant concentration of short positions above the upper boundary of the range.

However, further movement in the market will depend on stable demand in the spot market, not a short squeeze. The growing interest in ETFs is a key factor for continuing the rally. Over the past week, spot Bitcoin ETFs attracted $1.92 billion in investments, with $1.33 billion going to BlackRock's IBIT product.

Experts note that the current rise in Bitcoin differs from the May stage: at that time, the market did not receive sufficient support from ETFs, whereas now the inflow of capital into exchange-traded products has become a key indicator of structural demand. Positive changes have also been recorded in the derivatives market: seven-day implied volatility exceeded 40%, and funding rates remain positive.

Despite the optimistic forecast, Wintermute analysts urge investors to remain cautious. To maintain the bullish trend, it is essential for ETFs to continue attracting investments. If there is a net outflow from Bitcoin ETFs during the week and the Bitcoin price falls below $67,000, the forecast may shift to cautious.