Bitcoin rallies 20% as ETF inflows and debasement bets revive demand

  • Bitcoin rose from about $63,500 to above $80,000 as spot demand, ETF inflows and liquidity expectations supported the rally.
  • U.S. spot Bitcoin and Ether ETFs received $2.6 billion in combined weekly inflows, including $1.9 billion for Bitcoin funds, while QCP Capital estimated $2.8 billion in spot support.
  • Arthur Hayes said Bitcoin may have passed its bottom and could reach $250,000 if rising debt leads to yield suppression and continued money creation.

Bitcoin’s broader rally rose roughly 20% from mid-August, moving from about $63,500 to above $80,000 and adding approximately $300 billion to its market capitalization within hours. QCP Capital estimated $2.8 billion in spot support, while U.S. spot Bitcoin and Ether ETFs attracted a combined $2.6 billion last week, including $1.9 billion for Bitcoin funds and $697.2 million for Ether funds. Gold also advanced, record short liquidations added momentum and investors revived the debasement trade amid concerns about U.S. debt, currency purchasing power and possible yield suppression. Arthur Hayes said Bitcoin may have passed its bottom and could reach $250,000 if policymakers continue creating money. The 20%, 23% and 25% gains cited in coverage refer to different periods or descriptions of the broader rally.

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