A Bitcoin spot ETF is shaking up the raw cryptocurrency market after demand for Bitcoin expanded and attracted more than $7 billion in net inflows in less than two months. The most obvious change is that the price of the largest digital asset has soared by more than 45% this year, reaching about $63,000, approaching a record high in the epidemic era.$69,000. The impending reduction in Bitcoin supply growth, also known as the halving, has also contributed to Bitcoin's rise.

ETFs are shifting the focus of Bitcoin trading toward the United States and encouraging leveraged bets, raising the cost of bullish bets via perpetual futures to 2021 levels.

Coinshares advisor Meltem Demirors: “The supply and demand imbalance here is really serious.

The chart below showsHow the impact of ETFs permeates various markets.


Bitcoin outperforms other assets this year

Bitcoin has outpaced the stock market since the start of the year, continuing a 2023 pattern. This momentum attracts traders looking for volatility.


Bitcoin volume spikes at U.S. close as ETF corrects NAV

These newThe ETF calculates its NAV based on a dedicated benchmark at the U.S. close each business day, a process that helps discover Bitcoin's price. Now, the coin’s trading volume increased significantly around that time.


Total trading volume in spot Bitcoin ETFs - which include products from giants BlackRock and Fidelity Investments - increased significantly to nearly $8 billion on Wednesday, with Bitcoin heading towards record levels.


Bitcoin spot trading volume on major exchanges near 2024 highs

Meanwhile, the value of Bitcoin changing hands on major digital asset exchanges on Wednesday nearly reached its highest level since 2024.


Cost of bullish bets via perpetual futures highest since 2021

Financing rates for Bitcoin perpetual futures are at their highest levels since 2021. Since there is no fixed expiry date, Bitcoin perpetual futures are popular among cryptocurrency speculators. This shows that traders are eager to bet on profits and are prepared to pay speculators who shorted money as the cost of maintaining their positions.