Bitcoin (BTC) Price Aims for $118K Next amid Renewed Interest from Institutional Investors | Coinspeaker
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Bitcoin (BTC) Price Aims for $118K Next amid Renewed Interest from Institutional Investors

The US spot Bitcoin ETFs registered a net cash inflow of more than $755 million on Wednesday, thus ending a four-day streak of bleeding.

Steve Muchoki By Steve Muchoki Julia Sakovich Edited by Julia Sakovich Updated 3 mins read
Bitcoin (BTC) Price Aims for $118K Next amid Renewed Interest from Institutional Investors
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Key Notes

  • Bitcoin price has significantly influenced the altcoin industry in bullish sentiment after the notable rebound earlier this week.
  • The upcoming inauguration of US President-elect Donald Trump could easily turn into a sell-the-news event before the bullish outlook continues.

After signaling bullish sentiment earlier this week, Bitcoin price BTC $96 424 24h volatility: 1.4% Market cap: $1.91 T Vol. 24h: $30.63 B teased $100K in the past 24 hours before retracing around $99.7K on Thursday, January 16, during the mid-London sessions. The previous fear of crypto selloff has significantly diminished, with Bitcoin’s fear and greed index having surged to 75 percent earlier today, which signals marker greed.

The altcoin industry, led by Ripple Labs’ XRP, followed in the same footsteps, thus the total crypto market cap surpassing the market valuation of Apple Inc (NASDAQ: AAPL).

Following the heightened crypto volatility, more than $345 million was liquidated for the leveraged market, with the short traders mostly impacted.

Bitcoin Whale Investors Returns

The ongoing Bitcoin price rebound is heavily influenced by the rising demand from whale and institutional investors, led by the US spot BTC ETF issuers. According to the latest market data, the US spot BTC ETF issuers registered a net cash inflow of about $755 million.

Fidelity’s FBTC led in net cash inflows on Wednesday with about $463 million, closely followed by Ark 21Shares Bitcoin ETF (ARKB) with a net cash inflow of about $138 million. BlackRock’s IBIT registered a net cash inflow of about $31 million.

Remarkably, none of the US spot Bitcoin ETF issuers registered a net cash outflow on Wednesday, signaling the rising demand from institutional investors.

Consequently, the US spot Bitcoin ETF issuers ended a four-day consecutive cash outflow. Meanwhile, the supply of Bitcoin on centralized exchanges remains at a multi-year low of about 2.20 million.

Market Picture

As Coinspeaker reported, the ongoing Bitcoin price rebound is heavily influenced by renewed interest from institutional investors and retail traders ahead of the 2nd inauguration of Donald Trump. Furthermore, the implementation of a strategic Bitcoin reserve at the state and federal levels has gained significant traction.

Oklahoma and Texas regulators have already proposed a strategic Bitcoin reserve to hedge against global inflation. At the federal level, President-elect Donald Trump announced that his upcoming administration is planning for immediate friendlier SEC rules, clearer token guidelines, and fewer legal restrictions.

The announcement follows the inflation data, which suggested a cooling effect that could yield a Fed rate cut later this month.

Midterm Targets

From a technical analysis standpoint, Bitcoin price is well positioned to reach a new all-time high in the near term, catalyzed by renewed interest from whale investors. Furthermore, the bullish sentiment was confirmed after the Bitcoin price rebounded strongly from the support level of around $90 earlier this week.

According to crypto trader Alan Santana, if Bitcoin price consistently closes above the upper boundary of between $100K and $108K, the next psychological target is around $118,762.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

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Steve Muchoki
Author Steve Muchoki

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