Bitcoin (BTC) Price Prediction 2024-25: ETFs Play a Big Role in the Market\'s Comeback

Bitcoin [BTC] has managed to make a comeback over the last few days and has seen a massive surge in price with Exchange-Traded Funds (ETF) playing a big role.

output: As Bitcoin [BTC] continues its recent price rally, Exchange-Traded Funds (ETFs) have played a pivotal role in driving the cryptocurrency's price uptick.

According to data from Finbold, ETFs have seen a remarkable influx of capital since their launch in January 2024, with the total assets now reaching an impressive $16.35 billion.

This surge in interest culminated in a record-breaking week, with inflows reaching $1.05 billion by 15th July. The substantial growth in Bitcoin ETF assets is being viewed by market analysts as a bullish indicator, with some speculating that this could indicate that the bottom may be in for the cryptocurrency.

Collectively, these ETFs now hold an unprecedented 888,607 Bitcoin, which equates to roughly 4.5% of the total circulating supply of the cryptocurrency.

This investment frenzy is being driven by both institutional and retail investors, with some funds experiencing inflows as substantial as $310 million in a single week.

Moreover, the German government's recent actions in the crypto space have also influenced the price movements.

After executing a $3 billion Bitcoin sell-off through various crypto exchanges and trading firms, sending shockwaves through the cryptocurrency market, the German government's massive offloading concluded late last week.

However, in a surprising turn of events, the government has since received a modest influx of Bitcoin, totaling approximately $420, from multiple wallets.

These incoming funds were dispersed across over four dozen transactions, with the largest amounting to $118 and occurring on 13th July, according to blockchain data analyzed by Arkham.

Through a series of these transactions, the German government has quietly amassed a small Bitcoin portfolio. The BTC was sent by users who wanted to express their discontent with the German government.

Some of these transactions included unusual references, such as the names Adolf Hitler and Elon Musk, along with other expletives, in an apparent attempt to troll the government.

At press time, BTC was trading at $63,882.81, having risen by 1.53% in the past 24 hours, according to price data from Binance.

Meanwhile, the MVRV ratio for BTC had surged due to the recent price rally. This indicated that the majority of addresses were profitable, a factor that could influence sentiment positively.

However, this profitability also creates an incentive for holders to sell their BTC holdings, which could put selling pressure on the cryptocurrency.

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