The outcome of the United States election has caused ripples in various sectors worldwide, cryptocurrency being no exception. The entire digital asset market experienced price surges, with Bitcoin (BTC) leading the pack. Alongside its price spike, BTC also saw a significant increase in purchases of exchange-traded funds (ETFs).
Noteworthy Growth in Bitcoin ETFs
Renowned crypto analyst CRYPTOBIRD recently shared a tweet highlighting a significant milestone in BTC ETFs. According to the tweet, a record-breaking purchase of over 17,000 BTC was made recently, bringing the total netflows of BTC to 406,000 as of November 7th.
On that same day, ETFs experienced an unparalleled netflow of over 17,900, marking a new high. Remarkably, this surge occurred shortly after the U.S. presidential elections.
The substantial uptick in ETF netflows evidently signifies a high level of confidence in Bitcoin within the market. If this pattern persists, the future prospects for BTC seem even brighter in terms of its pricing trend.
At the latest update, BTC had surged nearly 10% in the previous week, reaching a trading price of $75,890, close to its all-time peak.
We subsequently delved into additional data to gauge the buying pressure across the entire market. Our analysis of Glassnode’s insights revealed that BTC’s accumulation trend score surged from 0.04 to 0.8 within a month.
For beginners, this metric indicates the proportion of entities actively accumulating coins on-chain with respect to their BTC holdings. A value nearing 1 suggests stronger buying pressure, serving as a bullish signal.
Ethereum’s Resilience
Following the unprecedented influx in Bitcoin ETF netflows, CryptoCrypto shifted its focus to Ethereum (ETH) ETFs. Our scrutiny of Dune’s data unveiled that ETH ETF netflows surpassed $56 million on November 7th.
This marked one of the largest capital inflows since the establishment of ETH ETFs, showcasing a commendable feat.
Consequently, we scrutinized the daily charts of both BTC and ETH to assess whether this newfound interest would translate into sustained price uptrends.
Beginning with Bitcoin, its moving average (MA) cross indicator indicated a notable bullish stance in the market. However, the premier cryptocurrency is anticipated to witness a minor retracement soon given its price touching the upper band of the Bollinger Bands.
Turning to Ethereum, the MA cross indicator hinted at an impending golden cross, which could potentially fuel further growth for ETH. Currently, ETH is valued at $2,900, having surged over 15% in the past week.