🚀 Bitcoin (BTC) Rockets Past $123,000 as ETF Frenzy Ignites Market

Wall Street's latest love affair with crypto ETFs sends Bitcoin into uncharted territory—just don't ask about the volatility hangover.

The ETF Effect: Fueling the Fire

Institutional money floods in as regulated crypto products finally give traditional finance a 'safe' way to chase 1000% gains. Spoiler: they'll still panic-sell at the first 10% dip.

Price Discovery Mode Activated

BTC smashes through six figures like a Tesla through short-seller dreams. Technicals? Fundamentals? Try good old-fashioned FOMO with a side of leverage.

Warning: Contains Financial Nihilism

Remember when $69,000 seemed insane? Now hedge funds are pitching BTC as 'digital gold' while quietly liquidating their clients' actual gold reserves. The circle of life.

TLDR

• Bitcoin hit a new all-time high of $123,000 on Coinbase on July 14, extending its monthly rally to 13%
• BlackRock’s spot Bitcoin ETF now holds over 700,000 BTC and reached $83 billion in assets under management
• Long-term holder metrics suggest Bitcoin hasn’t entered peak euphoria yet, with room for higher prices
• Daily Bitcoin transactions increased from 340,000 to 364,000 without signs of panic selling
• Accumulator addresses now hold 250,000 BTC, the highest level of 2024, showing strong long-term demand

Bitcoin reached a new all-time high of $123,000 on Coinbase. The flagship cryptocurrency has gained 13% this month and is closing its third consecutive green monthly candle.

The rally continues to be driven by institutional money flows. BlackRock’s spot Bitcoin exchange-traded fund IBIT hit a record $83 billion in assets under management on Thursday.

IBIT’s assets have tripled in just 200 trading days. This milestone took the gold ETF GLD over 15 years to accomplish. BlackRock’s bitcoin ETF now holds over 700,000 BTC, surpassing MicroStrategy by nearly 100,000 BTC.

Bloomberg ETF analyst Eric Balchunas noted that IBIT became the fastest ETF to reach $80 billion in 374 days. This was about 5 times faster than the previous record holder.

Market Metrics Show Room for Growth

One key metric suggests Bitcoin hasn’t reached peak euphoria levels yet. The Long-Term Holder Net Unrealized Profit/Loss sits at 0.69, below the 0.75 level historically linked with overheating markets.

In the last cycle, Bitcoin spent 228 days above that threshold. This cycle has only spent about 30 days in that zone, hinting at higher price targets ahead.

Bitcoin network activity remains steady without signs of excessive speculation. Daily average transactions climbed from 340,000 to 364,000 over the past two days.

These numbers remain well below the 530,000 to 666,000 peaks seen during previous market tops. Bitcoin analyst Axel Adler Jr. said this reflects a composed market environment.

“There are no signs of active coin selling in the market. This strengthens both the fundamental and technical bullish signal,” Adler explained.

Accumulation Addresses Show Strong Demand

Accumulator addresses have ramped up their holdings over the past month. These wallets consistently acquire BTC without large outflows.

CryptoQuant data shows these wallets now hold 250,000 BTC, the highest level of 2024. The 30-day demand has jumped 71% from 148,000 BTC in late June.

Hedge fund CEO Charles Edwards from Capriole Investments argues the market is in the early stages of a liquidity-driven boom. He points to several macro factors supporting higher prices.

Global M3 money supply has been expanding at an annualized nine percent rate. This extreme rate historically coincided with average 12-month Bitcoin returns of roughly 460 percent.

Edwards also highlights Bitcoin Treasury Companies as a new driver this cycle. These firms raise capital in traditional markets and deploy it into spot Bitcoin.

Quarterly inflows into these companies reached $15 billion in Q2. Capriole counts at least 145 such firms now pursuing this strategy.

The companies can tap larger funding rounds as their market caps inflate from paper gains on Bitcoin holdings. Edwards believes this will help add over $1 trillion to Bitcoin’s market cap over the next year.

Bitcoin traded at $122,438 at press time, extending its gains beyond the $120,000 milestone reached earlier in the day.