Bitcoin has surged to nearly $74,450, driven by significant ETF inflows, while major altcoins also see gains amid cautious market sentiment.
Bitcoin's price surged past resistance levels, hitting $74,450 on March 16, supported by significant capital inflows into spot ETFs.
Currently, Bitcoin trades at approximately $73,740, reflecting a 3.2% increase in the last 24 hours. This upward trend has been complemented by gains in major altcoins: Ethereum rose 7.8% to $2,266, XRP climbed 5% to $1.48, and Solana saw a 6.1% increase, reaching $93.63.
Capital flowing into crypto funds has been a key factor in this market recovery, with net inflows into spot Bitcoin ETFs amounting to $767 million between March 9 and 13. This trend has persisted for three weeks.
Ethereum-based spot instruments attracted $160.82 million in net investments, while Solana funds gained $10.7 million. However, there was a net withdrawal of $28.07 million from XRP-focused exchange products.
Despite the positive price movements, overall market sentiment remains cautious, with the cryptocurrency sentiment index measuring at 23, indicating "extreme fear."
Andri Fauzan Adziima, head of research at Bitrue, attributed the price increase to short liquidations and institutional interest amidst a historically low supply of coins following the recent halving event. He noted that Bitcoin is proving its status as a "digital gold" and a safe-haven asset, even amid geopolitical tensions, such as those between the U.S. and Iran, which have pushed oil prices near $98 per barrel.
Describing the current movement as a rebound from a low of $60,000, Adziima suggested that for a more robust rally, a new catalyst is needed. Continued inflows into ETFs could potentially push Bitcoin prices to $80,000, with key support levels between $70,000 and $71,000. A breakout from the $73,000-$74,000 range could further accelerate growth.
Analyst Dominic John from Zeus Research added that exceeding the $75,000 threshold could establish a stronger bullish trend. Meanwhile, Min Yun of Presto Research urged traders to pay attention to macroeconomic indicators and corporate activities, citing the recent acquisition of 17,994 BTC by Strategy as critical support for the market.
Earlier in March, analysts at Santiment highlighted a positive signal for Bitcoin, reinforcing the notion of its potential for growth.
