According to Glassnode's latest 'Weekly On-Chain' report, BTC soared to a new historical high on November 6 and is expected to rise further, especially with significant inflows from institutional and retail capital and increasing market volatility.
This milestone surge occurred with a total monthly capital net inflow of $2.5 billion, and in the past 30 days, BTC's market actual capital total increased by 3.8%.
Driven by new capital entering the market, BTC's actual market capital total (RealizedCap) has now reached a record $656 billion.
The options market reflects the upward momentum of BTC, with open interest close to historical highs at $25.2 billion, just shy of the historical peak of $30.2 billion in March.
At the same time, options trading volume also surged to $2.9 billion, reflecting increased investor interest in BTC's future price movements.
The report notes that the ratio between put options and call options is nearly balanced, indicating that investors are preparing for potential gains and downside risks.
The report also highlights that the volatility risk premium (VRP) currently stands at 27.9%, indicating that traders expect significant price fluctuations in the future.
The rise in short-term BTC options implied volatility reflects that the market is preparing for turbulent trends, suggesting that the crypto asset space may see further price increases or fluctuations in the coming days.
The demand for BTC ETFs has been a significant driver of capital inflow, with this week's demand showing a mixed trend.
From November 4 to November 5, nearly $658 million flowed out of BTC ETFs listed in the U.S., as investors took a cautious stance regarding potential market volatility after the election.
However, throughout the past week, BTC ETFs recorded over $2.2 billion in capital inflow, indicating that investor interest in these products remains high as BTC prices soar.
Meanwhile, ETFs experienced significant trading volume on November 6, with BlackRock's IBIT recording over $1 billion in trading volume within the first 20 minutes of trading.
Analysts believe this may indicate that the strong inflow seen in the past week will continue in the coming days.
According to Glassnode, setting a new historical high could attract more ETF investors, especially those drawn to BTC's strong upward momentum.
