Bitcoin's current trends reflect its successful periods in 2016 and 2020. However, since July, demand has shown stagnation. CryptoQuant analysts are examining Bitcoin’s performance during this period to make future predictions.
US Spot ETFs Boost Demand
According to analysts, the growth in Bitcoin demand has stalled since July. Compared to the demand surge in April, a recovery is expected in the fourth quarter. Particularly, exchange-traded funds (ETFs) in the US are playing a significant role in increasing Bitcoin demand. BlackRock's IBIT ETF has invested $612 million in the last seven trading days, adding approximately 10,000 BTC.
Total Bitcoin Portfolio Reaches $56 Billion
Recent data shows that BlackRock's IBIT ETF holds 367,000 Bitcoins, accounting for about 1.7% of the total 21 million BTC. When combined with eleven US funds, they possess 926,638 Bitcoins, valued at $56.7 billion. Since the launch of new funds at the beginning of 2024, Grayscale’s GBTC has experienced over $20 billion in outflows.
Willy Woo: Reaching New All-Time Highs Will Take Time
According to CryptoQuant's analysis, a recovery in Bitcoin demand this quarter could lead BTC to reach the $85,000-$100,000 range. However, long-term observer Willy Woo states that it will take time for BTC to reach new all-time highs.
Woo mentions, "The mid-term structure is shifting from bearish to neutral, and we expect a rise eventually. It will take time to reach ATH. A wait of 1-3 weeks is appropriate in the short term. Uptober won't happen; October will be sideways, and we will continue to see a positive long-term outlook in November and December."
General Outlook on Bitcoin's Future
The current state of the Bitcoin market, considering demand dynamics and the role of ETFs, holds potential for balanced growth in the coming period. Experts suggest that while short-term volatility may remain limited, positive trends are expected to persist in the long run.
For Bitcoin holders, the current market conditions present dynamics that warrant careful observation. The investment opportunities presented by ETFs and demand fluctuations are significant factors in determining Bitcoin's value and its position in the market.
