Crypto News

FOMO Returns As Bitcoin Surges To $63.3K Amid Market Rebound

The cryptocurrency market is witnessing a significant resurgence, with Bitcoin climbing back to $63.3K.

This rally began almost immediately after the near-assassination of former President Trump on Saturday, and the bullish momentum has shown no signs of slowing down. However, experts recommend caution, as the crowd’s overwhelming bullish sentiment could indicate potential volatility.

Bitcoin’s sentiment has shifted towards greed and FOMO, evidenced by an 8.7% increase over the past 48 hours. Analysis reveals that 49% of the comments on Bitcoin are positive, 21% are neutral, and 30% are negative. This mixed sentiment suggests a market driven by high expectations but tempered by underlying caution.

Analyst Ali Martinez has noted that the TD Sequential indicator is presenting a sell signal on Bitcoin’s 4-hour chart, suggesting a possible brief correction.

Despite this, if Bitcoin reaches $65,500, approximately $29.39 million in short positions will be liquidated, potentially driving the price even higher.

On-chain data has added to the market buzz, with Mt. Gox transferring 42.587K BTC (worth $2.7 billion) to a new address, likely part of their ongoing refund process. They still hold 138.457K BTC ($8.7 billion). Additionally, in just two hours, they moved another $3 billion to new addresses, indicating significant activity.

Bitcoin ETFs Continue Strong Movement With Notable Net Inflow

In the ETF space, Bitcoin ETFs continue to show strong net inflows. On July 15, 2024, there was a net inflow of $301 million, marking the seventh consecutive day of positive inflows. Notably, ARK (ARKB) saw an inflow exceeding $100 million after 27 trading days, while BlackRock (IBIT) reported another substantial inflow of $117 million. Meanwhile, Grayscale (GBTC) maintained a net flow of $0 after one day of inflow. Overall, the cumulative total net inflow for the 10 US Bitcoin ETFs has surpassed $16.11 billion, setting a new all-time high.

As the market continues to rally, investors are advised to remain vigilant. While the bullish momentum is strong, the potential for corrections and market fluctuations remains, especially given the significant movements of large holders like Mt. Gox and the high levels of FOMO-driven activity.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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