Bitcoin derivatives data suggests room for additional price upside in the coming weeks as Ethereum ETF approval chances rise.
Bitcoin (BTC) has experienced a significant surge, gaining 8.5% within 24 hours to reach $71,926 on May 21. This move places Bitcoin just 2.5% shy of its all-time high. Moreover, BTC derivatives are showing favorable conditions for breaking new all-time highs in the weeks ahead.
The 4% daily jump in BTC price appears to be spurred by growing optimism around the approval odds of a U.S. spot Ethereum exchange-traded fund (ETF) and a general market trend seeking inflation protection. This trend has also propelled gold and the S&P 500 to new all-time highs on May 20.
Many traders wonder whether the recent price surge in Bitcoin was driven by excessive use of leveraged long positions and what the implications of a spot Ether (ETH) ETF are.
