The crypto market rally is starting to show signs of exhaustion, but Bitcoin and altcoin charts highlight traders' desire to continue buying each dip.
Bitcoin (BTC) made a new all-time high at $73,650 on March 11. One of the main reasons for Bitcoin’s sustained rally is the solid demand for the spot Bitcoin exchange-traded funds. Data shows a new record of more than $1 billion in inflows into Bitcoin ETFs on March 12.
The insatiable appetite for Bitcoin ETFs far exceeds the newly mined Bitcoin supply in 2024. Compared to about 65,500 Bitcoin mined in 2024, the two largest Bitcoin ETFs have gobbled up more than 330,000 Bitcoin. A strong demand is likely to limit the downside in the near term. Bernstein analysts anticipate Bitcoin to reach $150,000 by mid-2025.
However, nothing goes up in a straight line. Every bull market has its share of corrections. Sentiment can change quickly if a pullback starts. Data from IntoTheBlock shows that 100% of Bitcoin holders are in profit. That may cause a sell-off if Bitcoin breaks below crucial near-term support.
