Bitcoin's recent surge in price to $69,000 has brought relief to investors who have experienced months of stagnant trading, according to data from Glassnode, a leading onchain market intelligence firm. This increase in price aligns with the cryptocurrency surpassing several technical thresholds, including the 200-day and 111-day moving averages, which have historically been linked to price movements.
Glassnode's latest onchain report reveals that there has been a significant increase in net capital inflows into Bitcoin, totaling $21.8 billion (3.3%) over the past 30 days. As a result, the Realized Cap, which measures the value of all Bitcoin in circulation at the time it was last moved, has reached a new all-time high of over $646 billion. This suggests that liquidity in the cryptocurrency market is increasing, and the influx of capital is supporting the price surge.
Furthermore, Glassnode's report highlights the positive sentiment among short-term investors. All sub-age groups within this cohort are now experiencing unrealized profits, indicating that market confidence is being bolstered by these returns. Analysts Ukuria OC and Cryptovizart suggest that this could act as a "tailwind" for further upward price action as investors are incentivized to stay in the market.
In terms of derivatives, the open interest in bitcoin futures has reached a new high of $32.9 billion, with institutional involvement, particularly through the Chicago Mercantile Exchange (CME), being a significant driver of this growth. Glassnode's analysis reveals a significant increase in cash-and-carry trading strategies, where institutional traders use CME futures for hedging and generating yield. With the current annualized basis yield at approximately 9.6%, nearly double the yield on short-term U.S. Treasury bonds, analysts predict that institutional interest in bitcoin will continue to strengthen in the coming months.