Bitfinex analysts believe that despite a decline in spot buyer demand, the recent streak of Bitcoin exchange-traded fund (ETF) inflows could potentially support the price of BTC. They see sustained ETF inflows as a counter-argument to their prediction of short-term price consolidation due to a slowdown in Bitcoin purchases on crypto exchanges. The analysts explain that with buying in the spot market slowing down, BTC is likely to trade within a range in the near future.
In a month typically considered bearish for Bitcoin traders, spot Bitcoin ETFs have seen a positive streak. On September 24, these ETFs recorded cumulative inflows of $136 million, marking a four-day streak of positive inflows. Since its launch in January, spot Bitcoin ETFs have received a total of $17.84 billion in inflows.
Historical data shows that September is the worst month for Bitcoin, with an average monthly loss of 4.49% over the past 11 years. However, as of publication, Bitcoin’s price has increased by approximately 6.26% since September 18, trading at $63,713.
During this period, Bitcoin’s dominance in the total crypto market cap has decreased by 1.35% to 57.62%, according to TradingView data. Bitfinex analysts suggest that if ETF inflows remain positive and traditional finance markets like the S&P 500 continue to rally, Bitcoin could experience further upside.
However, if spot buyer demand does not recover, the most likely scenario is a consolidation or partial correction in Bitcoin’s price without sustained spot buying.
There is a consensus in the industry that the outcome of the November US presidential election will play a crucial role in determining Bitcoin’s future price direction. Regardless of the election’s outcome, some industry leaders expect Bitcoin to reach six figures within the next twelve months.
Geoff Kendrick, the global head of digital assets research at Standard Chartered, believes Bitcoin will likely reach $200,000 by the end of 2025, regardless of the winner of the 2024 US presidential election.
It is important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any investment or trading decisions.