Bitcoin’s rally above $73,000 persists despite swift plunge

Bitcoin’s rally above $73,000 continues despite a sudden drop in price. The cryptocurrency reached an all-time high of $73,887 before briefly touching $74,000 and then experiencing a rapid pullback. This surge in volatility followed a record-breaking day, with over $1 billion in net inflows. Blackrock, in particular, recorded a historic $849 million inflow for spot Bitcoin exchange-traded funds (ETFs), indicating growing demand. Coinranking data also suggests that Bitcoin surpassed $78,000 on Korean exchanges due to the Kimchi premium phenomenon. Despite a minor dip below $69,000, Bitcoin seems to be regaining strength as long traders anticipate further positive movements. The number of long positions exceeds short positions by nearly $10 million at the moment. Analysts at QCP Capital observe a softening in front-end volumes, with Ethereum volumes experiencing a more significant decline compared to Bitcoin. They suggest that investors may view current price levels as an opportunity to sell spot-forward spreads at elevated levels.