Increased demand and heightened volatility signal further upside for Bitcoin – Glassnode

Bitcoin (BTC) has reached a new all-time high and is expected to continue its upward trajectory due to increased demand from both institutional and retail investors, as well as heightened market volatility, according to Glassnode’s latest report. The report notes that Bitcoin has seen significant monthly net capital inflows of $2.5 billion, resulting in a 3.8% increase in its market Realized Cap over the past 30 days, now standing at a record-breaking $656 billion. The options market has also seen a surge in activity, with open interest levels reaching near-record highs at $25.2 billion, indicating growing investor interest in Bitcoin’s future price movements. The volatility risk premium sits at 27.9%, signaling that traders expect substantial price swings in the near future. Additionally, despite some outflows due to investor caution surrounding post-election market volatility, Bitcoin-based ETFs have recorded over $2.2 billion in inflows over the past week, suggesting sustained investor interest as Bitcoin prices continue to rise. Glassnode predicts that achieving a new all-time high could attract more ETF investors, particularly those who are attracted to Bitcoin’s strong upward momentum.