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Bitcoin Surpasses $71K, Setting a New Record High

ByDayne Lee

Mar 12, 2024
Bitcoin Surpasses $71K, Setting a New Record High

Bitcoin marked a significant milestone on March 11 by reaching a new all-time high of $71,415, following a 2.62% increase in the preceding 24 hours, as reported at 08:05 am UTC. The pioneering cryptocurrency has shown remarkable performance, with a 10% rise over the last week and a 47% surge in the past month, according to CoinMarketCap. This record-setting event occurred just days after Ethereum surpassed the $4,000 threshold for the first time since December 2021.

Countdown to the Bitcoin Halving

This new peak in Bitcoin’s price precedes the much-anticipated Bitcoin halving event, slated for April 20. The halving will see mining rewards halve from 6.25 BTC ($418,800) to 3.125 BTC ($209,400), an event historically associated with bullish market movements. Additionally, Bitcoin achieved its highest-ever weekly close at 68,955 on March 10, shortly after surpassing its previous all-time high of $69,200 on March 5.

Institutional Interest Fuels the Rally

A significant factor behind Bitcoin’s current bullish run is the increased institutional interest sparked by the introduction of spot Bitcoin ETFs in the United States. Since their inception, these ETFs have acquired 4.06% of the total Bitcoin supply, translating to over $56.9 billion in on-chain holdings, as per Dune Analytics. At this acquisition rate, ETFs are on track to secure 8.65% of the BTC supply annually.

In just the last week, Bitcoin ETFs, including Grayscale’s GBTC fund, which experienced more than 10,200 BTC in outflows, collectively added 33,000 BTC ($2.3 billion) to their holdings, as detailed by HODL15 Capital. Bitwise’s investment memo to investors on March 9 further highlighted the anticipation of more institutions, wielding “trillions of dollars in assets,” planning to invest in spot Bitcoin ETFs by the end of June.

Whale Behavior Amidst Market Highs

Despite Bitcoin’s soaring values, the community of Bitcoin whales, or addresses holding at least 1,000 BTC, has shown a trend of holding onto their assets. The number of such unique addresses has climbed to 2,107 as of March 9, although this figure still falls short of the record 2,489 addresses observed in February 2021 when Bitcoin’s price hovered above $46,000.

EventDetail
New All-Time High$71,415 on March 11
Preceding Week’s Growth10%
Past Month’s Surge47%
Anticipated Halving EventSet for April 20, reducing mining rewards
Institutional InterestSpot Bitcoin ETFs amassing over 4% of BTC supply
Whale AddressesHolding steady, with 2,107 addresses holding at least 1,000 BTC

Bitcoin’s journey to surpassing $71K for the first time is a testament to its growing acceptance and the increasing interest from institutional investors. As the cryptocurrency market continues to evolve, particularly with the upcoming halving event, the landscape is ripe for further developments and potential shifts in investor behavior. With Bitcoin ETFs playing a significant role in the market dynamics and whales maintaining their holdings, the trajectory of Bitcoin’s value and its impact on the broader financial ecosystem remains a focal point of interest.


Featured image credit: rabbizz77 via Adobe Stock

Dayne Lee

With a foundation in financial day trading, I transitioned to my current role as an editor, where I prioritize accuracy and reader engagement in our content. I excel in collaborating with writers to ensure top-quality news coverage. This shift from finance to journalism has been both challenging and rewarding, driving my commitment to editorial excellence.