Cryptocurrencies

Bitcoin's Bullish Climb to $68,000 & Dogecoin's Surge: Insights from CoinDesk

Bitcoin's Bullish Climb to $68,000 & Dogecoin's Surge: Insights from CoinDesk

In the latest update from First Mover, CoinDesk's daily newsletter, Bitcoin (BTC) continues its upward trajectory, flirting with the $68,000 mark amid significant ETF inflows. Bitcoin demonstrated resilience early in the European trading hours, attempting to solidify above $68,000 before retracting slightly to around $67,800. In the past 24 hours, BTC has gained approximately 1.35%, outperforming the broader digital asset market measured by the CoinDesk 20 Index, which registered an increase of just under 0.8%.

Over the week, Bitcoin's value has surged by nearly 9%, buoyed by strong investor interest in spot BTC ETFs. U.S.-listed Bitcoin ETFs have recorded an impressive inflow of $1.86 billion since Monday, marking their highest weekly intake since March, despite having one day remaining in the trading week. Worldwide, Bitcoin ETPs have enjoyed their most prosperous week since July, amassing a cumulative inflow of 25,675 BTC, equivalent to $1.74 billion.

This rush to Bitcoin exposure amidst its positive rally demonstrates investors' growing confidence in cryptocurrency markets. With U.S.-listed ETFs attracting nearly $1.9 billion in inflows—21,450 BTC in total—these funds have effectively secured a volume of Bitcoin equating to about 48 days' worth of newly mined coins, considering a daily mining output of approximately 450 BTC.

Since their inception, these spot ETFs have accumulated more than $20 billion in net inflows, an achievement that highlights the rapid maturation of Bitcoin ETFs compared to Gold ETFs, which took five years to reach a similar threshold, as noted by Bloomberg's ETF Analyst Eric Balchunas.

In a parallel development, Dogecoin (DOGE) experienced a notable uptick late Thursday in U.S. hours, spurred by Elon Musk's unveiling of plans for a proposed “Department of Government Efficiency” at a town hall event in Pennsylvania. The announcement, paired with efforts to galvanize early voting in a closely contested state, propelled DOGE's price up by over 9% to surpass 13 cents, a level not seen since late July.

Outpacing Bitcoin's 1% rise over the same 24-hour period, Dogecoin extended its one-week gains to over 22%, marking the most significant increase among major tokens. Musk, a prominent supporter of former President Donald Trump's political campaign, has pledged substantial financial backing exceeding $75 million since July and is anticipated to participate in several campaigning events in Pennsylvania, underscoring his influence in both political and cryptocurrency spheres.