Bitcoin (BTC) is seeing a surge in trading volume among new institutional investment products. Nearly 1,000 U.S. companies have purchased Bitcoin exchange-traded funds (ETFs).
Daily spot Bitcoin trading volume surpassed $5 billion, according to data uploaded to X (formerly Twitter) by research firm Santiment on May 16.
One day, 7 Bitcoin ETFs, trading volume $5.65 billion
The Bitcoin ETF has not performed since BTC/USD hit an all-time high of $73,800.
As Santiment noted, the seven largest U.S. cash ETFs managed $5.65 billion in trading volume this week, the highest since March 24.
“Gone are the days when whales were only accumulated on-chain,” Santiment said in a comment, describing trading volume as “the main driving force.”
Hedge fund manager Thomas Kralow was equally optimistic.
“This surge in trading activity is a very positive indicator for the market!” He told X number of followers about the data.
Spot ETFs recovered their form as May continued and, as of May 17, were seeing positive inflows every day this week.
Even Grayscale Bitcoin Trust (GBTC), previously known for significant outflows, saw moderate interest totaling $27 million and $4.6 million on May 16 and 17, respectively, according to data from sources including British investment firm Farside. showed.
Additionally, 937 U.S. companies had exposure to Bitcoin ETFs in the first quarter, according to Form 13F. By contrast, in the first quarter following its own launch, the gold ETF attracted only 95 companies.
BTC price action “clearly” establishes $60,000 support.
When considering where BTC price action will head from here, trading firm QCP Capital has identified several factors that are aligned to drive bullish continuation.
Related: Vanguard’s New Boss Says Bitcoin ETF Is Not on the Table: Report
In its latest update sent to its Telegram channel subscribers, QCP emphasized “true institutional and sovereign adoption” and that Bitcoin is now exiting its halving period.
“Every time Bitcoin falls below 60,000, it has seen several sharp V-shaped recoveries, clearly creating dip-buying zones,” he summarized.
Cointelegraph previously reported that bullish confidence in BTC/USD is increasing, as well as new all-time highs and calls for $95,000.
The pair was attempting to break overhead resistance at $67,000 at the time of writing and hit a new May high the day before, according to data from Cointelegraph Markets Pro and TradingView.
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