Bitcoin’s BTC 
$67,352 price rally has continued, setting a new all-time high market capitalization at $1.33 trillion. Bitcoin’s market cap has benefitted from inflows to spot BTC exchange-traded funds (ETFs), the upcoming halving, and increasing investor interest in the cryptocurrency.
Let’s look into the reasons why Bitcoin price is up today.
Spot BTC ETF momentum boosts market sentiment
As Bitcoin’s market cap reached an all-time high, investor sentiment turned to “extreme greed,” as measured by the Crypto Fear & Greed index. The level of greed on March 3 was the highest seen since Nov. 8, 2021.
Despite a bevy of macro headwinds, Bitcoin price continues to push higher, with its volatility and open interest increasing. On March 4, Bitcoin officially set a new all-time high against the euro. When compared against the top 20 global fiat currencies, Bitcoin has also reached a new all-time high fo 2024.
Even with the rapid Bitcoin price growth, BTC continues to leave exchanges, challenging records set in 2021. On March 1, over $2 billion in Bitcoin left centralized exchanges. The exodus has left merely $2.3 billion in Bitcoin remaining on exchanges.
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ETFs open the door for major institutional investor inflows
Trading volumes for Bitcoin investments for the week preceding March 4 reached a record of over $30 billion. The massive trading volume seems to have continued on March 4, with 19.6 million shares of BlackRock’s spot Bitcoin ETF being trading within the first hour of the market opening. The average daily trade volume for the same product is 22.7 million.
According to CoinShares data, institutional investors have pushed $7.6 billion into crypto year-to-date in 2024. In the past week, over $1.8 billion flowed into crypto investment products by institutional investors.
Of the $7.6 billion pushed into crypto funds in 2024, over $7.3 billion has flowed to Bitcoin specifically. The total assets under management (AUM) for Bitcoin dwarfs other digital assets, with $62.71 billion currently deployed.
Related: BTC price nears $67K as new GBTC Bitcoin outflows pass $550M
Retail investors’ interest in Bitcoin increases
Institutional investors are not the only investor cohort showing increased interest in Bitcoin. The number of Bitcoin wallets holding non-zero amounts of BTC has remained above 51 million for the entirety of 2024.
Not only are there more Bitcoin wallets than ever before, but because of consistent month-over-month price growth, nearly all addresses are in profit.
The spike in non-zero wallets, Bitcoin-on-exchange exodus and continued institutional inflow suggest strong bullish optimism for BTC price.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.