Investors are watching Bitcoin closely as markets across Canada and the United States respond to fresh gains. The leading cryptocurrency climbed 1.5% this Thursday, trading around 52,480 euros, climbing past the peak levels seen in December 2021. Through this year, Bitcoin has risen about 24.5%, and over the last 12 months the gain sits near 113%.
Bitcoin’s surge has pushed its market capitalization toward the trillion-dollar mark, supported by daily transaction volumes around 37 billion dollars. The long-run average remains well above 20 billion dollars, underscoring persistent activity in the network. Some analysts, including Damian Nowiszewski of Citibank Europe, point to the momentum as a sign that Bitcoin could test the $60,000 level, noting resistance at recent peaks of around 58,000, 63,258, and 65,520 dollars as all-time highs that still loom above current prices.
Gold’s momentum wavers
Meanwhile, traditional gold has faced asset outflows in the current year, with mainstream gold ETFs shedding about 2.225 million euros, according to Bloomberg. In contrast, flows into cryptocurrency products tell a different story. Data from Farside shows ten approved bitcoin spot ETFs attracting a combined 3.622 billion euros in inflows since their January launch. A main Bitcoin-focused fund launched by BlackRock, a heavyweight in the US market, reported roughly 500 million dollars of net inflows on a recent Tuesday, signaling strong appetite for crypto assets among investors.
Yet not everyone sees a wholesale migration from gold to crypto. Bloomberg ETF analyst Eric Balchunas cautions that gold ETF users may not be abandoning their positions in gold for Bitcoin ETFs en masse, suggesting that risk sentiment in equities could be a bigger driver of these shifts at the moment.
Related news: In January, the approval did not spark a dramatic rally in Bitcoin, as markets had already priced in the potential upside. Caroline Bowler, chief executive of the crypto exchange BTC Markets, told Bloomberg TV that the trend may hinge on rising institutional participation. The sense is that bigger players are moving more money into the space, which could reinforce upside momentum.
Nine straight sessions on the climb
Bitcoin has advanced for nine consecutive sessions, a streak not seen since January of the previous year. That period saw TerraUSD rebound amid broader crypto volatility triggered by the collapse of a notable stablecoin and the onset of tighter monetary policy to curb inflation. The year 2022 proved challenging for Bitcoin, as the asset endured a drop of about 65% during that period.