coindesk.com
Bitcoin ($BTC) is close to reaching $100,000, with prices hovering just over $99,000 after a recent spike.
U.S. spot $BTC ETFs have seen over $1 billion in net inflows, with BlackRock’s IBIT leading at $600 million.
While there's strong demand and bullish long-term bets with futures and options pricing above $100,000 into 2025, a short-term pullback near $100,000 is anticipated.
Bitcoin ($BTC) prices are a little over 1% away from reaching a landmark $100,000, close to 15 years after the asset was first issued.
$BTC prices spiked above $99,200 early Friday, dipping to $98,600 before holding over $99,000 in Asian afternoon hours. Overall market capitalization stands at a record $3.4 trillion, adding 4.5% in the past 24 hours, mainly on $BTC’s 2% jump ($BTC is over 56% of the total market cap).
Spot $BTC exchange-traded funds offered in the U.S. recorded over $1 billion in net inflows, data shows, led by BlackRock’s IBIT at $600 million in purchases. Fidelity’s FBTC recorded over $300 million inflows, with no outflows from any of the eleven ETFs.
Strength in $BTC is leading to a rotation in other major tokens ahead of the weekend, buoyed by renewed bullish hopes about a crypto-friendly Trump administration that takes office in January.
Ether ($ETH) is up nearly 9% in the past 24 hours, boosting various indexes that track the broader decentralized finance (DeFi) sector by at least 8%. Notable Ethereum-based memecoins such as mog (MOG) and pepe (PEPE) are up as much as 27% on their tendency to act as beta bets on $ETH’s growth.
Solana’s SOL is up 8%, setting fresh highs above $260 amid exchange-trading fund (ETF) filings in the U.S. and continual usage of the blockchain for speculative trading. Cardano’s ADA is up 12%, the second-most gains among majors after $XRP.
Elsewhere, $XRP zoomed 25%, leading growth among major tokens, as SEC chair Gary Gensler announced he would step down in January, clearing headwinds for tokens related to U.S. companies.
Traders expect $BTC prices to continue holding strong in the short term.
“We continue to see strong demand for $BTC alongside further easing of monetary policy by global central banks, $BTC prices are likely to remain supported as we approach the end of the year,” traders at QCP Capital said in a Friday broadcast. “Throughout the week, our desk observed aggressive demand in March and June Calls, signaling investors' long-term bullish sentiment for next year.”
Deribit's $BTC futures expiring in March, June and September 2025 trade above $100,000. $BTC call option at the $100,000 strike now boasts an open interest of over $2 billion, indicative of traders’ expectations of movement to the upside.
A short-term pullback from the $100,00 level can be expected, however, as multiple CoinDesk analyses noted earlier in the week.