Bitcoin’s $73K push may hinge on ETF demand: Analysts

Bitcoin has climbed toward $73,000 after a record short squeeze and falling U.S. Treasury yields powered an 11% rally, but analysts have warned that continued ETF and spot demand will decide whether the breakout holds. Summary Bitcoin has gained about 11% in 24 hours and reached a two-month high near $73,000. U.S. spot Bitcoin ETFs drew $517 million on Aug. 19, their strongest inflow since May. Nearly $2.7 billion in bearish crypto positions were liquidated as Bitcoin broke above $70,000. Analysts see ETF demand, Treasury yields and U.S. political progress as the next tests. Bitcoin’s short squeeze has accelerated the breakout Nansen Senior Research Analyst Nicolai Søndergaard told crypto.news that forced short covering accelerated Bitcoin’s rise, although institutional demand and improved liquidity conditions had already given the market an upward bias. “Bitcoin’s move above $70,000 reflects a combination of forced short covering, renewed institutional demand and a more supportive liquidity backdrop,” Søndergaard said. Bitcoin traded near $72,600 after reaching about $72,800 on Aug. 20, extending a rally that began when the price cleared resistance around $65,000 and $67,000. The ...