Bitcoin has been on a roll lately, with a recent 20% surge in its price over the past three weeks. This surge has led to a significant increase in bullish sentiments among traders, as indicated by data from Santiment. In fact, the sentiment towards Bitcoin is now more positive than it has been since March 2023, with social media discussions reflecting this newfound optimism.
Santiment’s weighted sentiment index, which measures the ratio of positive to negative comments on Bitcoin, has reached a 16-month high. The price rally has propelled Bitcoin past the $67,000 mark, representing a 6.22% increase since July 25, based on data from crypto.news. Although Bitcoin hit a high of $69,404 on July 28, it is currently trading around $67,770.
This bullish turn in the market can be attributed to several factors, including lower-than-expected inflation data, hinting at potential interest rate cuts by the U.S. Federal Reserve. Bitcoin has seen a remarkable 23% climb from its recent low of $53,550 on July 5, largely driven by strong demand from Bitcoin ETF investors. These products have seen significant inflows, with $534 million pouring in over the past week. BlackRock’s Bitcoin ETF, in particular, is close to reaching $20 billion in assets under management.
Moreover, there have been positive developments on the legislative front as well. U.S. Senator Cynthia Lummis recently unveiled a comprehensive plan for a national strategic Bitcoin reserve during the Bitcoin 2024 conference in Nashville on July 27. This announcement, coupled with President Donald Trump’s endorsement of the crypto industry during the same event, has further boosted market sentiment.
In addition, reports have emerged that Vice President Kamala Harris’ campaign team has been in talks with major U.S. crypto companies to improve relations. These initiatives, combined with Bitcoin’s price rally and growing support from high-profile figures, underscore a bullish phase for the cryptocurrency market. This sets the stage for potential significant advancements in the near future, as the industry continues to gain momentum and attract more mainstream attention.