According to the data from Farside Investors, BlackRock’s spot Bitcoin (BTC) ETF, IBIT, purchased $107.9 million worth of BTC on Mar. 26. The purchase may have been the reason for BTC briefly reclaiming the $88,000 level. The growing institutional interest in the asset has led to substantial price spikes.
Also Read: Jim Cramer Calls to Sell Alphabet (GOOGL) Stock: Here’s Why
Cryptocurrency Market Recovery
The cryptocurrency market may be entering another recovery phase. BTC’s rally to $88,000 may have triggered a brief market-wide rally on Mar. 26.
Other bullish developments may have also aided the market rally. The SEC has dropped its litigation against Ripple. The financial regulator also announced four more crypto round tables. The developments may have pushed BTC and other assets.
Also Read: Tesla (TSLA) Stock Up 14% in 5 Days & Analysts Are Saying This Why
The Fed pausing interest rates after its recent meeting may have also helped investor confidence.
BlackRock’s Bitcoin Purchase To Push Markets?
Institutional investments are one of the biggest drivers for an asset’s price. Bitcoin (BTC) has experienced a massive price surge since the approval of spot ETFs by the SEC last year. BlackRock is the world’s largest asset manager. The financial institution has about $11.5 trillion worth of assets under management.
BlackRock’s latest purchase highlights the growing institutional interest in Bitcoin (BTC). The move could be a signal of an incoming rally. Investors may follow the institution’s path and start buying more BTC.’
Also Read: Amazon (AMZN) Could Deliver 15% Gains This Year: Here’s How
According to CoinCodex, Bitcoin (BTC) may continue to rally over the coming weeks. The platform anticipates the asset to hit a new all-time high of $128,967 on Apr. 6. BTC’s price will rally by about 47.7% if it hits the $128,967 target.
There is also a possibility that BTC’s price will consolidate around current levels, or face another correction. Macroeconomic headwinds may present considerable challenges to the crypto market.