The current market trend suggests a positive outlook for bitcoin, trading at $76,623.37, despite recent Iran-related news and DeFi hacks. U.S.-listed spot ETFs saw significant inflows of $663 million on Friday, totaling $996 million for the week, indicating strong institutional interest.
For a substantial price increase, this trend needs to continue. According to Timothy Misir, head of research at BRN, sustained ETF inflows signal structural demand, while intermittent flows indicate tactical positioning. Bitcoin's price has remained steady above $75,000 after reaching highs of $78,000 on Friday. Other major tokens like ether, XRP, and Solana have shown similar patterns.
The DeFi platform Aave's AAVE token dropped 1% to $90 following the KelpDAO hack, with the DeFi dominance rate holding flat at 3%. Alex Kuptsikevich, FxPro's chief market analyst, notes that bitcoin's lag behind equities due to negative reactions to Iran news has built potential but not yet realized it.
Traders are building short positions, which could lead to a 'short squeeze' if prices remain steady, potentially pushing spot prices higher. Meanwhile, Solana's weekly price swings show a key level at $95.16, which has acted as resistance since early February.
The fact that SOL has not climbed back above this level points to sustained bearish sentiment and potential for deeper losses, with the next major support seen at $50.