Despite concerns over Iran and DeFi hacks, the outlook for bitcoin remains positive, with the cryptocurrency currently trading at $76,355.96. Strong institutional interest is evident, with U.S.-listed spot ETFs experiencing significant inflows of $996 million last week, up from $786 million the previous week. For a substantial price increase to occur, sustained inflows are necessary.
According to Timothy Misir, head of research at BRN, consistent ETF flow regimes are crucial, as they indicate structural demand. Bitcoin has held steady above $75,000 after reaching highs of over $78,000 on Friday. Other major tokens, such as ether and Solana, are also showing similar patterns. The DeFi platform Aave's token has dropped 1% to $90 following the KelpDAO hack, with the DeFi dominance rate remaining flat at around 3%.
Analysts attribute the pressure on bitcoin to negative reactions in stock markets to news about Iran, which has reduced risk appetite. However, traders are building short positions, which could lead to a 'short squeeze' if prices remain steady.
In other news, the U.S. has seized an Iranian cargo ship, and traders are advised to stay alert.
The chart for Solana shows a significant level at $95.16, which has acted as resistance since early February. A strong move above this level, backed by increased trading volumes, is needed to invalidate the bearish outlook.
The next major support level is seen at $50.