Bitcoin's price surged more than 5% this week, reaching $67,800 – its highest level in ten weeks. On-chain analytics firm CryptoQuant attributes the rally to a sharp rebound in demand driven by spot exchange-traded funds (ETFs) and large-scale whale accumulation.
Demand Reaches Highest Since April
According to CryptoQuant's latest report, monthly Bitcoin demand jumped by 177,000 BTC last week, the largest increase since April 2024. This demand spike followed months of subdued activity and was quickly reflected in price action, pushing Bitcoin from around $64,500 to the $67,800 mark. Historical patterns show that sustained demand growth often precedes or accompanies significant upward price moves.
Spot ETFs Lead the Charge
The report highlights spot Bitcoin ETFs as a key demand driver. U.S.-listed spot ETFs bought nearly 8,000 BTC in a single day recently, marking the largest daily purchase since July. In the first quarter of 2024, these funds averaged 9,000 BTC in daily purchases, contributing to a steady price climb. Should ETF buying continue at this pace into Q4, Bitcoin's price could benefit further, especially given historically positive seasonal trends for the cryptocurrency.
Whale Accumulation Surpasses Key Moving Average
In addition to ETFs, CryptoQuant points to whale accumulation as a major factor. Whales – large holders excluding exchanges and mining pools – have raised their combined holdings to 670,000 BTC, surpassing their 365-day moving average for the first time since the start of the year. This accumulation pattern mirrors previous bull market cycles, where a sustained increase in whale positions above the long-term average often signals further upside potential.
Outlook and Market Implications
Bitcoin's breakout above $67,800 has cleared multiple technical resistance levels and reignited bullish sentiment. Indicators such as MACD and RSI now show strengthening momentum. However, analysts caution that a short-term pullback toward the $65,000–$66,000 support zone could occur as traders take profits. If ETF inflows and whale accumulation persist, Bitcoin may test the psychologically important $70,000 level in the coming weeks.