Bitcoin price shoots past $71,000: is the bull market back?

-->The bitcoin price has shot past the level of 71,000 again and this seems to be the result of positive news from the financial heart of London. Approval has been given there for a marketplace for trading bitcoin and ethereum exchange-traded notes (ETNs); which should launch in May.

From April 8, it will be possible to submit applications for such products to the London Stock Exchange.

Strong upward momentum for bitcoin

Singapore-based QCP Capital said on Telegram that there was “strong upside momentum” for bitcoin following this development, as more fund managers add the digital coin to portfolios for diversification purposes.

According to QCP Capital, employees at asset managers and major banks are “positively shocked” by the enormous demand from their clients for Spot Bitcoin ETFs and requests for structured products.

Over the past 24 hours, this resulted in an increase of 6.14 percent for bitcoin. This puts it very close to its all-time high at the current price of $71,013.

Now it remains to be seen whether Bitcoin can continue that positive momentum through the rest of the trading week. The focus will of course be on the performance of the Spot Bitcoin ETFs, which saw a positive day yesterday for the first time in five days.

Moderate ETF flows no reason to worry

The Bitfinex analysts do not yet see the declining inflows of the Spot Bitcoin ETFs as a reason to be very concerned about the bitcoin price.

They claim that it is mainly long-term holders who are currently taking their profits and benefiting from the enormous increases that bitcoin has experienced in recent months.

The same goes for shareholders of GBTC, a fund that has been around since 2013, where a lot of people are probably sitting on huge profits.

Due to the high management fee they charge, it is not surprising that people now decide to take their profits, which of course has an impact on the bitcoin price.