Bitcoin price forecast: Can ETFs Drive BTC above $75k before Halving?

Bitcoin (BTC) price has started the week strongly, breaking above the $70,000 mark in the last two trading days. On-chain data shows that ETFs positive netflows and increased bullish pressure in the derivatives markets are key catalysts.

Can Bitcoin price reach a new all-time high above $75,000 before the Halving?

Bitcoin ETFs started the week with $15M inflows

Bitcoin price surged to a 10-day peak of $71,549 on March 26, up 15% from last week’s bottom of $60,761. Last week’s dip was largely attributed to the $900 million outflows from Bitcoin ETFs, led by Grayscale.

However, things appear to have taken a positive turn this week. While Grayscale is battling BTC outflows and redemption requests, the other 10 newly approved have witnessed a significant increase i market inflows this week.

The latest market data shows that the 10 new ETF acquired a total of 5,171 BTC the first day of trading for the week. The inflows were led by Fidelities (FBTC) which acquired 3,702 BTC.

Meanwhile, Grayscale offloaded another 2,700 BTC, bringing the total netflows to 2,471 BTC worth approximately $17.3 million.

Bitcoin ETFs have become major drivers of BTC price action in recent months. While the $17.3 million is relatively low compared to the daily BTC trading volumes, however, many strategic investors have shown tendency to mirror the ETF trading positions.

Hence, if the ETFs keep the positive netflow trend as the week unfolds, BTC could witness a additional buying pressure from strategic retail and whale investors looking to copy-trade the Wall Street players.

Bitcoin (BTC) Price Forecast:  $75,000 target in firm focus

Drawing insights from the Bitcoin ETF’s buying trend, BTC price is poised for further leg-up towards the $75,000 area. However, in terms of short-term price action, BTC bulls face a major resistance at the $72,000 territory.

Coinglass Liquidation map data shows that SHORT traders have over $2 billion leveraged positions due to be liquidated if price break above $72,000.

To avoid booking such large losses, many of them could make strategic sales or trigger stop-loss orders once Bitcoin price approaches the $72,000 area. Those sell-offs could significantly slow down the $75,000 breakout.

Considering that the potential SHORT liquidations are significantly higher than LONG leveraged positions around the current prices, BTC price is likely to consolidate within the $68,000 to $71,500 range.

But if the ETF demand increases ahead of the Halving, a breakout above $75,000 could be on the cards as predicted.