CryptoBitcoinBitcoin Faces Price Pressure Amid ETF Outflows and Market Sentiment

Bitcoin Faces Price Pressure Amid ETF Outflows and Market Sentiment

Bitcoin encountered another dip below $65,000 for the second time in three days, influenced by substantial outflows from spot Bitcoin exchange-traded funds (ETFs) last week. Starting from an opening of $66,629, Bitcoin saw a decline to an intra-day low of $65,050 on June 17. Currently, the cryptocurrency is trading at $64,800, marking a 2.56% drop within the past 24 hours.

This recent correction forms part of a broader downtrend that saw Bitcoin hitting a recent low of $60,005 on June 14, coinciding with significant outflows from digital asset investment products. According to CoinShares’ latest report, these outflows amounted to $600 million last week, marking the conclusion of a five-week period of inflows into crypto investment products. The report attributes this downturn to mixed macroeconomic indicators from the U.S. and a hawkish stance from the Federal Open Market Committee (FOMC), which reduced the anticipated rate cuts for 2024 from four to one.

Bitcoin was particularly affected by this negative sentiment, experiencing outflows totaling $621 million, whereas short-Bitcoin products saw marginal inflows of $1.8 million. Data from Farside Investors further supports this trend, revealing net outflows of $580 million from spot Bitcoin ETFs for the week ending June 14.

These substantial outflows from Bitcoin investment vehicles signify declining investor interest, adding downward pressure to Bitcoin’s price. Meanwhile, large-cap altcoins have shown better performance compared to Bitcoin over the past week. XRP and Toncoin, for instance, posted gains of 4% and 11% respectively, as per CoinMarketCap data. Despite Bitcoin’s 5.6% decrease during the same period, it maintained a comparative advantage over several altcoins, including Solana and BNB Chain.

Related Topics:

Share This Post

Andrew
Andrew
Self-taught investor with over 5 years of financial trading experience Author of numerous articles for hedge funds with over $5 billion in cumulative AUM and Worked with several global financial institutions. After finding success using his financial acumen to build an investment portfolio, Andrew began writing and editing articles about the cryptocurrency space for sites such as chaincryptocoins.com, ensuring readers were kept up to date on hot topics such as Bitcoin and The latest news on digital currencies and Ethereum.

Related Posts

Bitcoin Faces Profit-Taking as Bull Run Slows, Consolidation Risks Grow

Bitcoin investors are increasingly cashing in on profits as...

Coinbase’s John D’Agostino Highlights Key Drivers of Bitcoin’s Recent Surge and ETF Potential

John D’Agostino, Head of Strategy at Coinbase Institutional, appeared...

Ethereum Faces Surge in Liquidations, Signaling Potential Downturn Amidst Price Rally

In a surprising shift, Ethereum (ETH), the leading altcoin...

Bitcoin Rallies on Trade Optimism, Inflation Watch, and Crypto Summit Buzz

Bitcoin and a broad array of altcoins surged last...

Ethereum Upgrade, Binance Turmoil, and Global Crypto Shifts Lead Week’s Headlines

This week in crypto saw Ethereum achieve a critical...

Binance Faces Renewed Legal Challenge Over BSV Delisting

Legal Battle Over Binance’s BSV Delisting Enters New Phase...