The Bitcoin market has entered a state of heightened anxiety, with the Fear and Greed Index dropping into the red zone at a reading of 29, reflecting widespread investor apprehension.
This sentiment shift coincides with a 2.5% decline in the price of Bitcoin, falling from $85,830 to $83,812 at the time of reporting. Historically, such fear-driven periods—particularly those marked as “extreme fear”—have signaled potential buying opportunities, often preceding upward price movements. Conversely, periods marked by greed typically signal an overheated market approaching a correction.
Despite the prevailing fear, there are signs of renewed investor confidence. According to data from on-chain analytics platform @lookonchain, Bitcoin-focused exchange-traded funds (ETFs) have returned to net positive inflows after a week of consistent outflows.
A total of 672 BTC, valued at approximately $56.38 million, has flowed into Bitcoin ETFs today. Notably, only four of the ten tracked ETFs recorded net inflows. Leading the charge is asset management giant BlackRock (NYSE: BLK), which added 455 BTC worth $38.16 million to its holdings. This solidifies BlackRock’s position as the largest institutional holder of Bitcoin, with a total stash of 571,869 BTC valued at $40.01 billion.
Other notable inflows include Ark21 Shares and Bitwise, absorbing 160 BTC and 131 BTC, respectively. Franklin Templeton also posted a modest gain of 58 BTC. Meanwhile, Valkyrie and Invesco Galaxy ETFs registered outflows of 19 BTC and 104 BTC, underscoring a still-divided market sentiment.
As fear grips retail investors, institutional buying through ETFs may suggest underlying confidence in Bitcoin’s long-term trajectory.
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