The past week has been a rollercoaster ride for the Spot Bitcoin ETFs, marked by dramatic shifts in investor sentiment and significant fund flows. The week started shockingly with a staggering $223.8 million outflow on Monday, setting a new record for the largest outflow in Bitcoin ETF history.
Increase in outflows from Bitcoin ETFs
The trend of outflows continued, albeit on a smaller scale, with a total of $18.6 million in net outflows across several major funds on Tuesday. However, on Wednesday there was a sudden reversal as Bitcoin ETFs saw a resurgence in inflows, totaling $123.7 million.
Additionally, GBTC’s outflows fell to a low of $17.5 million while BlackRock’s IBIT saw $33.3 million in inflows. Meanwhile, the Fidelity Wise Bitcoin ETF (FBTC) topped the charts with inflows of $76.3 million. This turnaround brought renewed optimism among investors, signaling a possible shift in market sentiment.
On Thursday, the Spot Bitcoin ETFs recorded inflows of $91.3 million. However, GBTC saw a staggering outflow of $124.9 million despite Wednesday’s rebound. In contrast, the BlackRock Bitcoin ETF experienced substantial inflows of $192.1 million.
The week ended with further fluctuations in fund flows on Friday, as total outflows reached $55.1 million. GBTC accounted for a significant portion of the outflows, with $166.2 million, while BlackRock’s ETF attracted $111.1 million in inflows. As a result, total outflows for the week rose to $82.5 million.
Bitcoin price crash
The price of Bitcoin (BTC) crashed on Saturday, April 13, following a weak week of ETF inflows. Moreover, mass liquidations have also accelerated the decline. Furthermore, bearish sentiment spread through the market with traders aggressively liquidating long positions.
On Sunday, April 14, Bitcoin even hit a low of $60,900 as the crash accelerated. Currently, Bitcoin’s price is down 4.04% to $64,602.22 on Sunday, while it has a market cap of $1.27 trillion. However, trading volume for BTC increased 23.99% to $59.76 billion.
According to Coinglass, a massive $342.03 million worth of BTC was liquidated in the last 24 hours. Of this, a staggering $263.67 million in liquidations were attributed to long positions, which could have accelerated the Bitcoin price decline. In addition, Cryptobenelux previously reported another reason for the possible decline of BTC. Contrary to this trend, crypto analysts have expressed optimism about the future of BTC.
Ben Armstrong, aka BitBoy Crypto, a crypto influencer, has doubled down on his prediction that BTC will hit $100,000 by 2024. Furthermore, Michaël van de Poppe, a crypto analyst, noted that the Bitcoin bull run hasn’t even started yet.
He stated that the rally so far has been in response to the launch of Spot Bitcoin ETFs. In addition, he recommended buying during the dip and choosing altcoins that are low compared to BTC’s valuation. Furthermore, with the upcoming Bitcoin Halving event, the BTC price is expected to reach new highs.
Contrary to these views, Doctor Profit, another crypto analyst on X, expects a limited one
increase in the BTC price if there is a big movement. Amid the bearish trend, he resorted to X and wrote: “The next big move is only up to 77-78k.”
Source: https://cryptobenelux.com/2024/04/14/bitcoin-etfs-zien-grote-uitstromen-voor-scherpe-prijsdaling/
