Bitcoin Leads $528M Outflows: Market Insights
The post Bitcoin Leads $528M Outflows: Market Insights appeared on BitcoinEthereumNews.com.
Bitcoin (BTC) topped the list in negative flows last week as digital asset investment products saw outflows totaling $528 million. The turnout preceded the ongoing crypto market crash, with BTC still on the frontline. Crypto markets continue to bleed, starting the week off badly. Nevertheless, the crash may provide an opportunity for willing investors to buy the dip. Bitcoin Saw $400 Million Outflows Last Week With total crypto investments outflows reaching $528 million, Bitcoin led the negative flows with $400 million. Ethereum followed with $146 million in outflows, bringing the net outflows since the ETH ETFs (exchange-traded funds) launch in the US to $430 million. Solana recorded $2.8 million in negative flows. For Bitcoin, it marked the first outflow after five weeks of positive flows. CoinShares researchers ascribe it to market fears, citing concerns of a recession in the US, geopolitical turmoil, and “consequent broader market liquidations across most asset classes.” Markus Thielen, Founder and CEO at 10x Research, seems to agree with the recession argument in a statement to BeInCrypto. “Bitcoin and Ethereum tend to underperform during periods that resemble or approach a recession in the United States. Additionally, investors are reducing their positions as prices have fallen below the average entry point for ETF investors, which is approximately $60,000,” Thielen said. Read more: How To Trade a Bitcoin ETF: A Step-by-Step Approach The US session’s opening will be interesting to watch, given this market closed on Friday with Bitcoin at $61,498. Between then and Monday, BTC has lost over $10,000 worth of value, which will likely trigger a response from ETF investors once the market opens on Monday. Specifically, investors should expect price adjustment, potentially leading to a sharp drop in the Bitcoin ETFs’ trading price. Subsequently, investors’ reactions could cause increased volatility in the ETF market, with some…
Filed under: News - @ August 5, 2024 11:26 pm