ETFs
US Bitcoin ETF Sees $545 Million Outflow, BTC Drop to $60,000 Imminent?
Bitcoin price continued to struggle this week as US Spot Bitcoin ETFs saw significant outflows. According to data from Farside Investors, these ETFs faced a total outflow of $545 million this week, raising concerns about Bitcoin’s near-term performance. Additionally, it is worth noting that the US Spot Bitcoin ETF saw an outflow in just four trading days this week, with the exchange closed on June 19 due to the June 19 holiday.
US Spot Bitcoin ETF Sees $545 Million Outflow
The latest data from Farside Investors shows that the US Spot Bitcoin ETF saw a notable outflow of $545 million this week, reflecting growing investor caution. Notably, the price of Bitcoin also remained in the red despite a brief recovery over the past 24 hours.
At the same time, the outflows highlight a prevailing bearish sentiment in the market. Notably, outflows occurred over four trading days due to the June 19 public holiday, with the lowest single-day outflow recorded on Friday, June 21, at $105.9 million.
Source: Farside Investors
Fidelity’s FBTC led June 21 outflows, with an exodus of $44.8 million. Follow closely Grayscale GBTC and ARK 21Shares Bitcoin ETF (ARKB), with outflows of $34.2 million and $28.8 million, respectively. These figures highlight a general trend of declining investor confidence in several major ETFs.
Meanwhile, this large withdrawal of funds from Bitcoin ETFs has raised alarms among market analysts and investors. These outflows come at a time when Bitcoin’s trading volume and price have shown signs of weakness, adding to uncertainty about its near-term prospects. The market’s reaction to these capital outflows could be a harbinger of further price declines as investor confidence wavers.
Read also: Crypto stocks plunge as market collapses
Market analysts predict BTC decline to $60,000
Substantial outflows from Bitcoin ETFs, coupled with slowness Trading Bitcoins activity, have led to much speculation about a possible drop in prices. Notably, renowned crypto analyst Rekt Capital warned that Bitcoin could further decrease in the coming days. It suggests that while Bitcoin may face additional downward pressure in June, a recovery and subsequent rally will likely follow this downturn.
On the other hand, another prominent market analyst, Ali Martinez, recently observed a notable decline in investor interest in the price of Bitcoin. This waning interest could further exacerbate the downward pressure on the price of Bitcoin, pushing it towards the $60,000 mark.
The combination of large ETF outflows and lackluster market performance has increased concerns among Bitcoin investors. Although the market may experience a temporary decline, some analysts remain optimistic about Bitcoin’s long-term potential, expecting it to recover and continue to recover after this period of volatility.
At the time of writing, Bitcoin Price was down 0.3% and trading above $64,300. Over the past 24 hours, the flagship crypto touched a low of $63,378.89, with one-day trading volume down 7% to $24.13 billion. However, over a four-hour period, BTC Futures Open Interest rose 0.43% to $5.50 billion, indicating that investors may be regaining confidence in the crypto.
Read also: Regulatory challenges force Apple to pause AI improvements in Europe