Spot Ether ETFs See First Outflow After Record 19-Day Inflow Streak

Spot Ether ETFs experienced their first net outflow of $2.1 million on June 13, breaking a record 19-day inflow streak that began on May 16. Despite the sustained demand, Ether (ETH) is trading below its price at the start of the streak, raising questions about market momentum. The data, sourced from Farside, highlights shifting investor sentiment as the crypto market navigates volatility post-ETF launch in July 2024.

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Crypto Analysts See Short-Term Dip, Bull Run Ahead

The cryptocurrency market experienced a sharp decline, with Bitcoin, Ethereum, and Solana losing significant value amid $1.2 billion in futures liquidations. However, analysts like HashKey Capital’s Han Xu believe the correction is temporary, pointing to potential Federal Reserve policy shifts and regulatory easing as drivers for a future rally. Bitcoin’s fixed supply, rising institutional adoption ($45.29B in ETF inflows), and high liquidity sensitivity (beta >8.5) suggest long-term growth potential, with some projecting a $1M BTC price by 2035 if it matches gold’s market cap.

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Bitcoin ETFs Face Outflows as Price Stalls Near ATH

Spot Bitcoin ETFs have struggled to maintain inflows in early June, with consecutive outflows totaling over $600 million between May 30 and June 6. Grayscale’s GBTC remains a major contributor to the outflows, while BlackRock’s IBIT, historically a leader in inflows, saw only modest activity. Bitcoin’s price has been range-bound between $104,000 and $106,000, failing to break past its May 22 all-time high of $111,653. This price stagnation appears to be dampening ETF demand, contrasting sharply with the aggressive inflows seen during mid-May’s bullish rally. However, a recent uptick in Bitcoin’s price could signal a potential reversal in ETF flows if the momentum holds.

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Spot Ether ETFs See 3-Week Inflow Streak, Nearing $1B

Spot Ether ETFs in the US have extended their inflow streak to three consecutive weeks, bringing in $837.5 million since May 16—roughly 25% of the total $3.32 billion accumulated since their July 2024 launch. Daily inflows hit $25.3 million on June 6, marking 15 straight days of positive movement. Analysts suggest the streak could surpass $1 billion if the trend persists next week, signaling growing investor confidence in crypto-based ETFs. Farside data highlights the sustained demand for ETH exposure through regulated products.

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Spot Bitcoin ETFs Slow as BTC Hits $105K

Spot Bitcoin ETF flows slowed between May 6-12, with a marginal $5.2 million inflow on May 12 after an $85.7 million outflow earlier in the week. Despite the dip in institutional demand, Bitcoin’s price rose from $96,825 to $104,405 during the period. Analysts attribute the softer flows to profit-taking near psychological price levels and a natural cooldown after April’s aggressive accumulation. The broader trend remains net positive, suggesting institutional investors are recalibrating rather than exiting. Sustained BTC prices above $100,000 could maintain bullish momentum, though prolonged weak inflows may increase volatility risks.

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Nasdaq Files for In-Kind Redemptions in BlackRock Bitcoin ETF

Nasdaq has filed to amend BlackRock’s Bitcoin ETF to allow in-kind creation and redemption, enabling Authorized Participants to use cash or Bitcoin for transactions. This change aims to enhance efficiency and liquidity, although individual investors will still rely on cash models. The BlackRock iShares Bitcoin Trust has seen significant inflows, totaling $39.57 billion since its January 2024 launch.

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Bitcoin Market Volatility Amid Legal Battles and ETF Withdrawals

Bitcoin experienced significant volatility this week, dropping from a high of over $102,000 to around $94,400, influenced by Federal Reserve signals on interest rates and low unemployment data indicating potential inflation. Additionally, a U.S. court has approved the sale of over 69,000 Bitcoin seized from the Silk Road, valued at $6.5 billion, which could further impact market prices. Investors are also pulling out of American Bitcoin ETFs, contributing to the downward trend.

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Bitcoin Investors Withdraw Nearly 570 Million Amid Price Decline

Bitcoin investors withdrew nearly $570 million from US-listed spot ETFs on January 8, as the cryptocurrency’s price dipped below $100,000, marking the second-highest daily outflow since launch. The Fidelity Wise Origin Bitcoin Fund was responsible for 45% of this outflow. Despite the significant liquidations totaling $521 million in the crypto market, the Crypto Fear & Greed Index still indicates a sentiment of “Greed” at 69, suggesting that market confidence remains relatively intact.

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