Bitcoin tops : $70,000 again after slumping on US ETF outflows

Bitcoin tops

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Bitcoin tops : Bitcoin enthusiasts appear to be shrugging off last week’s outflows from US exchange-traded funds, with the largest cryptocurrency climbing back above $70,000 again.

Most digital assets were higher Monday, with Bitcoin gaining as much as 7.1% to $70,816. That’s the first time the token has been above $70,000 in more than a week. Ether was up around 6%, while Solana and Dogecoin were both more than 4% higher.Bitcoin tops

Almost $900 million was pulled from those ETFs last week, reflecting continual outflows from the Grayscale Bitcoin Trust as well as a moderation in subscriptions for offerings from BlackRock Inc. and Fidelity Investment. The group of 10 funds saw one of the worst weeks of the year since they were launched in January. Bitcoin tops

“Even though ETF inflows have hit a drag, order books are loaded on the bid side around the 60k area, showing that the market is eager to buy the dip,” said Nathanaël Cohen, co-founder at digital-asset hedge fund INDIGO Fund. “You need to go get the liquidity at lower levels to then catch a bid and generate momentum to go higher.”

The new demand from Bitcoin ETFs has been a main driving force behind the historic rally in the largest cryptocurrency this year. Strong inflows into the funds sparked optimism around an exponential growth of the asset class from a wider range of investors. However, the outsized outflows last week triggered more hedges among traders against lower prices as well as significant liquidations in the leveraged bullish bets in the crypto futures market. Bitcoin tops

The headline suggests that Bitcoin’s price has recovered after a decline. It likely dropped due to outflows from US-based Bitcoin exchange-traded funds (ETFs). This is positive news for Bitcoin investors who were concerned about the recent price slump. Bitcoin tops

Here’s a deeper dive into what the news means:

  • Bitcoin price recovery: After a period of decline, Bitcoin’s price has surpassed $70,000 again. This indicates a positive trend for Bitcoin investors.
  • US ETF outflows: There has been a recent withdrawal of money from Bitcoin ETFs in the US. This could be due to various reasons, such as investor uncertainty or a shift in investment strategies.
  • Impact of ETF outflows: The outflow of funds from ETFs might have contributed to the previous dip in Bitcoin’s price. Bitcoin tops

Overall, the news suggests that Bitcoin’s price is volatile and can be influenced by various factors, including investor sentiment in the ETF market. However, the recent price recovery indicates a potential return of confidence in Bitcoin.

The recent news highlights Bitcoin’s price action and its apparent resilience to a negative influence. Here’s a breakdown: Bitcoin tops

  • Bitcoin price: Bitcoin has surpassed $70,000 again, which is a significant milestone.
  • Slumping on US ETF outflows: This refers to a recent decrease in the value of Bitcoin coinciding with money flowing out of US-based Bitcoin Exchange Traded Funds (ETFs). Bitcoin tops

Understanding the details:

  • Bitcoin ETFs: These are investment vehicles that track the price of Bitcoin without investors needing to directly own it.
  • Outflows: When investors sell their shares in a Bitcoin ETF, it signifies a potential loss of confidence or a desire to move their money elsewhere. This outflow can cause the price of the ETF, and potentially Bitcoin itself, to go down. Bitcoin tops

Why is Bitcoin back above $70,000?

Despite the negative pressure from ETF outflows, Bitcoin has bounced back. This could be due to a few reasons:

  • Strong underlying demand: There might still be a significant amount of interest in Bitcoin from individual investors, offsetting the ETF outflows.
  • Volatility: Bitcoin’s price is known for its fluctuations. This rebound could be a natural correction after the recent dip.
  • Positive news elsewhere: Other positive developments in the cryptocurrency market could be boosting investor sentiment towards Bitcoin as well. Bitcoin tops

It’s important to remember:

  • The cryptocurrency market is still relatively young and can be quite volatile.
  • Past performance is not necessarily indicative of future results.
  • Bitcoin is a complex financial instrument, and investing in it carries inherent risks.

Overall, this news shows that Bitcoin can be susceptible to negative forces like ETF outflows but also demonstrates its potential for recovery. Bitcoin tops

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