Is The Crypto Winter Thawing? US Bitcoin ETFs Record First Inflows In Weeks – Coinshares

After
experiencing
outflows
for
four
consecutive
weeks,
US
spot
Bitcoin
exchange-traded
funds
(ETFs)
have
marked
a
notable
shift
in
momentum,
witnessing
net
inflows
once
again.

According
to
recent

data
from
CoinShares,

digital
asset
investment
products
have
seen
inflows
totaling
$130
million
for
the
first
time
in
five
weeks.

This
change
suggests
renewed
investor
interest
in
crypto-focused
investment
products,
particularly
in
the
United
States,
where
most
of
these
inflows,
totaling
over
$130
million,
occurred.

Related
Reading

A
Mixed
Bag
Of
Global
Investment
Flows

Grayscale,
a
major
player
in
the

digital
asset
space,
reported
a
significant
decrease
in
weekly
outflows,
recording
its
lowest
since
January
at
$171
million.
This
trend
indicates
a
potential
stabilization
in
the
market
after
a
period
of
volatility
and
declining
interest.

Meanwhile,
interaction
between
US
regulators
and
spot
ETF
issuers
has
remained
minimal,
particularly
for
spot
Ethereum
ETF
applications.

This
lack
of
engagement
has
fuelled
speculation
that
approval
for
these
ETFs
might
not
be
approaching,
as
reflected
by
the
amount
of
outflows
from
Ethereum-based
products.
James
Butterfill,
Head
of
Research
at
Coinshares,
particularly
noted:

Low
interaction
by
the
US
regulators
with
ETF
issuer
applications
for
a
spot
Ethereum
ETF
have
increased
speculation
that
the
ETF
approval
is
not
imminent,
this
has
been
reflected
in
outflows
which
totalled
US$14m
last
week.

On
a
global
scale,
the
investment
landscape
showed
mixed
signals.
After
a
week
of
record
inflows
likely
driven
by
“seed
capital”
post-Bitcoin
ETF
launches,
as
highlighted
by
Butterfill,
Hong
Kong
saw
a
significant
drop
to
$19
million
in
inflows.

Conversely,
Switzerland
experienced
inflows
amounting
to
$14
million.
Canada
and
Germany
continued
to
see
outflows,
with
their
year-to-date
figures
reaching
a
combined
$660
million,
indicating
sustained
bearish
sentiment
in
these
markets.

Bitcoin
has
rebounded
with
$144
million
in
inflows,
counteracting
a
generally
“weak
month.”
In
contrast,
short-Bitcoin
exchange-traded
products
(ETPs)
recorded
outflows
totaling
$5.1
million,
up
to
$18
million
over
the
last
eight
weeks.

These
figures
highlight
the
volatile
dynamics
within
the

crypto
market,
with
Bitcoin
currently
showing
stronger
performance
than
Ethereum.

Bitcoin
And
Ethereum
Market
Performance

Over
the
past
24
hours,
Bitcoin
surged
nearly
3%,
while
Ethereum
increased
by
only
1.2%.
Despite

these
gains,
both
assets
are
down
by
2.3%
and
6%
over
the
past
week.

Amidst
these
market
movements,
crypto
analyst
Ali

provided
insights
into
Bitcoin’s
potential
paths.
According
to
Ali,
Bitcoin
could
climb
to
$76,000
if
it
reclaims
$64,290
as
a
support
level.

Related
Reading

Failing
to
achieve
this
could
see
the
flagship
crypto
drop
to
support
at
$51,970,
based
on
Market
Value
To
Realized
Value
(MVRV)
extreme
deviation
pricing
bands,
identifying
this
figure
as
the
all-time
mean.

If

#Bitcoin
can
reclaim
$64,290
as
support,
it
is
likely
to
rise
towards
$76,610.
However,
if
it
fails
to
surpass
$64,290,

$BTC
might
retest
support
at
$51,970.

pic.twitter.com/s4D1fTEU7k

—
Ali
(@ali_charts)

May
12,
2024

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image
from
Unsplash,
Chart
from
TradingView