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Steve Muchoki
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As the market prepares for Wednesday’s high-impact news regarding the US inflation and interest rates, Bitcoin (BTC) and altcoin traders rushed to the stablecoins industry for refuge. According to the latest market data, United States-based spot Bitcoin exchange-traded funds (ETFs) registered a net outflow of about $65 million on Monday.
As a result, US-based spot BTC ETF broke a 19-day winning streak fueled by Grayscale Investments’ Grayscale Bitcoin Trust (BTC) (NYSE Arca: GBTC) and the Fidelity Wise Origin Bitcoin Fund (Cboe BZX: FBTC).
On Monday, GBTC registered a net outflow of about $40 million, followed by Invesco Galaxy Bitcoin ETF (Cboe BZX: BTCO) with a total outflow of around $20 million. The Valkyrie Bitcoin Fund (NASDAQ: BRRR) registered a net cash outflow of about $16 million.
Meanwhile, the iShares Bitcoin Trust (NASDAQ: IBIT) had a slow day with a total cash inflow of about $6 million, down from $168 million the prior day. The rest of the US-based spot Bitcoin ETFs registered a zero cash inflow on Monday.
As a result, the total cash under custody in the United States-based spot BTC ETFs is about $61.45 billion and a net traded volume of around $1.11 billion.
It is worth noting that Hong Kong-based spot Bitcoin ETFs registered a zero net cash flow on Monday and currently hold coins worth about $290 million.
34 Spot #Bitcoin ETFs hold 1,031,973 BTC. pic.twitter.com/qfZDYC8X7k
— Michael Saylor⚡️ (@saylor) June 9, 2024
Market Picture and Impact on Bitcoin Price Action
As Bitcoin price struggled to rally beyond $72K in the past four months, the midterm bullish sentiments have gradually faded. Furthermore, heightened cash rotation has significantly favored the altcoin industry, more so the meme coins in the past few months. Consequently, Bitcoin price slipped below $68k in the past 24 hours to trade at about $67,800 on Tuesday during the London session.
The total cryptocurrency market cap slipped 3 percent to about $2.6 trillion at the time of this report. The overall crypto selloff was significantly impacted by the uncertainty surrounding tomorrow’s Fed’s FOMC statement and interest rate data.
Notably, the United States Bureau of Labor Statistics will release key inflation data on the Consumer Price Index (CPI). Later on Wednesday, the US Federal Reserve will release its benchmark interest rate, which is expected to hold around 5.50 percent.
However, a possible surprise could hit the market as the European Central Bank (ECB) and Bank of Canada recently initiated an interest rate decline.
Meanwhile, Bitcoin price remains on a macro bullish outlook, with a midterm target of above $83K, which coincides with the weekly 1.618 Fibonacci Extension.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Editor-in-Chief
Julia Sakovich