Crypto News

Bitcoin ETFs Volume Reach Record Highs Amid Market Dynamics

Bitcoin exchange-traded funds (ETFs) witnessed unprecedented trading activity, setting new daily volume records, possibly influenced by the closure of markets for Presidents Day. 

Across the seven largest ETFs, a combined volume of $6.94 billion was recorded. Noteworthy ETFs such as $FBTC, $BITB, $HODL, $ARKB, and $BTCO achieved individual all-time highs, indicating heightened investor interest in Bitcoin-related investment vehicles.

According to data from SoSoValue, the Bitcoin spot ETF observed a net inflow of $135 million on February 20th, marking a trend that has persisted for 17 consecutive trading days. 

Contrastingly, the Grayscale ETF GBTC experienced a significant net outflow of $137 million in a single day. Meanwhile, BlackRock ETF IBIT saw a net inflow of $154 million in a day, contributing to its total historical net inflow of $5.52 billion.

Despite Bitcoin’s impressive 74% price surge over the past four months, the typical FOMO (fear of missing out) sentiment associated with such rallies has been notably absent. 

Bitcoin Whales And Price Action And Potential Future Move

While there was notable interest in Bitcoin in the weeks surrounding the SEC’s approval of 11 ETFs, the lack of new greed in the market could be viewed as a positive indicator for the sustainability of the ongoing rally.

In recent market movements, Bitcoin whales have executed significant sales, offloading over 30,000 BTC totaling $1.56 billion in the past 48 hours. 

The TD Sequential indicator has signaled a sell sign on the Bitcoin 3-day chart, historically preceding a 10% price correction in BTC. Presently, Bitcoin is experiencing a decline of nearly 3% on the daily chart, reflecting ongoing market dynamics and investor sentiment.

The intricate interplay between ETF volumes, market inflows, and Bitcoin price movements underscores the dynamic nature of the cryptocurrency market and its susceptibility to various indicators and investor behaviors.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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Image Source: sinenkiy/123RF // Image Effects by Colorcinch

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