He bitcoin-etfs-approved-by-us-sec/” rel=”nofollow”>bitcoin Spot ETF have seen their demand fall since the beginning of this month, and this was again evident in the considerable outflows recorded on April 26. This rough patch has had far-reaching effects on the broader crypto market, as bitcoin-analyst-upside-btc-price/” rel=”nofollow”>The price of bitcoin has succumbed to unfavorable market conditions.
Spot bitcoin ETFS records $217 million in outflows
Farside Investors revealed in an x (formerly twitter) x.com/FarsideUK/status/1783703507587019006″ rel=”nofollow”>mail bitcoin Spot ETFs recorded $217 million in net outflows on April 25, one of the largest this month. bitcoin-reaches-largest-discount-ever/” rel=”nofollow”>Grayscale bitcoin Trust (GBTC) accounted for the bulk of these outflows, with investors pulling $139.4 million out of the fund.
Related reading: Why has Dogecoin price dropped today?
Some other funds also recorded individual outflows. bitcoin-headed-to-1-5-m/” rel=”nofollow”>Ark Invest bitcoin Spot ETF recorded $31.3 million in outflows, while the Valkyrie and Bitwise ETFs recorded $20 million and $6 million in daily outflows, respectively. Notably, bitcoin-etfs/” rel=”nofollow”>Fidelity Wise Origin bitcoin Fund (FBTC) recorded a daily net outflow for the first time since these funds were created. bitcoin-etfs-approved-by-us-sec/” rel=”nofollow”>approvedand on Thursday $22.6 was withdrawn from the fund.
Meanwhile, BlackRock's drought continued with its bitcoin-tidal-wave-blackrock-etf-leads-inflows/” rel=”nofollow”>iShares bitcoin Trust (IBIT) recording zero entries for the second consecutive day. Although the fund has yet to record daily net outflows since its launch, this certainly represents a setback, considering that prior to April 24 there were bitcoin-etf-ibit-registers-zero-inflows/” rel=”nofollow”>Recorded 71 consecutive days of daily entries.
Outflows from these spot bitcoin ETFs have sparked a wave of liquidations by fund issuers to meet redemptions. As a result, bitcoin's price action has been rather lackluster lately, with the flagship cryptocurrency seeing significant price drops due to increased selling pressure. This development has put the bears firmly in control, with data Coinglass shows that more long than short bitcoin positions have been liquidated in the last 24 hours.
Macroeconomic factors that also affect the price of bitcoin
An initial estimate released by the Bureau of Economic Analysis on April 25 showed that the bitcoin/” rel=”nofollow”>US Gross Domestic Product (GDP) grew at an annual rate of 1.6% in the first quarter, well below expectations. This data report further dampens hopes of rate cuts this year and appears to have reflected in investors' minds as bitcoin It briefly fell below $63,000 after the report was released.
Meanwhile, Personal Consumption Expenditure (PCE) bitcoin-price-28000-core-pce-comes-cooler-expected/” rel=”nofollow”>inflation data will be published on April 26. This PCE report could exceed expectations, adding to growing concerns that rate cuts are unlikely this year.
Interest rates have significant implications on risk assets, including cryptocurrencies, and if the bitcoin–crypto-fed-next-move/” rel=”nofollow”>Federal Reserve decides to take a tough stance, it could negatively affect the crypto market.
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btc price falls toward $63,000 | Source: BTCUSD on Tradingview.com
Featured image of Islam and bitcoin, chart from Tradingview.com
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