Bitcoin spot ETFs experienced a significant net inflow of $143 million on July 5, 2024, demonstrating that investor interest has returned despite current market volatility. Bitcoin has significantly returned from a low of $53,550, trading at $56,612 and remaining above the $56,000 support level, with a significant 4.36% increase over the past day.
According to Farside monitoring, this is the biggest net inflow in a month, with a stunning $143.1 million entering into financial products. The Fidelity Bitcoin ETF (FBTC) led the inflows with an outstanding $117 million, demonstrating significant investor trust in the fund’s management.
The Bitwise Bitcoin ETF (BITB) experienced a net inflow of $30.2 million after FBTC, while ARK’s ARKB and VanEck’s HODL ETFs witnessed withdrawals of $11.3 million and $12.8 million, respectively. While other spot Bitcoin ETFs experienced positive returns, the Grayscale Bitcoin Trust (GBTC) experienced a net outflow of $28.6 million.
Inflows Surge as Bitcoin ETFs Fluctuate
The price of BTC dropped to $55,000 after the recorded proceedings of the U.S. Federal Reserve’s June meeting revealed that further decreases in interest rates were uncertain. Despite the volatility, BTC persevered and maintained its gains, remaining stable above $56,800.
The crypto market’s value has dropped by almost $500,000 because the German government seized 6,500 BTC and then sold them. Additionally, the defunct exchange Mt. Gox announced it would start distributing assets to creditors from a 2014 hack in July 2024, adding further pressure on the price of BTC.
Mt. Gox moved over 47,000 BTC from its cold wallet to an unknown address, bringing BTC’s price below $55,000 for the first time since February. The market saw liquidations worth more than $110 million in less than an hour. This $2.71 billion transaction is the first significant BTC movement on the bankrupt exchange since May.
There was a significant liquidation of $334 million from long positions in BTC. However, as prices began to recover from their decline, there was a subsequent liquidation of $134 million from short positions. This liquidation tendency shows continuing market adjustments and investor reactions to price changes.
Related Reading: Bitcoin ETFs Launch Boosts Liquidity, NYSE President Lynn Martin Praises Market Impact
