Bitcoin ETF Registers Weekly Inflow of $2.5 Billion
Bitcoin ETF Registers Weekly Inflow of $2.5 Billion
The U.S. Spot Bitcoin ETF experiences significant weekly inflows of $2.5 billion, yet apprehensions about a potential BTC price adjustment arise just before the critical FOMC verdict.
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The US Bitcoin Spot ETF has seen a sharp increase in weekly inflows, with a significant $2.5 billion on March 15. This growth shows a revival of confidence from Wall Street investors towards the cryptocurrency market.
However, amid preparations for the Federal Open Market Committee (FOMC) meeting, concerns about a possible Bitcoin price correction have emerged due to recent market volatility. Bitcoin ETF inflows increased sharply, indicating interest from Wall Street.
Soaring Bitcoin ETF inflows signal Wall Street’s interest
Notably, BlackRock’s IBIT fell to $139.8 million on Friday from $345.4 million the day before. In contrast, Grayscale’s GBTC outflow fell to $139.4 million on Friday, from $257.1 million on Thursday.
Meanwhile, this week saw a strong increase in capital flows, especially in the first three days, pushing total weekly capital flows to an impressive figure of 2.56 billion USD. Analysts attribute this surge to the recent Bitcoin price hitting new highs, attracting interest from leading institutions in the cryptocurrency.
Despite the positive momentum, investors remain cautious ahead of the FOMC’s important decision next week. Investors are waiting to see the Fed’s stance on the possibility of raising interest rates amid persistently high inflation.
Optimism and concern amid market volatility
Bitcoin Chart
The latest data on the Consumer Price Index (CPI) and Producer Price Index (PPI) have shown higher-than-expected inflation, putting pressure on investor sentiment and prompting them to approach the market. with a more cautious attitude when the market is unstable. In this situation, some market analysts predict that trading may be volatile ahead of the FOMC decision next week.
Related: Bitcoin Plummets to $67,000 in a Short Time Span
However, regardless of short-term fluctuations in the market, Bitcoin has shown strong resilience, surpassing the $70,000 mark within the past 24 hours. Analysts remain optimistic about the future performance of cryptocurrencies, especially buoyed by predictions surrounding the upcoming Bitcoin Halving.
Although history shows that Bitcoin prices often increase sharply after halving events, investors are still aware of the inherent risks. However, the general sentiment still retains optimism about Bitcoin’s long-term potential.
As of this writing, Bitcoin price has increased 1.84% to $69,042.30, while trading volume decreased 18.28% to $61.70 billion. Over the past 24 hours, BTC price ranged from a high of $70,557.61 to a low of $65,630.69.
