Bitcoin ETF Enjoyed Biggest Weekly Inflow In A Year As BTC Price Tries To Hold $30K

Bitcoin ETF Enjoyed Biggest Weekly Inflow In A Year As BTC Price Tries To Hold $30K

Key Takeaways:

  • Proshares’ Bitcoin ETF attracted its biggest weekly inflow in a year.
  • Meanwhile, BTC price struggles to hold above $30,000.

NEW DELHI ( — Interest in Bitcoin Exchange Traded Funds (ETFs) is on the rise again, likely due to the recent applications from investment firms Blackrock and Invesco for spot ETFs.

Bloomberg ETF analyst Eric Balchunas observed a surge in inflows to the ProShares Bitcoin Strategy ETF (BITO). The ProShares ETF was the first Bitcoin-linked ETF in the US and remains popular among investors.

Proshares Bitcoin Futures ETF saw its highest inflows in over a year.
Proshares Bitcoin Futures ETF saw its highest inflows in over a year.

BITO saw weekly inflows of over $65 billion, resulting in the fund’s assets going above $1 billion. Furthermore, Balchunas noted that the Proshares ETF had tracked Bitcoin price action almost “perfectly.”

Even though it got trashed by some bc futures roll costs, yada yada, it pretty much has tracked Bitcoin perfectly. It’s lagged spot by 1.05% annually, but it’s fee is 0.95% = only 10bps of roll (extra) costs, which is rounding error. Many predicted >5% a yr.

Eric Balchunas noted in a tweet
Also Read: Treasury Yield Curve Inversion Persists as Investors Brace for Recession – Equities Slide

Additionally, HSBC announced that it would allow its customers to trade Bitcoin and Ethereum ETFs listed on the Hong Kong exchange, crypto journalist Colin Wu noted in a Twitter post. The decision made HSBC the first bank in Hong Kong to offer these services.

BTC Price Fails To Clear $31,000

Meanwhile, Bitcoin price’s recent rally stuttered to a halt after reaching $31,458 on June 23, the token’s highest level in over a year. However, BTC price has since been crabbing, dropping nearly 2% on June 26 to needle below $30,000 before recovering.

Moreover, on-chain analysis firm Glassnode noted that Bitcoin has been in a transitional period for 221 days, assuming the current cycle’s low to be in Nov 2022.

Bitcoin bull and bear market cycles.
Bitcoin bull and bear market cycles. Source: Glassnode

Per historical data, previous transition phases lasted for 459 days and 770 days. Hence, Glassnode speculated that traders might have to remain patient for the next 8 to 18 months for a new ATH.

BTC price declined over the weekend, with the downtrend continuing in the new week. If the sell-off continues, Bitcoin price might drop to the support level near $29,300. Breaching the immediate support level might force BTC price to test its 20-day EMA (red wave) support near $28,200 before recovering.

BTCUSD daily chart with RSI.
BTCUSD daily chart with RSI. Source:

On the other hand, a breakout from the current level would likely see Bitcoin price face resistance near $31,500. Moreover, breaking and consolidating above the immediate resistance level could help BTC price target resistance near $33,100 before downside corrections pare gains.

The RSI for BTC remained neutral, though close to the overbought threshold, with a value of 68.71 on the daily charts.

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