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1,901 Bitcoin (BTC) added to ETFs in a single day, why no price increase?
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Bitcoin Exchange Traded Funds (ETFs), in a sign of investor confidence, are seeing a significant increase in inflows. On June 7, a total net inflow of 1,901 Bitcoin worth $132 million was reportedly added to the ETFs in just 24 hours. Second for Julian Fahrer the inflows mark 19 consecutive days of such movements.
According to the distribution of inflows, Black rock had the highest inflow with a whopping 2,450 BTC worth $169.2 million. Grayscale recorded an outflow of 524 BTC worth $36.3 million, while Ark recorded a double-digit inflow, securing an inflow of 99 BTC worth $6.9 million.
Despite these huge inflows signaling a substantial increase in investor interest, the price of Bitcoin fell below the $70,000 mark to $69,428.07, down 2.56%. The price’s failure to react sparked speculation from the broader cryptocurrency community.
Bitcoin speculation, market sentiment and future predictions
In particular, there is a general air of uncertainty about Bitcoin’s performance given its slow growth post-halving. Some fear that a bearish session is still lurking. However, the amount of inflows to these investors points in the opposite direction.
As per historical precedent, the lack of price movement despite massive inflows is indicative of an upcoming bull run, as the longer it goes sideways, the more prices rise.
Therefore, prices may reach new highs, as predicted by industry leaders such as Mike Novogratz, Robert Kiyosaki and Tom Lee. Novogratz firmly believes that Bitcoin could enter the six-figure zone before the end of the year, while Kiyosaki is even bolder with an astonishing BTC price prediction of $350,000 by August.
Interestingly, analysts suggest that Bitcoin’s price follows similar patterns after halving events, with past cycles showing significant price spikes.
If the price predictions are correct, the huge inflows and accumulations by BlackRock, Grayscale and other investors will have positioned them for huge profit-taking when the largest cryptocurrency asset rises.
About the author
Goffredo Beniamino
Godfrey Benjamin is an experienced crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for cryptocurrencies was born when, as a former banker, he discovered the clear advantages of decentralized money compared to traditional payments. With his extensive experience covering various aspects of Web3, Godfrey’s articles have been published in Blockchain.news, Cryptonews, and Coingape, among others.