Bitcoin Volatile Amid Major Outflows from Spot ETFs: What’s Next?
Bitcoin fell before recovering earlier today. Still, a close above $60,000 is necessary for the uptrend to take shape
Bitcoin swung lower yesterday before printing higher earlier today, looking at the performance in the daily chart. Even though traders are upbeat, the downtrend remains for now. The immediate resistance is at the round number set at $60,000, while bears can target $50,000 and lower in the coming days. Technically, bears have the upper hand from a top-down preview. However, what’s fueling sellers is the continuous outflows from spot Bitcoin ETFs, denting sentiment.
Traders should closely monitor how prices react within the August 5 bar. Thus far, the coin is down roughly 17% from July highs and bearish. However, the recovery earlier today means Bitcoin is down 11% in the past trading week, though the average trading volume is relatively lower but decent at over $41 billion.
Traders are monitoring the following Bitcoin news developments:
- Institutions are in the picture. However, after the approval of spot Ethereum ETFs in July, there have been unusually steady outflows from spot Bitcoin ETFs. With more heavyweights pulling out of BTC and reportedly seeking exposure in ETH, the impact has been evident: prices are down.
- The number of addresses with at least 0.1 BTC is at new all-time highs. This means that more people are choosing to double down.
Bitcoin Price Analysis
Even with gains, BTC/USD is bearish at spot rates.
From yesterday, the pullback from around the $56,500 level means sellers have the upper hand.
For conservative bull traders, there are opportunities above $60,000.
Conversely, aggressive sellers can increase their exposure as long as prices are inside the bearish engulfing bar of August 5.
With the recent bars still banding along the lower BB, the downtrend remains.
If sellers press on, the first target is $49,000 and $45,000.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Related Articles
Comments
Sidebar rates
Related Posts
Save
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals