Key Points
- Bitcoin and Ethereum ETFs have experienced outflows in recent days, despite optimistic inflows for Bitcoin ETFs a few days ago.
- Market indicators suggest a potential end to Bitcoin’s bear rally.
Bitcoin [BTC] ETFs showed positive inflows a few days ago, despite the bearish market conditions. However, this trend has reversed in the last 24 hours.
State of Bitcoin and Ethereum ETFs
Recent data indicates that Bitcoin ETFs had inflows of $200 million on 8 August. Unfortunately, this trend did not sustain, with figures turning negative the following day.
Data from SoSoValue reveals that BTC ETFs netflows fell to under -$90 million on 9 August. Interestingly, while Blackrock increased its holdings, Grayscale decided to sell, according to data from Dune.
Ethereum [ETH] ETFs have also seen a similar pattern in recent days. Specifically, ETH ETFs netflows peaked at $98 million on 6 August, but fell to -$15.7 million on 9 August.
The bearish market conditions, which led to price declines for both BTC and ETH, could be a possible explanation for the drop in netflows.
Bitcoin’s Future Prospects
AMBCrypto analyzed BTC’s current state to determine if a bullish comeback is possible in the near future. According to Santiment’s data, BTC’s MVRV ratio improved, indicating a bullish signal.
Another positive metric was the volume, which decreased. A reduction in volume during a bear market suggests the bearish trend might soon end. Additionally, Bitcoin’s whale transaction count remained high last week, indicating active trading among whales.
However, a look at Bitcoin’s daily chart revealed a downtick in its Relative Strength Index (RSI). The Money Flow Index (MFI) also decreased, suggesting that BTC’s price might drop further.
Despite this, the MACD showed the potential for a bullish crossover. Furthermore, the Bollinger Bands indicated that it was about to test its resistance near the 20-day Simple Moving Average (SMA). A successful breakout above this level could signal the start of a bull rally.
