For the first time in 71 days, BlackRock’s Bitcoin ETF experienced neither losses nor capital inflows.
If this trend continues, the crypto market could soon be significantly impacted by the news.
After 71 days of capital inflows, BlackRock’s Bitcoin ETF saw zero investment yesterday. How will this affect the market?
The pace slows for all Bitcoin ETFs
Bitcoin ETFs have both boosted and pulled down the market. Among them, BlackRock’s exchange-traded fund (ETF) stood as the leader in the evolution of BTC with a continuous inflow of capital for 70 days. But that’s no longer the case!
The news is spreading across the crypto world: for the first time, BlackRock’s Bitcoin ETF had no capital inflows during yesterday’s trading session.
However, the phenomenon is not surprising, as it comes amidst similar situations with competitors. Since the beginning of April, capital inflows have significantly slowed down, as shown by data from The Block.
On the other hand, all is not lost, because while BlackRock’s fund performance is lacking, other Bitcoin ETFs still managed to accumulate some profits. However, these are lower compared to yesterday.
The market could suffer as a result.
With Bitcoin ETFs being key drivers of BTC’s growth, there’s a strong possibility that the token’s price could fall due to a lack of support amid market fluctuations and broader economic factors. Even BlackRock has stopped buying them.
The night was also harsh for the leading cryptocurrency, as it dropped to $64,000. According to our analyst Ali, this signifies the loss of a key support level, potentially signaling further decline.
From a more optimistic perspective, Santiment reports that whales continue to support Bitcoin, and a sense of FOMO is driving investors to buy. Time will tell if this will be enough to avoid catastrophe.
The moral of the story: all good things come to an end, even for Bitcoin ETFs.
David Crypto
Sources : Sinz X account, Ali’s X account, The Block
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