{"id":2076,"date":"2024-12-21T19:13:07","date_gmt":"2024-12-21T19:13:07","guid":{"rendered":"https:\/\/coinsvalue.net\/blog\/spot-bitcoin-etfs-bleed-6700-btc-exit-amidst-largest-outflow-in-months\/"},"modified":"2024-12-21T19:13:07","modified_gmt":"2024-12-21T19:13:07","slug":"spot-bitcoin-etfs-bleed-6700-btc-exit-amidst-largest-outflow-in-months","status":"publish","type":"post","link":"https:\/\/coinsvalue.net\/blog\/spot-bitcoin-etfs-bleed-6700-btc-exit-amidst-largest-outflow-in-months\/","title":{"rendered":"Spot Bitcoin ETFs Bleed: 6,700 BTC Exit Amidst Largest Outflow In Months"},"content":{"rendered":"

Amid a wider readjusting of market expectations for interest rate cuts by the Federal Reserve (Fed) for 2025, investors withdrew a record $680 million from Bitcoin ETFs on Thursday, the highest outflow in a single day since January’s approval of these investment funds.<\/p>\n

Grayscale And Bitwise Bitcoin ETFs Experience 8% Decline\u00a0<\/h2>\n

As Bitcoin ETFs faced this outflow, the price declined, dropping another 5% to trade around $97,400 to close the week. The sell-off aligns with a general downturn in risk assets, triggered by the Fed’s updated economic projections released earlier this week.\u00a0<\/p>\n

The US central bank now anticipates only two quarter-point rate cuts in the coming year, a significant reduction from the four cuts previously expected at its September meeting.<\/p>\n

Notable Bitcoin ETFs, including Grayscale’s Bitcoin Trust and Bitwise’s Bitcoin ETF, have experienced declines of approximately 8% since the Fed’s new guidance, while Bitcoin itself has lost about 9% in the same timeframe.\u00a0<\/p>\n

Notably, Thursday’s outflows broke a streak of 15 consecutive days of inflows <\/a>for the twelve US Bitcoin ETFs, for a net inflow of approximately $5.3 billion during this period.<\/p>\n

After hitting a record high of just over $108,000 earlier in this week, the market’s top cryptocurrency dropped below the $100,000 level on Thursday. Prior to the recent recovery, which is just around $100,000, it fell all the way to $92,000.\u00a0<\/p>\n

While the bearish sentiment in the markets can be attributed to the Fed’s cautious stance, it is also likely influenced by seasonal profit-taking among institutional investors of the Bitcoin ETFs.\u00a0<\/p>\n

Analysts Warn Of Continued Crypto Sell-Off<\/h2>\n

The recent selling pressure could further strain market sentiment, as noted <\/a>by Joseph Dahrieh, managing principal at Tickmill. <\/p>\n

“This decline could weigh strongly on the cryptocurrency and broader market sentiment, particularly as Bitcoin fell below the USD 100,000 mark, indicating potential short-term volatility and downside risks,” he remarked.<\/p>\n

The volatility has been exacerbated by massive liquidations in both long and short positions, totaling over $240 million within a 24-hour period. Antonio Di Giacomo, a senior market analyst at XS.com, commented, “The Federal Reserve’s cautious stance in signaling fewer cuts for 2025 created an atmosphere of doubt and speculation.”<\/p>\n

Looking ahead, the sell-off in the cryptocurrency market may persist in the near term. Alex Kuptsikevich, chief market analyst at FxPro, speculated that the total market capitalization of cryptocurrencies could drop below $3 trillion, down from a peak of $3.7 trillion earlier this month.\u00a0<\/p>\n

He cautioned that “a failure below $94,500 would signal a break of the uptrend of the last six weeks, while a fall below $92,000 would bring the price under the 50-day moving average. In this case, time is playing on the side of the bears.”<\/p>\n

\"Bitcoin<\/p>\n

As of this writing, Bitcoin has managed to stabilize above $97,400 as the week draws to a close, despite registering 4% losses over the previous 24 hours.<\/p>\n

Featured image from DALL-E, chart from TradingView.com <\/p>\n","protected":false},"excerpt":{"rendered":"

Amid a wider readjusting of market expectations for interest rate cuts by the Federal Reserve (Fed) for 2025, investors withdrew a record $680 million from Bitcoin ETFs on Thursday, the highest outflow in a single day since January’s approval of these investment funds. Grayscale And Bitwise Bitcoin ETFs Experience 8% Decline\u00a0 As Bitcoin ETFs faced…<\/p>\n","protected":false},"author":1,"featured_media":2077,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[28],"tags":[56,495,763,764,55,69,61,121,70,62,36,43,95],"class_list":["post-2076","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news","tag-bitcoin","tag-bitcoin-etf","tag-bitcoin-etf-news","tag-bitcoin-etfs","tag-bitcoin-news","tag-bitcoin-price","tag-btc","tag-btc-price","tag-btcusd","tag-btcusdt","tag-crypto","tag-crypto-news","tag-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/posts\/2076","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/comments?post=2076"}],"version-history":[{"count":0,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/posts\/2076\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/media\/2077"}],"wp:attachment":[{"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/media?parent=2076"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/categories?post=2076"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinsvalue.net\/blog\/wp-json\/wp\/v2\/tags?post=2076"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}