Bitcoin Surpasses $77,000 Despite $2 Billion Outflow from Spot ETFs
On Wednesday, risk asset markets saw some relief after Brent crude oil prices fell below $108, allowing Bitcoin (BTC) to reclaim the $77,000 level. However, significant outflows from spot Bitcoin ETFs have forced traders to reconsider the potential for further price declines amid fears of a global economic slowdown, reports Cointelegraph.com reports .
Bitcoin's price movement is showing correlation with the Russell 2000, an index of U.S. small-cap companies, indicating that the cryptocurrency market is currently driven primarily by macroeconomic factors. A total of $2 billion has been withdrawn from U.S.-listed spot Bitcoin ETFs over the past seven days, fueling concerns that the price could drop below $75,000.
Currently, investor attention is focused on the artificial intelligence sector, with markets awaiting NVIDIA's quarterly report. According to Yahoo Finance, investors are concerned about pressure from competitors such as AMD, Amazon, and Google. At the same time, stablecoin flows in China indicate low investor appetite for crypto assets.
In China, stablecoins are trading at a 0.4% discount relative to the official exchange rate, signaling high demand to exit the crypto market. Typically, due to strict capital controls in China, this indicator should trade at a premium of 0.3% to 0.8%.
General market anxiety is also linked to the stability of oil prices and rising yields on U.S. Treasury bonds. High energy prices are sustaining inflationary pressure, which limits the Federal Reserve's ability to implement expansionary monetary measures against an economic recession.
