A second straight week of ETF inflows is giving crypto investors hope that Bitcoin may be stabilizing despite ongoing geopolitical tensions.
US-listed spot Bitcoin ETFs have posted their second consecutive week of net inflows, ending nearly two months of steady outflows. The shift comes even as global markets continue to react to renewed conflict in the Middle East.
The latest inflows suggest investor confidence may be slowly returning to the crypto market.
KEY DETAILS
The 13 US spot Bitcoin ETFs attracted $75.7 million in net inflows last week, following $197.4 million the week before. The gains came despite a $424.7 million outflow recorded last Monday after renewed military conflict between the US and Iran.
ETF products linked to Ether also saw inflows, adding to signs that sentiment is improving. Richard Galvin, executive chairman of crypto investment firm DACM, said the turnaround after eight consecutive weeks of outflows points to a market that may be finding a bottom.
Bitcoin has climbed back above its 200-week moving average of around $63,300, a level many traders watch closely. The cryptocurrency has traded mostly between $60,000 and $65,000 in recent weeks and briefly moved above $65,000 during Asian trading despite fresh US strikes on Iran.
MARKET REACTION
Bitcoin remains about 10% lower since the start of June. Analysts say concerns that rising inflation could keep US interest rates higher are limiting the return of large institutional investors.
Attention is also turning to the proposed Clarity Act, which could provide fresh momentum if Congress approves the legislation before its August recess.
Meanwhile, Strategy Inc. has increased its Bitcoin sales. After selling $2.5 million earlier, the company disclosed another sale worth $216 million on July 6 as it works to meet dividend obligations.
WHY IT MATTERS
ETF flows are widely viewed as a measure of institutional demand. Two weeks of positive inflows suggest confidence is improving, but interest rate expectations and geopolitical risks remain key drivers for crypto markets.
Investors will be watching ETF flows, developments in the US-Iran conflict, Federal Reserve expectations, and progress on the Clarity Act to see whether Bitcoin can build on its recent recovery.
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Source: Yahoo Finance
Time: 5:00 PM EEST
