Bitcoin exchange-traded funds (ETFs) in the United States have experienced outflows totaling $1.3 billion in the past two weeks as the price of Bitcoin continues to decline.
According to data from Farside Investors, Bitcoin ETFs saw a total outflow of $1.298 billion in the last two trading weeks, with Grayscale leading the outflows at $517.3 million during the same period.
In contrast, BlackRock’s Bitcoin ETF was the only fund to post positive results, attracting $43.1 million in inflows over the past two weeks.
During this time, the price of Bitcoin (BTC) has dropped by 11.6%, falling from $69,476 on June 10 to $61,359 at the time of publication, according to TradingView data.
These recent outflows from Bitcoin ETFs mark the worst performance since April when the investment vehicles experienced net outflows exceeding $1.2 billion between April 24 and the beginning of May.
Jonathan de Wet, the chief investment officer at digital asset trading firm ZeroCap, commented that while the wider crypto market continues to decline, he expects the price of Bitcoin to reach its “key support” level of around $57,000 in the coming weeks due to Mt. Gox creditor repayments.
Despite concerns of significant downward pressure, de Wet believes that Bitcoin and Ethereum are holding up relatively well compared to the rest of the market. He mentioned that Bitcoin has key support at $63,000 and Ethereum at $3,400, and they are still within the price range of the past few months.
Market commentators have expressed worries about the impact of Mt. Gox creditor repayments, as well as Bitcoin sales by the German government, which are expected to hit the market in July and potentially put further sell pressure on Bitcoin and other cryptocurrencies.
However, de Wet remains optimistic about the long-term prospects of Bitcoin and maintains a bullish outlook. He believes that while there may be further price drops in the coming weeks, Bitcoin will eventually stabilize and rally back to new all-time highs in the next few months.
Some analysts, like eToro market analyst Farhan Badami, agree that the impact of Mt. Gox creditor repayments may not be as severe as anticipated. Badami suggests that Bitcoin is a “forward-looking” asset that often prices in significant market events. He expects the price of Bitcoin to stabilize in the coming weeks and continue its upward trajectory towards new record levels.