The Bitcoin price remains unable to cross the $70,000 mark, despite last week’s record milestone for spot Bitcoin exchange-traded funds (ETFs).
On Oct. 17, the US-based spot Bitcoin (
BTC)
ETFs crossed
$20 billion in total net flows
, just 10 months after their debut. This same milestone took gold ETFs nearly five years to achieve.
BTC rose to a nearly three-month high of $69,487 on Oct. 21 before pulling back to trade at $68,570 as of 8:25 am UTC, according to Cointelegraph data.
BTC/USD, 1-year chart. Source: Cointelegraph
The sluggish price action may be due to the delayed effect of ETF inflows, which can take a few days to impact the spot BTC price, according to Bitfinex analysts.
The ask-heavy order book suggests that crypto traders are using ETF flows as exit liquidity for their trades, the analysts told Cointelegraph:
Positive
ETF inflows
could help the Bitcoin price reach a new all-time high. By Feb. 15, just one month after they launched, United States-based spot BTC ETFs accounted for about
75% of new investment
in the cryptocurrency, which had surpassed the $50,000 mark at the time.
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BlackRock ETF tops inflows with $1.17 billion
Bitcoin ETFs have had limited immediate impact on the price, with several days often passing before inflows generate bullish momentum, Bitfinex analysts explained:
During the past week, BlackRock’s iShares Bitcoin Trust ETF brought in over $1.17 billion worth of Bitcoin,
noted
onchain intelligence firm Lookonchain in an Oct. 21 X post.
Bitcoin price vs iShares Bitcoin Trust, BlackRock, BTC holdings. Source: Lookonchain
Bitifnex analysts explained that a percentage of last week’s ETF inflows could also be part of a delta-neutral trading strategy, another reason for their price impact to be muted.
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Bitcoin nudges bullish weekly candle close
In an optimistic signal for price action, Bitcoin managed to perform a green weekly close above the psychological mark of $69,000.
This could set Bitcoin up for a rally to retest the re-accumulation range of above $71,000 for the first time since June 2024,
wrote
popular crypto analyst Rekt Capital in an Oct. 20 X post, accompanied by the chart below.
BTC/USD, 1-week chart. Source: Rekt Capital
Bitcoin could also see more positive ETF inflows bolstered by the first
Bitcoin ETF options
in the US, which
were approved by
the Securities and Exchange Commission on Oct. 18.
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Bitcoin unable to surpass 70K mark despite reaching 20B milestone through ETF inflow