Over the past two weeks, United States spot Bitcoin (BTC) exchange-traded funds (ETFs) have experienced outflows totaling $1.3 billion as Bitcoin’s price continues to fall.
Farside Investors reports that the total outflow for Bitcoin ETFs reached $1.298 billion during this period, with Grayscale leading the exodus at $517.3 million. Interestingly, BlackRock’s Bitcoin ETF stands out as the sole fund reporting positive results, attracting $43.1 million in inflows over the same timeframe.
During this period, Bitcoin’s price has dropped 11.6%, declining from $69,476 on June 10 to $61,359 at the time of writing, according to TradingView data. This marks the most significant outflow since April when spot Bitcoin ETFs saw net outflows exceeding $1.2 billion between April 24 and early May.
Mt. Gox still haunts crypto
Jonathan de Wet — chief investment officer at ZeroCap — told Cointelegraph that he expects Bitcoin to potentially fall to around $57,000 in the coming weeks, citing Mt. Gox creditor repayments as a contributing factor. However, he notes that Bitcoin and Ethereum are “holding up surprisingly well” compared to the broader crypto market. In late May, the defunct company moved $840 million worth of Bitcoin.
Market observers have expressed concerns about potential downward pressure due to Bitcoin sales from the German government and anticipated Mt. Gox creditor repayments of nearly $9 billion expected in July.
Despite short-term challenges, de Wet maintains a bullish long-term outlook, citing the expected Ethereum ETF launch and potential easing of monetary policy towards the end of 2024 and into 2025. Also Brad Howell of Keyrock UK told DL News in late April:
It is fair to assume that anyone who had assets in Mt. Gox is an early adopter and more likely to lean towards the Bitcoin maxi end of the spectrum. […] Don’t expect large volumes of Bitcoin to sell off on day one.
Some analysts, including eToro’s Farhan Badami, suggest that the impact of Mt. Gox repayments may not be as severe as feared, noting that Bitcoin often prices in significant market events. Badami expects Bitcoin’s price to stabilize in the coming weeks, potentially ranging between $60,000 and $70,000, before potentially reaching new all-time highs in the months ahead.
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