Cryptocurrency Market News: Why Bitcoin Remains Under $70K Despite Big ETF Flows
Bitcoin prices remained fairly rangebound last week, though they fell sharply below the $70,00 mark on Friday, after climbing to more than $71,000 earlier in the week.
The second-largest daily inflows into spot bitcoin exchange-traded funds could not keep the bitcoin price momentum going as traders engaged in arbitrage to make money off the difference between spot and futures prices. Robinhood (HOOD) grabbed headlines with its acquisition of Bitstamp in a bid to expand its overseas business. Additionally, another publicly traded company has decided to take advantage of bitcoin as a treasury asset.
Last Tuesday, U.S. spot bitcoin ETFs saw their second-highest daily net inflows, reaching $886.6 million, according to data from Farside Investors.Leading the inflows was Fidelity's Wise Origin Bitcoin Fund (FBTC), contributing $378.7 million, followed by BlackRock's iShares Bitcoin Trust (IBIT) with $274.4 million.
This influx marked sixteen consecutive days of net inflows for these ETFs, which has since been extended to nineteen days. It was a strong week overall for bitcoin ETF inflows, as nearly $1.6 billion of flows came into the market from Tuesday to Thursday alone.
The cumulative net inflows for U.S. Bitcoin ETFs have now reached $15.6 billion, with IBIT overtaking Grayscale Bitcoin Trust (GBTC) as the largest player in the market. Despite the strong inflows, bitcoin's price has only flirted with a new all-time high and not yet hit the $73,000 mark seen in March.
Traders were bullish on spot bitcoin ETFs as they began trading in January, with inflows powering a rally in bitcoin prices. However, that trend may be changing as traders are now betting on arbitrage.
Hedge funds and commodity traders are buying spot
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