With Bitcoin (BTC) surpassing the $70,000 threshold, the market dynamics reveal a continuous stream of outflows from the spot Bitcoin ETFs, despite the lack of recent data from major players like BlackRock and Fidelity. A substantial net outflow of $350 million raises concerns at the week’s outset, prompting analysts to re-evaluate their forecasts for both Bitcoin and Ethereum (ETH).
Bitcoin Defies ETF Outflows with Potential Growth
Exchange-Traded Funds (ETFs) dealing in Bitcoin have logged net outflows for five straight days, suggesting a challenging week amid Federal Reserve pressures on cryptocurrencies. Nevertheless, Goldman Sachs reports an uptick in Bitcoin interest following the approval of ETFs, highlighting an $11 billion net inflow in under three months. Should Bitcoin stave off drastic declines and regulatory hurdles, it’s likely to maintain its appeal in the ETF market.
As BTC prices remain above $69,000, optimism grows for a push towards the $73,777 mark, with a longer-term target of $80,000, provided the current upward momentum persists. However, a downturn from current levels could signal a bull trap, with a potential fall to $59,000, marking a critical support level.
Ethereum’s Price Stability Amidst Market Skepticism
Ethereum’s market value feels the brunt of ETF-related pessimism, further complicated by the SEC’s stance on Ethereum ETFs compared to those of Bitcoin. Nevertheless, ETH has reclaimed its 20-day Exponential Moving Average (EMA), and if prices hold above $3,521, there’s potential for further gains.
Should Ethereum maintain its upward trajectory, price targets of $3,679 and potentially $4,094 are within sight. Conversely, a drop below these levels could temper bullish sentiment, and slipping under the 50-day Simple Moving Average (SMA) might lead to a deeper correction, potentially down to $2,868. Market watchers forecasting a dip to the $950 billion support level for altcoins may see their cautionary outlooks validated by an ETH downturn.