Large investors have been selling U. S. spot Bitcoin ETF products, which is evident in net redemptions of $714 million for the last five trading days, as observed from the SoSovalue platform.
Yesterday, the net withdrawal reached $174 million, which followed the news that Mt. Gox creditors will start receiving repayments next week, with Grayscale’s GBTC fund at $90 million and Fidelity’s FBTC fund at $35 million.
BTC has been trading a little over the $60k level, going as low as $59,086 before it started rising again, and is at $60,770 at the time of writing.
Even though, due to Juneteenth, the trading week for US institutional investors was cut short, the exodus from Bitcoin ETFs saw $544 million in four sessions.
Combined trading losses of all cryptocurrencies amounted to $330 million within 24 hours, which were primarily driven by events connected with Mt.Gox.
Bitcoin investors are uneasy by the lack of positive news and are particularly wary as Mt. Gox creditors are set to receive around $9 billion in Bitcoin repayments next week, which is not helping the sentiment after the Federal Reserve’s ‘talking down’ the property market this week.
Miners are seen converting their Bitcoin into fiat currency given that the hashrate of the network declined by 6 % since its peak on April 24, and it now stands at the 17th March level.
Some Bitcoin miners are selling off their bitcoins so as to fund the costs of mining or for the purpose of reinvesting in better mining machinery.
Moreno believes the key breakout level is at $56,000, below which Bitcoin may experience a sharp pullback, citing weaker demand from retail and institutional investors, market watchers, whales, and other stakeholders.
