Bitcoin Starts New Quarter Stuck in the $82K–$85K Range
Bitcoin has entered a new quarter, but the price action looks very familiar. Over the course of more than a week, BTC has been stuck somewhere between $82,000 and $85,000. On Wednesday, concerns about future Federal Reserve rate hikes were eased by weaker-than-anticipated U.S. inflation data, which caused Bitcoin to briefly surpass $85,000. However, buyers failed to maintain the breakout, and spot Bitcoin ETFs were unable to provide enough support.
On Wednesday, spot Bitcoin ETFs that are listed in the United States saw net outflows of $148.7 million, ending a nine-day streak that had brought in approximately $3.08 billion. According to SoSoValue data, it was the strongest ETF inflow streak of the year by total dollar value.
However, momentum had already started to weaken before the streak ended. On September 21, daily ETF inflows reached a high of nearly $1 billion before gradually decreasing over the subsequent sessions. If Bitcoin is to break through the overhead supply at the moment, Bitfinex analysts say that stronger daily ETF inflows could be crucial. In a market note, "Daily pace remains the key determinant for clearing overhead supply," Bitfinex analysts stated. The slowdown is also being shown by another indicator. The Bitfinex Absorption-to-Emission Ratio (BAER) compares the roughly 450 BTC produced daily by miners to the amount of Bitcoin purchased by ETFs during a session. The sharp drop in the ratio from 25.6x on September 21 to 1.8x on September 29 demonstrates how much less demand there is for ETFs.
Bitcoin has entered a new quarter, but the price action looks very familiar. Over the course of more than a week, BTC has been stuck somewhere between $82,000 and $85,000. On Wednesday, concerns about future Federal Reserve rate hikes were eased by weaker-than-anticipated U.S. inflation data, which caused Bitcoin to briefly surpass $85,000. However, buyers failed to maintain the breakout, and spot Bitcoin ETFs were unable to provide enough support.
On Wednesday, spot Bitcoin ETFs that are listed in the United States saw net outflows of $148.7 million, ending a nine-day streak that had brought in approximately $3.08 billion. According to SoSoValue data, it was the strongest ETF inflow streak of the year by total dollar value.
However, momentum had already started to weaken before the streak ended. On September 21, daily ETF inflows reached a high of nearly $1 billion before gradually decreasing over the subsequent sessions. If Bitcoin is to break through the overhead supply at the moment, Bitfinex analysts say that stronger daily ETF inflows could be crucial. In a market note, "Daily pace remains the key determinant for clearing overhead supply," Bitfinex analysts stated. The slowdown is also being shown by another indicator. The Bitfinex Absorption-to-Emission Ratio (BAER) compares the roughly 450 BTC produced daily by miners to the amount of Bitcoin purchased by ETFs during a session. The sharp drop in the ratio from 25.6x on September 21 to 1.8x on September 29 demonstrates how much less demand there is for ETFs.
