CryptoQuant analyst commented on the current situation in the cryptocurrency market and the fate of spot Bitcoin ETFs.
While the cryptocurrency market has been experiencing turbulent days, especially in the last 1 week, a statement came from the CryptoQuant front. In the statement made by the analyst, it was stated that the tension in the market is due to the selling pressure of investors in profit and the decrease in net inflows to spot Bitcoin ETFs.
In addition, the analyst emphasized that the sales of profit-holders are not very intense, and highlighted that if the inflows to spot Bitcoin ETFs are revived, the market can easily recover. In the last 3-day period, spot Bitcoin ETF s, which saw net outflows, had worried investors.
On the other hand, in the event of a slowdown in the BlackRock’s purchases and the withdrawals from spot Bitcoin ETFs, he said that the long-term Bitcoin investors could also start selling, and that things could get worse:
This week’s situation shows that BlackRock’s net Bitcoin inflows have consistently reached record low levels. If this is a temporary situation, there may be no problem. However, if this situation continues, there is a possibility that long-term holders will start depositing Bitcoin to exchanges as before.