Bitcoin ETFs Attract $2 Billion, But BTC Price Stalls
On June 4, the U.S. spot bitcoin ETF category registered a net flow of $887 million, the second highest amount for this segment in a single day since its launch in January. In total, the 11 funds raised approximately $1.8 billion in assets between June 3 and June 7. BlackRock’s iShares Bitcoin Trust, now the largest bitcoin ETF, attracted $948 million, while Fidelity Wise Origin Bitcoin Fund (FBTC) welcomed $679 million.
Growing trading volumes
Trading volumes for crypto exchange-traded products reached $12.8 billion last week, a 55% increase from the previous week. However, despite these strong inflows and trading volumes, BTC’s price is lagging behind.
Macroeconomic factors play a role
The price of BTC rose to almost $72,000 on Friday, but later retreated from its high above $73,000. A drop in US employment data on Friday, which showed the US economy added 272,000 jobs in May, added to downward pressure on the BTC price.
In addition, the macroeconomic situation also plays a role, with the European Central Bank implementing an interest rate cut for the first time in five years. All of this indicates some market caution, with analysts looking to the Federal Reserve’s upcoming FOMC meeting for further direction.
Future expectations
However, analysts including Galaxy Digital CEO Mike Novogratz remain optimistic about bitcoin’s future. Some predict that bitcoin could reach $100,000 by the end of the year, partly due to increasing interest in ETFs and possible interest rate cuts in the US.
Source: https://blog.coinshares.com/volume-186-digital-asset-fund-flows-weekly-report-dc1d43e0e207
