Bitcoin has seen the highest demand among all cryptocurrencies globally. However, the leading digital asset surprised many this week as it led the pack in response to investors’ panic exits. Nevertheless, these were not direct reserves as the outflows emerged on several BTC-based ETFs (exchange-traded funds).
BTC’s Last Week Performance
Bitcoin’s weekly net flows stood at $134M this week. That meant the peak outpours institutional investors saw since 2022 started. Meanwhile, the flows didn’t spill to other assets as usual. Instead, BTC solely accounted for about 97.7% of the observed outflows.
That’s because ETFs suffered this week and not alt-based products. Such developments had Bitcoin prices on a sudden fall.
Ethereum had led as far as week-on-week outflows are concerned in most of 2022, while BTC recorded inflows mainly. Even Bitcoin led in inflows last week, hitting $144 million. That is reasonable as the crypto market shifted to the worst over the week. The bearish actions saw BTC plunging beneath $40K on April 12. However, the largest crypto by market value rose above the area, changing hands near $40,132.29 at this publication. However, BTC remained vulnerable to further drops.
Moreover, the dominant crypto realized losses worth more than $713 million over the past week. Such narratives might affect retail investor confidence. Also, the Accumulation Trend Score shows a wavering conviction as most of the ecosystem moved to distribution from accumulation until lucrative opportunities. And investors will keep their current positions as long as this indicator stays near zero.
Therefore, the outflow bias should slow down. And that can only occur when the crypto market sees a recovery.
While publishing this blog, the crypto market battled with bearish actions after the latest slump. BTC hovers at $40,139.77, losing 0.06% over the past day. Some experts believe in recoveries, while others predict more drops. For instance, BitMEX’s Arthur Hayes trust the current broad market conditions can drag Bitcoin towards the $30K lows. He attributes BTC’s struggle to the stock market retreat.
