- In just one day from spot bitcoin ETF $635 million in capital was withdrawn.
- This was facilitated by the increase in interest rates by the Bank of Japan, which gave a signal to get rid of risky assets, which are cryptocurrencies and Bitcoin.
May 13, According to SoSoValue, from US spot bitcoin ETF withdrew capital in the amount of $635 million, with the largest outflow had to on IBIT from BlackRock ($285 million).
It is believed that this was facilitated by harsh signals The Bank of Japan, which reduced risk appetite globally, led to the liquidation of over $500 million in cryptocurrency assets.
Sosovalue data
For this reason Bitcoin’s price has fallen up more than 2% in 24 hours to $79,400, snapping a rally that had taken prices from $65,000 to $82,000.
The $635 million withdrawal brought the total net outflow from 11 U.S. exchange-traded funds that invest in Bitcoin, to $1,26 billion over five trading days. As a result, cumulative net inflows since its launch in January 2024 have decreased from $59,76 billion to $58,5 billion.
The trigger for this event was the Bank of Japan’s interest rate hike, which strengthened the yen and forced institutional investors holding yen-backed risky assets to reduce their high-beta exposure.
Cryptocurrencies in this category have absorbed a disproportionate share of this leverage reduction.
By this point Bitcoin was already in a less-than-ideal position from a technical analysis perspective. Touching the 200-day simple moving average, located above $82,000, became a breakthrough point for momentum in this price zone.
When macroeconomic selling pressure reached this resistance zone, leveraged long positions were liquidated. Data Binance и OK They are talking about liquidating $500 million in longs.
Adam Hames, head of asset management at Tesseract Group, believes that “a high consumer price index, the arrival of a Warsh-led Fed, and another oil shock could further compress Bitcoin even with a positive net cash inflow.»
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