Bitcoin experienced significant net outflows, with nearly 16,000 BTC exiting spot ETFs, contributing to a sell pressure of around 34,000 BTC across exchanges and ETFs. This trend has reinforced a risk-off sentiment in the market, as institutional flows have not sufficiently absorbed the supply. Analysts suggest that for Bitcoin’s price to gain momentum, netflows need to shift toward a neutral or negative territory.
Despite this, Bitcoin’s price rebounded to approximately $77,800 after briefly dipping below the $75,000 support level, aided by improving investor sentiment following potential geopolitical easing. The rally was primarily driven by short covering, as open interest in Bitcoin fell from nearly 268,000 BTC to about 250,000 BTC, indicating bearish traders exited positions.
For Bitcoin to build further momentum toward the $80,000 mark, both open interest and spot demand must increase alongside price movements, signaling a more balanced market position.
Source: cointelegraph.com