Bitcoin continues to test an important support level in the form of the 200-day simple moving average (SMA). At the same time, significant inflows are seen in Bitcoin and Ethereum ETFs.
Testing the 200-Day SMA
Crypto analyst Ali pointed out that Bitcoin is once again testing the 200-day SMA, a crucial indicator for confirming a sustained uptrend. Historically, failing to reclaim this level has led to corrections, as seen in 2020, 2018, and 2014.
ETF Inflows into Bitcoin and Ethereum
According to Spot On Chain, Bitcoin ETFs recorded $158 million in inflows, with Ethereum ETFs seeing $5.2 million. These movements occurred after the Federal Reserve cut interest rates by 0.5%, leading to positive net flows for both assets.
Bitcoin’s Price Action
Per CoinGecko data at publication, Bitcoin’s price reached $63,646.37, backed by a daily trading volume of over $43 billion. The price has risen by nearly 10% over the past seven days, reflecting a strong market recovery. Ethereum also experienced inflows, solidifying its standing as a top altcoin. Analyst Ali warns that if Bitcoin fails to hold above the 200-day SMA, a correction may follow.
The coming days will be crucial for Bitcoin. Testing the 200-day SMA and significant ETF inflows could have a key impact on the future dynamics of Bitcoin and Ethereum markets.
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