Bitcoin ETF flows have shown positive dynamics since mid-March, aligning with a slight recovery in Bitcoin prices.
Current Bitcoin ETF Flows
Recently, Bitcoin ETF flows have turned positive, starting March 14, coinciding with Bitcoin price recovery. Lower BTC prices present a more attractive entry, reflected in recent yet modest inflows compared to past market greed peaks.
Economic Factors Supporting Market
Recovery is linked to the Federal Reserve's meeting, keeping interest rates unchanged, stabilizing liquidity conditions. Despite inflation being slightly above the 2% target, markets point towards stability, benefiting Bitcoin.
Bitcoin Accumulation by Investors
As per CryptoQuant, there is a sharp rise in the 90-day moving average of BTC exchange outflows since January 2023. This indicates substantial accumulation, mainly by retail investors, amid restrained institutional activity. Net unrealized profits have been increasing since March 10.
Positive Bitcoin ETF flows and accumulation trends highlight a shift in market sentiment and investor resilience despite economic uncertainty.
