The sharp decline in the Coinbase Premium Index and Bitcoin prices may suggest a decreased interest in ETFs. Observers note significant outflows from spot ETFs, highlighting market volatility.
Worrying ETF Outflows
Between February 10 and 14, a total of $651.83 million was withdrawn from spot Bitcoin ETFs, potentially indicating waning short-term interest. Despite this, institutional investments in ETFs tripled in the fourth quarter, reaching $38 billion.
Analysts Predict Stable Institutional Investments
According to Sam Baker, research analyst at River, the top 25 funds liquidated roughly 19K BTC in Q4. Meanwhile, banking giants like JPMorgan are beginning to include Bitcoin in their quarterly guides.
Bitcoin's Anemic Price Action
Bitcoin is currently trading at $94,239 after dropping to an intraday low of $93,434. The leading cryptocurrency continues to struggle to reclaim the pivotal $100,000 level. It is down 13.4% from its current all-time high of $108,786 achieved 29 days ago.
The market remains volatile, with fluctuating ETF interest and Bitcoin price movements. Increasing institutional investor participation could become a key factor for the market's future.
