Cryptocurrency News And Prices: ETF Inflow Streak Ends, Bitcoin Rises From June Lows

News about Cryptocurrencies: Tuesday saw a decrease in cryptocurrency values as bitcoin recovered from its June lows early in the day. After incurring significant losses in the opening trade, bitcoin miners rallied higher. In other news, spot bitcoin ETFs had $64.5 million in withdrawals on Monday, capping a 19-day run of inflows.

Spot Ethereum ETFs could debut later this year after the Securities and Exchange Commission accepted 19b-4 forms for eight ether ETF applications on May 23. The approval of the S-1 registration statements is still required before the ETFs may make their formal debut. There was no timeline provided by the SEC for a decision on the S-1 filings.

The fourth halving event of Bitcoin, which reduced the incentives given to miners, ended on April 19. Although the price of bitcoin has typically increased in the months after other halvings, experts disagree on the significance of this year’s event.

In other news, on March 28, Sam Bankman-Fried received a 25-year prison sentence for his involvement in the collapse of the cryptocurrency exchange FTX in 2022.

The industry’s historic leap forward on January 11 is the foundation of the strength of new highs. On that initial trading day following the SEC’s approval of eleven bitcoin ETF applications, ARK Invest (ARKK), BlackRock (BLK), Grayscale, VanEck, and other issuers were among the ones involved. For most of the new ETF issuers, Coinbase acts as the custodian. How do cryptocurrency keepers maintain digital assets secure?

Price Action of Cryptocurrencies

Tuesday saw bitcoin trading at over $67,300 after falling as low as $66,177 in the morning. With the early decline, bitcoin saw its lowest level since mid-May and its first decline below $67,000 in June.

Prior to the jobs data, Bitcoin last week moved towards $72,000 and broke over its highs from late May. With a new record high of $73,798 on March 14, bitcoin surpassed its previous high of $68,990 from November 2021.

The highest cryptocurrency in the world saw about 157% growth in 2023. By now, Bitcoin has increased by about 60% this year.

Tuesday afternoon saw Ethereum drop below $3,500 once again, losing 4.5% of its value in the previous day. Before its downturn in early June, ethereum was returning to its 52-week high of $4,092 on March 12. The cryptocurrency ranked second is still far off its peak of $4,800 in November 2021.

On March 8, Ethereum achieved its first 26-month high above $4,000. Even so, in 2024, ETH surged by almost 53%.

Investments in digital assets are incredibly risky. Investors should concentrate on the same primary goals even when the technical indications and fundamentals of cryptocurrencies may differ. To begin with, protect yourself by knowing when to sell, trim losses, or take profits. Second, get ready to make money should the price of cryptocurrencies rise.

Cryptocurrencies have not proven to be effective inflation hedges, despite initial expectations. Rather, they have followed the overall indices’ trajectory. To stay up to date on daily market movements, read Market Pulse and The Big Picture.

To get help navigating the world of investing in digital assets, visit IBD’s Best Cryptocurrencies And Crypto Stocks To Buy And Watch page.

Miners of cryptocurrency rebound after the June low price of bitcoin

Tuesday saw a minor recovery in cryptocurrencies and associated stocks, after bitcoin had fallen to lows not seen since June.

Tuesday afternoon saw a recovery in bitcoin to $67,300 after it had fallen as low as $66,177 in the morning. According to CoinDesk Indexes data, the early decline was bitcoin’s lowest level since mid-May and its first decline below $67,000 in June. Even still, bitcoin dropped more than 3% from its peak of $69,711 overnight over the previous day. The price of other cryptocurrencies fell along with the trend.

According to Steven Lubka, head of private customers at financial services company Swan Bitcoin, “no discernible event is driving this drop.” According to him, the decline on Tuesday was probably “just the outcome of short term investor placing.”

Late on Tuesday, Ethereum dipped below $3,500, losing 4.6% of its value in the previous day.

Tuesday saw a positive turn in cryptocurrency miners after they took the brunt of the losses during early trading. Tuesday morning, Marathon Digital (MARA) saw a 5.5% decline before rising to a 1.9% gain. Following a 6% decline in early trading, Riot Platforms (RIOT) saw a nearly 1% increase. Tuesday saw a 1.6% recovery for CleanSpark (CLSK) following a roughly 7% decline in shares during the morning.

Spot bitcoin ETFs had a nearly 3% decline on Tuesday, including ARK’s 21 Shares Bitcoin ETF (ARKB) and BlackRock’s iShares Bitcoin Trust (IBIT).

ETF Flow Trend Breaks

According to statistics from Farside Investors, the spot BTC ETFs saw $64.9 million in outflows on Monday, capping a 19-day run of inflows. At $39.5 million and $20 million, respectively, the Grayscale Bitcoin Trust (GBTC) and Invesco Galaxy Bitcoin ETF (BTCO) were the top outflows.

The only exchange-traded funds (ETFs) to see inflows on Monday were BlackRock’s ETF and the Bitwise Bitcoin ETF (BITB).

But that wave of inflows did not result in an increase in the price of Bitcoin.

“Whereas the spot bitcoin ETFs have taken in huge inflows the past few weeks, a few showcase members have felt the cost picks up have been quieted,” Lubka expressed. “A few of these inflows were due to members arbitraging the premium of the CME prospects showcase, by shorting prospects and buying the ETF.” Still, Lubka wrote, it was implausible that the arbitrage trades accounted for a significant amount of the inflows.

“The basic reply is just that the bitcoin showcase could be a exceptionally huge showcase, one whose short-term changes are overwhelmed by the utilized dealers pushing billions in volume per day,” Lubka expressed. “Spot Exchange Traded Funds, while a welcoming beginners, are far from the largest players in the bitcoin market.”

Since its inception on January 11, the spot bitcoin ETFs have received inflows totaling $15.62 billion. BlackRock has benefited the most, bringing in $17.6 billion. With $17.97 billion in withdrawals since switching to a spot bitcoin ETF, Grayscale has trailed behind.

Bitcoin Price, Crypto Stocks: Coinbase (COIN), a cryptocurrency exchange, reduced losses to 2.3% on Tuesday. The COIN stock has a purchase point of 283.48 and is trading in a cup base. Shares might be adjusting their handle.

Even after Tuesday’s drop, the price of bitcoin has increased by 60% so far this year. On March 14, the leading cryptocurrency in the world reached a record high of $73,798.