Bitcoin Bounces: ETF Inflows Turn Positive Amid Market Recovery
Bitcoin Price Rebound Gains Momentum
Bitcoin (BTC) showed signs of resilience, consolidating around $110,000 during Tuesday's Wall Street open. This comes amid broader signals suggesting a potential crypto market recovery.
Key Indicators:
- Local Bottom Approaching: Analysts suggest Bitcoin is nearing a local bottom after dipping below $109,000.
- Coinbase Premium Returns: A positive Coinbase Premium indicates a possible resurgence in US demand.
- Surprise ETF Inflows: Despite recent price declines, ETF flows ended Monday in positive territory, signaling renewed institutional interest.
Coinbase Premium and Liquidation Data
After a wave of crypto long liquidations exceeding $700 million, BTC price volatility has subsided, according to data from Cointelegraph Markets Pro and TradingView.
BTC/USD hit a low of $108,717 on Bitstamp, triggering concerns of a potential retest of the $100,000 support level. However, some analysts remain optimistic.
BitBull noted that Bitcoin is "getting closer to the bottom," suggesting a possible bounceback despite the chance of retesting the $106,000-$108,000 range.
“There is still a chance of $106K-$108K level retest, but for now I’m expecting a bounceback.”
The Coinbase Premium Index, which measures the price difference between Coinbase and Binance, turned positive, indicating strengthening US market demand.
BitBull concluded, "Coinbase Bitcoin Premium turned positive during bottom and long liquidations were huge. This shows that max. pain is here and a short rally is expected."
Mister Crypto anticipates a short squeeze, fueled by a substantial build-up of short positions above $115,000.
Q2 2025 Fractal
CryptoQuant's Cas Abbe pointed out the similarities between the current price action and a retracement observed in June, when BTC/USD dropped from $112,000 to around $98,000.
"BTC chart resemblance to Q2 2025 fractal is uncanny. Similar lower-lows and a capitulation which forced everything to think ‘it’s over,’” Abbe commented.
Ecoinometrics highlighted the impact of macro uncertainty on US spot Bitcoin ETFs, noting that ETF outflows were contributing to the price decline. However, on Monday, these ETFs saw positive net inflows of nearly $220 million, according to Farside Investors.
