Bitcoin Spot ETFs Continue Inflow Streak...But What's Up With This Technical Indicator?

Bitcoin spot Exchange-Traded Funds (ETFs) recorded their ninth consecutive day of net inflows on July 17, totaling $53.3475 million.

What Happened: This continued influx of capital suggests growing investor confidence in Bitcoin BTC/USD as a viable asset class, despite ongoing market volatility.

Leading the charge was BlackRock‘s IBIT ETF, which saw a substantial net inflow of $110 million, according to data from SoSo Value.

Fidelity‘s FBTC ETF also contributed positively with a net inflow of $2.8259 million.

However, the Grayscale Bitcoin Trust GBTC, which recently converted to an ETF, experienced a net outflow of $53.8612 million on the same day.

Also Read: Donald Trump Comments On Crypto Pivot: ‘If We Don’t Do It, China Will’

Why It Matters: This pattern of inflows coincides with an important technical indicator highlighted by crypto analytics firm CryptoQuant.

According to their recent analysis, Bitcoin’s price has surpassed the average cost basis of short-term holders, a metric known as the Short Term Holder (STH) Realized Price.

This development is considered bullish, as it often leads to increased buying pressure from short-term investors looking to add to their positions.

CryptoQuant’s data shows that since 2023, Bitcoin has reclaimed the STH Realized Price twice, each time resulting in at least 30% profits.

This suggests that the current price movement could potentially signal the start of another upward trend.

These developments come at a crucial time for the digital asset industry, with regulatory scrutiny increasing and institutional interest continuing to grow.

The interplay between traditional finance and cryptocurrencies will be a key topic of discussion at Benzinga’s Future of Digital Assets conference on Nov. 19.

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