Bitcoin takes a breather after adding 23% in 7 days as ETF demand holds steady
Bitcoin is experiencing a period of consolidation following a significant 23% rally, while spot ETFs continue to see steady inflows. Meanwhile, other cryptocurrencies like Pyth and LayerZero are showing volatility ahead of infrastructure upgrades.
Why it matters
The market is balancing strong institutional demand via ETFs against profit-taking behavior, signaling a natural cooling-off period for the asset class.
Underlying demand, nevertheless, remains firm. U.S.-listed spot bitcoin ETFs took in $314 million on Tuesday in a seventh straight day of net inflows, bringing the month-to-date total to over $3 billion, according to SoSoValue data.
Still, the speed of the rally is starting to leave the market exposed. Alternative.me’s Crypto Fear & Greed Index jumped to 74 from 27 less than two weeks earlier before easing back.
Pedro Fontes, a research analyst at Mercado Bitcoin, identified $82,000 and $85,000 as the next resistance levels and said some consolidation would be natural after such a vertical advance.
Gold, meanwhile, is little changed near $4,630 an ounce after reaching a three-month high. Asian equities advanced and U.S. stock futures are little changed ahead of inflation data and Nvidia’s NVDA $ 225.49 · At close results coming after the market closes. Oil dropped for a third consecutive session.
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