-
Bitcoin is trading at USD 61,000, affected by the outflow in ETFs and the war in the Middle East.
-
The outflow of capital broke the streak of million-dollar inflows that extended for 8 consecutive days.
Bitcoin (BTC) remains at $61,000 this Wednesday, after a day marked by a significant outflow of capital from exchange-traded funds (ETFs) of this digital currency.
On Tuesday, October 1, net outflows of 242.5 million dollars from these investment vehicles listed on the US markets, according to SosoValue data. This financial movement broke a streak of eight consecutive days of capital inflows, which had totaled more than 1.4 billion dollars in favor of the bitcoin ETF.
Despite Tuesday’s setback, ETFs’ cumulative inflows since launch now exceed 45 billion dollars.
A streak of eight consecutive days of capital inflows was broken. Source: SosoValue.
This capital outflow of $242.5 million is the most significant since September 2, when they withdrew around 280 million dollars of ETFs, as reported by CriptoNoticias. This withdrawal of funds, combined with the escalation of tensions in the Middle East, contributed to a 4.40% drop in the price of bitcoin this Wednesday, October 2from $63,800 to $61,000.
The geopolitical context, especially the war between Israel and groups such as Hezbollah, along with the recent missile attacks on Israel by Iran, has influenced the volatility of the Cryptocurrency market. CriptoNoticias reported that these external events have been a key factor in the recent bitcoin crash, reflecting the sensitivity of this asset class to global instability.
The impact of the conflicts in the Middle East and the outflow of capital from ETFs on the price of bitcoin is not isolated. Investors often withdraw their investments from assets considered risk in times of political and economic uncertainty. Bitcoin, although viewed by many as a safe currency, remains sensitive to risk perceptions and liquidity in the markets.
The impact of the conflicts in the Middle East and the outflow of capital from ETFs on the price of bitcoin is not isolated. Source: CoinMarketCap.
The correlation between the price movements of bitcoin and geopolitical events underscores the interconnection between traditional financial markets and cryptocurrencies. While bitcoin ETFs have provided a more regulated and accessible avenue for cryptocurrency investing, they have also made the market more exposed to global capital flow dynamics.
Crypto Keynote USA
For the Latest Crypto News, Follow ©KeynoteUSA on Twitter Or Google News.
