On Monday, the United States and China agreed to a 90-day tariff relief deal. The announcement triggered renewed optimism across global financial markets, with crypto markets also benefiting from the sentiment shift.
However, this translated to just $5 million in net inflows into the Bitcoin ETF market, its lowest single-day total inflow since April 14.
As trading activity rocketed on Monday, BTC soared to an intraday high of $105,819. However, profit-taking soon followed, causing the leading coin to shed some of its gains and close at $102,729.
The dip below the psychologically significant $105,000 threshold dampened institutional enthusiasm, discouraging large capital inflows into spot Bitcoin ETFs. As a result, net inflows into the ETF market stalled at just $5.2 million on Monday, representing the lowest single-day total inflow since April 14.
BlackRock’s iShares Bitcoin Trust (IBIT) recorded the highest daily inflow among all issuers. On Monday, the fund’s net inflow was $69.41 million, bringing its total historical net inflow to $44.78 billion.
Meanwhile, Grayscale’s Bitcoin Trust ETF (GBTC) recorded the highest net outflow among all issuers on Monday, with $32.92 million leaving the fund. GBTC’s total historical net inflows stand at $22.95 billion as of this writing.
The pullback signals that institutional investors may be holding back until BTC reclaims or stabilizes above key resistance levels.
At press time, BTC trades at $102,367, down 2% over the past 24 hours. On Monday, the coin briefly surged to a three-month high of $105,819 following the US-China trade agreement news. However, the rally was short-lived, as profit-taking by traders triggered a pullback, causing BTC to close below the psychological $105,000 price mark.
While the dip signals near-term selling pressure, market sentiment remains optimistic. This is reflected by BTC’s funding rate, which remains positive, suggesting that traders continue to bet on a sustained rally, despite the temporary retreat.
Moreover, a look at the BTC liquidation heatmap reveals a significant concentration of liquidity around the $105,337 level.
The heatmap highlights potential price zones where large-scale liquidations could occur, providing traders insight into high-liquidity areas.
These zones, marked in yellow, indicate that if BTC resumes its upward momentum, it could potentially breach the $105,000 level, assuming the current bullish setup holds. In such a scenario, traders holding short positions could face a short squeeze.
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