Bitcoin Price Stalls at Key Support as ETF Outflows Reach Monthly Record
Bitcoin (CRYPTO: BTC) price has stalled at a crucial support level as American investors continue selling their ETF holdings. BTC was trading at $60,460 today, June 27, slightly above this month’s low of $58,037.
Bitcoin ETF Outflows are Accelerating
US investors have continued to dump their Bitcoin ETFs this month, with many of them rotating towards the stock market amid the ongoing artificial intelligence supercycle.
Data compiled by SoSoValue shows that spot Bitcoin ETFs had the worst weekly performance this week. These funds lost over $1.79 billion this week, with most of the outflows being on Thursday when they lost over $696 million in assets. They then lost $444 million in assets on Friday.
Bitcoin ETFs are also on track to have the worst month since they were approved in 2024. They have already lost over $4.06 billion this month, beating the previous record of $3.4 billion, which happened in November last year.
The ongoing outflows is happening as investors rotate from the crypto market to stocks. Data shows that stock market-based ETFs have added over $1 trillion in assets this year, with those tracking the S&P 500 Index adding over $150 billion. DRAM, the recently launched ETF tracking the biggest companies in the memory industry, has added $24 billion in assets since its launch in April.
Bitcoin price retreated below $60,000 earlier this month when Strategy sold just 32 coins.
Bitcoin Price Sits at Crucial Support Level
Technicals suggest that BTC may be at risk of falling further in the near term. It has already slipped below all moving averages, a sign that bears remain in control for now.
The coin has also formed an inverted cup-and-handle pattern. It is now in the handle section. Therefore, there is a risk that dropping below the year-to-date low of $58,200 will point to more downside as it will invalidate the double-bottom pattern. If this happens, it may drop to $50,000.
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