GBTC outflows have surpassed $300 million once more, causing an overall negative attitude in the Bitcoin ETF market.
The cumulative inflows into all nine spot Bitcoin ETFs reverted to negative once again on Monday, April 1.
It appears that outflows from the Grayscale Bitcoin ETF GBTC have once more increased significantly.
Once more, the total outflow from GBTc surpassed $300 million on Monday.
Bitcoin ETFs See Net Outflows
On April 1, Bitcoin spot ETFs witnessed a net outflow of $85.84 million.
Among the major swings was a $302 million net outflow from the Grayscale ETF GBTC on a single day.
In contrast, the Fidelity ETF FBTC experienced a net inflow of $43.99 million, whereas the BlackRock ETF IBIT experienced a net inflow of $165 million.
Meanwhile, Farside Investors data indicates that the cumulative net inflow for Bitcoin spot ETFs reached a noteworthy $12.04 billion, underscoring the sustained interest of investors in this asset class.
The Bitcoin price has entered a sudden correction amid these negative flows, dropping 5.5% to $66,000.
Along with Bitcoin, the larger cryptocurrency market has seen significant liquidations in the recent 24 hours.
Notably, the abrupt correction comes precisely before the Bitcoin halving event, which will take place in exactly 19 days.
This correction may undermine analysts’ forecast that Bitcoin price will reach $75,000 by the halving event.
Fed Monetary Policy Challenges
As April begins, the crypto market’s retreat indicates a diminishing of the recent strong upswing, which was most prominently marked by Bitcoin’s ascent to a record high.
Due to persistent inflationary pressures in the United States, this change in sentiment reflects a more prudent approach that is prevalent in international markets.
As a result, investors are scaling back their expectations for looser monetary policies and interest rate cuts from the Federal Reserve.
The director of trading at OSL SG Pte in Singapore, Stefan von Haenisch, remarked that the cryptocurrency community is reverberating with the expectation of reduced interest rate cuts by the Federal Reserve.
As the week progresses, a widespread decline in value is evident, impacting numerous sectors within the cryptocurrency market.
Particularly affected by this cautious sentiment are sectors that have outperformed Bitcoin in value over the past six months, including meme coins.
