Bitcoin ETFs Record $671.9M Outflows; Mutuum Finance (MUTM) Could Hit $1 After Launch

Bitcoin exchange-traded funds (ETFs) recently experienced their largest single-day outflows, with $671.9 million withdrawn.

Bitcoin exchange-traded funds (ETFs) saw record outflows on Thursday, with traders pulling out $671.9 million from the funds as the challenges in the crypto market continue.

This massive outflow was accompanied by a $1.02 billion liquidations across the crypto market and a drop in the price of Bitcoin. The outflows were primarily driven by heavy sell-offs from two major ETFs.

Bitcoin ETFs See Record Outflows, BTC Price Falls Below $20K Again

According to data from ETF Tracker, Bitcoin ETFs experienced a sharp sell-off on Thursday, setting a new record for the highest single-day outflows. Trading volumes also saw a significant decrease.

Over the past few weeks, outflows from Bitcoin ETFs have been increasing. Last week, the outflows reached $300 million, which were the highest outflows observed in the past six months.

However, outflows from the beginning of the year until last week amounted to only $0.08 billion. This indicates that the majority of the outflows occurred during the past two weeks.

Bitcoin’s price also saw a slight decrease on Thursday, dropping below the $20,000 level once more after briefly recovering above it earlier this week. The outflows could be linked to this price movement.

The outflows were mainly driven by two large Bitcoin ETFs. Grayscale’s GBTC (NASDAQ:BTC) experienced outflows of $464.1 million, while ARK Invest’s ARKB saw outflows of $106.1 million.

Together, these two ETFs accounted for nearly all the outflows from Bitcoin ETFs on Thursday. Other ETFs, such as Invesco’s BITO (NYSE: BITO), saw minor inflows.

Bitcoin Price Could See More Downside, But Some Investors Are ‘Buying The Dip’

As mentioned earlier, Bitcoin’s price dropped below the $20,000 level again on Thursday. This decline comes after the cryptocurrency managed to briefly trade above $20,200 on Wednesday.

The price of BTC has been facing resistance at this level for some time now, and it remains to be seen whether it can break through it again. If it fails to do so, we could see further downside in the coming days.

However, some investors are using this downturn as an opportunity to “buy the dip.” On social media and trading platforms, discussions around buying Bitcoin at lower prices have gained traction.

This behavior is typically observed among investors who believe that the market will eventually recover from the downturn and that buying at lower prices will maximize their potential profits.

Bitcoin’s price movements and the outflows from ETFs will continue to be monitored closely by traders in the coming days and weeks. These factors could influence the price direction of BTC and the broader crypto market.