Bitcoin (BTC) News Today: Deciphering Spot ETF Flow Data Amidst SEC Decision

Bob Mason
Updated: Apr 24, 2024, 03:10 GMT+00:00

Key Points:

  • Bitcoin (BTC) slipped by 0.57% on Tuesday (April 23), ending the session at $66,496.
  • BTC-spot ETF market flow data impacted the buyer appetite for BTC.
  • On Wednesday (April 24), BTC-spot ETF market flow data for the session needs consideration as the SEC delays its decision on the Grayscale ETH Trust (ETHE) rule change.
Bitcoin (BTC) News Today

In this article:

BTC-Spot ETF Market Flow Data Underwhelms

Bitcoin (BTC) slipped by 0.57% on Tuesday, April 23. Partially reversing a 2.78% gain from Monday (April 22), BTC ended the session at $66,496.

BTC-spot ETF market flow data for Monday, April 22, offered price support going into the Tuesday (April 23) session. However, lackluster net inflows for iShares Bitcoin Trust (IBIT) tested buyer appetite for BTC.

According to Farside Investors:

  • IBIT saw total net inflows of $19.7 million. Significantly, IBIT last saw net inflows exceed $100 million on April 12.
  • Fidelity Wise Origin Bitcoin Fund (FBTC) and ARK 21Shares Bitcoin ETF saw net inflows of $34.8 million and $22.6 million, respectively.
  • Grayscale Bitcoin Trust (GBTC) saw net outflows of $35.0 million.

Preliminary flow data for Tuesday, April 23, pressured BTC late in the session. According to Farside Investors:

  • GBTC saw net outflows of $66.9 million.
  • FBTC saw net inflows fall to $4.4 million.
  • ARKB and Bitwise Bitcoin Fund (BITB) led the way, with net inflows of $33.3 million and $23.2 million, respectively.
  • Excluding flow data for IBIT, the BTC-spot ETF market saw total net outflows of $6.3 million.

On Monday, April 22, IBIT entered the top ten for ETFs with the longest inflow streaks. IBIT extended its inflow streak to 70 days. If IBIT sees net inflows on Tuesday, April 23, IBIT would rank #8 on US ETFs with the longest inflow streaks.

While the investor focus remained on BTC and the demand environment, activity in the ETH-spot ETF space drew investor interest.

SEC Delays ETH-Spot ETF Decision

On Tuesday (April 23), the SEC delayed its decision on the Grayscale request to convert the Grayscale Ethereum Trust (ETHE) to an ETH-spot ETF. According to the SEC notice,

“The Commission is extending the time for approving or disapproving the proposed rule change for an additional 60 days.”

Bloomberg Intelligence ETF Analyst James Seyffart provided updates on the ETH-spot ETFs:

  • Grayscale filed an S-3/prospectus for converting ETHE.
  • SEC delayed approval or disapproval of rule changes from Grayscale and Franklin.
  • BlackRock filed an amended 19b-4 ETH ETF application.

Bloomberg Intelligence Senior ETF analyst Eric Balchunas had this to say about the activity in the ETH-spot ETF space,

“Great summary of all the action.. which looks like a final nudge to try and get the SEC’s attention, altho most likely in vain. We were pessimistic on approval bf it was cool and we’re pessimistic now too.”

Ethereum (ETH) bucked the broader market trend on Tuesday (April 23), gaining 0.54% to end the session at $3,120. Increased activity in the ETH-spot ETF space likely contributed to the gains.

Technical Analysis

Bitcoin Analysis

BTC hovered above the 50-day and 200-day EMAs, sending the bullish price signals.

A BTC move through the $69,000 resistance level could give the bulls a run at the March 14 all-time high of $73,808. However, BTC must break through resistance at $70,000 to target the all-time high.

On Wednesday, investors should consider BTC-spot ETF market flow data.

Conversely, a BTC fall through the 50-day EMA and the $64,000 support level would bring the $60,365 support level into play.

With a 14-Daily RSI reading of 51.72, BTC could return to the $70,000 handle before entering overbought territory.

BTC Daily Chart sends bullish price signals.
BTCUSD Daily Chart 240424

Ethereum Analysis

ETH remained below the 50-day EMA while hovering above the 200-day EMA. The EMAs sent bearish near-term but bullish longer-term price signals.

An ETH break above the $3,244 resistance level and the 50-day EMA would give the bulls a run at the $3,480 resistance level.

Conversely, an ETH fall through the $3,100 handle could signal a drop to the $3,033 support level.

The 14-period Daily RSI reading of 48.61 indicates an ETH break below the $3,033 support level before entering oversold territory.

ETH Daily Chart sends bearish near-term price signals.
ETHUSD Daily Chart 240424

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.

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