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Bitcoin (BTC) News Today: HK ETF Inflows Counter US Outflows Pre US Jobs Report

By:
Bob Mason
Updated: May 3, 2024, 02:18 GMT+00:00

Key Points:

  • Bitcoin (BTC) advanced by 1.16% on Thursday (May 2), closing the session at $59,142.
  • HK BTC and ETH-spot ETF inflows delivered support amidst outflows from the US BTC-spot ETF market.
  • On Friday (May 3), investors should consider the US Jobs Report, ISM Services PMI, and influence on the US BTC-spot ETF market.
Bitcoin (BTC) News Today

In this article:

US BTC-spot ETF Market Faces a Seven-Day Outflow Streak

Bitcoin (BTC) advanced by 1.16%. Partially reversing a 3.65% loss from Wednesday (May 1), BTC ended the session at $59,142. Significantly, BTC closed the day at sub-$60,000 for the second successive session.

US BTC-spot ETF market flow data for Wednesday (May 1) influenced buyer demand for BTC.

According to Farside Investors, the US BTC-spot ETF market saw total net outflows of $563.7 million on Wednesday (May 1), the largest since launching on January 11.

  • iShares Bitcoin Trust (IBIT) saw net outflows of $36.9 million, the first net outflows since launch.
  • Fidelity Wise Origin Bitcoin Fund (FBTC) saw net outflows of $191.1 million, the largest since launching on January 11.
  • ARK 21Shares Bitcoin ETF (ARKB) recorded net outflows of $98.1 million.
  • Significantly, none of the issuers saw net inflows.

Market conditions improved on Thursday (May 2), though the BTC-spot ETF market faces the possibility of a seventh successive day of total net outflows.

According to Farside Investors,

  • Grayscale Bitcoin Trust (GBTC) recorded net outflows of $54.9 million on Thursday (May 2), down from $167.4 million on Wednesday (May 1).
  • FBTC had zero net flows.
  • ARKB recorded net inflows of $13.3 million.
  • Four issuers saw net inflows on Thursday (May 2), excluding IBIT figures.
  • Excluding IBIT flow data, the BTC-spot ETF market saw net outflows of $34.4 million.

While the US spot ETF market faces a seventh day of net outflows, HK numbers were more upbeat.

HK BTC and ETH-Spot ETF Market Sees Net Inflows on Day One

On the first trading day (April 30), Hong Kong BTC and ETH-spot ETF market flow data were more upbeat.

Bloomberg Intelligence Senior ETF Analyst Eric Balchunas shared the figures, saying,

“We just put out note with final data (which doesn’t come in as fast as US). In short, HK saw $292m in assets on Day One (we predicted $1b in two years so way ahead of schedule but corrections can derail trajectories as we seeing in US). Ether ETFs grabbed 15% of pie and size appeared to matter more than lower fees in attracting investors on day one.”

  • ChinaAMC Bitcoin ETF (3042 HK) saw net inflows of $124 million.
  • Harvest Bitcoin Spot ETF (3439 HK) had net inflows of $63 million.
  • Bosera Hashkey Bitcoin ETF (3008 HK) recorded net inflows of $61 million.

On Friday (May 3), the US Jobs Report and ISM Services PMI could influence investor bets on a September Fed rate cut. Weaker-than-expected numbers could rekindle buyer demand for US BTC-spot ETFs and drive buyer demand for HK spot ETFs on Monday (May 6).

Technical Analysis

Bitcoin Analysis

BTC remained well below the 50-day EMA while holding above the 200-day EMA. The EMAs confirmed the bearish near-term but bullish longer-term price trends.

A BTC break above the $60,365 resistance level would support a move to the 50-day EMA and the $64,000 resistance level. Selling pressure may increase at the $64,000 resistance level. The 50-day EMA is confluent with the resistance level.

On Friday (May 3), the US Jobs Report, ISM Services PMI, and BTC-spot ETF flow data from HK and the US need consideration.

Conversely, a BTC drop below the $55,000 handle could signal a fall to the $52,884 support level.

With a 36.61 14-Daily RSI reading, BTC may fall through the $55,000 handle before entering oversold territory.

BTC Daily Chart sends bearish near-term price signals.
BTCUSD Daily Chart 030524

Ethereum Analysis

ETH hovered below the 50-day EMA while holding above the 200-day EMA. The EMAs affirmed the bearish near-term but bullish longer-term price signals.

An ETH breakout from the $3,033 resistance level could give the bulls a run at the 50-day EMA and the $3,244 resistance level.

Conversely, an ETH break below the 200-day EMA would bring the $2,664 support level into play.

The 14-period Daily RSI reading of 40.36 suggests an ETH fall to the 200-day EMA before entering oversold territory.

ETH Daily Chart sends bearish near-term price signals.
ETHUSD Daily Chart 030524

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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