Bitcoin (BTC) News Today: Investor Caution as Bitcoin Halving Event Nears

BTC-Spot Market Sees Net Outflows and the US CPI Report

On Tuesday (April 9), BTC slid by 2.94%. Reversing a 2.73% rally from Monday, BTC ended the session at $69,218. BTC ended a three-day winning streak.

BTC-spot ETF market flow data for April 8 sent BTC into negative territory. According to Farside Investors, the BTC-spot ETF market saw total net outflows of $223.8 million. An unexpected increase in Grayscale Bitcoin Trust (GBTC) net outflows impacted the headline number.

• GBTC saw total net outflows increase from $199.0 million (April 5) to $303.0 million (April 9).
• iShares Bitcoin Trust (IBIT) saw net inflows slide from $308.8 million to $21.3 million.
• Fidelity Wise Origin Bitcoin Fund (FBTC) saw net inflows decline from $83 million to $6.3 million.

Preliminary flow data for April 9 also tested investor sentiment. GBTC net outflows declined from $303 million to $155 million. GBTC net outflows remained elevated despite Genesis completing its $2.1 billion sale of GBTC shares last week. Since January 11, GBTC saw net outflows of $15,963.5 million. The BTC-spot ETF market could see a second session of net outflows on April 9.

• FBTC saw net inflows fall from $6.3 million to $3.0 million.
• Bitwise Bitcoin ETF saw net inflows decline from $40.3 million to $3.8 million.
• Excluding IBIT and Valkyrie Bitcoin Fund (BRRR), the BTC-spot ETF market saw total net outflows of $147.3 million.

Bloomberg Intelligence Senior ETF Analyst Eric Balchunas reacted to the FBTC flow data, saying,

“Man that’s tiny but inflow streak still intact. 61 days and counting.”

The current pullback in net inflows suggests investor caution before the US CPI Report. Hotter-than-expected US inflation numbers could sink bets on a June Fed rate cut. Higher borrowing costs and the looming Bitcoin Halving Event could be near-term tests for BTC and the broader market.

The Bitcoin Halving Countdown Clock showed nine days and 15 hours remaining until the supply halves.

Technical Analysis

Bitcoin Analysis

BTC sat well above the 50-day and 200-day EMAs, confirming the bullish price signals.

A BTC breakout from the $69,000 resistance level would give the bulls a run at the March 14 ATH of $73,808. However, BTC must break down resistance at the April 8 high of $72,578.

On Wednesday, BTC-spot ETF market flow data, the US CPI Report, and FOMC member commentary warrant consideration.

Conversely, a BTC drop below the $70,000 handle would bring the $69,000 support level into play. A drop below the $67,500 handle could give the bears a run at the $64,000 support level.

With a 14-Daily RSI reading of 52.91, BTC may return to the all-time high of $73,808 before entering overbought territory.

Ethereum Analysis

ETH hovered above the 50-day and 200-day EMAs. The EMAs confirmed the bullish price trends.

An ETH return to the $3,600 handle would support a move to the April 8 high of $3,730. A break above the April 8 high would bring the $3,835 resistance level into play.

Investors should monitor ETH-spot ETF-related news.

Conversely, an ETH break below the $3,480 support level could give the bears a run at the 50-day EMA. A fall through the 50-day EMA could bring the $3,244 support level into play.

The 14-period Daily RSI reading of 50.97 indicates an ETH move to $4,000 before entering overbought territory.