Advertisement
Advertisement

Bitcoin News Today: BTC ETF Flows, ETH ETFs, and Senator Warren in the Spotlight

By:
Bob Mason
Updated: Feb 19, 2024, 05:03 UTC

Key Points:

  • BTC gained by 0.93% on Sunday, closing the session at $52,178.
  • On Monday, investors must consider BTC-spot ETF market flow data.
  • Fed commentary also needs monitoring after hotter-than-expected inflation figures for January.
Bitcoin News Today

In this article:

BTC Moves Sideways as Investors Await New Catalysts

On Sunday, BTC gained 0.93%. Reversing a 0.93% loss from Saturday, BTC ended the session at $52,178. Significantly, BTC held onto the $52,000 handle for the second time since December 2021.

Senator Elizabeth Warren Under Fire

House Majority Whip and Republic Tom Emmer continued to target Senator Elizabeth Warren on Saturday. Emmer referred to a recent hearing on Capitol Hill, where Undersecretary Brian Nelson gave testimony.

GOP Majority Whip Emmer said,

“Treasury had the correct data the whole time and had a responsibility to correct the false narrative created by the press, but it failed to set the record straight until the damage was already done.”

The recent hearing on Capitol Hill dealt a blow to the Anti-Crypto Army and Senator Warren at the helm. Undersecretary Nelson affirmed that Hamas is using relatively small amounts of crypto. The facts contrasted with Wall Street Journal articles and statements from certain US Senators.

The hearing was significant because Senator Warren is behind the Digital Asset Anti-Money Laundering Act. The bill aims to introduce banking-style regulations onto the US crypto market, with the US crypto market calling it a Bitcoin ban.

The uncovering of dirty tactics to gain Congressional support for the bill may allow the Responsible Financial Innovation Act to progress. The bill aims to support innovation while protecting retail investors by giving the CFTC more powers to oversee the crypto space. Senators Cynthia Warren and Kirsten Gillibrand proposed the Act in 2022.

Progress toward a US regulatory framework that drives innovation but protects investors could be a boon for BTC and the broader market. The BTC-spot ETF market would likely benefit from an influx of investors comforted by regulatory clarity.

While US crypto regulation remains a focal point, BTC-spot ETF market flows continue to impact buyer demand for BTC.

BTC-Spot ETF Flow Data and ETH-Spot ETFs in Focus

On Monday, investors must consider flow data for the Monday session. However, investors must wait until late in the session for the data.

Net inflows for the week ending February 16 supported a BTC return to the $52,000 handle. Significantly, net inflows nearly doubled net inflows from the previous week. A similar trend in the current week could bring the $60,000 handle into play.

While BTC moved sideways during the weekend, ETH continued to climb toward $3,000. ETH rallied 3.35% on Sunday, striking a session high of $2,896 before ending the session at $2,880.

Rising bets on the SEC approving ETH-spot ETFs drove buyer demand for ETH. Amendment filings for ETH-spot ETF applications influenced sentiment toward the SEC approving the first batch of ETH-spot ETFs. ARK and VanEck recently filed amendments, with Franklin Templeton joining the race to launch an ETH-spot ETF.

However, investment giant Vanguard remained on the sidelines. Bloomberg Intelligence Senior ETF Analyst Eric Balchunas responded to a post about Vanguard and net outflows from their ETFs, saying,

“Outflows? Vanguard has taken IN about $30b since the bitcoin ETFs launched, or 6x what the btc ETFs have done. They’re on another level, and i say this as someone in awe of what the btc ETFs have done. They are TradFi Moby Dick. Best to not get obsessed w taking them down.”

Vanguard may have little interest in the crypto-spot ETF market. However, the firm has indirect exposure to BTC as the second-largest institutional investor in MicroStrategy (MSTR). Vanguard holds 1.15 million MSTR shares, equivalent to $805.88 million, as of December 31, 2023.

Technical Analysis

Bitcoin Analysis

BTC remained well above the 50-day and 200-day EMAs, affirming bullish price signals.

A BTC break above the February 15 high of $52,869 would support a move to the $55,000 handle.

US lawmakers, SEC, activity, and BTC-spot ETF market-related updates need consideration.

However, a drop below the $51,500 handle would bring the $50,500 support level into play.

The 14-Daily RSI reading, 78.32, shows BTC in overbought territory. Selling pressure may intensify at the Thursday high of $52,869 handle.

BTC Daily Chart sends bullish price signals.
BTCUSD 190224 Daily Chart

Ethereum Analysis

ETH remained well above the 50-day and 200-day EMAs, affirming bullish price signals.

An ETH breakout from the Sunday high of $2,896 would bring the $3,000 handle into play.

ETH-spot ETF-related updates remain the focal point. More amendment filings could fuel bets on the SEC approving a first batch in May.

However, an ETH break below the $2,800 handle would support a fall toward the $2,650 support level.

The 14-period Daily RSI at 77.38 shows ETH in overbought territory. Selling pressure could intensify at the $2,900 handle.

ETH Daily Chart sends bullish price signals.
ETHUSD 190224 Daily Chart

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.

Did you find this article useful?

Advertisement