HomeNewsBitcoin Spot ETFs Attract $295 Million Despite Social Media Pessimism

Bitcoin Spot ETFs Attract $295 Million Despite Social Media Pessimism

- Advertisement -
  • Bitcoin sentiment hits yearly low on social media, hinting at potential price recovery contrary to public fear.
  • Despite bearish social sentiment, Bitcoin ETFs experience $295 million in inflows, signaling strong institutional investor confidence.

Bitcoin sentiment on social media platforms has seen a notable decline recently, suggesting broader apprehensions about the cryptocurrency’s future. However, this bearish sentiment could paradoxically signal an upcoming positive shift for Bitcoin prices.

Data from Santiment reveals that sentiment related to Bitcoin has reached its lowest point in a year across platforms like X, Reddit, Telegram, 4Chan, and BitcoinTalk. The prevailing mood is one of extreme caution, characterized by widespread fear, uncertainty, and doubt. 

Historically, such levels of pessimism have often preceded sudden market rebounds, catching many by surprise. This pattern suggests that the current negativity might be an indicator of a forthcoming price increase.

Bitcoin sentiment among traders
Source: X/@santimentfeed

Despite the gloomy sentiment, Bitcoin spot ETFs have seen a surge in inflows, indicating a disconnect between general sentiment and investor actions. On July 8th, Bitcoin ETFs recorded a daily net inflow of $295 million, the highest in over three weeks. 

Inflows on the rise
Source: SoSoValue

Noteworthy contributions to this influx included $25.08 million to Grayscale’s GBTC, $187 million to BlackRock’s IBIT, and $61.54 million to Fidelity’s FBTC. This robust inflow, amid a backdrop of declining prices and negative sentiment, points to continued confidence from institutional investors.

Source: Santiment

Furthermore, this influx of capital into Bitcoin ETFs suggests that despite the social media backlash, financial institutions and individual investors are optimistic about Bitcoin’s potential. This optimistic investment behavior contrasts sharply with the broader negative sentiment and indicates a strong belief in Bitcoin’s value proposition over the long term.

At the time of this writing, Bitcoin is trading at $57,404.26, marking a 3.87% increase over the last 24 hours. However, the MVRV ratio, a measure of the profit and loss of Bitcoin holders, has decreased.

This reduction in profitability means that many holders would not gain by selling their Bitcoin at the current price, potentially decreasing selling pressure on the cryptocurrency.

Disclaimer: ETHNews does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to cryptocurrencies. ETHNews is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned.
Isai Alexei
Isai Alexei
As a content creator, Isai Alexei holds a degree in Marketing, providing a solid foundation for the exploration of technology and finance. Isai's journey into the crypto space began during academic years, where the transformative potential of blockchain technology was initially grasped. Intrigued, Isai delved deeper, ultimately making the inaugural cryptocurrency investment in Bitcoin. Witnessing the evolution of the crypto landscape has been both exciting and educational. Ethereum, with its smart contract capabilities, stands out as Isai's favorite, reflecting a genuine enthusiasm for cutting-edge web3 technologies. Business Email: [email protected] Phone: +49 160 92211628