Bitcoin dips as ETFs break 19-day green streak, rumble over US inflation
The price of Bitcoin fell to a weekly low ahead of U.S. inflation data and a Fed meeting set for Tuesday, while United States spot Bitcoin exchange-traded funds (ETFs) recorded their first net outflow in over 19 trading days.
Bitcoin (BTC) dropped 2.3% over the last 24 hours and hit $68,186 at around 3:00 am UTC on June 11, its lowest point since June 3, according to Cointelegraph Markets Pro.
Other cryptocurrencies followed, with Ether (ETH), Solana’s (SOL) and Dogecoin (DOGE) also falling in the last 24 hours.
Bitcoin’s tumble comes after the 11 U.S. spot Bitcoin ETFs recorded a joint net outflow of $64.9 million on June 10 — their first net outflow in a month, according to Farside Investors.
The Grayscale Bitcoin Trust (GBTC) led with $39.5 million net outflows, followed by $20.5 million from the Invesco Galaxy Bitcoin ETF (BTCO) and a minor $3 million outflow from the Fidelity Wise Origin Bitcoin Fund (FBTC).
That came alongside tepid respective inflows of $7.6 million and $6.3 million from Bitwise and BlackRock’s ETFs.
The U.S. Bureau of Labor Statistics is set to release May figures for its inflation-measuring Consumer Price Index (CPI) on June 11.
Related: Bitcoin ETFs sucked up 2 months of BTC mining supply in first week of June
Analysts have forecast inflation to rise 0.1% after a 0.5% bump in April, bringing the year-on-year figure to 3.4% with core inflation forecast to rise 0.3% in May, the same as April, Morningstar reported.
The Fed’s monetary policy is also to be decided at a two-day Federal Open Market Committee (FOMC) meeting starting the same day.
Investment research firm Zacks predicted there is no chance the Fed moves on an interest rate cut — with the central bank expected to keep its 23-year high 5.25% to 5.5% target rate.
Big Questions: How can Bitcoin payments stage a comeback?
