Bitcoin's recent price movement has been significantly impacted by substantial outflows from Bitcoin ETFs, with a net withdrawal of $582 million on Wednesday. This marks one of the largest outflows since these investment vehicles began trading, reflecting growing investor concerns over macroeconomic uncertainties. The release of the Federal Reserve's minutes, which highlighted inflationary concerns related to Trump's policies, has further fueled bearish sentiment. Additionally, Elon Musk's unexpected cautionary remarks about Bitcoin's price have added to the downward pressure, causing the cryptocurrency to experience a sharp decline. Analysts are particularly concerned about Bitcoin's inability to hold the $95,000 support level, which could lead to further declines.
The ProShares Bitcoin Strategy ETF (BITO) is currently priced at $23.11 as of 04:20 AM on Thursday, January 9.