Bitcoin (BTC) News Today: BTC Slips on ETF Outflows Amid US CPI and Fed Rate Fears

US BTC-Spot ETF Market Ends 19-Day Run of Inflows!

On Tuesday (June 11), bitcoin (BTC) slid by 3.15%. Following a 0.16% loss from Sunday (June 10), BTC ended the session at $67,378.

US BTC-spot ETF market flow data for Monday (June 10) reflected concerns about the upcoming Fed interest rate decision.

According to Farside Investors, the US BTC-spot ETF market saw net outflows of $64.9 million on Monday (June 10). Significantly, the spot ETF market ended a 19-day net inflow streak.

The recent US Jobs Report fueled uncertainty about the Fed interest rate path. Higher-than-expected wage growth and nonfarm payroll numbers divided the markets on the chances of a September Fed rate cut.

On Wednesday (June 12), the US CPI Report could influence the Fed rate path. Hotter-than-expected inflation numbers would likely reduce investor bets on multiple 2024 Fed rate cuts. The inflation numbers precede the FOMC interest rate decision, economic projections, and the press conference.

More hawkish FOMC economic projections would be BTC price negative.

US BTC-spot ETF market flow trends for Tuesday (June 11) highlighted investor caution further.

• Grayscale Bitcoin Trust (GBTC) saw net outflows of $121.0 million, the highest since May 31.
• Fidelity Wise Origin Bitcoin Fund (FBTC) had net outflows of $7.4 million.
• ARK 21Shares Bitcoin ETF (ARKB) and Bitwise Bitcoin ETF (BITB) reported net outflows of $56.5 million and $11.7 million, respectively.
• Excluding flow data for iShares Bitcoin Trust (IBIT) and Invesco Galaxy Bitcoin ETF (BTCO), the US BTC-spot ETF market saw total net outflows of $200.4 million.

The latest pullback and the threat of heavier losses could draw the interest of the People’s Bank of China (PBoC) and other central banks disillusioned with the US dollar.

China, Gold, and a Possible Move into Bitcoin

James Hyerczyk, a senior FX Empire editorial team member, discussed possible BTC demand from China. The PBoC recently ended its gold (XAU/USD)-buying spree, fueling speculation that BTC could be next on the shopping list.

A hotter-than-expected US CPI Report and hawkish FOMC economic projections could give the PBoC an entry price. Reports of China snapping up BTC could drive BTC to new all-time highs.

However, China demand could attract the attention of the Biden Administration, and Senator Elizabeth Warren.

Technical Analysis

Bitcoin Analysis

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

A BTC break above the $69,000 resistance level would support a move to the Friday (June 7) high of $71,992. A return to $71,992 could give the bulls a run at the $73,808 all-time high.

The US CPI Report, the Fed, and BTC-spot ETF market flow data require consideration.

Conversely, a BTC fall through the 50-day EMA could signal a drop toward the $64,000 support level.

With a 46.64 14-Daily RSI reading, BTC could fall to the $64,000 support level before entering oversold territory.

Ethereum Analysis

ETH sat below 50-day EMA while holding 200-day EMAs. The EMAs sent bearish near-term but bullish longer-term price signals.

A break above the 50-day EMA would support a return to $3,600. A breakout from $3,600 would give the bulls a run at the $3,835 resistance level.

US ETH-spot ETF-related news also needs consideration.

Conversely, an ETH drop below the $3,480 support level could bring the $3,244 support level into play.

The 14-period Daily RSI reading, 43.40, suggests an ETH fall to the $3,244 support level before entering oversold territory.