Bitcoin (BTC) News Today: ETF Flows Defy Market Trends Amid Fed Speculation

US Jobs Report Impacts Expectations of a September Fed Rate Cut

On Friday (June 7), bitcoin (BTC) fell by 1.97%. Following a 0.22% loss on Thursday (June 6), BTC ended the session at $69,430. Significantly, BTC fell below the $70,000 handle for the first time in three sessions.

A hotter-than-expected US Jobs Report impacted buyer demand for BTC and the broader crypto market.

Average hourly earnings increased by 0.4% in May after rising by 0.2% in April. Economists forecast an increase of 0.3%. Furthermore, nonfarm payrolls jumped by 272k after a rise of 165k in April. Economists expected nonfarm payrolls to advance by 185k.

However, the US unemployment rate increased from 3.9% to 4.0%, while the participation rate fell from 62.7% to 62.5%, limiting the damage.

Nevertheless, the numbers dampened investor expectations of a September Fed rate cut. According to the CME FedWatch Tool, the probability of a September Fed rate cut decreased from 68.7% to 50.5% on Friday.

Despite the shift in sentiment toward the Fed rate path, the US BTC-spot ETF market extended its net inflow streak to 18 sessions.

US BTC-Spot ETF Market Signals Robust Demand Despite US Jobs Report

On Friday, the US BTC-spot ETF market reported total net inflows of $131.0 million, down from $217.7 million on Thursday.

According to Farside Investors,

• On Friday, Grayscale Bitcoin Trust (GBTC) saw net outflows of $36.3 million.
• Bitwise Bitcoin ETF (BITB) had net outflows of $7.9 million.
• iShares Bitcoin Trust (IBIT) reported net inflows of $168.3 million, with ARK 21Shares Bitcoin ETF (ARKB) seeing net inflows of $6.0 million.
• Seven issuers, including Fidelity Wise Origin Bitcoin Fund (FBTC), had zero net flows.

The Friday figures reflected the impact of the US Jobs Report on market risk sentiment. Nevertheless, the extended inflow streak may support BTC at current price levels. However, market dynamics can shift next week, with the US CPI Report and FOMC interest rate decision in focus.

Nate Geraci, President of ETF Store, commented on the recent trends in BTC-spot ETF market flows, stating,

“iShares Bitcoin ETF took in nearly *$1 bil* this week… Spot bitcoin ETFs altogether took in about *$2 bil*. I don’t think people appreciate how ridiculous this is. Especially for a product that I was told nobody wanted. Now a $60 bil ETF category. In 5mos. ‘No demand’.”

The significance of US BTC-spot ETF inflows was evident when considering losses across the broader crypto market. Ethereum (ETH) slid by 3.53% to $3,678 as investors await US ETH-spot ETF-related updates.

Technical Analysis

Bitcoin Analysis

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

A BTC return to $70,000 would support a move to the Friday (June 7) high of $71,992. A breakout from $71,992 would bring the $73,808 all-time high into play.

Investor sentiment toward the Fed rate path and US BTC-spot ETF market flow data require consideration.

Conversely, a BTC break below the $69,000 support level could give the bears a run at the 50-day EMA.

With a 56.34 14-Daily RSI reading, BTC could return to the all-time high of $73,808 before entering overbought territory.

Ethereum Analysis

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

An ETH return to $3,750 could enable the bulls to challenge the $3,835 resistance level. A breakout from the $3,835 resistance level could signal a return to the $4,000 handle.

Investors should consider US ETH-spot ETF-related updates.

Conversely, an ETH fall through the $3,600 handle may signal a drop to the 50-day EMA and the $3,480 support level. Buying pressure could increase at the $3,480 resistance level. The 50-day EMA is confluent with the resistance level.

The 14-period Daily RSI reading, 54.24, suggests an ETH return to $4,000 before entering overbought territory.