Bitcoin (BTC) News Today: US BTC-Spot ETFs, US Inflation, and $70,000

Looming US Inflation Numbers Impact BTC Price Trends

On Wednesday, June 26, bitcoin (BTC) declined by 1.61%. Partially reversing a 2.52% gain from Tuesday, June 25, BTC ended the session at $60,854.

Uncertainty about the Fed interest rate trajectory affected buyer demand for BTC and the broader crypto market.

According to the CME FedWatch Tool, the probability of the Fed holding interest rates unchanged increased from 33.3% to 37.2% on Wednesday. Notably, US dollar strength returned in recent sessions as investors consider US inflation numbers out on Friday, June 28.

The US Personal Income and Outlays Report could influence investor expectations regarding a September Fed rate cut. Hotter-than-expected numbers would sink the chances of a Q3 2024 rate cut and affect buyer demand for riskier assets.

Economists forecast the US Core PCE Price Index to rise 2.6% year-on-year in May after an increase of 2.8% in April. The April numbers left BTC down 1.27% on May 31, with sticky inflation numbers pressuring buyer appetite for cryptos.

Despite BTC ending Wednesday in negative territory, the US BTC-spot ETF market saw a modest return to net inflows.

Will increased demand for US BTC-spot ETFs push BTC toward $70,000?

US BTC-Spot ETF Market Eyes a Second Session of Net Inflows

On Tuesday, the US BTC-spot ETF market saw total net inflows of $31.0 million. Significantly, the Tuesday inflows ended a seven-day outflow streak.

However, total net inflows of $31.0 million were small compared to total net outflows of $1,134.7 million over the previous seven sessions.

Nevertheless, US BTC-spot ETF market flow data for Wednesday, June 26, signal a second session of total net inflows.

According to Farside Investors,

• Grayscale Bitcoin Trust (GBTC) saw net inflows of $4.3 million, the first since June 5.
• Fidelity Wise Origin Bitcoin Fund (FBTC) had net inflows of $18.6 million, down from $48.8 million on Tuesday.
• VanEck Bitcoin Trust (HODL) reported net inflows of $3.4 million, following inflows of $3.5 million on Tuesday.
• ARK 21Shares Bitcoin ETF (ARKB) bucked the trend, with net outflows of $4.9 million. Significantly, ARKB extended its outflow streak to four sessions.
• Excluding flow data for iShares Bitcoin Trust (IBIT), the US BTC-spot ETF market had total net inflows of $21.4 million on Wednesday, June 26.

While eyeing a two-day inflow streak, the US BTC-spot ETF market will likely fall well short of total inflows for May 2024. With two trading days remaining in June, the US BTC-spot ETF market has total inflows of $560.3 million, down from $2,095.5 million in May.

BTC price trends reflected the marked decline in demand for US BTC-spot ETFs. On Thursday, June 27, BTC was down 9.52% to $61,089 in June.

While the US BTC-spot ETF market warranted investor attention, US ETH-spot ETF market-related news also required consideration.

Will US ETH-Spot ETFs Launch on July 2?

On Wednesday, Bloomberg Intelligence Senior ETF Analyst Eric Balchunas reacted to a Reuters article, saying,

“Reuters reporting reaffirming our July 2nd prediction for spot Ether ETF launch, but we’ll see.”

Reuters cited sources, saying the SEC could approve ether ETFs in time for a July 4 launch.

On Tuesday, SEC Chair Gary Gensler said the progress toward an ETH-spot ETF market was going smoothly.

Despite progress toward an ETH-spot ETF market, ETH declined by 0.77% on Wednesday, ending the session at $3,370.

Technical Analysis

Bitcoin Analysis

BTC sat below the 50-day EMA but remained above the 200-day EMA. The EMAs confirmed the bearish near-term signals but bullish longer-term trends.

A BTC break above the $64,000 resistance level would support a move to the 50-day EMA. Furthermore, a breakout from the 50-day EMA could give the bulls a run at the $69,000 resistance level.

US economic calendar, SEC activities, and BTC-spot ETF flow data demand investor attention on Thursday.

On the other hand, a break below the $60,365 support level could give the bears a run at the 200-day EMA.

With a 31.74 14-Daily RSI reading, BTC could break below the $60,365 support level before entering oversold territory.

Ethereum Analysis

ETH remained below the 50-day EMA while sitting above the 200-day EMA. The EMAs affirmed the bearish near-term but bullish longer-term price signals.

A move above the $3,480 resistance level and the 50-day EMA could give the bulls a run at the $3,600 handle. Selling pressure may increase at the $3,480 resistance level. The 50-day EMA is confluent signal a move toward the $3,835 resistance level.

US ETH-spot ETF-related chatter needs consideration.

Conversely, an ETH drop below the $3,244 support level could signal a fall toward the 200-day EMA and the $3,033 support level.

The 14-period Daily RSI reading, 40.07, suggests an ETH drop below the $3,244 support level before entering oversold territory.