Crypto ETFs See 9 Consecutive Days of Inflows – Will BTC and ETH Make a Strong Comeback?

This is the second consecutive week of positive net inflows for crypto ETPs.

According to a report from CoinShares, investment products that either hold or track the price of digital assets – a list that includes exchange-traded funds (ETFs) – saw nine consecutive days of positive net inflows.

Bitcoin captured the lion’s share of the total amount as BTC-linked products drew $195 million followed by Ethereum (ETH) and Solana (SOL).

Meanwhile, products used to short BTC saw their fourth consecutive week of negative net flows as sellers may be smelling that a market bottom is nearby.

Goldman Sachs, one of America’s most influential investment banks, increased its odds of a recession in the United States from 20% to 35% as President Trump’s tariff increases threaten to derail the country’s economy.

They now expect that inflation, measured by the Personal Consumption Expenditure (PCE) index, will end the year at 3.5% or 150 basis points higher than the Federal Reserve target.

If the Fed sees this kind of deterioration in the state of the economy they may opt to scrap one of their two planned interest rate cuts for the year and this could have a dramatic impact on crypto valuations.

Market participants appear to be ignoring these risks as reflected by their decision to pour money into BTC, ETH, and other cryptocurrencies through exchange-traded products.

BTC Could Rise Above $90K After Bouncing Off Key Fibonacci Level

Bitcoin has jumped by nearly 3% during today’s session after it tagged a key Fibonacci support level. This retracement increases the odds that BTC could make a higher high in the next few days.

The daily chart shows that BTC rejected a move above the $89,000 level on March 24 and this prompted a 6-day pullback that pushed the top crypto back to the low 80,000s.

However, the price rose sharply after tagging the $81,300 area, which coincides with the 61.8% Fibonacci.

Traders consider this retracement a deep-value and highly probability area for a long position if the dominant trend is bullish.

In the case of Bitcoin (BTC), the price action has not yet made a higher high as the token has failed to break above its trend line resistance until now.

Momentum indicators have not yet confirmed a bullish outlook as the Relative Strength Index (RSI) has retested the signal line after sending a sell signal a few days ago. A break below the 61.8% Fibonacci would confirm a bearish outlook and would make this sudden spike in its price a “dead cat bounce”.

For now, BTC seems poised to rise by another 5% to retest its nearest lower high or it may also move higher, to around $92,500, if this retracement is confirmed.

ETH Makes Double-Bottom – Can It Reclaim the $2,000 Level?

Ethereum’s situation is different from BTC’s as it faced a sharper downturn than the latter during last week’s sell-off.

As a result, ETH retested a key support at $1,750 and is bouncing off that level. However, it is still too early to tell if this will be a mere retrace or if ETH could be ready to make a higher high.

A double-bottom pattern has formed as a result of today’s strong bounce but has not yet been confirmed by momentum indicators.

Traders may wait until the price invalidates a retracement scenario, which would occur if it climbs above the 61.8% Fibonacci.

This would confirm an ongoing trend reversal helped by a double-bottom pattern. The Relative Strength Index (RSI) would also confirm a bullish outlook as it seems poised to move above the signal line.

In that bullish scenario, ETH would rise to $2,100 at least, resulting in a 7.7% upside potential based on current levels.