Bitcoin ETFs turn positive with $152 million in inflows ahead of Fed rate decision, while traders stay defensive amid expected volatility: analysts
Bitcoin ETFs saw $152 million in net inflows as markets await the Fed's rate decision, with analysts noting defensive trader positioning.Summary
U.S. spot Bitcoin ETFs recorded $152 million in net inflows on Tuesday, led by Fidelity's FBTC, reversing recent weakness, coinciding with a brief surge in Bitcoin price above $92,000. Analysts suggest this renewed demand indicates a "demand-driven" bounce and a market reset, supported by falling exchange balances and lower systemic leverage, though retail wallets are distributing into strength. The market remains dominated by anticipation for the Federal Reserve's policy announcement, where a widely expected rate cut's impact hinges on Chairman Powell's tone regarding future easing. Derivatives markets signal high caution, with low CME futures activity and high option skew indicating heightened demand for downside hedging, as historical FOMC patterns often lean bearish for Bitcoin.
(Source：The Block)