Last week was turbulent for BTC and ETH as a whole. In fact, things have been rocky for the duo ever since the clouds of a trade war have covered the trading sky. The whole of the crypto community went through a trying time as fear and panic among investors led to one of the biggest liquidation events in the history of crypto. However, things look particularly grim for BTC and ETH as both of these tokens experienced major outflows.
In a recent turn of events, Wu Blockchain just released its own data highlighting the massive outflow that ETH and BTC experienced between January 10th and February 14th. Wu Blockchain took to social media to release the statement about the outflow. Wu Blockchain wrote, “Last week (February 10 to February 14, EST), Bitcoin spot ETFs had a net outflow of $586 million. Blackrock ETF IBIT had a net inflow of $106 million, and Fidelity ETF FBTC had a net outflow of $282 million. Ethereum spot ETFs had a net outflow of $26.26 million last week”.
Regardless of these ETF outflows, BTC is hovering at the $95,845 mark, with a slight slump of 0.3%. Meanwhile, ETH has managed to climb by 3.57% and is currently hovering at $2,757 in the last 24 hours. On-chain metrics of both of these tokens suggest that even though these tokens would experience some turbulence now, things would work out well.
ETF Outflow & Technical Indicator Of Volatility
Amidst BTC outflow, analysts also noticed a technical indicator of increased volatility for BTC. Analysts noticed death crosses across charts for BTC. These crosses indicate long-term bearish movements and prolonged dips in prices. Analysts at Material Indicators suggest that the death cross of BTC suggests that BTC is dipping with very little sign of recovery.
However, the chart does show that there are two resistance levels at 95k and 92k. Therefore, there is still hope. However, if the prices fall below these ranges, then there could be increased volatility and mass-market shakeouts. Still, CryptoQuant believes that this dip is natural and would turn into a profitable journey with increased ROI. Furthermore, US adoption and building a crypto reserve will also play favorably to BTC’s advantage and record that BTC demand remains high.
Therefore, even though BTC might dip and showcase volatility, Chances are that it will remain high in demand and sought-after tokens in the landscape.
