Institutional Outflows Signal Major BTC Price Crash!

In September, Bitcoin (BTC) faces rising concerns about a possible market collapse, with a noticeable drop in institutional investment, especially from U.S. spot BTC ETFs. Over the last two days, these ETFs saw a net outflow of over $200 million, ending an eight-day streak of inflows led by the ARK 21Shares Bitcoin ETF (ARKB).

Bitcoin’s fear and greed index has fallen below 30 percent, indicating increased fear of further market downturns. This sharp decline highlights growing investor unease about the future of Bitcoin.

Bitcoin Bloodbath to Continue?

Since March, Bitcoin has been in a downtrend, with prices consistently hitting lower highs and lows. Crypto trader Alan Santana expects a significant correction in both crypto and stock markets in the coming weeks before a potential recovery.

Santana notes that high trading volume below daily EMAs is a bearish sign that traders should watch closely. With Bitcoin recently struggling to break through the $65k resistance level, Santana predicts the price could drop to $40k or even lower soon.

Here’s Why It Matters

Amid the anticipated ‘easy money’ in the near term from the possible Fed’s interest rate cut next month, the crypto analyst indicated that more investors will accelerate profit-taking.

“A major correction tends to precede the change in the FEDs policies. After the correction we tend to experience long-term growth due to easier access to credit; some people call it easy money,”

Major stock indexes, including the Dow Jones and Nasdaq 100, are showing a macro reversal pattern, which could indicate a selloff in the near term. This adds to the uncertainty facing the Bitcoin market.

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The fear and greed index may be down, but the potential for Bitcoin to make a comeback is huge. Only time will tell if the bulls or the bears will ultimately win.

Source: https://coinpedia.org/news/bitcoin-news-institutional-outflows-signal-major-btc-price-crash/