Bitcoin (BTC) was trading near $84,000 after another failure to break above its yearly open at $87,700. Bitfinex said the next move will depend more on renewed spot demand than on increased futures leverage.<\/p>\n
Bitcoin had reached $87,200 on October 2, before retreating below the key level. The rejection marked<\/a> the third failed breakout in the past ten days. The question now is whether it will flip the trend.<\/p>\n According to Bitfinex, futures activity drove much of the move, with open interest rising by $2.1 billion before the September payrolls report. Futures open interest then fell by $1.5 billion as traders closed positions after the data.<\/p>\n Aggregate futures open interest now stands at about 625,000 BTC, its lowest level since January 1. The decline suggests lower leverage.<\/p>\n At the same time, spot demand has also weakened, with US spot Bitcoin ETFs recording<\/a> $241.1 million in net inflows from September 28 to October 2. That was about 90% below the $2.39 billion recorded a week earlier. The nine-day inflow streak also ended on September 30 with a $148.7 million outflow.<\/p>\n BlackRock\u2019s IBIT recorded $450.2 million in inflows, while Fidelity\u2019s FBTC saw $168 million in outflows. Bitfinex attributed the weaker demand partly to the average ETF holder\u2019s cost basis of about $84,320.<\/p>\n Meanwhile, ETF inflows have averaged about $65 million when Bitcoin trades within 2% of that level, compared with $136 million when it trades more than 10% above it. Bitfinex sees $86,000 as an important level, while a drop below $82,600 could put ETF holders back in losses.<\/p>\n Beyond ETF flows, the $84,000 to $84,500 range holds roughly 867,000 BTC. It is the largest cost-basis cluster, with about 75% of Bitcoin supply in profit. Weak payroll growth has also raised expectations of an October rate pause, although inflation, spending and Treasury yields remain elevated.<\/p>\n Bitfinex expects BTC to consolidate between $84,000 and the yearly open. Stronger ETF inflows could support a move toward $90,000. Sustained trading below $81,300 could bring $77,000 and the True Market Mean near $77,200 into focus.<\/p>\n The post Bitcoin Struggles to Break Higher as ETF Demand Weakens: Bitfinex Alpha<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Bitcoin (BTC) was trading near $84,000 after another failure to break above its yearly open at $87,700. Bitfinex said the next move will depend more on renewed spot demand than on increased futures leverage. Bitcoin had reached $87,200 on October 2, before retreating below the key level. The rejection marked the third failed breakout in […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-236892","post","type-post","status-publish","format-standard","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/236892"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=236892"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/236892\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=236892"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=236892"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=236892"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Leverage Drops as Demand Slows<\/h2>\n
ETF Demand and Key Levels<\/h2>\n