CryptoQuant: Bitcoin traders put hold on leveraged bets

CryptoQuant notes that net inflows into spot Bitcoin ETFs have decreased recently. The Bitcoin halving has reduced miner rewards, decreasing traders’ desire to open long positions.

“It certainly means that the desire for traders to open long positions has eased.”

Julio Moreno, CryptoQuant’s Head of Research

Buyer enthusiasm for BTC has also cooled, in part due to rising risk aversion related to tensions in the Middle East and expected delays in Federal Reserve rate cuts.

The funding rate cut coincides with a decline in daily inflows into U.S. spot Bitcoin ETFs. On April 24, the net daily capital outflow in the spot Bitcoin ETF sector amounted to $120.64 million. Only two crypto funds received an influx of capital: Fidelity Bitcoin Spot ETF (FBTC) with $5.61 million and the ARK Invest/21 Shares Bitcoin fund at $4.17 million.