Bitcoin exchange-traded funds (ETFs) in the United States saw their largest daily inflow in nearly a month on Monday, totaling $129 million. Based on historical price trends, bitcoin looks set to start July on a bullish note.
New: 🇺🇸 #Bitcoin ETFs saw $130 million in inflows yesterday, the largest in three weeks.
We are back 🚀 pic.twitter.com/ahvdm0hoS2
— Bitcoin Magazine (@BitcoinMagazine) July 2, 2024
This marks the fifth consecutive day of positive inflows and the highest daily volume since June 7.
A large portion of Monday’s inflows went to Fidelity’s Wise Origin Bitcoin Trust, which saw $65 million inflows. Bitwise’s Bitcoin ETF took in $41 million, while Ark Invest’s fund attracted $13 million. The two largest bitcoin exchange-traded funds, BlackRock’s iShares Trust and Grayscale’s, saw no inflows.
The new inflows are a welcome sign after a turbulent June that saw nearly $1 billion exit Bitcoin ETFs. The selling pressure has been reflected in Bitcoin’s price, which briefly dipped below $20,000 in June.
But historically, July has been the start of a bullish period for Bitcoin. Over the past decade, Bitcoin has posted average returns of over 11% in July, with a positive performance 70% of the time.
Some analysts believe market seasonality could return in July if the immediate ETF inflows continue. The theory suggests predictable cycles driven by investors selling during tax season and re-entering the market later in the year.
Starting in July, Bitcoin may also face potential selling pressure from Mt. Gox’s open tokens. Its price trajectory will depend on whether the bullish seasonality is able to outperform the bearish macro landscape.
