Bitcoin Spot ETFs See Strong Trading Volumes, but Analysts Warn of Downside Risks

Benzinga 2024-01-18

Views 143

While some Bitcoin spot ETFs in the US have seen early trading volumes over $500 million, downside risks for BTC prices still remain, according to analysts. On-chain metrics firm CryptoQuant said metrics suggest the price correction may not be over or a new rally has yet to begin, as large holders continue significant selling. Unrealized profit margins have not fallen enough to exhaust sellers, and short-term traders are still in a risk-off attitude. BTC prices fell over 15% after the ETF launches despite the new products, with outflows from GBTC cited as a pressure factor. Traders note any price strength has been dampened by apparent spot selling near local highs.

Share This Video


Download

  
Report form