Bitcoin stuck as ETF inflows offset selling, but inflation data could spark a move

MarketsBitcoin stuck as ETF inflows offset selling, but inflation data could spark a moveWeeks of sideways trading have crushed volatility, leaving Wednesday’s inflation report as the next potential catalyst, analysts said.By Krisztian Sandor|Edited by Nikhilesh De21 min ago2 min readMake preferred on ShareShare this articleCopy linkX iconX (Twitter)LinkedInFacebookEmailMake preferred on SummaryShowBitcoin has been stuck in a narrow trading range of about $62,000 to $66,000 for weeks as steady ETF buying is largely offset by selling from miners and corporate holders such as MicroStrategy.Trading volumes and implied volatility have slumped to multiyear lows, leaving the market with limited momentum and positioning that suggests investors are well hedged rather than betting on a sharp move.Wednesday’s U.S. CPI report and potential regulatory progress on the Clarity Act are seen as key catalysts that could break bitcoin’s stalemate, though seasonality data show September has historically been a weak month for the cryptocurrency.Bitcoin BTC$63,623.74 barely budged on Tuesday, extending a five-week standstill as steady demand from exchange-traded funds ran into selling from miners and corporate holders.BTC slipped to around $63,500, down 0.6% over the past 24 hours. More importantly, the largest cryptocurrency remained trapped in the roughly $62,000-$66,000 range that has contained prices for much of the summer.“Bitcoin's recent price action has largely been driven by steady ETF inflows being offset by OTC selling from miners and Strategy (MSTR),” Paul Howard, senior director at trading firm Wincent, said.Crypto trading volumes have fallen to their lowest levels in three years, he added, leaving little firepower to push BTC decisively in either direction.Bitfinex analysts also pointed to the competing flows. ETFs and bitcoin treasury companies have been two major sources of price-insensitive demand, they said, but corporate treasury activity has recently provided offs…

Bitcoin stuck as ETF inflows offset selling, but inflation data could spark a move

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