According to a report published by ARK Invest on July 18, Bitcoin was oversold in June due to the German government selling 50,000 BTC confiscated in 2020.

- This sell-off caused Bitcoin prices to drop from levels above $70,000 in early June to briefly below $55,000 in July.

- The report stated that Bitcoin was oversold based on short-term investors' profit/loss situation and miner outflows.

- Current levels of miner outflows indicate that miners are giving up and this could be a sign of an uptrend.

- Investors' interest in BTC exchange-traded funds (ETF) continues.

- The decline in BTC spot price at the end of June exceeded the 30-day percentage change in BTC ETF flows by 17.3%.

- There were billions of dollars of net inflows into BTC ETFs in July.

- BlackRock's iShares Bitcoin Trust (IBIT) recorded $107 million inflows on July 18.

However, global economic data may put BTC's strong performance at risk. With corporate profits falling and Mt. Gox's ability to repay $9 billion worth of BTC to creditors is among the potential difficulties.