Since June 10, Bitcoin has experienced a notable decline from around $72,000 to as low as $65,200; Coinciding with significant outflows from Bitcoin ETFs of approximately $580.6 million.

Source: TradingView

This is in stark contrast to the previous record of 19 consecutive days that saw capital inflows, amounting to around $4 billion, coinciding with the Bitcoin price rising from around $60,000 to $72,000 between the 13th May to June 7.

Recent outflows accounted for about 4.3% of total inflows, in line with the roughly 10% correction in Bitcoin price.

Source: Farside

This discrepancy has led to the question of why Bitcoin prices have not increased despite significant capital inflows. One possible explanation is the “basis trade,” a strategy used by hedge funds and investors.

In this strategy, investors buy the underlying spot ETF products and short the futures market, creating a net-neutral trade (no visible change in long and short positions). to protect them regardless of whether prices rise or fall. Investors focus on the difference between the spot price and the futures price, as this difference determines the profitability of the basis trade.

BTCUSD vs. BTC1! CME. Source: TradingView

This approach is affected by the current positive funding rate, around 7.6%.

Source: Coinglass

Traders are willing to incur higher costs to take advantage of long Bitcoin positions, often using futures contracts on CME. These futures contracts, which trade at a premium to spot prices, can be rolled over through a process called “rolling forward,” which according to CME is the exiting of a futures contract that is about to expire simultaneously enter a new contract with a later expiration date, thus expanding the position without interruption.

Bitcoin ETF Flow. Source: Glassnode

By Shorting on the futures market while going Long on the spot market, traders create a hedge that minimizes price fluctuations, leading to “suppression” of Bitcoin prices.

The “rolling forward” strategy allows traders to maintain exposure to Bitcoin without closing their positions upon contract expiration. As a result, BTC price is less sensitive to inflows into the Bitcoin ETF, offering a potential explanation for why it did not hit a new all-time high following the $4 billion inflow.



https://tapchibitcoin.io/day-la-ly-do-tai-sao-gia-bitcoin-khong-tang-du-co-dong-von-etf-lon.html