As a large amount of Bitcoin outlfows from Coinbase, a substantial amount of Bitcoin enters spot exchanges (4,594 BTC).
We are witnessing consecutive large inflows and outflows; what does this mean?
1- Spot Exchanges Netflow
As of 19:00 today, looking at the total netflow data for spot exchanges, we observed an inflow of 4,594 Bitcoin. This could create short-term selling pressure. However, evaluating this data alone can be somewhat misleading because Spot ETFs are now on the table.
There is a fierce market dominance battle between Asia and the USA (in my personal opinion).
2- Coinbase Netflow
Examining the netflow data specifically for Coinbase, we observe significant outflows at two different times in the last 48 hours.
We observed net outflows of 3,067 units at 03:00 on June 4th and 3,734 net BTC outflow at 17:00 on June 5th. These substantial outflows, amounting to nearly 500 million dollars, cannot be ignored in relation to Spot ETFs. In fact, there was an inflow of 886.6 million dollars into Spot ETFs yesterday.
These institutions must purchase Bitcoin on behalf of their users, and they can do this through the Coinbase exchange (except for Fidelity).
Conclusion
When we look at the Coinbase Premium Index on an hourly basis (and daily as well), we can see that it is in the positive region.
This shows us that buyers in the USA are strong. All these data prove that Spot ETFs are the main drivers of the bull cycle we are currently in. As of now (June 5th), the total volume of Bitcoin Spot ETFs has exceeded 1 billion dollars. If we see substantial inflows again today (highly likely), we will witness the ETF rally continuing from where it left off.
All of this will inevitably lead to Bitcoin refreshing its ATH."
Written by burakkesmeci