BTC ETF Inflows Stall as Dogecoin, XRP Slides

SUMMARY

Bitcoin’s rally toward $70,000 stalled, triggering a nearly 2% drop in the CoinDesk 20 index.
S.-listed Bitcoin ETFs faced net outflows, hinting at shifting investor sentiment, with stablecoin volume remaining stagnant, possibly indicating slowed market growth.

Dogecoin (DOGE) and XRP led declines among major tokens as traders secured profits following a brief rally earlier this week. DOGE dropped 5%, and XRP slipped 4% after bitcoin (BTC) failed to maintain its Monday climb to nearly $70,000. The downturn coincided with U.S.-listed BTC exchange-traded funds (ETFs) ending a 7-day inflow streak.

Whereas bitcoin lost 1%. Despite the short-term market cooling, traders anticipate Bitcoin to target $80,000 in the coming weeks, with optimism tied to the U.S. elections. In any case, some caution that the current slowdown in stablecoin liquidity may confine further market development. Stablecoin volume has remained unaltered since late September, constraining fast resource purchases and dampening momentum.

Mid-cap and low-cap tokens traded flat, but BONK and Ape tokens led smaller resource losses, dropping over 7% each. Analysts credited Bitcoin’s struggle to break past $70,000 to strong resistance levels and profit-taking by sellers. Concurring to Alex Kuptsikevich, senior market analyst at FxPro, traders intensified selling at $69,500 on Monday, driving Bitcoin down to $66,500 by Tuesday morning.

BTC ETF movement reflected this cautious market opinion, with a net outflow of $80 million on Tuesday. Ark Invest’s ARKB ETF experienced a record outflow of $134 million, whereas BlackRock’s IBIT ETF led inflows with $42 million. Fidelity’s FBTC and VanEck’s HODL ETFs saw smaller inflows of $8 million and $3 million, respectively.

Meanwhile, BlackRock’s ether (ETH) ETF reported an $11 million inflow on Tuesday, with other crypto products displaying no noteworthy movement. Market spectators note that stablecoin liquidity remains a key figure, as past developments in August and September correlated with increasing crypto market capitalization. Traders stay biased over whether the current slowdown is temporary or signals a broader market shift.

The outlook recommends that while BTC ETF interest endures, liquidity issues may ruin short-term price recuperation unless new inflows pick up momentum. Bitcoin remains in a sensitive balance, as traders observe for market catalysts to push it past resistance levels.