Bitcoin

<p>Bitcoin, this crypto star, dips below the $60,000 mark. This rollback is explained by a combination of factors, ranging from macroeconomic uncertainty to ETF fund fluctuations. A key element of this dynamic is the behavior of Bitcoin ETFs, particularly the German fund ETC Group Physical Bitcoin (BTCE), which continues to liquidate its positions despite market volatility.</p>
<h2 id="h-the-paradox-of-bitcoin-etfs-and-market-volatility">The paradox of Bitcoin ETFs and market volatility</h2>
<p>Since the introduction of Bitcoin ETFs, which oddly occasioned <a href="https://www.cointribune.com/en/bitcoin-drops-on-the-day-of-etf-launch-why/" target="_blank" rel="noopener noreferrer nofollow">a drop in Bitcoin on the day of their launch</a>, investors have observed <strong>a strong correlation between the movements of the BTCE fund and the price of BTC</strong>. But <a href="https://cryptoquant.com/insights/quicktake/66bbc0f597b878155e3773ad-Analysis-of-the-Correlation-Between-BTC-ETF-and-Bitcoin-Price-Recent-Trends-and-?utm_source=twitter&amp;utm_medium=sns&amp;utm_campaign=quicktake&amp;utm_content=joaowedson" target="_blank" rel="noopener noreferrer nofollow">according to Joao Wedson</a>, <strong>this alignment seems to be faltering lately</strong>.</p>
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<p>The fund, which has seen <strong>its reserves drop from nearly 28,000 to 17,000 BTC since January 2024</strong>, continues to sell while Bitcoin has slightly rebounded.</p> 
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  <script type="text/javascript" src="https://s3.tradingview.com/external-embedding/embed-widget-mini-symbol-overview.js" async>{"symbol":"BINANCE:BTCUSD","width":350,"height":220,"isTransparent":false,"autosize":false,"dateRange":"12M","trendLineColor":"rgba(253,64,19,1)","underLineColor":"rgba(253,64,19,0.6)","underLineBottomColor":"rgba(253,64,19,0)","locale":"en","largeChartUrl":false,"colorTheme":"dark"}</script>
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  <script type="text/javascript" src="https://s3.tradingview.com/external-embedding/embed-widget-mini-symbol-overview.js" async>{"symbol":"BINANCE:BTCUSD","width":350,"height":220,"isTransparent":false,"autosize":false,"dateRange":"12M","trendLineColor":"rgba(253,64,19,1)","underLineColor":"rgba(253,64,19,0.6)","underLineBottomColor":"rgba(253,64,19,0)","locale":"en","largeChartUrl":false,"colorTheme":"light"}</script>
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<p>This paradox is intriguing. In other words, the theory that a decrease in ETF reserves always results in a drop in cryptocurrency price seems to be wavering:</p>
<p>« <em>The exception is the most recent movement, where Bitcoin increased while the fund was liquidating its positions. »</em></p>
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   Bitcoin fund holdings – 30-day variation (BTCE – ETC) – Source: CryptoQuant
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<p>Investors must therefore <strong>keep a vigilant eye on this new dynamic</strong> to understand whether it heralds a lasting change or a mere anomaly.</p>
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<h2 id="h-massive-adoption-of-bitcoin-despite-uncertainties">Massive adoption of Bitcoin despite uncertainties</h2>
<p>In this context of volatility, <strong>institutional demand for Bitcoin is not weakening</strong>. While retail investors seem to panic, heavyweights like Goldman Sachs and Blackrock are strengthening their positions.</p>
<p>In fact, in just 5 days, Blackrock ETF acquired more than 5,000 BTC, and the enthusiasm for crypto doesn’t stop there:</p>
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 <li>1 million BTC acquired by spot ETFs;&nbsp;</li>
 <li>$500 million held by Goldman Sachs.</li>
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<p>The numbers don’t lie, and this illustrates the <strong>confidence of institutions in the long-term value of Bitcoin</strong>, even in a turbulent market. Paradoxically, this massive adoption could even fuel volatility, creating a cycle where each market movement becomes both an opportunity and a threat.</p>
<p>Other factors also weigh on cryptos every week. The volatility of cryptocurrencies, including Bitcoin, will depend on these <a href="https://www.cointribune.com/en/crypto-volatility-the-events-to-watch-closely-this-week-2/" target="_blank" rel="noopener noreferrer nofollow">events to closely watch</a>.</p>
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How Do ETFs Influence the Price of Bitcoin? Explanations!

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