- The German state of Saxony has sold seized Bitcoin in recent weeks, putting pressure on the market
- The bearish sentiment around spot prices has not discouraged institutional investors looking for exposure to Bitcoin.
Bitcoin [BTC] extended its recovery on July 10, rising sharply above $58,000 as crypto markets showed a sense of calm.
Still negative Market sentiment has not yet diminishedwith the crypto Fear & Greed Index hovering in the ‘Fear’ zone at the time of writing.
Source: Alternative.me
Today’s ‘Fear’ index highlights the rapid shift in market sentiment as the index hovered in the ‘Neutral’ zone last week and in the ‘Greed’ zone last month.
Germany BTC sale
The German state of Saxony more BTC unloaded in a series of transactions on July 9. The state Criminal Police Office (LKA) seized 49,857 BTC from the operator of Movie2k.to in January.
The German police authority dumped these coins on the market in accordance with guidelines regarding assets seized in criminal investigations.
So far, the German government has transferred more than half of its original holdings to exchanges and other market makers.
The German Federal Criminal Police Office (BKA) wallet had a balance of 22,847 BTC at the time of writing. according to to data from Arkham Intelligence.
Bitcoin Funds Show Strong Performance
Interestingly, the recent price fluctuations in the spot market have not diminished the appeal of Bitcoin funds.
The 11 US-listed spot Bitcoin ETFs recorded cumulative inflows of $295 million on July 8 – the highest single-day positive net flow volume since June 5, when the Bitcoin price rose above $70,000.
Source: Coinglass
Furthermore, none of the ETFs recorded any outflows that day, but three – Valkyrie Bitcoin Fund, Franklin Bitcoin ETF and WisdomTree Bitcoin Fund – saw no activity.
Although investors withdrew from Grayscale Bitcoin Trust and Bitwise Bitcoin ETF on July 9, the overall net flow still remained positive.
This steady influx of ETFs at moderate prices suggests that institutional investors They benefit from the current volatility in the market accumulate.
Bitcoin ETFs are becoming increasingly popular
Institutional-focused crypto investment products are also being warmly welcomed outside the US and Europe.
In Australia, DigitalX announced on July 8 the approval of its spot ETF product for an upcoming listing on the Australian Securities Exchange (ASX).
The DigitalX Bitcoin ETF will be listed under the ticker BTXX and is expected to begin trading on July 12, the investment firm said in a announcement post on X.
VanEck’s comparable product, the VanEck Bitcoin ETF (VBTC), received regulatory approval on June 15 and became the first spot Bitcoin ETF to trade on the Australian Securities Exchange five days later.
More potential issuers, including Sydney-based capital markets firm BetaShares, are expected to list their Bitcoin ETF products on Australia’s main stock exchange before the end of the year.
BTC/USDT technical analysis
Bitcoin led altcoins in a modest market-wide recovery on July 9, claiming an intraday high of $58,239 per CoinMarketCap data. Speculators have now turned their attention to resistance levels around $60,000.
Source: TradingView
On the daily chart, the $55,000 – $57,500 range has provided a base for BTC/USDT over the past week with a key support level around $56,600, coinciding with previous lows from early May.
Read Bitcoin’s [BTC] Price forecast 2024-2025
Clearing this range will put Bitcoin on track to regain key trendlines lost last week, including the 200-day simple moving average (MA), which currently stands at $58,240.
Source: TradingView
While further upside potential towards $60,000 is still conceivable, gains from the bullish countertrend are likely to be short-lived and transitory.