Bitcoin Funds See $635 Million in Outflows, Biggest Loss Since June
Key Facts
Bitcoin exchange-traded funds recorded net outflows of about $635 million on October 22, their biggest daily loss since June 25, according to an Investing.com analysis published on October 23. The following day, bitcoin was down 1.25% at $80,841.9 at 01:15 Eastern Time. The price remained above a demand zone near $80,000, Investing.com said. EL7 data show bitcoin’s close against the dollar at $81,189.43 on October 23, then $80,604.46 on October 24. The figures put the price near $80,000 as fund and exchange flows moved outward.
According to Investing.com, 40 newly created wallets withdrew about 9,458 bitcoin, worth $771.5 million, from trading firm Wintermute since October 1. But the report said the withdrawal alone does not establish whether the coins had been bought recently or moved into long-term custody. On October 22, bitcoin recorded net spot exchange outflows of about $465.55 million. Dollar-denominated exchange reserves also fell 1.35% to $226.33 billion, according to the report published on October 24. These moves add to indications that coins are leaving exchanges, without proving on their own that their owners intend to sell.
In an analysis published by Investing.com on October 23, wallets holding between 1,000 and 10,000 bitcoin shifted over 60 days from net negative accumulation of 62,600 bitcoin to net positive accumulation of 5,230 bitcoin. The shift points to a change in the net movement of this wallet group over the same period, after its accumulation balance had been negative. The withdrawals from Wintermute offer another view of coin movements, but do not by themselves reveal their final destination or whether they will be offered for sale. Wallet movements or outflows alone are therefore not enough to prove that a large transfer of coins represents market distribution. The divergence in indicators comes as bitcoin remained near $80,000 in trading on October 24.
Brent crude rose 3.1% on Friday to top $116 a barrel, its highest level since June 2022, the Associated Press reported. The rise in oil provides a backdrop to market moves on October 23, alongside bitcoin’s decline in data for that day. An Investing.com analysis identified the $85,000 to $87,500 range as the next resistance zone for the cryptocurrency. The analysis cited heavy sell orders at the spot price and clusters of short liquidations in that range. If the price falls below $80,000, the $77,600 level could come into focus, the same analysis said.
Attention is turning to the Federal Open Market Committee meeting on October 27 and 28, according to the Federal Reserve’s schedule. An Investing.com analysis said the Fed’s decision is scheduled for October 28, the second day of the meeting. The analysis also set October 29 as the release date for U.S. third-quarter gross domestic product data and the September personal consumption expenditures index. These dates are upcoming milestones for tracking risk assets, alongside the price levels cited in the analysis. The $80,000 level remains the nearest point to watch in Investing.com’s assessment, with resistance between $85,000 and $87,500.