According to JPMorgan, retail funds were flowing out of Bitcoin ETFs in April, and investors should take a cautious stance on the cryptocurrency for now. The firm previously predicted that the widely anticipated Bitcoin halving was priced in ahead of the April 19 event, and that there would be some downside pressure in the weeks after the halving completes. was. Analysts cited overbought conditions, high prices relative to gold, and weak venture capital fundraising activity. It has since fallen 6%, according to Coin Metrics. “The past two weeks have seen significant selling/profit-taking, with retail investors likely playing a larger role than institutional investors,” JPMorgan's Nikolaos Panigirtzoglou said in a note Thursday. “In fact, not only did we see outflows from Spot Bitcoin ETFs in April, but the proxy for retail impulse into stocks has also downshifted over the past month.” “We remain cautious on the crypto market in the short term given the lack of growth, retail impulse has disappeared, and the three headwinds mentioned above remain in place.” Technical analysts also said that after Bitcoin fell below the key support level of $60,000 on Wednesday, Bitcoin could fall to around $50,000, but the long-term uptrend remains intact. He said that Investors and analysts are quick to point out that price movements around halvings tend to be inconspicuous, meaning that while they are headline events, they do not impact Bitcoin's price in the short term. many. BTC.CM = 1 million mountain Bitcoin (BTC) over the past month In his two weeks leading up to the end of the Federal Reserve's Wednesday meeting, the cryptocurrency was also weighed down by macro uncertainty around inflation It had been. The central bank ultimately left interest rates unchanged. Panigirtzoglou pointed out that in addition to cryptocurrencies, retail investors also sold stocks in April, and the impulse for stocks has also declined. “This…is demonstrated by net inflows into equity funds, including ETFs and mutual funds, commonly used by retail investors… [which] “After strong buying in February and March, it turned negative in April,” he said.
