Bitcoin and other cryptocurrencies were losing ground Wednesday. Outflows from exchange-traded funds have continued to weigh on the sector.
Bitcoin BTCUSD -1.33% has fallen 3.2% over the last 24 hours to $62,143, leaving the largest cryptocurrency at its lowest level since last Friday. Bitcoin hit a record high near $74,000 in mid-March amid a surge of interest from new spot Bitcoin exchange-traded funds (ETFs) but its price has dropped since then. “Factors such as spot ETF inflows and the amount of circulating supply being held by investors rather than being sold, which contributed to the price rise to the record high … have recently turned ‘negative’ and put pressure on the price,” wrote Simon Peters, an analyst at eToro, in a research note on Wednesday.
Around $710 million has flowed out of Bitcoin spot ETFs over the past week, according to cryptocurrency data platform Dune. However, Bitcoin still looks to be largely trading in the range established following its surge above $60,000 in late February. Cumulative net inflows into Bitcoin spot ETFs since their launch stand at around $11.1 billion, according to Dune.
Beyond Bitcoin, Ether ETHUSD -1.49% —the second-largest crypto—was down 4.4% to $2,982. Smaller cryptos or altcoins also were alling, with Cardano ADAUSD 1.81% down 2.9% and Polygon MATICUSD -2.75% dropping 5.9%. Dogecoin DOGEUSD -3.63% fell 7.5%.
