Bitcoin ETF Inflows Soar as BTC Price Eyes Biggest Historical Retest

Bitcoin ETF inflows surged to $242 million on August 27, as investors continued to show interest in spot Bitcoin products. The cumulative net flow for tracked Bitcoin ETFs reached about $54.9 billion, with IBIT recording the largest inflow at $277.6 million.

The mixed activity showed that investors were moving money between different ETF products, despite total flows remaining positive. For the Bitcoin price, continued ETF demand could be an important part of the market picture as investors assess the next major move.

Crypto analyst Jelle pointed to a weekly bullish divergence forming as BTC moved back toward an important historical area, similar to September 2020 when Bitcoin returned to retest an earlier major level before entering a stronger phase of its market cycle.

About 69% of the Bitcoin supply was currently in profit, but this figure needs context. During the current cycle, supply in profit had remained above 50% for most of the time, falling below that level for only 15 days.

Looking at invested capital gave a different picture. Around $617 billion of Bitcoin capitalization was estimated to be at a loss, compared with about $447 billion in profit, based on a capitalization of roughly $1 trillion.