Bitcoin ETF Inflows Spark Recovery Amid Fed Interest Rate Hopes

Bitcoin's recent recovery has been supported by renewed institutional demand, with US spot Bitcoin Exchange-Traded Funds (ETFs) recording consecutive daily inflows at the beginning of the week. According to CoinGlass data, these ETFs saw net inflows of $189.30 million on Tuesday, marking the second consecutive day of positive flows.

The Federal Open Market Committee Minutes are set to be released on Wednesday, providing insight into the Federal Reserve's interest-rate outlook and potential implications for Bitcoin. A hawkish set of minutes could push US Treasury yields and the US Dollar higher, weighing on the cryptocurrency. Conversely, a more dovish message could support cryptocurrency valuations by improving expectations for future liquidity conditions.

Bitcoin is currently trading at approximately $64,210, slightly below its 50-day Exponential Moving Average (EMA) at $64,376. The Relative Strength Index stands near 56, reflecting broadly neutral momentum with a mild bullish bias. A sustained surge above the 50-day EMA could preserve Bitcoin's short-term recovery attempt, but BTC remains below several important long-term technical indicators.