Bitcoin Price Recovery Slows Amid Escalating Tensions

Bitcoin's price recovery slowed down on Wednesday after a mild 2.4% drop over the previous two days, according to recent data.

The US-listed spot ETF recorded a $46.65 million outflow on Tuesday amid escalating tensions between the US and Iran, which could weigh on risk appetite and increase pressure on Bitcoin's price.

Derivatives activity remains subdued, with relatively low leverage and sentiment gradually turning more defensive, signaling a cautious outlook.

The institutional demand for Bitcoin shows early signs of caution so far this week, with SoSoValue data showing the spot ETFs recorded a mild outflow of $45.65 million on Tuesday, breaking the three-day streak of inflows since last week.