Bitcoin Rally Hits Wall at $81K: Can Spot ETF Inflows Save the Day?

Bitcoin's recent rally has stalled at $81,000-$83,000 after a short squeeze, but spot ETF inflows remain ongoing.

The cryptocurrency reached an intraday high of $81,265 on Tuesday, its strongest level in three months, before retreating to around $79,000 on Wednesday.

The rally has been partly fueled by forced short covering, and experts warn that the durability of the rebound now depends on whether institutional buying continues after leveraged shorts have been flushed out.

US spot Bitcoin ETFs attracted $337.56 million on Aug. 24, extending their streak to six consecutive inflow sessions, with a total of over $2.5 billion in a week.