Bitcoin Slumps as ETF Outflows and Rate-Hike Bets Weigh on Price

Bitcoin's price remains under pressure, trading near $77,600 on Wednesday after falling 1.45% in the previous session.

The decline is attributed to several factors, including outflows from exchange-traded funds (ETFs), higher energy prices due to renewed tensions between the United States and Iran, and growing expectations that the Federal Reserve will raise interest rates.

Data from SoSoValue shows that spot Bitcoin ETFs recorded $236.46 million in net outflows on Tuesday, indicating a decline in institutional appetite for the cryptocurrency.

According to Dean Chen, an analyst at Bitunix, the current weakness appears more like a liquidity-driven correction than a structural market breakdown.