Bitcoin Stuck in Familiar Price Range as Inflation Data Fails to Boost Prices

Bitcoin has entered its new quarter in a familiar price range of $82,000 to $85,000. The cryptocurrency has been stuck between these levels for over a week, with prices briefly topping $85,000 on Wednesday due to weaker-than-expected U.S. inflation data. However, the move was short-lived as bulls failed to hold it and spot ETFs did not provide any significant support.

The U.S.-listed ETFs saw a net outflow of $148.7 million on Wednesday, marking an end to their nine-day inflow streak that brought in $3.08 billion. According to analysts at Bitfinex, the daily pace of inflows needs to pick up for prices to continue rising.

Bitfinex's Absorption-to-Emission Ratio (BAER), a metric that measures the ratio of Bitcoin bought by ETFs to the roughly 450 Bitcoin miners produce each day, has compressed from 25.6x on September 21 to 1.8x on September 29. The analysts noted that absorbing the $1.39 million breakeven supply (which sits between $84,000 and $86,500) requires the BAER to recover toward 5.0x (~$190 million/day).