Bitcoin and the crypto market held steady. Things didn’t move much in the last day. But guess what? Bitcoin funds, the kind you can trade like stocks (ETFs), pulled in a lot of money. We’re talking over $590 million on Monday alone. That makes it six days straight of money flowing in.
- Bitcoin ETFs experienced significant inflows, with over $590 million invested on Monday, marking six consecutive days of positive flows.
- BlackRock’s IBIT fund led the inflows, while Ark’s ARKB fund saw outflows, and Bitcoin’s price hovered around $94,000.
- Monero (XMR) experienced a volatile price swing due to a large Bitcoin swap, while Nexo (NEXO) announced its return to the U.S. market.
This is the first time since way back in late March that these funds saw a whole week of inflows. It seems more folks are seeing Bitcoin as a safe place to put money, like a digital hideout when the world feels shaky. BlackRock’s fund, IBIT, led the charge, grabbing a massive $970 million. Poor Ark’s fund, ARKB, saw money leave, about $200 million worth. Bitcoin itself stayed above $94,000 early Tuesday in Asia. Traders watch that $94,000 level closely. If it breaks, they say the path opens up for a run toward $100,000. Big number, right?
Other coins? Most just sat there. XRP, ether (ETH), Cardano’s ADA, and BNB Chain’s BNB didn’t do much. Solana’s SOL dipped a little, down 2%. Monero (XMR) took a bigger hit, dropping 8.5%. That came after it shot up a crazy 40% on Monday. Why the sudden jump and then drop? A blockchain detective named ZachXBT figured it out. A hacker swapped over $330 million worth of Bitcoin for the privacy coin. That’s a lot of digital cash changing hands.
Down in the mid-sized coins, Nexo (NEXO) popped up 8%. They said they’re coming back to the U.S. after being away for two years because of rules. Now they’re focusing on using AI stuff. Interesting move.
Some traders are just waiting now. They’re looking at economic reports coming out this week in the U.S. They want clues on what to do next. The mood isn’t great overall, especially after those U.S. tariffs (extra taxes on goods from other countries) hit.
Jeff Mei, he’s the COO over at BTSE, sent a message. He said Bitcoin and the market kept the gains they made last week. “Right now,” he said, “traders are waiting for GDP (how much the economy made), unemployment data, and a number of other economic data indicators set to be released in the US this week, so not much has changed yet.” Makes sense. Everyone’s holding their breath a bit.
He also mentioned the U.S. dollar. It keeps dipping. Big investors are putting their money into other currencies. “This could explain why demand for Bitcoin has been strong as well,” Mei added. The dollar index, which tracks the dollar against six other main currencies, is down almost 6% in the last month. That’s the biggest drop since 2022. When the dollar looks weak, other things, like Bitcoin, can look stronger.
Over here, some traders are getting excited about something else. They see a link between Bitcoin’s price and something called M2 money supply. It’s gaining attention. You see viral posts online showing charts of the two lines together. But maybe people are getting a little too carried away with how much that link really matters for prices right now.
Global M2 vs. Bitcoin.
What do you think happens next?
pic.twitter.com/PZiyAV3sOo
So, what is M2 supply anyway? It’s basically all the money floating around in an economy. Think cash in your pocket, money in checking accounts, savings accounts, and other funds you can get to pretty easily. The idea is, if M2 goes up, there’s more money out there. People might buy Bitcoin to protect their wealth from inflation (when money buys less stuff). So, Bitcoin prices could rise. If M2 shrinks, maybe people get nervous and pull back from riskier things. Bitcoin prices might drop then.
Augustine Fan, he’s the head of insights at SignalPlus, talked about this M2 idea. He sent a message saying, “One of the recent and prevailing narratives suggests that BTC is about to break higher as a delayed reaction to the increase in M2 money supply.” It’s a popular story right now.
He added, “While we are not strict subscribers to this view as there are a lot more nuances behind the data, we are bullish on BTC in the medium term due to expectations of monetary and fiscal easing in response to tariff-driven slowdowns.” So, they don’t totally buy the M2 thing as the only reason, but they still think Bitcoin goes up medium term. Why? Because they expect governments and central banks to loosen up on money and spending rules to help the economy deal with those tariffs. It’s all connected, isn’t it?
