Bitcoin Investment Products Snap Eight-Week Outflow Streak With $287M Inflow

Bitcoin News

Digital-asset investment products pulled in $287 million of net inflows last week, snapping an eight-week outflow run that had bled roughly $8 billion from the sector. Fund-flow data shows the turn was driven by softer US inflation prints: June consumer prices fell 0.4% month-on-month against a 0.2% forecast, and producer prices slipped 0.3% versus flat expectations. The two readings repriced rate-cut odds and pulled roughly $415 million into digital-asset funds across Tuesday and Wednesday alone, with the bulk flowing to Bitcoin-focused products. Analysts note the inflows suggest the market may be near a cycle low, though they caution meaningful upside above $80,000 looks unlikely in the current policy backdrop. Coverage of the coin sits on our Bitcoin hub.

Bitcoin slipped below $63,000 as renewed US military action against Iran lifted oil and the dollar, pressuring risk assets. The token dropped about 3.5% to an intraday low near $62,500 on July 17 before steadying around $63,150. US Central Command confirmed a sixth consecutive night of strikes on Iranian coastal surveillance, air-defense and logistics targets, with Tehran responding across the Gulf. Oil traded near $80 a barrel while the US Dollar Index climbed to 100.79 — a combination that stiffens the inflation outlook and dents appetite for speculative bets. Our reading of the chart flags the 78.6% Fibonacci retracement at $63,167 as the level bulls must defend to avoid a slide toward the $57,779 support zone.

In a governance flashpoint, the largest Bitcoin mining pool told clients they can use their hashrate — their share of the network's computing power — to vote for or against BIP-110, a proposed soft fork that would temporarily curb non-monetary data on the blockchain. The rule change would cap most new outputs at 34 bytes, restore an 83-byte limit on OP_RETURN outputs and reject data pushes above 256 bytes. Each vote is weighted by an account's average 10-day hashrate, with the mining operator signalling No until Yes crosses 51%. Because it commands roughly a third of network hashrate, its stance is pivotal. Backers say the change restores peer-to-peer money; critics including Michael Saylor and Adam Back warn it converts policy into a consensus change.

On-chain analysis points to a strengthening bottom signal. One analyst tracking investors who have held Bitcoin for one to two years found that loss-taking from this cohort is fading — historically a marker of a bear market's final phase. The 30-day moving average of their realised losses climbed above $75 million before rolling over and reversing, a pattern that in prior cycles flagged the end of peak capitulation. The analyst cautioned the metric alone is not a definitive floor call and warrants close monitoring. Separately, on-chain data places short-term holders' cost basis near $69,000, a threshold likely to act as key resistance and contested territory in the weeks ahead as the market probes for direction.

A volatile week saw Bitcoin reverse a CPI-fuelled rally. The June consumer-price reading came in at 3.5%, well below the 3.8%–3.9% many had modelled and down sharply from May's multi-year record. The primary cryptocurrency vaulted to $64,000 within hours and printed $65,500 on Wednesday — its highest mark in roughly three weeks — before the rally stalled and prices eased to $62,400. Attention has now shifted to the Federal Reserve's FOMC meeting at month-end. Several altcoins fared worse over the week: Hyperliquid's HYPE sank more than 12%, Solana's SOL fell 6.5% and Cardano's ADA lost close to 6%, while ONDO bucked the trend with a near-12% gain.

BlackRock chief executive Larry Fink struck a bullish tone on Bitcoin, arguing that one of the year's sharpest leverage flushes — rather than any deterioration in fundamentals — drove the recent drawdown. Fink's framing pins the sell-off on over-extended derivatives positioning being forcibly unwound, a cleansing he reads as constructive for the asset's medium-term setup. The remarks land against a backdrop of cautious price forecasts, positioning the world's largest asset manager as a counterweight to prevailing bearish sentiment. His view echoes the broader thesis that forced deleveraging, not a collapse in demand, has defined this correction — a distinction that matters for how quickly spot buyers may return once positioning fully resets.

COINOTAG's proprietary 42-indicator composite scoring engine rates the $63,392 support at 86/100 — our strongest level — anchored by a former resistance-to-support flip, a high-volume node, the 50-day SMA and the 0.236 Fibonacci retracement. To the upside, the engine scores the $66,984 resistance at 80/100, driven by a support-to-resistance flip, the Keltner upper band and the 0.382 Fibo. Spot trades at $64,112 as of writing, with RSI at 51.8 and a bullish MACD in a sideways trend. Derivatives lean long: funding sits at a mild positive 0.0051%, open interest stands at $12.6 billion and the long/short account ratio is 1.76 (63.8% long). With the Fear & Greed Index at 27 (Fear), a hold above $63,392 keeps bulls eyeing $66,984; a daily close below it — and $61,556 — invalidates the constructive thesis.