Bitcoin Spot ETF Inflows Slow Amid Resistance Near $110,000 While Derivatives Show Bullish Sentiment

• Spot Bitcoin ETFs experienced a notable slowdown in net inflows, dropping 61% to $165 million after a robust $435 million surge on June 10, signaling cautious investor behavior amid BTC’s price resistance.

• Bitcoin’s price momentum has stalled near the critical $110,000 resistance level, prompting some profit-taking in the spot market despite ongoing investor interest.

• According to COINOTAG, derivatives markets remain optimistic with sustained positive funding rates and elevated demand for BTC call options, reflecting bullish sentiment despite recent price dips.

Spot Bitcoin ETFs slow net inflows by 61% amid BTC resistance near $110,000; derivatives markets show bullish signs with positive funding rates and strong call option demand.

Spot Bitcoin ETF Inflows Show Resilience Despite Market Pullback

US-listed spot Bitcoin ETFs maintained a steady inflow trend on Wednesday, accumulating $165 million in net investments. This continued interest underscores sustained confidence among institutional and retail investors in BTC exposure through regulated funds. However, this figure represents a significant 61% decline from the $435 million inflow recorded on June 10, highlighting a cautious stance as BTC encounters resistance near $110,000.

The recent slowdown in ETF inflows coincides with Bitcoin’s price consolidation, where the cryptocurrency has struggled to break above the $110,000 threshold. This price action has triggered some profit-taking in the spot market, tempering the pace of new investments into ETFs.

Leading the inflows, BlackRock’s IBIT ETF attracted $131.01 million on Wednesday alone, pushing its cumulative net inflows to an impressive $49.24 billion. VanEck’s HODL ETF followed with $15.39 million in daily net inflows, bringing its historical total to $968.94 million, according to data from SosoValue.

Total Bitcoin Spot ETF Net Inflow. Source: SosoValue

BTC Price Resistance Influences ETF Investment Patterns

Bitcoin’s inability to sustain upward momentum beyond $110,000 has created a temporary ceiling, influencing investor behavior in the ETF space. The resistance level acts as a psychological barrier, leading to increased volatility and intermittent profit-taking. This dynamic has contributed to the deceleration of net inflows, as investors weigh the risk-reward balance amid uncertain short-term price direction.

Market participants are closely monitoring BTC’s price action for signs of a decisive breakout or further consolidation, which will likely dictate the trajectory of ETF inflows in the coming days.

Derivatives Market Signals Continued Bullish Sentiment Despite Spot Price Dip

Bitcoin’s spot price currently hovers around $107,939, reflecting a modest 2% decline over the past 24 hours. Despite this pullback, the derivatives market paints a more optimistic picture, with key indicators signaling sustained bullish sentiment.

The perpetual futures market exhibits a positive funding rate of 0.0062%, indicating that long positions are dominant and traders holding these positions are paying shorts. This mechanism ensures the futures price remains tethered to the spot price, and a positive rate typically reflects confidence in upward price movement.

BTC Funding Rate. Source: Coinglass

In addition to futures, the options market reveals a strong appetite for call contracts, which are bullish derivatives that give holders the right to buy BTC at predetermined prices. Elevated open interest in call options suggests that traders are positioning for a potential price breakout, anticipating upward momentum despite recent spot market hesitation.

BTC Options Open Interest. Source: Deribit

Implications of Derivatives Market Activity on BTC Price Outlook

The sustained positive funding rates and robust demand for call options imply that professional traders and institutional investors maintain a bullish outlook on Bitcoin. These derivatives metrics often precede spot market movements, suggesting that the current price consolidation may be a temporary phase before a renewed upward trend.

Investors should continue to monitor these indicators alongside spot price action to gauge market sentiment and potential breakout opportunities.

Conclusion

While spot Bitcoin ETFs experienced a notable slowdown in net inflows amid BTC’s resistance near $110,000, overall investor interest remains strong. The derivatives market’s positive funding rates and heightened call option demand underscore a prevailing bullish sentiment, indicating that traders are positioning for potential upside despite short-term price consolidation. Market participants are advised to watch key resistance levels and derivatives signals closely to navigate the evolving BTC landscape effectively.