<a href="https://en.coin-turk.com/robert-kiyosaki-us-dollar-is-fake-money-bitcoin-is-the-alternative/”>Bitcoin (BTC) has regained investors’ attention following the excitement surrounding a spot ETF. The recent action by the U.S. government has heightened concerns, leading to speculation about its potential impact on BTC flow and price.
Bitcoin Exchange Inflows
The U.S. Department of Justice announced its intention to sell a portion of Bitcoin obtained from a case against Ryan Farace and his father Joseph Farace, who face charges including a money laundering conspiracy. Additionally, recent reports have sparked interest in examining the net flow of Bitcoin on exchanges. According to CryptoQuant’s data, there has been a noticeable increase in inflows compared to outflows in recent days.
Subsequently, BTC assets were directed to exchanges for sale. This dynamic could imply a potential impact on price if supply exceeds demand. While daily inflows are not significantly high, the cumulative figures are substantial. At the time of writing, there was a slight uptick in the BTC trend, indicating a temporary pause.
BTC Price Volatility
The U.S. announcement coincided with a continuous outflow from Grayscale Bitcoin. Analyzing the daily chart for Bitcoin shows attempts at recovery in the last few days. However, this recovery has not yet demonstrated significant strength, and BTC is experiencing volatile movements around the $40,000 price range. At the time of writing, it reflects a slight increase of less than 1%, trading at approximately $40,000.
Moreover, the decline has pushed Bitcoin’s Relative Strength Index (RSI) below the neutral line, currently below 40. The short moving average, which initially served as support, has now become a resistance level around $43,000. While the U.S. Department of Justice’s intention to sell Bitcoin creates concern, changes in exchange inflow and outflow data from CryptoQuant reflect the uncertain recovery efforts and fluctuating trajectory of BTC around the $40,000 level.
