On August 14, Bitcoin dropped below $63,000, reaching levels last seen in early August.
At the time of writing, Bitcoin is trading at $62,600, having lost 1.5% over the past 24 hours.
Meanwhile, Ethereum’s price remained relatively stable, currently around $1,860.
According to SoSoValue, spot Bitcoin ETFs recorded a two-day outflow streak for the first time since late July, with investors withdrawing a total of $192 million on April 12 and 13.
The decline contrasts with the stock market, which rose on positive producer price inflation data, with the index falling to 4.7%, below expectations.
Despite Bitcoin’s decline, open interest in the asset on Binance has been rising since early July. According to Coinglass, it stands at $27.09 billion.
The main reason for the market’s weakness is low spot demand and ETF inflows, according to XWIN Japan analysts.
“At the same time, futures positions remain relatively high. This creates an imbalance: weak spot buying, low liquidity, and increased leveraged positions. When positive macroeconomic news does not lead to price increases, leveraged orders may start closing,” the experts added.
According to XWIN Japan, there is also a potential oversupply around the short-term cost basis of holders at approximately $68,700.
Earlier, on August 12, Glassnode analysts warned of a potential Bitcoin pullback to $58,500.
