Here’s what Bitcoin institutional inflows are saying about the month of July
The price of bitcoin has had an eventful start to the month of August, and it doesn’t look like it will stop anytime soon. Mostly, it is the residual effects of what happened in the markets during the month of July, where the price of bitcoin had actually broken above $24,000. Similarly, the institutional cues have a lot to say about bitcoin, especially when it comes to how much money which looks at the digital asset.
Bitcoin inflows are growing strongly
Bitcoin inflows for the month of July had actually maintained a steady upward trend. The digital asset was able to receive an additional $85 million in inflows in the last week of July, mostly for long bitcoins. At the same time, short bitcoin continued to fall with $2.6 million in outflows for the week.
Others in the area also enjoyed inflows, and towards the end it turned out to be the strongest month of inflows so far for the year 2022. This is because $474 million had been recorded, which had almost offset the outflows that had rocked cryptocurrencies in the month of June with a total of 481 million dollars.
BTC trading at $22,900 | Source: BTCUSD on TradingView.com
This now makes it the fifth consecutive week of inflows for all digital investment products, most of which had come from North America. Canada had brought in $67 million while the US recorded a much lower $15 million.
Across the pond, countries such as Brazil and Sweden also contributed to the influx, albeit to a lesser extent. Others that saw smaller inflows included Solana and Polkadot, with $1.5 million and $0.4 million, respectively.
What this means for the market
The reversal of the outflow trend in July follows the rise in investor sentiment over the last couple of weeks. It shows that retail investors are not the only ones feeling more bullish about the market, but institutional investors also started to feel the impact of the recovery.
Most prominent has been bitcoin, which has had most of these influences. And while Ethereum failed to make a marked recovery from institutional investors, it had also seen growing confidence in the market recently.
In the main, the turn in the tide has come despite low trading activity in the area. Net flows from exchanges continue to point towards an accumulation trend that reflects this bullish sentiment. As investors bring this bullish trend from the month of July into August, it is quite possible that there is more recovery to come in the market.
Featured image from BitIRA, chart from TradingView.com
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