Bitcoin price had an eventful start back in August, and it doesn’t look like it will stop anytime soon. Mostly, they are the residual effects of what happened in the markets during July, where the price of Bitcoin has already crossed $24,000. Along the same lines, institutional flows have a lot to say about bitcoin, especially when it comes to how the big money views digital assets.
Bitcoin inflows are growing strongly
Bitcoin In fact, July’s inflows maintained a steady upward trend. The digital asset was able to receive another $85 million in inflows for the last week of July, mostly for long bitcoin. Meanwhile, short bitcoin continued to fall with $2.6 million in outflows this week.
Others in the space also enjoyed the inflows, and by the end, this month turned out to be the strongest month of inflows so far for 2022. This is because $474 million was recorded, which was roughly offsetting the outflows that rocked the cryptocurrency in June with a total of $481 million.
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 came from North America. Canada brought in $67 million while the United States brought in well under $15 million.
Across the pond, countries such as Brazil and Sweden also contributed to inflows, albeit to a lesser extent. Among those who saw slight inflows were Solana and Polkadot at $1.5 million and $0.4 million, respectively.
What does this say about the market?
The outflow trend reversed in July following a recovery in investor sentiment over the past two weeks. It shows that not only are retail investors feeling more optimistic about the market, but institutional investors are starting to feel the impact of the recovery as well.
One of the most prominent of these flows is Bitcoin, which enjoyed most of these inflows. And while Ethereum failed to make a noticeable recovery from institutional investors, it has also seen increased confidence in the market recently.
Essentially, the turn of the tide came despite the drop in trading activity in the space. Net flows from the exchanges continue to indicate an accumulation trend that reflects this bullish sentiment. As investors bring this bullish trend from July to August, it is very likely that there will be further recovery in the market.
Featured image from BitIRA, chart from TradingView.com
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