Bitcoin Falls Close to $62K, but $143M ETF Inflows Signal Continued Institutional Interest
Bitcoin Falls Near $62,000 as Geopolitical Tensions Weigh on Market, ETF Inflows Remain Supportive
Bitcoin slipped close to the $62,000 level on Thursday as rising geopolitical tensions weighed on market sentiment. However, continued inflows into spot Bitcoin ETFs helped provide support for the world’s largest cryptocurrency.
According to Akshat Siddhant, Lead Quant Analyst at Mudrex, Bitcoin was trading around $62,000 after geopolitical tensions escalated following U.S. President Donald Trump’s announcement that the ceasefire had ended. The development prompted investors to shift away from risk assets.
At the same time, Japan’s 10-year government bond yield climbed to its highest level in 30 years, triggering broader capital rotation across global financial markets.
Despite these headwinds and persistent inflation concerns, spot Bitcoin ETFs recorded $143 million in net inflows, helping stabilize Bitcoin’s price. The $60,000 level is now viewed as a key support zone.
According to CoinMarketCap, the global cryptocurrency market capitalization declined about 1% to $2.14 trillion. Meanwhile, the Crypto Fear & Greed Index stood at 25, indicating that overall market sentiment remains in the Fear zone.
Over the past week, Bitcoin gained around 2%, while Ethereum advanced 6.5%. Among major altcoins, BNB, XRP, Tron, Hyperliquid, and Cardano posted gains of up to 8%. In contrast, Solana and Dogecoin declined 0.9% and 0.7%, respectively.
CoinSwitch Markets said Bitcoin briefly fell to around $61,500 after Trump declared that the U.S.-Iran ceasefire was over. The situation also increased expectations that the Federal Reserve (Fed) could raise interest rates in September, adding pressure to risk assets such as cryptocurrencies.
Overall, the crypto market continues to be driven by macroeconomic factors. Escalating U.S.-Iran tensions, rising oil prices, higher bond yields, stress in Japan’s bond market, and concerns over potential Bitcoin sales by Strategy have all contributed to the recent market weakness.
Even so, ETF demand continues to offer some support. Spot Bitcoin ETFs recorded approximately $21.4 million in net inflows, while spot Ethereum ETFs attracted around $26.9 million.
WazirX founder Nischal Shetty said Bitcoin is still trading near $62,014, with the short-term technical outlook remaining cautious as the market continues to consolidate.
Meanwhile, Vikram Subburaj, CEO of Giottus, noted that the total crypto market capitalization remains around $2.14 trillion, while Bitcoin dominance stands at approximately 58%. This suggests investors are still favoring Bitcoin rather than rotating aggressively into altcoins. On-chain data also indicates that long-term holders have resumed gradual accumulation, with net purchases estimated between 50,000 and 100,000 BTC.
