BITCOIN is registering its worst month since the collapse of Sam Bankman-Fried’s FTX empire as the euphoria around US exchange-traded funds for the largest digital asset subsides.
The original cryptocurrency is down 14% in April, the most since it slumped 16% in November 2022. The US-ETF induced mania took Bitcoin to a record high of almost $74 000 in March, but as demand for risky investments takes a knock from fading hopes for Federal Reserve interest-rate cuts, inflows to the products has come down significantly.
As of April 29, the month has seen a net outflows of $182 million from the 11 US spot ETFs. The funds saw $4.6 billion in net inflow in March. The US Securities and Exchange Commission approved the funds in January. – Bloomberg