Market Paradox: Bitcoin Slips Despite Strong ETF Demand

Bitcoin's price retreated to $107,400 on Friday despite 【$1 billion】 flowing into spot BTC ETFs over two days. The 2.8% drop occurred as traders digested mixed signals - strong institutional demand conflicting with macroeconomic headwinds and unusual blockchain activity.

The Sleeping Giant Awakens

Market anxiety spiked when a 2011-era Bitcoin wallet moved 【80,009 BTC】 ($4.3 billion) after years of dormancy. Blockchain analysts identified the holder as potentially one of Bitcoin's earliest miners, though the purpose remains unclear. ——Such large movements often trigger short-term volatility without indicating long-term trends——.

Historical data shows similar events rarely impact extended market trajectories. In 2024, a 14-year-old wallet transferred 2,000 BTC without causing sustained price declines. The current movement appears more likely related to wallet consolidation than imminent selling pressure.

Macroeconomic Shadows Loom

Beyond crypto-specific factors, broader economic concerns weighed on investor sentiment:

• US fiscal deficits reached 【130% of GDP】 after recent tax cuts
• Pending trade tariff decisions by July 10 deadline
• Bank of America warning of "bubble risks" in risk assets

Michael Hartnett, BofA's chief strategist, cautioned about overexposure if the S&P 500 approaches 6,300. This risk-off mood appears to be spilling into crypto markets despite Bitcoin's strong fundamentals.

ETF Inflows Tell a Different Story

The divergence between price action and institutional demand presents an interesting market dynamic. Spot Bitcoin ETFs recorded their third consecutive week of positive inflows, suggesting:

• Continued institutional accumulation
• Disconnect between short-term traders and long-term holders
• Potential buying opportunity if macroeconomic fears ease

Market analysts note Bitcoin remains just 【1.5%】 below its all-time high, with the pullback possibly representing healthy consolidation after recent gains.

What Comes Next?

Traders should monitor these key developments:

• US tariff policy decisions this week
• Potential follow-up movements from the dormant BTC
• ETF flow trends through quarter-end

——The current dip may represent a temporary disconnect between crypto-specific bullishness and broader market caution——. As one analyst noted, "Bitcoin's fundamentals haven't changed; only the wallpaper behind them has."

Data as of July 5, 2025. All figures subject to market fluctuations.