- Bitcoin price has fallen below $80,000 despite $21.9 billion in Bitcoin ETF inflows over the past 30 days.
- Macro pressure, a stronger dollar and profit-taking could keep BTC under pressure, with $72,000-$73,000 as a key level to watch.
Bitcoin price has fallen back below $80,000 after failing to hold last week’s gains, even as Bitcoin ETFs recorded strong net inflows over the past month. The decline suggests that institutional demand alone may not be enough to support BTC while macroeconomic pressure and profit-taking weigh on the market.
Bitcoin climbed to $82,281 last Thursday before losing ground throughout the following week. At press time, BTC was trading around $77,976, putting the price roughly 5% below last week’s high.
The pullback comes after Bitcoin spent more than 10 days in overbought territory. That extended rally helped push BTC higher during the second half of August, but the latest decline suggests buyers are losing some of their control.
Bitcoin ETFs Continue to Show Strong Institutional Demand
Bitcoin ETFs have remained a major source of demand despite the recent weakness in BTC price.
According to CryptoQuant, Bitcoin ETFs recorded approximately $21.9 billion in positive net flows over the past 30 days. The figure marks a sharp improvement from the negative net flows recorded during the second quarter.
The strong inflows also pushed the combined ETF cost basis into positive territory. This means the $72,000 to $73,000 range has become an important level for Bitcoin.
CryptoQuant identified that zone as the key price area to watch because Bitcoin ETFs currently sit above their realized price there. A sustained move below the range could put ETF holdings below their cost basis and potentially increase selling pressure.
Bitcoin ETFs have already sold around $166 million worth of BTC over the past two days. However, broader sentiment remained in greed territory, suggesting that investors have not yet shifted into widespread fear.
Bitcoin Price Faces Pressure From Bonds and the Dollar
The weakness in Bitcoin is not only about technical levels. Conditions in traditional markets are also creating pressure for risk assets.
CryptoQuant analyst Darkfost linked the August Bitcoin rally partly to developments in the US Treasury market, including Treasury buybacks. At the same time, rising oil prices and renewed tensions involving Iran have added another layer of uncertainty for investors.
The US dollar is also becoming important for Bitcoin’s next move. The DXY recently rebounded toward 99 after showing signs of weakness, with a move above 100 potentially creating additional pressure on BTC.
A stronger dollar can make risk assets less attractive as investors move toward dollar-denominated liquidity. Bitcoin could therefore remain under pressure if the DXY continues climbing.
At the same time, a weakening dollar caused by concerns over US debt could create a different setup. Bitcoin has recently shown a stronger relationship with gold, raising the possibility that both could benefit if investors begin looking for alternatives to fiat currencies.
For now, the $72,000-$73,000 area remains the more important level to watch. Holding above it would help preserve the positive ETF cost-basis structure, while a deeper breakdown could test whether institutional demand is strong enough to absorb further selling.
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