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Bitcoin Bounces to Low $63K After Spot ETF Inflows Break 10‑Day Slide

The July 2 inflow followed weak U.S. jobs data that shifted Fed expectations and highlighted how institutional ETF flows now steer Bitcoin’s near‑term moves.

Overview

  • U.S. spot Bitcoin ETFs recorded about $221.7 million of net inflows on July 2, ending a 10‑day withdrawal streak and reversing part of the heavy selling that hit the funds in June.
  • The inflow came after the June nonfarm payrolls report showed roughly 57,000 jobs added, which reduced near‑term Fed hike odds and helped BTC rally into the low $62k–$63k range.
  • The price rebound triggered large short liquidations—reports cite more than $100 million in Bitcoin shorts and roughly $450–$500 million across crypto—turning forced buying into a short squeeze.
  • Structural risks remain because June saw about $4.5 billion of ETF outflows, on‑chain data showed elevated miner and exchange transfers, and Strategy’s financing plan allows up to $1.25 billion of optional Bitcoin sales.
  • Analysts say the rally needs steady, continued ETF inflows, higher trading volume, and a clean reclaim of the weekly 200‑week moving average near $62.6k and the $64k–$65k band before the recovery is considered confirmed.