Bitcoin ETF Inflows Surpass $996 Million, Fueling Bullish Sentiment Amid DeFi Concerns

The current market trend continues to favor a bullish outlook for bitcoin, with a value of $78,239.56, despite recent developments in Iran and DeFi hacks making headlines. On Friday, U.S.-listed spot ETFs saw an influx of $663 million, the highest since January 15, with total inflows reaching $996 million for the week, up from $786 million the previous week, according to SoSoValue data. This indicates robust institutional interest in the largest cryptocurrency. For a significant price surge to occur, this trend must be sustained. According to Timothy Misir, head of research at BRN, "ETF flow regimes provide a secondary read: sustained inflows signal structural demand, while intermittent flows indicate tactical positioning, with consistency mattering more than magnitude." Bitcoin is currently trading above $75,000 after reaching highs above $78,000 on Friday, with prices remaining relatively stable over the past 24 hours. Similar patterns are observed in other major tokens, including ether, XRP, and Solana. The AAVE token of DeFi platform Aave has dropped 1% to $90 due to collateral damage from the KelpDAO hack over the weekend. The DeFi dominance rate remains steady at around 3%. Alex Kuptsikevich, chief market analyst at FxPro, notes that the pressure on the leading cryptocurrency is linked to negative reactions in stock markets to news about Iran, which has reduced risk appetite. Traders are actively building short positions, betting against a breakout, which could fuel a "short squeeze" if prices hold steady, forcing traders to cover bearish bets and potentially pushing spot prices higher. The latest reports indicate that the U.S. attacked and seized an Iranian cargo ship attempting to bypass restrictions on Iran's ports. The chart shows weekly price swings in Solana, with one level standing out: $95.16, the low registered in April. Solana has remained below that level for 11 consecutive weeks, indicating sustained bearish sentiment and potential for deeper losses. A strong move above that level, backed by a surge in trading volumes, is needed to invalidate the bearish outlook.