• The outflow of BTC has decreased significantly after touching a new withdrawal point
• The liquidity flow into Coinbase is correlated with the buying activity of investors in the spot market

Bitcoin, the world's largest cryptocurrency, continues to trade at a much lower level than its ATH. In fact, losses are seen across the market, with this cryptocurrency valued at just over $81,000 at the time of writing, after declining nearly 2% in 24 hours.

Currently, as Bitcoin trades near key support levels on the chart, spot traders have been gradually accumulating this asset. Therefore, it is necessary to analyze other factors to determine whether BTC will rise in the coming days.

Spot ETF Outflows Slow Down

Recent data shows that the outflow of BTC from ETFs has decreased significantly in the past month.

At the time of writing, after Bitcoin reached a peak with an outflow of $1.01 billion on February 25 - with a total Bitcoin volume of $2.039 billion from February 25 to 27 - the selling pressure from investors has decreased.

In the past 24 hours alone, $135.20 million has been withdrawn from the market, with assets under management valued at $97.62 billion - a significant amount.

Source: Coinglass

While the selling activity from BTC Spot ETFs has slowed down, there have been large liquidity inflows into Coinbase.

Over the past seven days, a total of 719 million USDC has flowed in. Such a large influx of funds into a cryptocurrency exchange while prices remain stable is a sign of continuous accumulation. This also suggests that participants are buying in anticipation of a price increase.

Source: Nansen

A look at the net flow of Bitcoin on Coinglass confirms this buying activity. Particularly, spot traders have bought around $57 million worth of BTC in the past two days, making the exchange's net flow negative.

Negative net flow means traders are buying the asset. Institutional investors appear to share a similar view, as the market's fund net position has turned positive. It has an index of 1.03 at the time of writing.

Source: CryptoQuant

Here, it is important to note that the advantage of the market's fund net position measures the demand and supply of BTC by institutions.

A reading above 1 indicates buying, while a negative reading confirms selling.

Weekly Support Remains a Key Factor

Although Bitcoin has regained strength in the market, suggesting the potential for price appreciation, market sentiment can change. If this occurs, the next notable support level will be $74,000.

Source: TradingView

This support level has held firm since January 2023 and has been the foundation for growth in the market. If the price reacts positively and the uptrend continues from this level, it could signal a significant price increase for Bitcoin. However, a breach of this support level could indicate a high bearish sentiment, leading to further price declines.

Currently, the market is in a good position to appreciate, provided that the positive sentiment continues to prevail.