The Bitcoin price has entered a consolidation phase just above the $105,000 level, following a sharp drop triggered by one of the largest ETF outflows in recent months. As U.S. regulators reopen discussions on in-kind redemptions for spot ETFs, investor sentiment is shifting—and technical charts are beginning to reflect that uncertainty.
Let’s analyze the current setup for BTC and what’s driving the latest price action.
ETF Outflows Raise Concerns
On June 2, Bitcoin ETFs recorded a daily net outflow of $267 million, according to data from SoSoValue. Major funds from BlackRock, Fidelity, and Grayscale led the exits, pulling capital away from the market at a pace not seen since the March consolidation.
Source: SoSoValue
This mass exit sparked concerns of reduced institutional interest, contributing to a brief sell-off that pushed BTC from over $110,000 to lows near $104,500.
Yet, not all news from the ETF front was negative.
SEC Opens Feedback on WisdomTree ETF Rule Change
Concurrely, on June 2, the U.S. SEC officially opened a public comment period on a proposed rule change that would allow WisdomTree’s spot Bitcoin ETF to offer in-kind redemptions.
This move, documented in SEC filing 34-103165, is seen by some analysts as a potential game-changer for ETF efficiency, as in-kind transactions reduce the need for cash settlements and can lower operational costs.
The comment window remains open for 21 days. If approved, the change may bolster confidence in long-term ETF growth, which could stabilize BTC inflows.
Bitcoin Price Analysis: Consolidation After Rejection
After hitting a local high near $112,000 in late May, BTC faced rejection at resistance, forming a potential double-top pattern on the daily chart. The current support zone sits around $102,000–$104,000, a range that held during multiple retests in April.
Source: Tradingview
Key indicators:
- RSI has cooled down to 54, suggesting room for movement in either direction.
- Volume dropped notably post-outflow, reflecting caution.
- MACD is crossing down on the daily, signaling weakening momentum.
If BTC fails to hold above $104,000, a drop toward $98,000 remains plausible. However, reclaiming $108,500 with strong volume could trigger a bullish continuation to retest the $112,000–$115,000 range.
Final Thoughts: ETF Moves Add Volatility, But Long-Term Trend Holds
While the strong ETF outflow spooked some investors, the broader structure of Bitcoin’s uptrend remains intact. The SEC’s open stance on improving ETF functionality—especially around in-kind redemptions—suggests a regulatory shift that could support more sustainable inflows in the future.
For now, Bitcoin price prediction hinges on whether buyers defend the $104K zone and how markets digest regulatory signals over the next two weeks.
