Bitcoin falls by 4.5% after achieving a historic monthly close.
After closing the first quarter of the year at a peak of $71,200, Bitcoin is now hovering below the All-Time High of the last bull market.
However, outflows from the Grayscale Bitcoin Trust (GBTC) have significantly slowed down, reaching $104 million yesterday.
Bitcoin had a rough start to the second quarter of the year, with its price dropping by as much as 4.5%. Despite a historically strong previous month, marking the best monthly close ever recorded, the cryptocurrency failed to maintain its momentum.
Having closed March above $71,200, BTC is now trading around $68,500.
Analysis of Support Levels and Market Dynamics
Support levels for Bitcoin have become a major focal point for traders, especially with the potential approach of $60,000.
Data highlights a start of the quarter that could be concerning for BTC, with a price drop early in the quarter. The Easter holiday period and the absence of significant institutional flows in Bitcoin Spot ETFs have been cited as contributing factors to this trend.
Scrutinizing the Grayscale Bitcoin Trust Movements
Nevertheless, the latest days have revealed a clear slowdown in outflows from the GBTC, with $104 million leaving the ETF on the last trading day of the first quarter. This figure is significantly lower than the $642 million record observed on March 18.
This decrease in net outflows could help improve overall net inflow figures for ETFs. However, the BTC price has reached its lowest levels since March 25, prompting some traders to consider a possible continuation of the drop towards $60,000.
