BTC Dips Amid Lacklustre Debut for Hong Kong ETFs

Bitcoin's price retreats below $62,000 amidst tepid response to the inaugural trading day of highly anticipated spot Bitcoin and Ethereum ETFs in Hong Kong.

At the time of reporting, BTC experiences a 1.4% decline, touching lows of $61,587 across major crypto exchanges. Its 24-hour trading volume stands at $28.4 billion.

Bitcoin and Hong Kong ETFs' Premier

Earlier, BTC surged above $64,000 with the launch of six spot Bitcoin and Ethereum ETFs in Hong Kong. On Coinbase, it reached $64,727. The momentum followed reports of Hong Kong's ETF approval.

However, disappointing trading volumes and inflows dampened BTC's surge. The six ETFs generated a mere $11 million in total trading volume on debut, significantly lower than anticipated projections of over $300 million. Bitcoin ETFs saw approximately $8.5 million, while Ethereum ETFs only recorded $2.5 million. Ethereum's price fell to $3,040.

Comparative Analysis

Hong Kong's figures pale in comparison to the enthusiastic response witnessed during the US spot BTC ETFs' launch in January, garnering over $4.6 billion in trading volume.

Potential Impact on BTC

The lacklustre ETF debut fails to buoy BTC's price, potentially leading to a dip below the $60k threshold if sentiment sours. On the upside, resistance at $65k remains crucial, with a breakthrough propelling BTC towards recent highs.

BTC's retreat underscores the market's tepid response to Hong Kong's ETF debut. Despite initial optimism, lacklustre trading volumes may dampen BTC's short-term prospects, potentially triggering a decline below $60k if sentiment turns bearish.