Bitcoin: Will Friday’s jobs report data trigger the ‘Uptober’ rally?

U.S Spot Bitcoin ETF demand has been massive over the past two weeks, but the pace of inflows has dropped considerably. 

The ETF complex saw a 9-day streak of net inflows totaling $3B. However, beyond the headline, the daily demand dropped from nearly $1B to a low of $31M on Monday. That alluded to a 96% decline in institutional appetite. 

For his part, CryptoQuant analyst JA Maartun stated, “Bitcoin ETF demand is cooling fast” amid increasing potential sell-side pressure.

According to him, short-term holders (STH) have sent 45K BTC to exchanges, which could further derail the asset’s extended recovery. 

Price looks calm. Under the surface? ~45,054 BTC from Short-Term Holders just moved onto exchanges in 24H. That’s a lot of potential sell-side supply

Bitcoin: Traders bet on $95K despite macro pressure

It’s worth noting though that macro pressure has been a key driver behind the ETF fluctuation and subsequent BTC price pullback from $87K to below $84K. Even so, Binance CEO Richard Teng was still positive about the market. 

The macro backdrop remains challenging, with high U.S. yields continuing to pressure risk assets. However, investor demand is showing signs of improvement.

In fact, Tuesday’s weak labor report has cleared the Fed rate hike fears ahead of the late October FOMC meeting. At the time of writing, the odds of another 0.25% rate hike had slipped to 42% while the chances for a rate pause surged to 57%.