- Cryptocurrency investment products witnessed inflows of $154 million last week amid the recent price correction.
- Bitcoin price fell 12% over the week but did not impact the positive investor sentiment.
- Following the record-breaking month in October, institutional investors continued to invest in digital asset products.
Despite the recent cryptocurrency market correction, digital asset investment products dedicated to Bitcoin and Ethereum continued to grow. While November has been considered a less bullish month compared to October, data suggests that institutional investors are not concerned by the recent dip in prices.
Investors remain bullish on Bitcoin
Cryptocurrency investment products witnessed inflows of $154 million last week, according to the latest CoinShares report. Bitcoin funds saw total inflows of $114.4 million, while Ether funds saw inflows of $12.6 million.
The largest cryptocurrency asset manager, Grayscale recorded nearly $52 billion in assets under management last week.
Institutional investors have allocated over $6.6 billion to Bitcoin products and $1.17 billion to Ethereum investment products year-to-date. Over $9.2 billion was allocated to the entire cryptocurrency sector.
Bitcoin funds witnessed a record-breaking month in October, as bullish sentiment fueled the market as two BTC exchange-traded funds (ETFs) were approved in the United States. The leading cryptocurrency’s price also rallied in tandem, reaching an all-time high in the following weeks.
The flagship cryptocurrency suffered a pullback to around $56,000 in November, but the latest fund flows data shows that investors continue to have a positive outlook on Bitcoin price despite the 12% drop over the week.
Bitcoin price signals local bottom
Bitcoin price continues to struggle with upside momentum as it falls back under $57,000. However, a technical indicator suggests that BTC is about to turn its bearish narrative around.
The Momentum Reversal Indicator (MRI) has printed a bottom signal on the daily chart, hinting that Bitcoin price could be preparing for a recovery toward the upside.
Bitcoin price may face resistance at the November 20 low at $57,350, then at the October 28 low at $57,807. Additional hurdles may emerge at the October 23 low at $59,595 before BTC tags the 50-day Simple Moving Average (SMA) at $60,575.
BTC/USDT daily chart
Breaking above the $60,000 psychological level may be a challenge for Bitcoin price. However, the Arms Index (TRIN), which gauges overall market sentiment suggests that there are more buyers than sellers in the market, adding fuel to a potential recovery.
If selling pressure increases, Bitcoin price may discover its first line of defense at the descending support trend line at $55,315.
