The crypto steadied this week after dropping more than 17% last week, amid a broad and extended rout in the sector
Bitcoin steadied on Tuesday after top corporate holder Strategy bought into a recent dip in prices and as tensions in the Middle East cooled, offering cryptocurrency markets some relief.
Institutional investors continued to sell spot Bitcoin exchange-traded funds, albeit at a slightly slower pace than seen in prior weeks.
Bitcoin gained 0.7% to $63,434.4 by 06:25 GMT. The crypto steadied this week after dropping more than 17% last week, amid a broad and extended rout in the sector.
Crypto markets tracked gains in broader risk assets after Israel and Iran agreed to halt strikes on each other.
Top corporate Bitcoin holder Strategy Inc on Monday disclosed it had purchased 1,550 Bitcoin for a total of $101 million, bringing its total stockpile to 845,256 coins.
The purchase was much bigger than Strategy’s sale of 32 Bitcoin on June 1, and was in line with chairman Michael Saylor’s promises of buying up a greater amount of Bitcoin than the company would sell.
But Strategy still faces heightened debt and equity obligations for the capital raised to fund its massive Bitcoin purchases– a trend that could invite more sales in the future. The company had sold 32 Bitcoin last week largely to fund dividend payments on some preferred stocks.
Strategy’s sale last week was among the many sell signals for Bitcoin, given that it marked the company’s first sale of its holdings since late-2022.
Institutional investors extended their selling of Bitcoin ETFs this week, albeit at a slower pace than seen in the past three weeks.
Investors pulled out $91.4 million from spot ETFs on Monday, a much smaller outflow than the $325.7 million seen on Friday.
Bitcoin ETFs were still nursing three straight weeks of outflows, and lost a whopping $1.7 billion last week– their worst outflow since February 2025.
A storm of factors soured sentiment towards crypto, including risk aversion due to the Gulf war, concerns over rising interest rates, and shifting investor interest towards artificial intelligence stocks.
Broader crypto prices rose on Tuesday, although overall gains were limited as sentiment towards crypto remained skittish.
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