• Bitcoin’s ETF inflows and increased miner profitability suggest that BTC’s upward price momentum may continue.
• Active addresses and rising open interest volume signal strong market activity, despite mixed derivatives data.

Bitcoin [BTC] has seen a steady increase in price in recent weeks, sparking interest in the underlying factors driving this momentum.

According to a CryptoQuant analyst, Amr Taha, there is a noteworthy relationship between Bitcoin ETF net flows and Miner Profit/Loss Sustainability, which could be influencing Bitcoin’s price movements. 

The analysis, shared on the CryptoQuant QuickTake platform, sheds light on how these two indicators interact and their potential impact on the market.

Bitcoin ETFs, miners team up!

Taha’s analysis focuses on the net flow of capital into Bitcoin ETFs, highlighting that large positive net flows often occur near market peaks, while negative net flows tend to coincide with market bottoms.

This trend suggests that when capital flows into Bitcoin ETFs, it can lead to upward price pressure, while capital outflows may result in downward pressure. 

Additionally, the Miner Profit/Loss Sustainability chart helps track whether Bitcoin miners are operating profitably based on the difference between Bitcoin prices and miners’ operating costs.

The chart identifies “overpaid” zones, when miners are generating significant profits, and “underpaid” zones, when miners are facing losses.

Taha’s analysis offers key insights into how BTC prices are linked to miner profitability. As Bitcoin prices

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Author: Samuel Edyme