Bitcoin [BTC] has seen signs of accumulation, although spot demand remained weak while showing evidence of recovery. Recent CryptoQuant exchange netflow data showed that 9,030 BTC left Binance, pointing to outflows from the exchange.

At the same time, the Coinbase Premium Gap was negative, indicating that U.S. institutional investors were net sellers. AMBCrypto previously reported that there were reasons to believe seller exhaustion could be approaching.

A combination of seller exhaustion and a gradual recovery in demand could create conditions for a rebound, with the possibility that the bear cycle may be behind the market. In the short term, leverage and realized volatility were also declining. Under such conditions, a recovery remains possible, although confirmation of a market turnaround would require patience.

Bitcoin ETF netflows post their longest positive run in nine months

Analyst Amr Taha noted that Bitcoin ETF inflows were not concentrated in a single product. BlackRock’s IBIT recorded approximately $557 million in positive net flows across four sessions between July 14 and July 21.

On July 21, 21Shares ARKB added approximately $70 million. Continued positive readings across Bitcoin ETF products were presented as a sign of investor confidence in the market. Spot ETF netflows are closely watched because they show whether regulated investment vehicles are creating or redeeming shares, offering a clearer read on demand from brokerage and institutional channels than exchange balances alone.

Santiment said in a post on X that Bitcoin spot ETFs had recorded $981 million in inflows since July 14. The seven-day inflow streak was the first of its kind in nine months, with the previous comparable run occurring in October 2025, when Bitcoin was advancing toward highs near $126,000.

The intelligence platform wrote that inflow momentum can lead crypto markets higher. However, it also noted that a single day of large inflows can indicate FOMO. Strong short-term bullish conviction may contribute to the formation of a local top.

The Bitcoin ETF flows coincided with a price bounce to a local high of $66,956. So far, Bitcoin has been unable to clear the $67,292 level and invalidate the bearish near-term price structure.

Separately, earlier in July, reports said a crypto bill had passed in Japan that could open the door to spot Bitcoin ETFs listed on the Tokyo Stock Exchange. The bill would also reduce the crypto tax rate from around 55% at present to 20%.

The crypto bill has only cleared a committee in Japan’s Upper Parliament and is not yet law. It could potentially become law by 2027. Its progress is relevant because Japan remains one of the major regulated crypto markets, and any path toward listed spot Bitcoin ETFs would add another jurisdiction to the global discussion around exchange-traded crypto exposure.

Bitcoin ETF net flows have now reached a seven-day positive streak, a period of consistent inflows last seen in October 2025 before the market topped. Market conditions showed signs of recovery, but the available data remained insufficient to confirm a definitive market bottom.