How can observing ETF inflow and outflow figures help beginners understand shifts in institutional demand for Bitcoin?
Why is this the correct answer?
This is correct because ETF flow data directly tracks the amount of Bitcoin entering or leaving exchange-traded products. When inflows rise, it shows institutions are buying, boosting demand and confidence. Outflows suggest profit-taking or reduced appetite, signaling caution. Beginners can use these figures as a reliable proxy for large-scale professional activity, helping to anticipate market moves driven by deep-pocketed players rather than small retail trades.
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