How did ETF inflows of 3.5 billion dollars and later outflows of 756 million dollars influence bitcoin’s price stabilization?
Why is this the correct answer?
This is correct because the initial $3.5 billion of new money flowing into Bitcoin ETFs signaled strong institutional demand, which helped lift and stabilize prices. Later, $756 million of outflows acted like a pressure release, preventing overheated buying and reducing extreme swings. For beginners, ETF inflows add buying pressure, and outflows can dampen volatility, together helping prices settle around new levels.
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