What is the significance of institutional inflows such as the 2.72 billion in US Bitcoin spot ETFs on market stability?
Why is this the correct answer?
This is correct because institutional inflows into U.S. Bitcoin spot ETFs mean large amounts of capital enter the market. When prices dip, these inflows help to stabilize the market by providing a cushion of demand. In practical terms, this buying power can mitigate rapid price swings, lower volatility, and restore confidence among retail and professional traders. For beginners, it highlights how institutional participants can act as stabilizers during turbulent market periods.
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