Bitcoin (BTC) experienced a 1.3% decline, dipping below $110,000, but recorded strong ETF inflows of $633.3 million over two consecutive days—the best performance since early August. According to CryptoQuant analyst JA_Maartun, long-term Bitcoin holders are moving their coins into ETFs in an unusual redistribution pattern, with Bitcoin shifting from old wallets to ETF-managed addresses. This has occurred three times in recent cycles: summer 2024, fall 2024, and summer 2025, whereas historically, it happened only once per cycle.
Market sentiment remains cautious, with 65% of users on prediction market Myriad expecting Bitcoin to fall to $105,000 before reaching $125,000. A Binance Australia poll of 1,900 investors showed only 25% believe BTC will top $150,000 in six months, while half expect it to stay between $100,000 and $150,000. However, half of those polled intend to increase their Bitcoin holdings.
Institutional interest is evident, though a reported $300 million Bitcoin ETF purchase on September 3 remains unverified by primary sources like BlackRock or Fidelity. BlackRock's Bitcoin ETF alone holds over $83 billion in assets under management. Meanwhile, companies like Japan's Metaplanet continue accumulating BTC, with its treasury now at 20,000 Bitcoin worth approximately $2.2 billion, despite a 60% stock drop since mid-June.
Analysts highlight that ETF flows could be decisive for avoiding a Red September—a month where Bitcoin has ended lower 8 out of the past 12 years, though the past three Septembers were green. Gadi Chait of Xapo Bank noted the Federal Reserve's September 16-17 meeting could be a catalyst, with a potential rate cut easing liquidity and boosting Bitcoin by 5-10%.
