ETF flows are lagging sentiment indicators
Spot Bitcoin ETF inflows and outflows should be viewed as backward-looking records of price action rather than forward-looking predictive signals.
The argument
Haseeb argued that analyzing ETF outflows during a market downturn simply memorializes the selling that has already occurred, rather than explaining why the selling started or predicting where the price will go next.
Hear it yourself
"The second option, of course, is dilute the stock. Right? So just go do some ATMs, sell some more stock, dilute the common shareholders so that you can pay the dividend. Right? Now in each of those cases, somebody gets screwed. Either the common shareholders get screwed or the the preferred shareholders get screwed. But one way or another, one of them has to lose because the third category of Bitcoin gets screwed does not work. Mhmm. That does not work. You cannot sell Bitcoin. If you are selling Bitcoin, the whole system breaks. So I think that's the lesson he's learned, and he's ultimately going to have to choose one of two bad options."
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