Bitcoin’s recent performance has been marked by significant fluctuations amid major market events, particularly the initial public offering (IPO) of Elon Musk’s SpaceX. As a consequence of these developments, Bitcoin’s price has experienced a dramatic decline, sinking to 2026 lows just below $60,000 per bitcoin. This represents a staggering drop of nearly 50% from its previous October peak of $126,000, coinciding with concerns raised by BlackRock regarding a potential “bloodbath” in the market.
As the volatility continues, crypto traders are focusing on a singular hope that could offer a lifeline for Bitcoin: an uptick in inflows to BlackRock’s exchange-traded fund (ETF) could signal the end of this downward trend. In recent reports, Standard Chartered’s global head of crypto research, Geoffrey Kendrick, has suggested that the combination of falling oil prices, renewed buying activity from notable Bitcoin advocate Michael Saylor, and a positive day of ETF inflows could catalyze a recovery in Bitcoin’s price.
Kendrick expressed optimism in an emailed note, asserting, “I think we have now seen the low in crypto asset prices for the cycle.” He highlighted that Bitcoin’s recent low of $59,000 marked a crucial point, noting that this was a 53% decline from the asset’s all-time high.
On Friday, the shift in Bitcoin’s fortunes was underlined by a significant event: U.S. spot Bitcoin ETFs saw nearly $86 million in net inflows, which is roughly equivalent to about 1,350 Bitcoin, according to SoSo Value data. Notably, BlackRock’s fund contributed nearly $58 million of this total. This marked a reversal from a long trend of outflows, which had seen U.S. spot Bitcoin ETFs incurring net outflows of $7.6 billion since October of the previous year, with $3 billion of that occurring in the first half of 2026.
Kendrick also hinted that the conclusion of the SpaceX IPO may have contributed to the end of ETF selling, suggesting that many Bitcoin ETF holders had liquidated positions to free up cash for the IPO, marking one of the sharpest periods of ETF selling since the inception of these funds.
Adding to the broader market factors influencing Bitcoin prices is the recent drop in oil prices, fueled by statements from Iran’s foreign minister indicating that a potential deal with the U.S. to end the ongoing conflict is near, potentially reopening the crucial Strait of Hormuz oil shipping lane.
In the coming days, all eyes will be on whether Michael Saylor’s entrepreneurial strategy, given his position as the world’s largest corporate holder of Bitcoin with over 800,000 coins, will lead to further purchases, especially following a recent sale in late May. Saylor’s renewed buying activity in early June sparked some optimism among traders, suggesting that the worst might be over.
Notably, industry experts like CK Zheng, formerly of Credit Suisse, have compared the current market environment to past downturns, highlighting the relatively shallower drawdown this time. He noted that the market has corrected around 50% from its peak, contrasting this with the much steeper 78% decline experienced four years ago. The current landscape demonstrates a more mature asset class, bolstered by institutional frameworks and regulatory advancements that have spurred the adoption of crypto ETFs, along with corporate backstops that act as marginal buyers in turbulent market conditions.
The interplay of these factors could be crucial for determining Bitcoin’s trajectory in the weeks to come, as traders remain cautiously optimistic about the potential for recovery.
