In the realm of Bitcoin investment across Asia, market volatility is becoming increasingly evident, driven in part by the actions of automated trading bots reacting to data stemming from spot Bitcoin exchange-traded funds (ETFs), as per insights shared by Bloomberg, citing industry executives.

Shiliang Tang, President of Arbelos Markets, underscores the pivotal role of these automated bots, noting their capacity to swiftly analyze data and execute trades based on the insights gathered. Tang emphasizes the automation's impact, stating that this mechanism appears to be a significant factor contributing to market fluctuations.

On April 2nd, during the Asian trading session, Bitcoin witnessed a notable downturn, coinciding with reports of investors withdrawing funds from ETFs. According to data from Coinglass, Bitcoin's value plummeted to $64,650 on that day, marking a significant 6% decrease within a single day. This plunge triggered heightened volatility across the broader crypto market. As of the latest update, Bitcoin is priced at $66,346, based on data from CoinGecko.

The approval of several spot Bitcoin ETF applications by the U.S. Securities and Exchange Commission (SEC) in early January sparked a surge of approximately $12 billion in net inflows. This influx peaked alongside Bitcoin's record high of $73,798 in mid-March. However, subsequent outflow periods have contributed to Bitcoin's current 11% decline from its peak.

Galaxy Digital CEO Michael Novogratz had previously hinted at the potential for corrections and market consolidation in early March, preceding Bitcoin's surge to new heights. Despite acknowledging the market's overheated state, Novogratz remains optimistic about the future, anticipating potential approval for spot Ethereum ETFs by the U.S. Securities and Exchange Commission later this year.