Crypto markets are pulling back after a strong Sunday

as digital asset investment products saw their third consecutive week of outflows, with Bitcoin taking the biggest hit—$2.6 billion in outflows.

Crypto markets are pulling back after a strong Sunday rally, with digital asset investment products also reporting their third straight week of outflows—Bitcoin (CRYPTO: BTC) saw the biggest outflows of $2.6 billion.

This week's outflows came after a week of strong inflows sparked by the U.S. Supreme Court ruling on Thursday to strike down President Joe Biden's student loan debt relief plan.

Here's a closer look at the latest digital asset investment flows:

What Happened: According to the latest digital asset investment flows data from NetFlows on Monday, crypto markets are pulling back after a Sunday rally, with digital asset investment products reporting their third consecutive week of outflows.

This week's outflows came after a week of strong inflows which were triggered by the U.S. Supreme Court ruling on Thursday to strike down President Biden's student loan debt relief plan.

The apex court's decision to reject the administration's attempt to introduce a new forgiving program for federal student loan borrowers had sparked hopes of a potential pivot by the administration towards pursuing alternative avenues to provide relief.

However, on Friday, the White House announced that Biden would be applying a narrow legal interpretation to block a separate attempt by a group of Republican-led states to sue the administration for forging ahead with the student loan forgiveness plan despite the apex court's ruling.

This move pushed back hopes of the administration pursuing another avenue to provide student debt relief.

Trader Notes:

Crypto trader Follis, on Monday morning, called out the "Sunday pump, Monday dump" as Bitcoin reversed its gains.

Related Link: US Supreme Court Strikes Down Biden's Student Loan Debt Relief Plan

On the other hand, crypto analyst Ali Martinez pointed out that the last two times Bitcoin formed a hammer candlestick on the weekly chart, it led to major price rallies.

CJ noted that Bitcoin rejecting at the yearly open isn't a great sign, with price re-entering last Wednesday's range. He predicts a move towards $83,000 and warns that for bulls, low $80Ks need to be defended as a higher low.

Meanwhile, Rekt Capital highlighted Bitcoin's downside deviation, filling the CME gap—potentially setting up a higher low relative to last week's low.

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