Rumors drive liquidity by boosting trading activity, but heavy institutional ETF inflows can lock up Bitcoin supply, reducing active circulation. This creates upward price pressure but may strain spot market liquidity. Investors might adopt a "buy the rumor, sell the news" strategy, entering early to ride the rally and exiting post-approval to avoid volatility. Others may use on-chain analysis to monitor long-term holder behavior, accumulating during pullbacks to align with institutional trends.