Bitcoin price has struggled to break above $100,000, making it one of its weakest points in recent months. BTC exchange-traded funds (ETFs) were once considered a bullish catalyst, but now appear to be amplifying market pressures.
Recent data shows that ETF outflows are accelerating Bitcoin’s decline, shaking investor confidence and pointing to a potential bearish phase ahead.
Bitcoin may struggle to maintain investor belief
The Spot Bitcoin ETF reported one of the steepest weekly outflows since its launch. Over the past seven days, approximately $2 billion worth of Bitcoin has left these funds. The surge in withdrawals highlights how broader macroeconomic uncertainty is weighing on financial institutions’ sentiment, especially amid weakening risk appetite and rising U.S. Treasury yields.
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Continued outflows suggest investors are choosing to avoid risk rather than accumulate exposure. If this pattern continues, liquidity pressures on the seller side may accelerate and the downward momentum may intensify.
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According to on-chain metrics, Bitcoin’s profit supply has fallen to about 71% at the $100,000 level. This puts the market near the lower end of the 70% to 90% equilibrium range typically seen during mid-cycle economic slowdowns. At this stage, markets often correct before recovering, but the risk of further decline remains high unless new demand emerges.
If a large portion of supply turns into a loss, capitulation becomes more likely. This could turn the current correction into a deeper bearish phase, similar to previous market cycles. For a sustainable recovery, Bitcoin will need to attract new inflows and maintain healthy exchange balance levels in the coming weeks.
BTC price is fighting a crash
At the time of writing, Bitcoin is trading at $101,274, hovering just above the psychological support level of $100,000. A break below this level could cause panic among retail traders.
If ETF outflows and bearish behavior continue, Bitcoin could fall below $100,000 and test the $98,000 support. This decline could widen further and the crypto tycoon could head below $95,000.
However, if the low price attracts new capital inflows, BTC could rebound towards $105,000 and aim for $110,000. A return to this resistance level would indicate renewed strength in the market and invalidate the prevailing bearish outlook.
