Bitcoin prices remained under pressure on Thursday as the US spot Bitcoin ETF recorded net outflows for the fifth day in a row.
summary
- Bitcoin ETFs have recorded over $825 million in outflows over the past five trading days.
- Investors remain wary of Deribit’s main BTC option expiration scheduled for Friday.
- A bearish flag pattern was observed on the daily chart.
Twelve Spot Bitcoin ETFs recorded net outflows of $175.29 million on Christmas Eve, December 24, according to SoSoValue data. BlackRock’s IBIT led the outflows, with $91.37 million leaving the fund.
Grayscale’s GBTC and Fidelity’s FBTC followed with smaller outflows of $24.6 million and $17.1 million, respectively. A total of $42.1 million was outflowed from the remaining ETFs. It is worth noting that none of the BTC ETFs had any successful inflows on this day.
Wednesday’s withdrawal widens the outflow trend for the fifth straight business day, during which more than $825 million has left the fund. Outflows have reached nearly $804.33 million so far this month, and could exceed $1 billion if institutional demand continues to decline.
However, at the time of writing, December’s numbers still pale in comparison to the $3.5 billion in outflows recorded in November.
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Market analysts believe that the weakness in ETFs is likely related to the Christmas season and will most likely improve once the holidays are over.
Investors may also be cautious about the expiry of approximately $23.6 billion in Bitcoin contracts on Deribit tomorrow, December 26th. This would be one of the largest expirations in exchange history.
Meanwhile, popular analyst Ted Pillows emphasized that the US is currently the biggest seller of Bitcoin, in stark contrast to the Asian market, which continues to buy the world’s leading cryptocurrency.
“Most of the selling is due to tax loss harvesting, which means it will be over within a week,” fellow market expert Alec Carter wrote in a separate post on X.
Bitcoin (BTC) price recently fell to $87,152 from Tuesday’s local high of $90,168 and has since remained flat between $86,000 and $88,000. At the time of writing, it was trading at $87,750, still nearly 30.4% below its all-time high reached in October.
Bitcoin price forms a bearish setup on daily chart — December 25 | Source: crypto.news
From a technical perspective, Bitcoin continues to trade below its 50-day SMA, suggesting short-term momentum is bearish. This outlook is reinforced by the MACD, which remains anchored below the signal line, indicating that buying pressure is waning.
In addition to that, Bitcoin is nearing a breakdown from the bearish flag pattern on the daily chart. This technical formation typically precedes a period of sustained downside in the short term.
For now, traders are focused on the $85,200 level, which has served as a strong demand zone throughout this month. A break below this level could result in a fall towards the November 21 low of $80,757.
read more: Spot SUI ETF bit files increase as competition among institutional investors intensifies
Disclosure: This article does not represent investment advice. The content and materials published on this page are for educational purposes only.
