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Bitcoin under pressure as ETF flows taper
Bitcoin's drop below $90,000 has rattled the market narrative that strong institutional demand would keep the rally intact. A mix of heavy futures liquidations, significant spot ETF outflows and reduced expectations for corporate accumulation has put downward pressure on BTC, forcing traders and institutions to reassess positions.
The market's mood has turned defensive: excessive leverage and swift profit-taking by large holders amplified the sell-off, while weaker ETF demand removed a key source of fresh capital that supported the price earlier in the year.
The crypto fear and greed index on November 20
Forced liquidations and leverage expose vulnerabilities
Analysts highlight roughly $800 million in forced Bitcoin liquidations as evidence that too much leverage remains entrenched in crypto derivatives. When leveraged positions unwind rapidly, they can trigger cascades of margin calls and stop-losses that intensify volatility and deepen price drops.
Expert view: crypto reacts more violently
Jamie Elkaleh, Chief Marketing Officer at Bitget Wallet, notes that while equities are supported by diversified earnings and macro anchors, crypto markets tend to reflect stress more quickly and visibly. In this environment, leverage magnifies downside moves and creates abrupt dislocations for traders relying on margin.
ETF outflows: a key barometer for BTC demand
Analytics from Bitcoin yield protocol TeraHash point to recent ETF data as central to understanding Bitcoin’s trajectory. A record $523 million outflow from BlackRock’s spot Bitcoin ETF signals cooling appetite among institutional allocators. During the peak inflow period in late Q2, spot ETFs were pulling in $600–$700 million daily, fueling BTC’s surge above $115,000 and an eventual all-time high past $126,000.
With ETF inflows now reduced, the immediate bid that lifted prices has diminished, and the market is recalibrating from an overheated first half of the year.
What to expect next for BTC
Most market watchers expect Bitcoin to find a new trading band rather than collapse structurally. Given current dynamics — lower ETF demand, whale profit-taking and high leverage levels — BTC is likely to consolidate in the $89,000–$95,000 range in the near term. Traders should monitor ETF flows, futures funding rates and on-chain whale activity for signs of stabilization or renewed buying pressure.
Source: crypto
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