True Correction Underway? Over $500 Million Exits Bitcoin ETFs — Coinshares

Share This Post

Recent data from CoinShares points to a significant shift in investor sentiment regarding Bitcoin, marked by a substantial $544.1 million net outflow from US spot Bitcoin ETFs in the last week.

According to James Butterfill, a leading analyst at CoinShares, this significant amount of outflow highlights a “true correction is underway” as this trend extends beyond a single week, with a total of over $1.1 billion flowing out in the past two weeks alone.

Global Outflows Amidst Economic Uncertainty

James Butterfill attributes this withdrawal to a lack of confidence among investors regarding anticipated interest rate cuts. Commenting on the consistent outflows, Butterfill noted:

We believe this is in reaction to the pessimism amongst investors for the prospect interest rate cuts by the FED this year.

Notably, the US was not alone in experiencing these outflows; significant sums were also withdrawn from funds based in Canada, Germany, and Hong Kong. Contrarily, funds based in Brazil and Switzerland witnessed net inflows, indicating a varied global response to the current economic climate.

Crypto asst flows by country

While Bitcoin faced the brunt of the withdrawals, Ethereum also saw notable outflows, with $58 million leaving Ethereum-based investment products globally. This occurred despite the anticipation surrounding new issuers’ S-1 registration filings with the SEC, hinting at potential launches.

However, not all cryptocurrencies suffer from these conditions. Altcoins such as Solana, Litecoin, and Polygon experienced net inflows, suggesting that some investors are viewing the current market weaknesses as potential buying opportunities, according to Butterfill.

Crypto asset flows

Bitcoin Market Turbulence and Optimistic Forecasts

Amidst these financial shifts, the broader crypto market has felt the impact, with Bitcoin’s price falling by 4.7% in the past 24 hours and 6.6% over the past week, currently trading at around $61,186. This downturn has had a cascading effect on traders, with significant liquidations occurring in the market.

Bitcoin (BTC) price chart on TradingView.com

According to Coinglass, 91,772 traders were liquidated in the past 24 hours, with total liquidations amounting to $308.97 million. Of this, Bitcoin traders alone faced $123.35 million in losses.

Bitcoin liquidation

Amid market volatility, Jack Mallers, CEO of Strike, a global Bitcoin application, maintains a bullish outlook on Bitcoin’s future.

In discussion with analyst Scott Melker, Mallers expressed confidence that despite current price fluctuations, Bitcoin could reach between $250,000 and $1 million in the coming cycle.

He attributes this potential growth to the ongoing dollar depreciation and sees Bitcoin as a robust hedge against currency debasement.

Featured image created with DALL-E, Chart from TradingView

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Dogecoin Recovery In Sight? Key Metrics Predict A Strong Bounce

After months of struggle in gathering momentum, Dogecoin (DOGE) might be about to undergo a dramatic price reversal Monitoring the movements of the meme coin, analysts believe it has hit a turning

Republican Thomas Massie Embraces Bitcoin Amid Trump Feud Over Fiscal Clashes

US Representative Thomas Massie, a Republican hailing from Kentucky, has recently disclosed that he received more than $261,000 in contributions to his campaign This week, the staunch advocate for

US Congressman To Introduce New Crypto Bill Protecting Trump’s Strategic Bitcoin Reserve

Recent reports revealed that another member of the US House of Representatives will introduce a new bill on March 14 to codify US President Donald Trump’s executive order for a Strategic Bitcoin

North Korea’s Lazarus Group Moves 400 ETH to Tornado Cash Following $1.5B Bybit Hack

North Korea-linked Lazarus Group transferred 400 ETH (worth $750,000) to Tornado Cash on March 12, 2025, likely laundering proceeds from the record $15 billion Bybit hack, blockchain researchers

Bitcoin Boost: Cathie Wood’s Ark Invest Drops $80 Million On BTC—Bullish Signal?

According to reports, Ark Invest has added 997 Bitcoin (BTC) to its holdings in two separate transactions The asset management firm, led by Cathie Wood, made the purchases on March 13, 2025, through

Hayden Davis Faces Interpol Alert For Role In LIBRA Memecoin

An Argentine prosecutor has requested a judge to issue an Interpol “Red Notice” for Hayden Davis, an American citizen allegedly involved in the launch of the controversial LIBRA memecoin that has