Bitcoin Endures Prolonged Outflows and Price Decline; Altcoins Face Selling Pressure Amid Broader Market Worries
Bitcoin Endures Prolonged Outflows and Price Decline; Altcoins Face Selling Pressure Amid Broader Market Worries
The cryptocurrency market is currently experiencing significant bearish sentiment, primarily driven by substantial outflows from Bitcoin (BTC) exchange-traded funds (ETFs). US-listed spot Bitcoin ETFs have recorded a staggering $4.4 billion in outflows over a 13-day period, contributing to a 21% drop in Bitcoin's price since mid-May. Major holders like MicroStrategy are facing paper losses topping $11 billion on their Bitcoin holdings, while the asset's price has touched critical 200-week trend lines, reminiscent of the 2022 bear market.
The selling pressure isn't confined to Bitcoin. Ethereum (ETH) has also experienced considerable institutional offloading, with FG Nexus alone liquidating $17.8 million in Ether and incurring over $100 million in realized and paper losses, indicating a broader move to cut exposure. Prominent market commentator Arthur Hayes announced he dumped his NEAR holdings, citing warnings of potential market peaks and liquidity drains from upcoming AI IPOs.
Alongside these market challenges, other industry developments include Coinbase launching pre-IPO markets for non-US users, starting with SpaceX, and news regarding tokenized real estate funds involving Goldman Sachs. A recent Polymarket contract concerning MicroStrategy's potential Bitcoin sale also generated user dispute over its 'no' resolution.
Strategy’s Bitcoin paper loss tops $11 billion as Saylor pointed to ETF outflows and AI infrastructure spending as factors pressuring BTC.
Apex Group is providing fund services for a tokenized real estate fund using Goldman Sachs’ GS DAP platform.
Arthur Hayes said he dumped his HYPE and NEAR holdings after warning markets may peak before September and AI IPOs could drain liquidity.
Coinbase launches pre-IPO markets starting with SpaceX, offering non-US users perpetual futures tied to private company valuations amid rising competition.
Bitcoin brought back the trend line that functioned as resistance in the 2022 bear market, with BTC price RSI approaching its lowest in six years.
FG Nexus offloads another 10,000 ETH, pushing realized and paper losses above $100 million as the Ethereum treasury firm continues cutting exposure.
A Polymarket contract on whether Strategy sold Bitcoin by May 31 resolved to no after traders disputed how the sale should count.
US-listed spot Bitcoin ETFs saw $397 million in outflows on Wednesday, extending a 13-day red streak to $4.4 billion as Bitcoin has fallen about 21% since May 15.