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Bitcoin bleeding $3.4 billion as AI stocks steal the show — fade the crypto breakdown

Bitcoin has fallen below $69,000 to its lowest level in two months. Investors have pulled a record $3.4 billion out of Bitcoin funds over 11 straight days, and the collapsed exchange Mt. Gox just moved $739 million worth of Bitcoin that could soon hit the market.

Idea

The selling pressure in Bitcoin is coming from multiple directions at once. Institutional investors have pulled $3.4 billion from Bitcoin ETFs over 11 consecutive days — the longest and largest redemption streak since these funds launched. That money is rotating into the red-hot AI stock rally instead. Meanwhile, Mt. Gox moved $739 million in Bitcoin from cold storage for the first time since March, which historically signals upcoming creditor payouts that add even more supply to the market. On top of all that, a Fed official just warned that rates may need to rise to fight stubborn inflation, which tends to hurt risk assets like crypto. When the biggest holders are heading for the exits in record numbers and more supply may be coming, the path of least resistance is down.

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BTCH4#crypto#bearish#macro

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