Bitcoin ETFs hemorrhaging $3.4 billion — fade the selling pressure
Investors have pulled $3.4 billion out of Bitcoin ETFs over 11 straight days — the longest and largest withdrawal streak ever. At the same time, one of Bitcoin's biggest corporate holders just sold coins for the first time, and the collapsed exchange Mt. Gox moved $739 million of Bitcoin, signaling payouts to creditors may be coming soon.
Idea
Three red flags are stacking up for Bitcoin at once. First, institutional money is fleeing — $3.4 billion has been yanked from Bitcoin ETFs over 11 consecutive days, the worst streak on record. Second, Strategy (formerly MicroStrategy), long considered the ultimate Bitcoin bull, just sold Bitcoin publicly for the first time ever. Third, Mt. Gox moved $739 million out of cold storage, which historically signals that tens of thousands of creditors are about to receive coins they've been waiting years to sell. When supply overhang meets institutional selling meets waning demand, the path of least resistance is down. Bitcoin has already slipped below $71,000 and the pressure isn't letting up.