Bitcoin is going through an unstable period. Between spectacular flights and dizzying falls, the crypto queen shapes the state of mind of investors with rare brutality. In recent days, the market has experienced an intense sequence marked by massive sales on Bitcoin ETF in cash and increasing pressure on term contracts. The phenomenon is not trivial. It illustrates a lasting climate of doubt, where the extreme volatility of the BTC pushes some to throw in the towel while others seek opportunities.
The Bitcoin ETF and massive liquidation: a lowering signal?
Capital outlets on cash -inchoin ETF have reached critical levels, crystallizing the concern of investors. According to the latest data, more than $ 3.4 billion was removed from the ETF in February, with a peak at 1.13 billion for the day alone on February 25. This figure has been a record since the launch of these financial products and illustrates an increasing distrust of bitcoin in a context of high volatility.
This pressure was also felt on the term contract market, where many long positions were liquidated in a few days. Between February 24 and 27, The BTC plunged 12.48 %and currently tests the $ 82,000 area, without being able to regain clear support. This phenomenon of forced liquidation has amplified the lower movement and forced investors over -indebted to settle their positions in emergency. Faced with this collapse, some analysts believe that confidence in the capacity of Bitcoin to maintain its recent price levels is growing rapidly.
A breathless market or a hollow before the rebound?
If the capitulation of the traders is undeniable, other elements suggest that this storm could hide opportunities. An indicator particularly draws attention: the correlation between the flows of ETFs and the evolution of the price of the BTC. Analyst Adam underlines In a publication on the social network X (ex Twitter) on February 26, 2025 only on 14 events of massive withdrawals in the Bitcoin ETF, the price of the BTC only followed the lower trend once. In other words, the current hemorrhage could be a temporary signal rather than a final break.
The other factor to monitor: the Crypto Fear & Greed Index, which has dropped to a level of 10, a score that characterizes an “extreme fear” on the market. Historically, such conditions have often marked a privileged point of entry for investors looking for trend reversals. However, the uncertainties remain numerous, especially on the trajectory of monetary policies and the behavior of institutional investors in the face of this correction. One thing is certain: Bitcoin continues to evolve in an area of turbulence where each movement can redefine the trend.
Consequently, the current market situation could switch to two directions: a progressive rebound is set up, fueled by an influx of opportunistic capital that seeks to buy. Either the selling pressure extends, and more widens the current correction. The next few days will be decisive to determine if Bitcoin is really touching a floor or a new wave of liquidation is looming on the horizon.
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