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Bitcoin Slides Toward $80,000 as ETF Outflows and Derivatives Strain Deepen

Heavy ETF redemptions plus options hedging are draining liquidity.

Overview

  • Bitcoin fell to the low‑$80,000s after briefly nearing $80,000, down more than 30% from October’s record and on pace for its worst month since 2022 as the total crypto market value dropped below $3 trillion.
  • U.S. spot Bitcoin ETFs logged one of their heaviest single‑day outflow totals near $900 million, with large withdrawals reported at BlackRock’s IBIT, erasing a key source of passive buy pressure.
  • Options positioning has turned into a technical accelerant, with dealers short gamma around $85,000 and flipping long near $80,000, a dynamic that can intensify declines before stabilizing flows emerge.
  • On‑chain and flow gauges show stress, including a 21‑day negative Coinbase premium that signals persistent U.S. spot selling and fear measures sinking to extreme readings.
  • Analysts call $80,000 a pivotal floor and warn a clean break could target the mid‑$70,000s, citing fragile liquidity after October’s $19 billion liquidation shock and ongoing forced unwinds.