Honestly, crypto prices are bouncing today, but what worries me more is that money is still flowing out.
Spot Bitcoin ETFs saw net outflows of around $116 million yesterday, marking three straight days of outflows. BlackRock’s IBIT alone shed around $95 million. Spot Ethereum ETFs fared even worse, with another $85.3 million in outflows yesterday, their seventh straight day.
What about the total stablecoin market cap? It’s around $295 billion today, nearly $1 billion lower than yesterday. It’s been grinding down from $303 billion in late October to where it is now, and it hasn’t climbed back above $300 billion once. Prices can rise, but fresh money from outside the market hasn’t followed through—this looks more like short covering pushing prices up than a trend coming back.
Do you think they’ll close their positions first and then push the price up, or will institutions start buying back in over the next couple of days?
This is only my personal opinion and does not constitute investment advice. Markets involve risk.