Bitcoin Slips Below $110K as ETF Outflows Intensify
Bitcoin’s price dipped below $110,000 on October 17, hitting $108,420. This marks a 2.4% drop in the past 24 hours. the cryptocurrency has lost 10% in a week and 7% in a month, now 14% below its all-time high of $126,080.
Trading activity surged during this decline. Bitcoin’s 24-hour trading volume rose 25% to $83.1 billion. Futures trading volume increased 40% to $127.6 billion, but open interest remained flat at $72.8 billion. This indicates cautious trading as investors adjust positions.
Spot Bitcoin ETFs saw significant outflows. On October 16, U.S. spot Bitcoin ETFs lost $536.4 million. ARK Invest’s ARKB led with $275 million in redemptions, followed by Fidelity’s FBTC with $132 million. Grayscale’s GBTC, BlackRock’s IBIT, and Bitwise’s BITB also saw losses. These outflows suggest institutions are reducing exposure or locking in profits.
Bitcoin’s short-term technical outlook is weak. The relative strength index at 37 suggests neutral-to-weak momentum. Major moving averages, from the 200-day SMA ($107,535) to the 10-day EMA ($112,885), show sell signals. If the $108,000-$109,000 support breaks, bitcoin could dip towards $104,000. Though, if it holds, a rise to $113,000-$115,000 is absolutely possible.
Analysts like Arthur Hayes predict a move close to $100,000 if selling continues. Others believe steady demand from long-term holders and ETFs will stabilize the price.
