In the past 24 hours, the crypto market has experienced sharp changes marked by significant liquidations, while Bitcoin ETFs continue to show inflows of BTC.
Liquidations in the Crypto Market
Against the backdrop of significant price fluctuations in cryptocurrencies, the market recorded nearly 200,000 liquidations of traders, totaling losses of $567.99 million. A large number of long positions resulted in a loss of $370.27 million, while shorts lost $197.84 million. Particularly notable was Bitcoin's sharp drop from $88,500 to below $81,000 following tariff announcements from the U.S. government.
Inflows to Bitcoin ETFs
While many traders were losing funds, Bitcoin ETFs reported a net inflow of 1,941 BTC, equivalent to approximately $159.76 million. Leading the inflows was the ARK 21Shares Bitcoin ETF, which attracted 1,500 BTC, increasing its total holding to 47,974 BTC valued at $3.95 billion. The Fidelity Wise Origin Bitcoin Fund saw an inflow of 1,375 BTC, while the Bitwise Bitcoin ETF added 386 BTC. Meanwhile, BlackRock's iShares Bitcoin Trust faced a net outflow of 1,341 BTC.
Observed Trends and Conclusions
It is noteworthy that ETF inflows and outflows often reflect past events, meaning the current figures may not fully account for the chaos that occurred in real time. This could imply that Bitcoin ETF investors are opting for long-term strategies despite the ongoing market instability, or it could signify early signs of a shift in how institutional and retail investors respond to market volatility.
Thus, while the market experiences significant fluctuations and losses, Bitcoin ETFs showcase growing interest from investors. This highlights possible changes in their investment approaches amid uncertainty.
