Bitcoin Falls Below $99,000 Amid 6% Drop and ETF Outflows
Bitcoin experienced a sharp decline, dropping below $99,000 before rebounding to around $101,700. This marked a 6% decrease, the lowest since June.
- The drop aligns with a broader trend of US equities rising, yet Bitcoin lagging behind other risk assets in 2025.
- ETF data indicates net outflows from US spot Bitcoin funds, totaling approximately $1.3–$1.4 billion over four days, led by BlackRock's IBIT.
Reasons for Bitcoin's Price Decline
- Joe Consorti views the selloff as a structural handoff of supply, not a loss of conviction.
- Consorti links this to Jordi Visser's "silent IPO" framework, suggesting an orderly distribution of early-era holders through ETFs and institutional channels.
- On-chain data shows movement from Satoshi-era wallets and miner addresses, indicating redistribution.
Technically, Consorti describes the drop as part of a "digestion" process, with Bitcoin at its most oversold level since April. He warns that staying below $100,000 could indicate ongoing distribution and a potential shift to a bear market.
- The Federal Reserve's recent rate cut affects the macro environment, with potential impacts on Bitcoin due to its correlation with risk-asset drawdowns.
- ETFs provide liquidity but also introduce volatility due to faster-moving redemptions.
Consorti emphasizes patience, noting that once the ownership transfer is complete, it could lead to a new upward leg as only long-term holders remain.
The future trajectory depends on price stability above $100,000, ETF flow stabilization, and the Fed's influence on risk appetite. Currently, BTC trades at $101,865.
