Everyone who bought Bitcoin through ETFs is now underwater.
Bitfinex ran the numbers on Monday: the average cost basis for Bitcoin ETF holders is $84,358.
The current price is $81,844, leaving everyone in the red.
BTC ETFs saw net outflows of $228.4 million last week (Coinglass), marking a second consecutive week of outflows.
BTC briefly rose above $83,000 early Monday, then closed up 1.2% at $81,844.
The danger is leverage: long positions keep piling up. Bitfinex warns that if a cascade of liquidations is triggered, the next stop could be below $80,000.
Falling Treasury yields and oil prices should have been tailwinds, but BTC can’t even hold above $83,000—there’s a real lack of buying pressure.
I think $84,358 overhead is a wall: holders who are underwater will want to sell and break even on every bounce. If $80,000 breaks again, leveraged liquidations could make the drop even uglier. I’m not chasing or trying to catch a falling knife. Invalidation: if BTC breaks above $84,358 on strong volume and weekly ETF flows turn positive, this post is void.
Can $80,000 hold this week?
$BTC $ETH $MSTR #Bitcoin #ETF
This is not investment advice. DYOR; trading involves risk.