The "Hedging Paradox" of the Crypto Market: Why Is It Falling Harder Than U.S. Stocks?

Despite Bitcoin often being dubbed as "digital gold," its performance in this conflict has been contrary to traditional safe-haven assets. The fundamental reason lies in the tearing of market logic:

A week before the leveraged bubble burst, open contracts for Bitcoin surged by 18%, with 25x high-leveraged longs forced to close their positions in panic, triggering a chain reaction.

Institutional funds withdrew from U.S. Bitcoin ETFs for six consecutive days, with a net outflow of $644 million, weakening market support.

In a liquidity crunch, Middle Eastern funds are urgently withdrawing through stablecoins, exacerbating selling pressure.