Bitcoin fell to a four-week low, dipping just below $110,000, as the cryptocurrency market shed $200 billion in market value.
Investors pulled $253 million from U.S. spot Bitcoin ETFs on Thursday, raising total weekly outflows to nearly $480 million.
The heavy withdrawals coincided with Bitcoin slipping below key support levels on Friday, intensifying bearish sentiment.
The Crypto Fear and Greed Index decreased by 16 points from the day before, entering Extreme Fear territory at 29. This indicates that the market has formally entered a state of fear.
According to CoinGlass data, the index last entered Extreme Fear territory in April 2025 and mid-February 2025, shortly after President Donald Trump’s “Liberation Day” blanket tariffs rocked the cryptocurrency market.
Bitcoin has dropped 2.1 per cent, below the $110,000 mark. If it can break through the 30-day moving average at $109,526, BTC may be able to retest the $109,700 to $109,800 range as soon as possible.
The cryptocurrency market valuation sank to $3.8 trillion, with mass liquidations beginning earlier this week when the market dropped below $4 trillion due to several long positions being liquidated.
Hot macro data has crushed hopes for a rate cut, and traders are reevaluating risk, which has put huge pressure on the cryptocurrency market. Bitcoin has fallen below $110,000 ahead of a $22 billion monthly options expiry amid rising volatility and $1 billion long positions liquidated. Ethereum’s decline also accelerated, plunging below $4,000 support level.
In addition, Solana dropped below $200 support line as ETF speculation slows down, and XRP has plummeted, pulling down stocks linked to cryptocurrencies. XRP is trading at $2.76, down 4% in the last day and 9% in the week. Solana is down 6 per cent at $195 over the past day and 20.24 per cent over the week.
There were withdrawals from each of its competitors’ ETFs: Fidelity, Bitwise, ARK 21Shares, Franklin, VanEck, and Grayscale. However, BlackRock’s IBIT was the only fund to see an inflow with $78 million coming into the product yesterday.
According to ETF specialist Eric Balchunas, “this is a covered call Bitcoin strategy to give BTC some yield.”
He added that BlackRock is likely to build around BTC and ETH and lay off the rest, at least for the time being.
