Bitcoin Stabilizes Amid ETF Outflows and Election Risk

| odaily.news
Bitcoin steadied near $76,900 after dipping to $76,300, but persistent ETF outflows and election uncertainty kept pressure on the market. US spot Bitcoin ETFs recorded $399 million in net outflows for a second consecutive day. BlackRock’s IBIT saw $405 million in outflows on Monday, its largest single-day withdrawal since June. The flows suggest investors remain cautious despite Bitcoin’s modest recovery. Since Binance resumed withdrawals on Sunday, users have withdrawn a net $4.72 billion, up from an earlier reported $3.64 billion. Crypto futures volume rose 51% to $168.1 billion, while open interest fell 1.63% to $134.9 billion, pointing to busier trading but limited growth in directional positions. Liquidations climbed 171% to $382.6 million, and market orders leaned toward selling. Options markets also signalled greater near-term risk. Implied volatility rose to about 51% for Bitcoin options and 59% for Ether options, while short-dated contracts showed increased demand for downside protection. For traders, Bitcoin’s rebound has not yet confirmed a stronger trend: ETF outflows, exchange withdrawals and defensive positioning point to continued caution and potentially sharp price swings around the US midterm elections.
Bearish
The near-term signals are bearish for Bitcoin, although the price has steadied after dipping to $76,300. Persistent spot ETF outflows—including IBIT’s largest daily outflow since June—suggest reduced institutional demand. Large net withdrawals from Binance, elevated liquidations and market orders leaning toward selling add to the risk of further short-term pressure. Rising implied volatility and demand for downside protection also indicate traders are preparing for larger moves rather than confidently positioning for a sustained recovery. The outlook is not one-way. Higher futures volume alongside lower open interest can reflect increased turnover without a substantial build-up of directional bets, and Bitcoin’s stabilization near $76,900 may limit immediate downside if selling eases. Over the longer term, these indicators alone do not establish a lasting trend; a reversal in ETF flows or a sustained improvement in demand could change the picture. For now, however, election uncertainty and defensive positioning leave Bitcoin vulnerable to volatility and make the modest rebound an insufficient bullish signal.