Spot Bitcoin (BTC) Exchange-Traded Funds (ETFs) have shown strength amid the 
crypto market’s correction and the flagship crypto’s latest performance. Some 
experts have praised investors’ resilience, suggesting that the “real story” 
is not in the recent outflows. Related Reading: Ethereum’s Fate Hangs On This 
Multi-Year Support – Recovery Or Deeper Pullback Next? ETFs Investors Hold 
Strong Despite Market Downturn On Thursday, Nate Geraci, co-founder of the ETF 
Institute, affirmed that Bitcoin ETF investors have “largely displayed diamond 
hands” during the recent crypto market downturn. The flagship crypto has seen 
a 48.2% correction from its October 6, 2025, all-time high (ATH), recording 
five consecutive months of strong bleeding after the October 10 market crash. 
Since then, spot BTC ETFs have seen about $6.5 billion in outflows, the expert 
observed, which he considers a “drop in the bucket” compared to the $55 
billion in cumulative total net inflows that the category has seen since 
launching in January 2024. It’s worth noting that crypto-based investment 
products have seen five weeks of outflows this year, with Bitcoin having the 
weakest sentiment among major assets amid the negative market sentiment of the 
past month. According to SoSoValue data, BTC funds have recorded $3.81 billion 
in net outflows since January 23, starting the week with $203.82 million in 
outflows on Monday. However, Geraci highlighted potential renewed demand for 
the investment products as the category sees a three-day streak of consistent 
inflows. Notably, Bitcoin ETFs have seen over $1 billion in inflows over the 
past three days, setting the stage for their potential biggest week since mid- 
January. The ETF expert emphasized that 50% drawdowns “are a walk in the park 
for long-time BTC investors,” but observed that newer ETF investors also 
appear unfazed by the current market conditions. “Not first time btc has 
experienced 50% decline &amp; likely won’t be the last. ETF investors clearly 
aren’t panicking, though. Apparently buying the dip,” he wrote on X. Bitcoin 
ETFs Strength Is The ‘Real Story’ Bloomberg Intelligence Senior ETF Analyst 
Eric Balchunas backed Geraci’s comment, praising the remarkable performance of 
spot Bitcoin ETFs over the past two years. “As an ETF watcher, you know just 
how absurd this strength amid a 50% drawdown,” Balchunas stated. “This is the 
real story, vs focusing on the $6b that came out, which most stories do.” 
“Further, the narrative that crypto is &#8216;paying the price&#8217; for getting 
financialized is absurd. $55b in net new cash in two years is the opposite of 
paying the price,” he added on X. In a recent interview, the senior analyst 
observed that the amount of Bitcoin held by ETFs is only down around 6% 
despite the market pullback. He noted that these types of corrections happen 
to every asset, including bonds and stocks, before recovering. Stocks have the 
same thing. Every time stocks go down, I remind myself and then other people 
that stocks have a 100% perfect record of coming back to hit all-time highs 
from a downturn. So, why would I worry that much, right? Related Reading: XRP 
Rally Incoming? Analyst Forecasts March-April Recovery If This Level Breaks 
Balchunas affirmed that these assets can have “really horrible streaks, but 
then when they come back around, the flows come back.” He concluded that the 
price volatility and the negative market sentiment are “the cost of the holy 
grail returns that most people have gotten.” Featured Image from Unsplash.com, 
Chart from TradingView.com

Bitcoin ETF Investors Show Diamond Hands: Only $6.5B In Outflows Since October 10

Bitcoin’s bullish setup is strengthening as wallets holding 100 BTC or more 
approach record levels, according to Santiment, which says this trend can be 
considered a bullish sign when it rises during or after price declines. 
Bitcoin Flashes Possible Bullish Sign as Large Holders Climb Toward 20,000 
Threshold Crypto analytics platform Santiment shared on social […]

Bullish Sign? Bitcoin Nears Milestone as 100+ BTC Wallets Approach 20K

Bitcoin has reclaimed the $66,000 level and is now attempting to consolidate 
above it in order to extend its recovery. The move has improved short-term 
momentum, but structural signals suggest that upside conviction remains 
fragile. Holding above $66K is technically important, yet the broader supply 
backdrop may limit the sustainability of further gains. Related Reading: 
Engine Stalled: How The $8 Billion ‘October Shock’ Left Bitcoin’s Spot Market 
In A Liquidity Trap According to analyst Axel Adler, cumulative exchange 
netflows remain a critical constraint. As long as netflows stay positive — 
meaning more Bitcoin is moving onto exchanges than leaving them — the 
probability of sustained price expansion remains limited. Recent data from the 
Bitcoin Exchange Reserve (All Exchanges, Daily) metric reinforces this 
caution. Since January 14, total BTC held across major exchanges has increased 
from 2.723 million to 2.752 million BTC, representing a net addition of 
roughly 28,489 BTC, or about 1% over 45 days. Although the trajectory has not 
been linear — with a local peak near 2.794 million BTC in early February 
followed by a partial pullback — reserves have consistently re-established 
themselves near the upper bound of the range. This stepwise growth structure 
signals a persistent return of coins to exchanges. Historically, rising 
exchange balances imply expanding potential sell-side supply. Until reserves 
break decisively below January’s 2.723 million BTC baseline, structural 
selling pressure remains embedded in the market. Netflow Regime Shift Signals 
Structural Distribution The 30-day moving average of Bitcoin exchange netflows 
provides critical confirmation that the recent reserve growth is not 
incidental. The transition from -1,187 BTC on January 14 to +628 BTC by 
February 27 represents more than a short-term fluctuation — it reflects a 
structural regime shift from accumulation to distribution. When the SMA(30) 
netflow remains negative, it indicates coins are being withdrawn from 
exchanges faster than they are deposited, typically associated with 
accumulation behavior. The steady climb toward zero throughout January, 
followed by a decisive cross into positive territory on February 1, marks a 
clear behavioral pivot. The fact that the indicator has held above zero for 
nearly four consecutive weeks significantly reduces the probability of a false 
breakout. The mid-February impulse toward +1,069 BTC highlights the intensity 
of inflows during peak distribution pressure. Although the metric moderated 
afterward, it did not revert below zero, suggesting that coins continue to 
migrate toward exchanges at a sustained pace. At an average structural inflow 
rate of roughly 628 BTC per day, the supply available for potential sale is 
expanding. Until the SMA(30) decisively flips back into negative territory, 
exchange-side pressure remains dominant, limiting the probability of a durable 
bullish regime reestablishing itself. Related Reading: The $2,000 Fault Line: 
Why Ethereum’s Record Volatility Signals An Imminent Explosion Bitcoin Tests 
Macro Support After Rejection From Highs Bitcoin’s weekly structure reflects a 
clear transition from expansion to correction following rejection near the 
$120K–$130K region. The chart shows a decisive breakdown below the $90K–$95K 
zone, which previously acted as structural support. That level has now flipped 
into resistance, confirming a shift in market control. Price is currently 
consolidating near $66K after a sharp decline, hovering just above the 
200-week moving average. This level historically acts as a macro support 
during deeper corrective phases. Holding above it is technically significant; 
sustained closes below would likely signal a more prolonged bear cycle. The 
50-week moving average has rolled over and is trending downward, while the 
100-week average is flattening. This alignment indicates weakening 
intermediate momentum and suggests rallies may face overhead pressure unless 
key trend levels are reclaimed. Related Reading: Digital Gold Is Dead: The 
Institutional Architecture Binding Bitcoin To The Nasdaq In The 2026 Downturn 
Volume expanded notably during the breakdown phase, pointing to forced 
liquidations and distribution rather than orderly consolidation. Since then, 
participation has moderated, implying that panic selling has eased but 
conviction remains limited. Structurally, Bitcoin sits at a pivotal inflection 
point. A reclaim of the mid-$80K region would be required to restore bullish 
structure. Conversely, failure to defend current support could expose deeper 
liquidity zones below. Featured image from ChatGPT, chart from TradingView.com

The Distribution Trap: Why Bitcoin’s Reserve Growth Proves Sellers Still Hold The Tape

The Wall Street banking giant has been accelerating its foray into crypto, 
filing to launch Bitcoin, Ether and Solana ETFs in January.

Morgan Stanley applies for OCC bank charter to custody crypto

Ripple’s chief legal officer is challenging claims that cryptocurrency lacks 
real-world utility, pointing to rising U.S. merchant adoption and growing 
consumer reliance as evidence that digital assets are becoming embedded in 
everyday commerce. Ripple’s Legal Chief Challenges Media Narrative on Crypto 
Utility Ripple Chief Legal Officer Stuart Alderoty, who also serves as 
President of the […]

Cryptocurrency price in MMK