Bitcoin Extends Its Slide After Record ETF Outflows

Santiment says Bitcoin ETF outflows have reached $8.475 billion since May, while Glassnode says more BTC is now sitting at a loss. Analysts point to possible seller exhaustion, but warn that more volatility could still be ahead.

Key Takeaways

• Bitcoin fell 20.48% in June, marking its weakest month since June 2022.
• Bitcoin ETFs have seen $8.475 billion in net outflows since May 6, which Santiment says points to fear and retail capitulation.
• Glassnode says 10.83 million BTC are now at a loss, while long-term holders are starting to accumulate again.

Bitcoin just closed out its worst month since June 2022. The price fell 20.48% in June as demand faded and risk appetite dried up across the market. Even so, onchain data suggests selling pressure may still be working through the system, while some analysts say there are early signs that sellers are starting to run out of steam.

ETF Outflows Are Weighing on Sentiment

Santiment reported that Bitcoin ETFs have recorded $8.475 billion (€7.4 billion) in net outflows since May 6. The analytics firm said that figure is best read as a sentiment signal rather than a direct warning of another crash. In other words, markets often move against the crowd when positioning gets too one-sided.

Santiment said the persistent outflows mostly reflect frustration, fear, and retail capitulation. The longer that red streak continues, the more the firm believes Bitcoin could be approaching a possible bottom zone. That does not mean the selling is finished right away, but it does suggest many weaker holders may already be out.

Loss-Making Supply Is Rising

Glassnode is also showing a softer market backdrop. According to the data, about 10.83 million BTC are now held at a loss, while 9.22 million BTC remain in profit. That marks one of the steepest drops in profitability seen in this cycle.

In past cycles, the point where more supply moved into loss than profit has often lined up with stress and capitulation among newer market participants. At the same time, Glassnode says long-term holders are beginning to accumulate again. Still, the firm warned that one more burst of volatility cannot be ruled out before a more lasting recovery takes hold.

Signals for European Traders

For European crypto traders, the main takeaway is that several indicators are flashing the same message at once: weak demand, heavy ETF outflows, and a market where many recent buyers are underwater. That could mean Bitcoin is going through a repricing phase, but it still does not give a clear answer on where the exact turning point will be.

Analyst Darkfost also highlighted the Net UTXO Supply Ratio, which has stayed negative for a week and printed -0.075. He said the last time the metric looked similar was at the end of 2022, near the close of the bear market. Even so, he noted that the signal does not call a bottom on its own. Instead, it suggests seller exhaustion is building and that fresh demand may take some time to return.

The outflows also fit into a wider pattern of weak institutional demand. U.S. spot funds have seen heavy withdrawals over the past few weeks as well, adding another layer of pressure to the market.