Bitcoin Slips to $105K as Spot ETFs See $536 Million in Outflows

Bitcoin fell below $105,000, trading around $104,930. This is a 5.6% drop for the day and more than 13% for the week, leaving it 8% below its record high of $126,198. The downward trend has been driven by rising ETF outflows and broad market selling.

Trading activity has increased during the decline. Bitcoin’s 24-hour volume rose 42% to $102.3 billion as traders reacted to key support levels. Futures trading also grew, with CoinGlass reporting a 43% increase in Bitcoin futures volume to $144.8 billion, while open interest stayed near $71 billion.

The Effect of ETF Outflows on Bitcoin’s Price

Significant withdrawals from spot Bitcoin ETFs have contributed to the recent price decline. According to SoSoValue, U.S. ETFs had $536.4 million in outflows on October 16, the second day in a row of redemptions. ARK Invest’s ARKB led with $275 million, followed by Fidelity’s FBTC at $132 million. Smaller outflows were reported for Grayscale’s GBTC, BlackRock’s IBIT, and Bitwise’s BITB.

These withdrawals suggest that some institutional investors are taking profits or reducing their Bitcoin exposure after the recent price rally. Such redemptions can increase short-term selling pressure, particularly in a market where sentiment is fragile.

Overall, the trend points to caution among investors. Long-term holders may continue to hold, while short-term sellers take advantage of liquidity events, creating temporary pressure.

Other Factors Pressuring the Crypto Market

Bitcoin’s latest drop reflects a broader market correction rather than an isolated event, driven by both internal factors and external economic challenges. Heightened U.S.–China trade tensions, concerns about interest rates, and fears of a global slowdown have raised investor caution.

Although the fourth quarter has usually been favorable for crypto, the current situation is unusually complex. Ongoing geopolitical and macroeconomic uncertainties may outweigh the usual seasonal trends.

The market has also felt the impact of leveraged position liquidations. More than $19 billion in crypto futures were liquidated last week, leading to cascading sales and adding extra pressure to multiple assets.

Technical Levels and Trading Sentiment

Bitcoin’s technical picture shows fragile momentum. The relative strength index (RSI) at 37 indicates oversold conditions, and the recent drop below the $106,000–$107,000 support zone triggered stop-loss orders.

If the price closes below $104,582, it may test the $100,000 psychological mark, yet the oversold RSI could limit the extent of any decline. Such a scenario might also draw in new buyer interest.

The $108,000 to $109,000 range has emerged as a key support level. Holding this range could lead to a short-term recovery toward $113,000 to $115,000, while $117,940 remains a major resistance.

Analysts are divided on what comes next. Arthur Hayes expects a potential slide toward $100,000, while others see signs of stability driven by long-term holders and ETFs.

What To Expect From BTC?

Bitcoin’s recent drop comes from pressure in the market and the wider economy. Outflows from spot ETFs and liquidations in crypto futures have pushed the price below $105,000.

A return above $108,000 could lead to a temporary recovery, but a further drop may push it toward $100,000. Nonetheless, continued interest from long-term holders offers a stabilizing factor, suggesting that structural support remains even amid volatility.