Bitcoin (BTC) starts the second week of September facing crucial resistance as traders maintain downside targets.

• Bitcoin price action coils below $112,000 over the weekend, but fears of a 10% correction or worse are mounting.

• CPI week is here again, and markets are wondering how large next week’s Federal Reserve interest-rate cut will be.

• Data is starting to hint that the institutional “rotation” from BTC to Ether exchange-traded products is over.

• Bitcoin whales bring back the 2022 bear market with mass selling over the past month.

• Binance is in the spotlight over a potential BTC price top warning from market takers. 

BTC price worries include sub-$100,000

Bitcoin managed to avoid volatility around its latest weekly close, data from Cointelegraph Markets Pro and TradingView shows.

$112,000 remains a key target among traders hoping for a resistance/support flip.

Analyzing exchange order-book liquidity, popular trader CrypNuevo flagged $106,700 as an important level to the downside.

“If the previous range lows continue to be resistance, price will attempt to hit the liquidation at $106.7k,” he wrote in part of a thread on X Sunday.

As Cointelegraph reported, attention is now focused on how low BTC/USD could drop in a potential capitulation event.

$100,000 is a favorite line in the sand, with Fibonacci retracement levels now confluent with a retest of that level as a “worst case scenario.”

Telegram analytics channel Coin Signals, meanwhile, contributed another, more concerning bottom target of 30% versus Bitcoin’s latest all-time highs.

“Based on cycle’s default correction % and time taken to hit lows from a local top, BTC could see a -30% correction from local top $124k, Bottoming in the last week of SEP or first week of OCT,” part of an X post stated.

Such a scenario would put BTC/USD at around $87,000.

CPI week comes with Fed behind the curve

Some classic US economic data prints are due this week — at a time when markets are already convinced about what lies ahead.

The Producer Price Index (PPI) and Consumer Price Index (CPI) will be released on Wednesday and Thursday, respectively. 

Inflation is on the rise, while signs of labor-market weakness are increasing — a headache for the Federal Reserve, but one that markets believe they already know the response to.

Data from CME Group’s FedWatch Tool shows that the odds of the Fed cutting interest rates at its September meeting next week are fully priced in. There is even a fledgling chance of the cut being larger than the minimum 0.25%.

This comes amid growing criticism of Fed policy, which has kept rates steady throughout 2025 while other central banks cut.

“The European Central Bank and the Bank of England have cuts rates 4 and 3 times this year, respectively. The Bank of Canada has cut rates 2 times, as has the Swiss National Bank, which became the first major central bank to bring rates back to 0%,” trading resource The Kobeissi Letter noted on X Monday. 

“Meanwhile, the Federal Reserve remains on hold with 0 rate cuts in 2025. US monetary policy is in its own world.”

Recession fears are also swirling, with Kobeissi reporting on a dip in construction spending — something it describes as a “key recession signal.”

“While seasonal trends point to weakness ahead, the longer-term path for the S&P 500 will come down to the economy once the Fed starts cutting rates again,” trading firm Mosaic Asset Company continued in the latest edition of its regular updates series, “The Market Mosaic.”

Mosaic explained that the US needs to avoid recession to fuel stocks, which, together with gold, are currently gaining while Bitcoin lags behind.

“Over the long run, stock prices ultimately follow earnings which is why the economic outlook is critical,” it stressed.

Institutions “re-rotating” into Bitcoin

Buzz around an institutional capital “rotation” from Bitcoin into the largest altcoin Ether (ETH) already appears to be cooling.

LATEST: US spot ETH ETFs saw its largest weekly outflows last week with $787.7M while BTC ETFs saw a total weekly inflows of $246.4M. pic.twitter.com/jWe4Ach9KJ

— Cointelegraph (@Cointelegraph) September 8, 2025

Last week, inflows to BTC-denominated exchange-traded products (ETPs) ended in positive territory, sharply contrasting with ETH equivalents.

Figures uploaded to X Monday by Andre Dragosch, European head of research at crypto asset manager Bitwise, show Bitcoin ETPs added $444 million in the five days through Sept. 5.

In the same period, Ether ETPs saw net outflows of over $900 million.

“Interesting to see a renewed ‘re-rotation’ from $ETH back to $BTC in terms of global ETP flows last week,” Dragosch commented.

Meanwhile, the US spot Bitcoin exchange-traded funds (ETFs) ended the four-day trading week up around $250 million. 

Data from UK investment firm Farside Investors captured four straight days of net outflows for spot Ether ETFs, totaling more than $750 million.

Bitcoin bear whales are back

When it comes to the largest Bitcoin investors, the trend is giving onchain analytics platform CryptoQuant cause for concern.

Whales are reducing their BTC exposure, and recent market distribution rivals the last bear market in 2022.

“In the last thirty days, whale reserves have fallen by more than 100,000 BTC, signaling intense risk aversion among large investors,” contributor Caue Oliveira wrote in one of CryptoQuant’s “Quicktake” blog posts.

The 30-day whale balance drawdown through the end of last week was the largest since mid-2022. At the time, BTC/USD was around halfway through its most recent bear market, which bottomed out in November that year at $15,600.

“At this time, we are still seeing these reductions in the portfolios of major players, which may continue to pressure Bitcoin in the coming weeks,” Oliveira added.

As Cointelegraph reported, shifts in whale behavior have had a noticeable impact on short-term price action as large chunks of liquidity come and go from exchange order books.

Taker Buy/Sell Ratio raises alarm

The Bitcoin futures market on the largest global exchange, Binance, is under scrutiny as liquidity tails off across perp markets.

Related: Bitcoin may sink ‘below $50K’ in bear, Justin Sun’s WLFI saga: Hodler’s Digest, Aug. 31 – Sept. 6

New research from CryptoQuant this week flags a classic signal corresponding to bull market corrections.

The Taker Buy/Sell Ratio, which is the ratio of buy volume divided by taker sell volume, is currently making lower lows while the price itself expands.

“Bullish divergence of the Taker Buy/Sell Ratio has repeatedly occurred during the price bottom or sideways consolidation phases of this Bitcoin bull cycle, which has been ongoing since 2023,” contributor Mignolet summarized in another “Quicktake” post.

Mignolet notes that such behavior was characteristic of the market peak during the 2021 bull run. Volume this time, however, is different thanks to the presence of institutional activity.

The situation could still become precarious if the trend continues.

“To be blunt, all liquidity is weakening,” the post concludes. 

“If this liquidity recovers, the market likely isn’t over yet. However, if liquidity doesn’t recover despite numerous positive catalysts, the situation could become serious.”

Binance Bitcoin futures have traded since 2019, and since then have seen “colossal” volumes of over $700 trillion.

“This staggering number surpasses the estimated value of the global real estate market and is five times larger than the combined capitalization of global equities or bonds,” CryptoQuant contributor Darkfost noted Sunday.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Flows into Iranian crypto trading platforms have fallen in 2025 due to a breakdown in nuclear negotiations with Israel, a $90 million hack on Iran’s largest crypto exchange, and a major stablecoin blacklisting, says blockchain analytics firm TRM Labs.

Iranian crypto flows hit $3.7 billion between January and July, an 11% decrease compared to the same period last year, with the worst drop off coming in June and July, TRM Labs said in a report on Tuesday.

“This downturn coincided with a breakdown in nuclear negotiations, a 12-day conflict with Israel beginning June 13, and widespread power outages in Iran — driven by a combination of Israeli kinetic and cyber operations, as well as regime-initiated shutdowns.”

Iran’s crypto flows started to sharply drop in June, just after the $90 million hack on Nobitex, which handles 87% of the country’s crypto transactions. 

Many Iranians rely on US dollar stablecoins as a store of value amid skyrocketing inflation and to skirt tough sanctions on the country, which has largely cut it off from the global economy.

Nobitex hack big contributor to Iran’s crypto shake-up

Confidence in Iran-based virtual asset service providers (VASPs) deteriorated following Nobitex’s security breach, which came at the hands of pro-Israel group Predatory Sparrow on June 18 — when tensions between Iran and Israel were at their peak.

While Nobitex continues to dominate Iran crypto transaction volume, the incident disrupted liquidity, slowed transaction processing and temporarily pushed users toward alternative platforms, TRM said.

Heightened Iran-Israel tensions further amplified the outflows, which surged more than 150% in the worst week and a large percentage of that volume headed to high-risk foreign exchanges with little to no Know Your Customer checks, TRM said.

Tether’s blacklisting slowed flows

Stablecoin issuer Tether also carried out its largest-ever freeze of Iranian-linked funds, blacklisting 42 crypto addresses with Tether (USDT) balances on July 2.

The incident sparked a coordinated push from Iranian exchanges, influencers and state-backed channels for users to offload their TRON-based USDT balances — Iran’s most widely used network and token — and move funds into Dai (DAI) on Polygon.

Related: UAE reportedly holds $700M in mined Bitcoin: Arkham

Many everyday Iranians continue to turn to crypto as a hedge against inflation, TRM said, highlighting Iran’s strong reliance on stablecoins.

Iran continues to use crypto for political objectives

Iran is still relying on crypto to pay for sensitive goods from Chinese chip resellers, including hardware critical for artificial intelligence, drone components, and other electrical equipment — enabling it to effectively bypass sanctions, TRM noted.

It has also used crypto to fund espionage payments with foreign operatives, the crypto analytics firm added.

However, illicit crypto transactions in Iran still only account for less than 1% of total volume.

Magazine: Bitcoin is ‘funny internet money’ during a crisis: Tezos co-founder

]]> https://earlybirdsinvest.com/iranian-crypto-flows-fall-11-on-israel-conflict-nobitex-hack-trm-labs/feed/ 0 55297 https://earlybirdsinvest.com/why-did-the-code-fall-heres-why-sundays-watch-liquidation-hunts/ https://earlybirdsinvest.com/why-did-the-code-fall-heres-why-sundays-watch-liquidation-hunts/#respond Mon, 25 Aug 2025 09:56:33 +0000 https://earlybirdsinvest.com/why-did-the-code-fall-heres-why-sundays-watch-liquidation-hunts/

Why did the code fall? On Sunday, August 24, 2025, Bitcoin plunged from $114,700 to $110,600 in minutes, causing $500 million in liquidation, wiping out its leveraged long position. Sales pressure also felt strong for Ethereum and Solana.

The sale reflected macro horror, profit acquisition and slower ETFs, but thin weekend liquidity increased volatility. Sunday will be the main target of whale-driven liquidation hunts, leveraging stop loss clusters and over-traders.

(sauce – tradingView.com))

Why Crypto dropped: slowing down macros, profits, ETFs

The crash on August 24th was a complete storm of macro uncertainty, technical weakness and ETF momentum of decline. It surprised the expected US inflation and surprising markets of PPI data, sparking risk-off sentiment after previous Fed optimism.

Investors were priced for interest rate cuts earlier, but Powell’s Jackson Hole’s remarks gave way to new doubts, Global cell off. Still, Bitcoin is considered a risky asset. The first wave of bearish attacks.

Bitcoin has been caught up in a perfect storm today, not just “to make a profit.” Here’s a nice breakdown of why the 1-hour candle on August 24th went from ~$117,000 to a knife to sub-$112K.

1) Jackson Hole Macro Jitter
Traders prior to Powell’s comments on Jackson Hole… pic.twitter.com/fdqparoq82

– Crypto Dad (@cryptodad_ddc) August 24, 2025

Discover: Best Meme Coin ICO for Investing in 2025

At the same time, Bitcoin went above $124,000 in the first half of August, causing a wave of profitability. Long-term holders have secured profits, but intraday failures are below key support like $113K, which set a cascade of stop triggers. Open interest in futures has neared record highs, driving a chain reaction of liquidation. A new addition to the 5K $5K ATH, Ethereum also slipped over 2%.

WTF is happening. pic.twitter.com/aedypvnqo9

– Byzantine General (@byzgeneral) August 24, 2025

When fuel was added to the fire, the ETF inflow was stagnant. BTC ▼-2.93% and ETH ▼-3.79% Spot products showing spills.

It throttled fresh demand when emotions were changing. Historically, August has been one of Crypto’s weakest months, falling over the last 12 years, with only regulatory headwinds piling up. These factors formed the pressure cooker that opened the sale on Sunday.

Discovered: Top Solanamime Coins to Buy in 2025

Expert explanation: Why is Sunday Prime for liquid hunting?

Sunday is notorious in the crypto world for its brutal liquidation hunt. Unlike weekdays, orders will fade over weekends as institutional activities maintain market liquidity. With fewer players, it’s easier for a large owner, “whales” to move prices strategically.

With almost all efforts, the whales send prices to key clusters of leveraged liquidation stop areas, forcing vending or purchasing. Often this creates an explosive, cascade price effect, and normal users are adored.

It could be a low capacity Sunday mandatory liquidation event. The longs these days have been completely washed away.

But if this sale was manifested by Monday morning, this is one level of low plan (if it comes): https://t.co/whwidanl1g pic.twitter.com/2ohp9joilj

– Patrick H. | cryptelligencex (@cryptelligencex) August 24, 2025

Discovered: Top 20 Cryptography to Buy in 2025

This strategy thrives as retailers chase weekend price action. Grinding slowly and high will seduce them into an over-increasing long, then a sharply engineered dump wipes them off.

For example, the early August low was nearly $111,900, serving as a magnet, where fluidity was clustered. 25x leverage is common on platforms such as Binance, and even small swings trigger cascade clearing. Previous events have erased over $2 billion in just 24 hours.

Sunday is particularly appealing as it “resets” leverage before Monday’s institutional flow. The whale scoops cheap coins after the weak hands are washed away and sets a higher price on bullish cycles. It’s painful, but this weekend there was a repeated wick and rebound cycle.

For veteran traders, it’s not about panic, they realize that Sunday dumps are often Monday discounts.

What’s coming next for Bitcoin and Altcoin?

24 hours7d30D1Yeverytime

Discover: Buy Now 12+ Hottest Crypto-Precels

Despite the weekend’s chaos, the foundations of long-term cryptography remain bullish. Bitcoin closed its weekly candles at around $113,000, leaving behind a long, underneath core that was historically an inverted signal.

This suggests that while short-term pain was stabbed, the buyer quickly retreated. Spot and derivative volumes fell 6-9%, but Flash cleared the excess leverage it has accumulated over the past few weeks.

The relative resilience of Ethereum and Solana also highlighted the shift. Altcoins only dropped slightly compared to the majors, suggesting that the turn could support the overall market strength. Bitcoin’s advantage, which slips between 57.9%, confirmed this trend.

The recovery story remains intact for ETF flows that are expected to be stable and institutional players waiting for macro clarity.

(Source – tradingView.com)

The external influence from Trump’s tariff adjustments to speculation about FBI sales of additional noise from seized Bitcoin did not halt long-term adoption. Institutional demand remains robust beneath the surface, primarily through ETFs and storage products.

Historic cycles show that liquidation-driven weekends often lead to strong runs. In the short term, traders should expect CHOPs to be fueled by macro data releases and regulations. However, the larger bull case for 2025, with the demand and adoption of ETFs, is still firmly on track.

Discover: 9+ Best High Risk, High Reward Crypto Buy in 2025

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The US Securities and Exchange Commission (SEC) has clarified that certain cryptocurrency liquid staking activities do not constitute securities offerings, a notable step in the agency’s ongoing effort to provide clearer guidance on digital asset regulation.

“The statement clarifies the division’s view that, depending on the facts and circumstances, the liquid staking activities covered in the statement do not involve the offer and sale of securities,” the regulator said Tuesday, referring to key sections of the Securities Act of 1933 and the Securities Exchange Act of 1934.

In its Staff Statement, the SEC defined liquid staking as the process of staking digital assets through a protocol and receiving a “liquid staking receipt token,” which serves as evidence of the staker’s ownership.

“Today’s staff statement on liquid staking is a significant step forward in clarifying the staff’s view about crypto asset activities that do not fall within the SEC’s jurisdiction,” SEC Chair Paul Atkins said in a statement. 

The SEC’s clarification comes amid rising institutional interest in liquid staking exchange-traded funds (ETFs), with firms like Jito Labs, VanEck and Bitwise urging the agency to approve liquid staking strategies for Solana (SOL)-based funds.

Liquid staking has become one of the largest subsectors in crypto, with total value locked (TVL) nearing $67 billion across all protocols, according to DefiLlama. Ethereum alone accounts for $51 billion of that total.

Related: Crypto Biz: Digital gold rush intensifies as Tether Gold surges, institutions double down on BTC

SEC adopts pro-crypto approach under Paul Atkins

The announcement follows the SEC’s launch of Project Crypto — a sweeping initiative to overhaul the regulatory framework for cryptocurrency trading in the United States. As SEC Chair Paul Atkins noted last week, the project was developed in response to recommendations from the White House’s Working Group on Digital Assets

Since taking office, Atkins has led a more lenient approach to digital asset regulation, moving away from the agency’s prior “regulation by enforcement” stance under former Chair Gary Gensler. That shift included a May clarification that proof-of-stake protocols do not constitute securities transactions.

Under Atkins’ leadership, the SEC has also taken meaningful steps to ease regulatory burdens on cryptocurrency exchange-traded funds (ETFs).

Notably, on July 29, the agency approved in-kind creations and redemptions for Bitcoin (BTC) and Ether (ETH) ETFs, allowing authorized participants to exchange ETF shares directly for the underlying assets rather than cash.

The US crypto industry is also gaining momentum from sweeping policy reforms designed to make digital assets more accessible. These include the passage of the GENIUS Act, a landmark stablecoin bill, and House approval of market structure and anti-CBDC legislation ahead of the August recess.

Related: SEC ends ‘regulation through enforcement,’ calls tokenization ‘innovation’

]]> https://earlybirdsinvest.com/us-sec-says-certain-liquid-staking-activities-fall-outside-of-securities-laws/feed/ 0 51663 https://earlybirdsinvest.com/demand-for-us-treasuries-may-fall-short-amid-surging-supply-warns-ex-bridgewater-exec-rebecca-patterson/ https://earlybirdsinvest.com/demand-for-us-treasuries-may-fall-short-amid-surging-supply-warns-ex-bridgewater-exec-rebecca-patterson/#respond Mon, 14 Jul 2025 11:26:31 +0000 https://earlybirdsinvest.com/demand-for-us-treasuries-may-fall-short-amid-surging-supply-warns-ex-bridgewater-exec-rebecca-patterson/

A former executive of the hedge fund founded by billionaire Ray Dalio is warning that the market for US debt will soon hit a rough spot.

In a new CNBC Television interview, ex-Bridgewater Associates chief investment strategist Rebecca Patterson addresses how the US dollar has lost about 10% of its value year-to-date, its worst performance in over 50 years.

“I think there are three main things driving the dollar [devaluation]. One is slightly lower frontend rates, interest rates over this period because currencies trade on rate differentials. 

But I think more importantly and what’s different this time is that you’re seeing both re-allocation out of the US both by Americans diversifying and foreigners pulling back slightly. And then third and really importantly is hedging. So let’s say I’m a large overseas pension fund, and I have a tech equity exposure, and I want to keep it because I believe in the structural story, but I’m nervous about the dollar, I’m nervous about the Fed’s independence, I can hedge out that currency risk. 

So even if money stays in US equities, which helps explain where we are today, you can still see that dollar weakness.”

Patterson, who is now the chair of the Council of Economic Education, warns that the dollar devaluation will continue as investors hedge and move their capital elsewhere. She also notes that the ongoing capital re-allocation will negatively impact demand for US debt.

“This isn’t going to be a one-off. This is going to be a slow bleed out of the dollar, and I believe slowly out of US Treasuries.”

Looking closer at US Treasuries, Patterson warns that she sees the bond market facing a demand shortage in the coming months.

“I think this is rather a slow bleed. Most of the foreign investors who have US Treasuries have them in very short tenure bonds, so three years and less. They just have to let them expire and not replace them, so let them roll off. 

Again, it’s not going to be a one-and-done event, I think, without a trigger. It’s just going to be: we don’t have the demand to meet the supply that’s going to be coming, I think early next year.” 

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Amber International announced on July 3 that it will deploy new capital into Sui, XRP, and BNB as the next phase of its $100 million Crypto Ecosystem Reserve, expanding its treasury, which already holds Bitcoin, Ethereum, and Solana.

The company funded the expansion with a $25.5 million private placement, pricing American Depositary Shares at $10.45, a 5% discount to the three-day volume-weighted average.

Amber International issued 12,200,915 Class A ordinary shares, equal to 2,440,183 ADSs, to investors that include Pantera Capital, CMAG Funds, Mile Green, Choco Up, and Kingkey Financial International. 

Management stated that the proceeds will be allocated entirely to the reserve, which supports on-chain liquidity, structured products, and grants tied to the six target networks.

Placement mechanics and reserve mandate

CEO Wayne Huo said the reserve allows Amber Premium, the firm’s operating brand, to align with developers and liquidity venues on each blockchain while offering institutional clients broader hedging tools.

The program will publish periodic on-chain attestations that detail wallet balances and transfer history. 

Amber already trades and lends Bitcoin and Ethereum on OTC desks. The additional assets extend those services to participants seeking diversification beyond the two largest digital assets.

Management expects the reserve to reach full deployment over several quarters, with allocation decisions based on network activity metrics and client demand patterns.

Market reaction

Amber International’s AMBR shares closed 6.7% lower at $8.60 on Nasdaq the same day the placement terms were released, leaving the company with roughly $779 million in equity value.

The share move occurred as digital asset equities, such as Riot Platforms’ and Coinbase’s, fell broadly and did not demonstrate a direct link to the reserve announcement.

Yet, the decline in Amber shares was sharp, crashing 15% within 30 minutes after opening and one hour after the announcement that it would add other altcoins to the treasury by diluting equity.

Mentioned in this article

Bitcoin’s grip remains strong in the market. Its advantage, measured as a percentage of total crypto market capitalization, falls close to nearly 63.9% after winning a high of 65.3% in May.

Historically, such strength from Bitcoin has preceded a wide shift in which traders spin profits into smaller assets. However, this time, the shift has not been realized on a meaningful scale. People are wondering: When will the Altcoin season begin?

Many expected 2025 to be the year Altcoins made a comeback, but that optimism is beginning to fade and thin midway through the year.

Exploration: Only Fan Rich List 2025: Sophie Rain steals crowns as rifts appear in creator inequality

Still, experts agree: the Altcoin season is not dead, just delayed

This extraordinary dynamic explains several factors. One of the most important is the rise in institutional investors who currently view Bitcoin as a regulatory entry point to crypto. With the launch and rapid adoption of Spot Bitcoin ETFs, large capital flows directly to BTC.

In previous cycles, altcoins sometimes functioned as speculative stand-in for Bitcoin. Today, institutions have direct access to the BTC. This is exactly what they do. This shift has had a damping effect on other markets.

Bitcoin remains a consensus trade between institutions. The recognition of BTC as a safer bet backed by regulatory clarity and operational reliability makes it difficult for capital to spin towards the altcoin. In contrast, many altcoins still tackle smart contract risks, unclear regulations, and high centralization. This makes them reluctant to venture beyond Bitcoin, at least for now.

Bitcoin Dominance Chart Signal: Still in the BTC-led phase

(BTC.D)

Looking at the Bitcoin domination charts enhance this story. Approximately 64.8% of Bitcoin’s market share has been steadily rising since the second half of 2022. In contrast to the 2020-2021 Bull Run, BTC’s dominance peaked at ~73% before it fell rapidly and caused the altcoin season for Fulfurd.

The weekly charts consistently show highs and higher lows, with capital continuing to flow to Bitcoin while most Altcoins are behind. This advantage becomes even more clear on the ETH/BTC chart.

(btceth)

Ethereum is struggling to surpass BTC. It remains relatively stable against the US dollar, but has lost its position against Bitcoin for nearly two years. Simply put, keeping BTC in ETH during this period provided better ROI.

Why is this important: ETH/BTC is often considered a proxy for AltCoin trust. When ETH works well against BTC, it usually directs risk appetite and a healthier Altcoin market. Meanwhile, the decline in the ETH/BTC ratio suggests defensive positioning and capital integration into Bitcoin.

Reown CEO Jess Houlgrave says Altcoins is behind as hype, not fundamentals, still driving many people. Bitcoin, meanwhile, cements its reputation for institutional trust, consistent utility and macro-relatedness.

Some crypto influencers believe that the biggest altcoin season in history could still begin in June. However, macroeconomic factors cannot be ignored. Geopolitical tensions, interest rate uncertainty and a cautious risk environment have made investors hesitate to embrace volatility. Liquidity also spreads thinly across the ever-growing pool of new Altcoin projects, attracting market attention.

As a result, there is a fragmented environment, and in a fragmented environment, there are very few altcoins that will maintain great momentum.

Ethereum accumulates quiet strength so that Bitcoin’s advantage is preserved

On the bright side, Ethereum sees a strong accumulation from whales and a steady influx into spot ETFs. Over 870,000 ETHs have recently been purchased in a day, making it the best since 2017.

(sauce)

Nevertheless, ETH prices have fallen slightly as the short positions of CME futures rose sharply, and now have net shorts of $1.55 billion. This reflects the popular delta neutral strategy. Investors will be longer via ETFs or spots, shortening futures to earn hedges and yields without direct price exposure.

If staking for US-based ETH ETFs is approved, this strategy will expand significantly, offering a return of nearly 8%. For now, the strong foundations of Ethereum are overwhelmed by sophisticated hedging activities.

For Crypto enthusiasts, for those who think it’s time for Bitcoin to eventually fall, the answer is not yet, and is soon. The Altcoin season can take some time, but it’s far from being cancelled. As Bitcoin surge plateaus and freshcapitals are looking for higher returns, the Altcoin market could be when it’s near the end of 2025 or into 2026.

Discovered: Top Solanamime Coins to Buy in 2025

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As Bitcoin (BTC) reels amidst escalating geopolitical tensions between Israel and Iran – dropping from $110,530 on June 9 to just above $106,900 today – concerns are mounting that BTC’s upward momentum may have stalled. However, on-chain data suggests that both Bitcoin whales and retail investors still anticipate further upside for the leading cryptocurrency.

Bitcoin Whale And Retail Inflows To Binance Tumble

According to a recent CryptoQuant Quicktake post by contributor Darkfost, Bitcoin inflows to Binance crypto exchange from two distinct cohorts – whales and retail investors – have fallen to their lowest levels in the current market cycle.

Related Reading

Darkfost shared the following chart illustrating that Bitcoin whale inflows to Binance have hit their lowest point since 2024. Similarly, retail investor inflows are also at their lowest since 2024, signalling a strong preference to hold rather than sell.

The contributor emphasized that this alignment in behavior between whales and retail investors is a “highly constructive signal for the market.” Apart from the consistent inflows observed at the start of the current cycle, Darkfost identified two previous instances when both groups acted in sync.

Notably, such periods of aligned behavior have typically coincided with previous market tops. These tops were marked by synchronized BTC inflows into exchanges, leading to a significant uptick in selling pressure and, eventually, market demand exhaustion.

Commenting on the recent drop in BTC inflows, Darkfost suggested that market participants may be waiting for clearer macroeconomic cues or are simply exhibiting high conviction in Bitcoin’s long-term potential. They added:

Such alignment across investor classes may also reflect broader market confidence, with expectations of further profits ahead.

Recent trading setups support the aforementioned outlook. In a separate X post, seasoned crypto analyst Ash Crypto highlighted that a Bitcoin whale had opened a massive $200 million long position with 20x leverage.

Should BTC Holders Be Worried?

Despite the encouraging dip in BTC inflows to major exchanges like Binance, some analysts warn that a deeper correction may be imminent. For example, TradingView analyst MIRZA recently predicted that BTC could fall as low as $85,000.

Related Reading

Similarly, veteran trader Peter Brandt shared a cautionary note, that BTC may see a steep slide in the coming months. Brandt stated that if BTC mirrors the 2021-22 market cycle, then it may risk falling to as low as $23,600.

That said, BTC outflows from exchanges continue to rise, depleting available reserves – a dynamic that could result in a supply shock. As of this writing, BTC is trading at $106,920, up 1.8% over the past 24 hours.

Featured image from Unsplash, charts from CryptoQuant and TradingView.com