๐Ÿ’ฅ Brace yourselves, crypto enthusiasts! Bitcoin (BTC) just experienced its biggest single-day loss since the FTX collapse saga, sending shockwaves through the market. ๐Ÿ“‰๐Ÿ’” Spot ETFs witnessed unprecedented outflows, signaling a shift in investor sentiment. ๐Ÿ’ผ๐Ÿ’จ The leading cryptocurrency tumbled over 8%, dipping below the $62,000 mark and marking its largest percentage drop since November 9, 2022. That fateful day, BTC plummeted over 14% following the collapse of Sam Bankman Fried's FTX exchange. ๐Ÿ’ฅ๐Ÿ’ผ But wait, there's moreโ€”the retreat from all-time highs of over $73,500 last week has now reached a staggering 15%, with the CoinDesk 20 index sliding 16% in the same timeframe. ๐Ÿ˜ฑ๐Ÿ“‰ What's behind this downward spiral? Trader and economist Alex Kruger points to fund outflows from spot ETFs as a major catalyst. ๐Ÿ’ธ๐Ÿ’ผ Data from investment firm Farside reveals a record net outflow of $326 million from spot ETFs on Tuesday alone, with Grayscale ETF witnessing a massive $643 million outflow the day before. ๐Ÿ’ฐ๐Ÿ“‰ Kruger breaks down the reasons for the collapse, citing leverage issues, ETH's impact on market sentiment, negative BTC ETF inflows, and the frenzy surrounding Solana as contributing factors. ๐Ÿ”„๐Ÿค” Additionally, the crypto market showed signs of overheating earlier this month, with long-term traders paying exorbitant financing fees to maintain their bullish perpetual futures positions. ๐Ÿ”ฅ๐Ÿ’ฐ

#ETH #HotTrends #BTc