Bitcoin ETFs Shed $100M: Analysts Predict Potential Support Collapse

Key Points

• US Bitcoin and Ethereum ETFs experienced significant net outflows on October 22.
• Analysts attribute this decline to macroeconomic uncertainty and reduced confidence in risk assets.

On October 22, exchange-traded funds (ETFs) for US spot Bitcoin (BTC) reported a total net outflow of $101 million. Concurrently, BlackRock’s iShares Bitcoin Trust (IBIT) saw an inflow of $73.6 million.

Parallel to this, ETFs for Ethereum (ETH) reflected a similar trend, registering a total net outflow of $18.7 million, as per data from SoSoValue.

Underlying Factors

Experts suggest that the decrease is due to ongoing macroeconomic uncertainty and diminishing faith in risk assets. This follows US President Donald Trump’s tariff announcement earlier in October and the US government shutdown.

Bitcoin is currently trading around $110,000, failing to reclaim the $113,000 mark earlier in the week. Analysts from Bitfinex warn that the $107,000–$108,000 range has become increasingly delicate, noting a lack of institutional buyers during the pullback.

Signs of Fading Demand

Between October 13 and 17, spot Bitcoin ETFs witnessed outflows exceeding $1.23 billion, a clear indication of dwindling demand. According to CryptoQuant, the 3–6 month UTXO realized price level, currently around $108,300, is acting as a critical mid-term support.

This implies that Bitcoin is testing the average cost basis of holders who accumulated during the last rally. A decisive drop below this level could trigger further downside.

Data from Glassnode shows that Bitcoin now trades below both the short-term holders’ cost basis ($113,100) and the 0.85 quantile ($108,600), levels that typically indicate a transition into mid-term bearish phases.

Long-term holders have increased distribution, with daily spending surpassing 22,000 BTC, indicating sustained profit-taking pressure. Additionally, options data show rising demand for put contracts as traders hedge against further declines.

Analysts note that short-term rallies are being met with defensive positioning rather than optimism, suggesting that recovery momentum may take time to rebuild.

If institutional inflows do not bounce back in the coming weeks, experts warn that the market could enter a prolonged consolidation phase below $110,000. However, a sustained defense of the $108,000 zone, backed by renewed ETF demand, could stabilize price action and set the stage for recovery heading into November.