Bitcoin's price dropped below the $75,000 support level this week, extending a two-week decline that has erased nearly 10% from recent highs. The sell-off, now in its eighth consecutive day of ETF outflows, culminated in a record $733.43 million single-day exodus from spot Bitcoin ETFs on Wednesday, led by BlackRock's IBIT.
ETF Outflows Show No Signs of Stopping
Since May 15, spot Bitcoin ETFs have recorded outflows every single trading day, according to SoSoValue data. The pace accelerated sharply on May 27, when investors pulled $733.43 million from the funds — the largest single-day withdrawal since the products launched. BlackRock's IBIT, the largest Bitcoin ETF by assets, accounted for a significant portion of that outflow. The sustained selling suggests institutional sentiment has turned decisively bearish after weeks of inflows earlier this spring.
Geopolitical Jitters Add to Pressure
The sell-off isn't purely a crypto story. Escalating military tensions between the US and Iran have rattled broader risk markets. Iran's attack on a US air base, followed by US strikes on Iranian drones, triggered fresh liquidations across crypto and equities. Traders say the uncertainty has pushed capital to the sidelines, amplifying Bitcoin's decline. The timing isn't great — the market was already fragile after the ETF rout.
Distribution Phase Underway, Says Swissblock
On-chain analytics firm Swissblock flagged the shift earlier this week. Its Risk Index now shows overwhelming selling pressure, and the metric has flipped Bitcoin into distribution territory. That's a reversal from the March-April period, when the same index pointed to accumulation. Distribution phases often precede extended corrections, and the current indicator suggests the market hasn't found a bottom yet. The $73,000 level is now the key line in the sand for bulls — a break below that could accelerate the slide.
