Bitcoin's brief drop under $80K wipes out $404M in bullish crypto bets
Bitcoin briefly traded below $80,000, leading to $404 million in losses for traders holding long positions within four hours. Spot bitcoin ETFs saw $773 million in outflows on Thursday and Friday after three straight days of inflows, according to SoSoValue.
Bitcoin slipped beneath the $80,000 mark for a short period. During a four-hour span, traders positioned for further gains absorbed $404 million in losses.
Spot bitcoin exchange-traded funds recorded $773 million in net withdrawals across Thursday and Friday, according to SoSoValue. That reversal followed three consecutive sessions of inflows.
The episode could affect retail and institutional crypto investors, especially those using leverage, by reinforcing how quickly short-term price swings can translate into losses. It may also influence sentiment toward spot bitcoin ETFs, since withdrawals can signal caution among fund investors. Broader society may feel indirect effects through market confidence and the perceived riskiness of crypto assets, though the immediate impact may be concentrated among traders and fund holders.