Bitcoin ETF Inflows Crash 80% – Is the Bull Market Taking a Breather?

Wall Street’s crypto love affair hits a snag as Bitcoin ETF demand tanks—just a pause or the calm before the storm?

### The Great Slowdown

After months of frenzied buying, institutional investors suddenly tap the brakes. The 80% plunge in inflows screams ‘risk-off’—or maybe just ‘wait-and-see.’

### Liquidity Limbo

Market makers eye thinning order books while Bitcoin whales yawn. Volatility’s coming, but nobody’s placing bets on which direction.

### Wall Street’s Short Attention Span

Goldman probably already shifted focus to AI-powered NFT hedge funds. Because nothing says ‘alpha’ like chasing the next shiny thing.

This isn’t a crash—it’s the market catching its breath. And when liquidity returns? Buckle up.

Key Takeaways

Bitcoin’s ETF inflows tanked 80%, but traders remain active, with Open Interest elevated and 95.8% of supply still in profit, setting the stage for either fresh demand or short-term correction risk.

Bitcoin [BTC] had a slow week, but not without signals worth watching.

BTC ETF inflows dropped a staggering 80% compared to the previous week — the sharpest decline in months, according to the recent Glassnode reports.

For a market largely driven by institutional enthusiasm, that kind of pullback is hard to ignore.

Source: Glassnode

Derivatives heat stays on

Yet, despite that, derivatives markets were still running hot. Open Interest in CME Futures remains elevated, according to CryptoQuant data.

This suggests that traders — especially short-term speculators — are still positioned in anticipation of a further rally, even as ETF flows decelerate.

Source: CryptoQuant

Profit levels remain high but so do risks

Adding another LAYER to the story, on-chain data shows 95.8% of BTC supply is still in profit. That is a powerful sign of long-term strength — but also a warning.

When nearly every holder is in the green, the risk of profit-taking increases, especially if momentum stalls.

This could, in turn, spark panic mode among the short-term holders, and as a result, it could ultimately initiate a short correction on the BTC price chart.

Source: CryptoQuant

That possibility is compounded by another soft metric: Active Addresses.

Weekly activity has slipped from early July highs, hinting that large wallet holders are hesitating, neither selling in panic nor buying aggressively. It’s a “wait-and-watch” lull.

Source: CryptoQuant

What the market’s mixed signals mean for BTC

The takeaway to Bitcoin investors and traders alike seems to be this: BTC is caught in a moment of hesitation. Institutional buyers are taking a breather, on-chain activity is softening, but traders are not ready to throw in the towel just yet.

With nearly all coins still in profit, any further weakness could prompt a wave of sell pressure. The next MOVE likely hinges on whether fresh demand — either from retail or institutions — steps in soon.

Otherwise, BTC may face a short-term correction before its next rally.