Bitcoin Steadies at $89K as Spot ETF Outflows Hit $497 Million

Bitcoin traded steadily around the $89,000 mark on Monday, even as U.S. spot bitcoin ETFs logged another week of heavy withdrawals, pushing cumulative outflows close to $500 million in just five days. The continued retreat underscores waning institutional appetite and a cautious mood across digital asset markets heading into the year-end holidays.

Spot Bitcoin ETFs Record $497M in Weekly Outflows

Data from SoSoValue shows that 12 U.S. spot bitcoin ETFs collectively recorded $497.05 million in net outflows between December 15 and 19.

• BlackRock’s IBIT led the losses with $240.3 million leaving the fund.
• Bitwise’s BITB followed with $115.1 million in net outflows.
• ARK 21Shares’ ARKB saw another $100.7 million withdrawn.
• Products from VanEck (HODL) and Grayscale (GBTC, BTC) together shed $74.1 million.

Only one major fund bucked the trend: Fidelity’s FBTC, which attracted $33.1 million in inflows.

The figures continue a month-long decline in ETF demand, totaling roughly $3.5 billion in outflows. The contrast is stark compared to October, when strong inflows of nearly $7 billion coincided with bitcoin hitting an all-time high.

Bitcoin Price Struggles as Market Liquidity Thins

Bitcoin fell 6% last week, dropping from around $90,000 to a weekly low of $84,580 on Friday. While the price briefly recovered to $89,800 early on December 22, renewed selling pressure pushed it back near $89,100 at the time of writing, only a marginal 1% daily gain.

Traders say thinning holiday liquidity and elevated macroeconomic uncertainty are weighing on sentiment. Markets are bracing for major U.S. economic releases, including GDP data and jobless claims arriving on Thursday, December 25.

Technical Indicators Point to Short-Term Weakness

Bitcoin’s daily chart continues to show a cluster of bearish patterns that have historically preceded large market corrections. Since late October, BTC has moved within a descending structure, and analysts warn that price action is now testing the lower boundary of this downtrend, a level often associated with further declines if broken.

Key levels to watch:

• Immediate support: $85,220, a previously strong price floor used by bulls to halt losses.
• Failure here could accelerate a move toward the psychological $80,000 level.
• Major resistance: $91,415, aligning with the 23.6% Fibonacci retracement from the October peak to the November low. A breakout above this level would be required to regain bullish momentum.

For now, traders remain cautious, with risk-off sentiment dominating flows into ETFs and spot markets alike.