Bitcoin Price Slumps Below $100K As Spot BTC ETF Outflows Hit $869M, Second-Largest On Record

The Bitcoin price plunged 6.4% over the past 24 hours to trade at $97,297 as of 2:21 a.m. EST on trading volume that soared 47% to $110 billion.

The slump came as BTC led the broader crypto market capitalization down 6% to $3.37 trillion with the Crypto Fear & Greed Index showing ”extreme fear” in the market.

US spot BTC ETFs (exchange-traded funds) bled $869.9 million in net outflows on Thursday, their second-largest on record, acccording to Coinglass. The largest outflow occurred on February 25, when they lost $1.14 billion.

Grayscale’s Bitcoin ETF led the outflows with $318.2 million, followed by BlackRock’s IBIT ($256.6 million) and Fidelity’s FBTC ($119.9 million).

As the BTC price dropped, so Bitcoin mining firm CleanSpark spent $460 million to repurchase 30.6 million shares.

It said the buyback supports its strategy of enhancing shareholder value and optimizing its capital structure.

With Bitcoin down more than 13% in the last month, can the bearish trend continue or will the bulls regain control?

Bitcoin Price: A Healthy Correction

After hitting the $68,500 resistance in 2021, the BTC price corrected to find support around $15,600 in 2022.

The Bitcoin bulls have been in control since overcoming the $25,000 resistance level and the $58,000 and $92,000 demand zones.

As a result of the surge, the price of Bitcoin has maintained its position within a well-defined parabolic curve.

The continued surge has kept the BTC price above the 50-day Simple Moving Average (SMA) on the monthly chart.

However, after hitting the $126,230 all-time high (ATH), Bitcoin’s price appears to be undergoing a healthy correction, with the recent candle falling below the curve’s boundary.

With the market facing bearish pressure, the Relative Strength Index (RSI) is also reacting to this move, falling from the 70-overbought zone to 58.

As the RSI moves lower, the Bitcoin price may continue to drop. The next possible support zone is at $81,479. If the bears breach this level, the next support zone is at the 50-day SMA at $55,797.

According to popular crypto analyst Ali Martinez on X, if BTC drops below $95,930, the next key support levels are at $82,045 and $66,900.

Conversely, if the bulls defend the $94,000 support zone, Bitcoin could recover back to its ATH ($126,230), a 29% surge from the current level.

Michaël van de Poppe, a popular analyst on X with over 814K followers, BTC needs to reclaim the $101K level for any rally to happen.

Much will depend on whether the Federal Reserve cuts interest rates next month. Right now, the odds that it will have tumbled to just 49.6%, according to CME Group’s FedWatch Tool.

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