$6 Billion Withdrawal from Bitcoin ETFs, Yet BTC Maintains Critical Price Range

$6 Billion Withdrawal from Bitcoin ETFs, Yet BTC Maintains Critical Price Range – What’s Next?

Between October 2025 and January 2026, Bitcoin experienced a significant $6 billion in ETF outflows, driven primarily by traders seeking profit after the November 2025 all-time high (ATH). Despite this selling pressure, Bitcoin has shown resilience, stabilizing in the $85,000-$90,000 range. However, recent short-term holders face increasing pressure as the price falls below their buying levels. The market's future hinges on whether Bitcoin can recover to key resistance levels.

Key Takeaways

ETF Outflows: Bitcoin ETF outflows increased from about $3 billion to $6 billion from October 2025 to January 2026, triggering increased selling pressure.
Price Stability: Bitcoin prices have shown resilience, stabilizing between $85,000 and $90,000, despite substantial capital exiting ETFs.
Seller Pressure: Short-term holders are experiencing losses as current prices hover below their purchase levels, intensifying selling pressure.
Technical Levels: Bitcoin needs to reclaim the $95,300 resistance to indicate a bullish reversal; otherwise, a deeper correction may occur.

Bitcoin holds firm despite ETF selling-but can $95K finally break?

Main Content

Between October 2025 and January 2026, Bitcoin [BTC] faced a surge in ETF outflows, escalating from around $3 billion to nearly $6 billion. Traders began selling off their holdings following the ATH in November 2025, leading the price to drop below the ETF's realized level of approximately $86,000. This situation created a ripple effect, increasing the selling pressure and intensifying the outflows from ETFs.

Source X

After peaking near $120,000, Bitcoin's price stabilized within the $85,000 - $90,000 range. This small shift is notable given the large amount of capital exiting the ETFs. This suggests that demand for Bitcoin outside of ETFs has effectively mitigated the selling pressure.

The stabilization observed could be attributable to a recent flattening of ETF flows seen in late December 2025 and early January 2026, which has likely reduced forced selling on the market. A more profound solution lies in increasing liquidity, alongside a resurgence of long-term inflows. Holding the price above the ETF realized level could help restore market confidence and ease further redemptions.

Increasing Short-Term Selling Pressure

Market stress often first manifests among short-term participants, and Bitcoin seems to be entering this critical phase. Recent buyers are feeling the heat as the prices are trading below their average purchase cost. As of the latest updates, the Short-Term Holder Realized Price stands at roughly $98,000, while the spot price is around $91,500. This discrepancy leaves many recent market entrants at a loss and makes them more susceptible to further declines.

Source X

Simultaneously, the 30-day Short-Term Holder Net Position Change has dipped into the negative, with approximately -99,000 BTC distributed. This trend indicates net selling rather than accumulation. Historically, this type of behavior typically precedes corrections as less stable investors exit during uncertain periods.

Source X

If Bitcoin remains priced below the realized level, the selling pressure may amplify, resulting in a prolonged drawdown. Nevertheless, this situation does not assure a bearish outcome, as previous trends indicate that enduring short-term seller capitulation can also signal an exhaustion phase.

Once the selling subsides, the price may stabilize, potentially attracting stronger demand. Reclaiming the realized price would alleviate pressure and restore investor confidence. In terms of long-term holders, their behavior appears relatively stable, which supports the overall market structure. Despite existing downside risks, there remains a feasible path for upside recovery if demand resurfaces.

Can Buyers Reclaim a Key Technical Level?

Currently, Bitcoin trades close to $91,800, managing to maintain support above the $90,015 demand zone, despite the notable price drop between November and December. The outflows from ETFs have caused short-term holders to feel pain, pushing Bitcoin's price below previous support levels of approximately $95,300 and $99,600, which now serve as overhead resistance.

Source TradingView

Buyers are still working to defend the $85,000-$90,000 range, indicating that they are absorbing the pressure rather than capitulating. While the current momentum is fragile, higher lows are forming above the highlighted support zone. For bulls to invalidate the present distribution structure, reclaiming the $95,300 level is crucial. Overall, investors should watch for a confirmed breakout above $95,000; otherwise, this could trigger a deeper correction towards $85,000.

Final Thoughts

The landscape for Bitcoin remains dynamic as the market navigates through ETF-driven sell-offs and potential recovery phases. Monitoring key resistance levels and the behavior of short-term holders will be essential for forecasting the next movements in the Bitcoin market.