The Daily: BlackRock’s bitcoin ETF posts record outflows, derivatives market forming ‘dangerous’ setup, and more

Bitcoin has dropped below $90,000, prompting retail capitulation and increased demand for downside hedges, though some analysts note underlying whale buying. BlackRock's U.S. spot bitcoin ETF (IBIT) experienced a record $523 million in net outflows on Tuesday, contributing to a total net outflow across all spot bitcoin ETFs of about $373 million for the day. These outflows are viewed by analysts as institutional rebalancing rather than a permanent shift. Concurrently, K33 Head of Research Vetle Lunde warned that the bitcoin derivatives market is forming a "dangerous" setup, as aggressive leverage is being added during the correction, mirroring past regimes that led to further declines, with a potential bottom estimated between $84,000 and $86,000. Other news includes Kraken confidentially filing for a U.S. IPO, the U.S. Senate Banking Chair aiming for a crypto market structure bill vote next month, Saudi firm Dar Global planning to tokenize a Trump-branded Maldives resort, and Malaysia uncovering over $1.1 billion in power theft losses from illegal crypto mining since 2020.

(Source：The Block)