Українська
Русский
English
Binance retail traders and ETF investors increase pressure on Bitcoin
Bitcoin (BTC) has faced another wave of selling pressure driven by retail traders on Binance and significant outflows from spot ETFs.
According to analyst Amr Taa, on November 5 Binance users classified as short-term holders (STH) collectively sold over 16,100 BTC, equivalent to around $1.6 billion, at an average price of $101,500 per coin.
This data suggests that retail investors continue to sell during market weakness, amplifying local corrections.
At the same time, large ETF outflows added further pressure on BTC’s price.
On November 3, funds managed by BlackRock and Grayscale recorded withdrawals of $2.5 billion and $532 million, respectively.
According to the researcher, part of these assets was moved to spot exchanges, increasing market supply.
“Such behavior is typical of short-term participants — investors reacting to volatility and price dynamics rather than fundamental factors,” the expert said.
The analysis notes that short-term holders (STH) and retail traders, unlike long-term holders (LTH), often act emotionally — selling during declines and buying during rallies.
This behavior provides liquidity for larger traders who take advantage of these phases to accumulate positions.
Similar patterns have been observed in the past during the formation of local market bottoms.
Meanwhile, long-term holders remain stable and are not engaging in panic selling.
Historically, periods when retail investors capitulate while institutional players accumulate have laid the foundation for subsequent recovery phases.
This scenario was confirmed in both 2018 and 2022, when mass retail capitulation preceded market reversals.
Despite recent price declines and ETF outflows, Bitcoin’s network fundamentals remain robust.
See also: "Cryptocurrencies and Stocks Fall as Traders Shift Course: How Low Can Bitcoin Go?"
