Bitcoin faced a 1.8% price decline following significant selling pressure ignited by institutional players including Galaxy Digital moving $3.7 billion worth of BTC to exchanges.
Short-term holders (STHs) spearheaded the sell-off, driving an $3.8 billion surge in open interest. The heightened volatility triggered over $531 million in options liquidations within 24 hours, with long positions accounting for $376 million of the total.
Contrasting this trend, Bitcoin ETFs recorded a $226 million net deposit influx in a single day, partially offsetting $285 million in cumulative withdrawals earlier in the week. The Crypto Fear & Greed Index continues to reflect widespread market apprehension despite these capital movements.