Bitcoin has returned to the $73,000–$74,000 support zone as ETF outflows and falling stablecoin supply have fueled concerns that buyers remain on the sidelines after the liquidation wave.
Summary
- Demand remains weak after the liquidation reset, according to Bitget Wallet analysts.
- Bitcoin ETFs have lost $1.48 billion across Novembers first six completed trading sessions.
- CoinShares Marc des Ligneris says investors are still paying up for downside protection.
- Bitget Wallet identifies $80,000 as a recovery signal and $68,000 as a potential downside level.
According to data from CoinGecko, Bitcoin traded around $73,912 on Nov. 10, after moving between $73,587 and $75,477 over the preceding 24 hours. Its latest price places it within the support range identified by Bitget Wallet analysts in comments shared with crypto.news.
The analysts said the recent selloff removed some speculative excess, but the recovery still lacks the spot buying and institutional inflows needed to sustain it.
Bitcoin needs buyers after the leverage reset
In its Market Flow #3: AIs Reality Check commentary, Bitget Wallet Research described a market struggling to attract fresh demand after losses in AI-linked technology stocks spilled into cryptocurrencies.
“The 73,000-74,000 range is now the zone Bitcoin needs to hold. Stabilization would require more balanced derivatives positioning and sustained positive ETF flows.”
Reclaiming and holding $80,000 would signal stronger demand, in their assessment. A decisive move below $73,000 could expose $68,000, with a further breakdown suggesting the decline involves more than a temporary liquidation flush.
The latest weakness follows the Nov. 5 crypto liquidation wave, when CoinGlass figures showed $954.38 million in long positions liquidated against $127.30 million in shorts. Bitcoin traded below $76,000 during that snapshot, reversing an earlier recovery above $80,000.
Long positions accounted for 88.2% of the reported total. Within the latest four hours of that snapshot, liquidations reached $896.18 million, including $817.35 million in bullish positions.
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ETF withdrawals continue after the selloff
Institutional flows have remained negative. Farside Investors recorded $201 million in net withdrawals from U.S. spot Bitcoin ETFs on Nov. 9, their third consecutive negative session.
BlackRock‘s IBIT lost $213.2 million, while ARK 21Shares’ ARKB recorded a $9.9 million withdrawal. Morgan Stanleys MSBT attracted $22.1 million, partially offsetting those exits.
Adding the six completed November sessions produces $1.4827 billion in net outflows. Five sessions were negative, interrupted by a $74.6 million inflow on Nov. 4.
The weakness has not been uniform across issuers. During the first November trading week, IBIT lost approximately $1.21 billion while Fidelitys FBTC received $93.1 million.
Stablecoin liquidity has contracted over the same period of market weakness. DefiLlama put total stablecoin market capitalization at $289.81 billion on Nov. 10, down 1.62% over seven days and 4.57% over 30 days.
USDT‘s capitalization fell 1.31% over the week, while USDC’s declined 1.25%. Bitget Wallets analysts identified shrinking stablecoin supply alongside ETF withdrawals as part of the liquidity problem facing a sustained Bitcoin recovery.
Options investors keep paying for protection
Marc des Ligneris, managing director at CoinShares, described continued caution in Bitcoin options in separate comments shared with the publication.
His assessment focused on the one-month, 25-delta options skew, using a convention in which positive readings indicate investors paying more for downside protection through puts than for upside exposure through calls.
“This time it hasnt held so far: skew has risen again, showing that investors are still paying up to hedge,” said Ligneris.
Des Ligneris linked the defensive positioning to concerns about AI valuations and deals in which the same companies finance, supply and buy from one another.
A similar concern appeared in Hilbert Group CIO Russell Thompsons warning about forced selling. Thompson said investors facing margin calls could sell Bitcoin to meet obligations elsewhere in their portfolios.
Inflation complicates the liquidity outlook
The inflation release cited as an upcoming catalyst in Bitget Wallets commentary has now arrived.
The Bureau of Labor Statistics reported that October consumer prices rose 0.4% month over month, following Septembers 0.6% gain. Core prices, excluding food and energy, rose 0.3% for a third consecutive month.
Bitget Wallets analysts said hotter inflation could reinforce expectations of a December rate hike, while softer core readings could support a relief rally. They nevertheless tied a durable recovery to improving liquidity and spot demand.
Meanwhile, Des Ligneris said a deeper AI slowdown could eventually bring liquidity back into markets and support Bitcoin.
“Slower AI spending would quickly expose an economy that is already fragile outside the AI sector. A sharp downturn usually ends in a large injection of liquidity, and that has historically been one of the strongest tailwinds for Bitcoin.”
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