Crypto Capital Flows Plummet 70%, Signaling Market Weakness despite Bitcoin Rebound

Despite Bitcoin’s recent resurgence and a rebound in its price, crypto capital inflows have plunged by 70% from $8.2 billion to just $2.38 billion. This dramatic drop reflects waning investor confidence, particularly among institutional players, according to analysis from Ali. Bitcoin’s net position change has shifted from positive $2.04 billion to negative $757 million, indicating a surge in selling pressure even as prices climbed. The trend also shows reduced liquidity, with stablecoin reserves falling by nearly 50%, suggesting capital remains less readily available for market entry.