US-based spot Bitcoin ETFs have extended their losing streak, posting five consecutive days of net outflows as investor confidence across the crypto market continues to weaken. The prolonged sell-off comes at a time when sentiment indicators remain deep in “Extreme Fear,” reflecting growing uncertainty among retail and institutional participants.
On Friday alone, spot Bitcoin ETFs recorded $103.5 million in net outflows, according to data from Farside. This marked the fifth straight day of withdrawals, bringing total outflows over the period to approximately $1.72 billion. The week was shortened by the Martin Luther King Jr. Day holiday, yet selling pressure remained strong throughout the reduced trading sessions.
Bitcoin’s spot price hovered around $89,160 at the time of publication and has failed to reclaim the psychologically important $100,000 level since November 13. Despite this, Bitcoin remains up roughly 2.4% over the past 30 days, suggesting price resilience even as sentiment deteriorates.
Spot Bitcoin ETF flows are widely watched as a proxy for retail investor sentiment and short-term market direction. Sustained outflows often signal caution or risk aversion, particularly during periods of broader macro uncertainty.
Crypto Market Sentiment Remains in Extreme Fear
The broader crypto market has entered what analysts describe as a “phase of uncertainty.” The Crypto Fear & Greed Index registered a score of 25 on Sunday, firmly placing it in the “Extreme Fear” category. The index has remained in this zone since midweek, underscoring persistent anxiety among traders.
According to crypto analytics firm Santiment, retail traders appear to be exiting positions, while capital and attention shift toward traditional assets. However, Santiment also noted that quieter indicators—such as reduced social media chatter and signs of supply distribution—could point to a potential market bottom forming.
The firm emphasized that patience may be the most prudent strategy during periods like this, as sentiment-driven sell-offs often precede countertrend rallies.
Analysts See Fear as a Possible Setup for a Rebound
Some market observers believe the negative sentiment may be exaggerated. Nik Bhatia, founder of The Bitcoin Layer, suggested that Bitcoin’s underperformance relative to surging metal prices has contributed to poor sentiment. He compared the current mood to post-FTX levels, when Bitcoin traded near $17,000, despite maintaining a bullish long-term outlook.
Bhatia described the current environment as the “painful type” of bullishness—one dominated by fear that requires conviction to endure. Echoing this view, crypto analyst Bob Loukas noted that sentiment is “in the gutter” and argued that the market may be overdue for a strong countertrend rally.
