The cryptocurrency market witnessed a dramatic shift on December 19 as Bitcoin ETFs recorded their largest single-day outflows of the year, totaling $671.9 million.
The sell-off triggered a cascade of reactions across the market, with Bitcoin’s value retreating to approximately $94,200.
Among the notable losses, Grayscale’s GBTC saw a reduction of $208.6 million, while ARK Invest’s ARKB experienced withdrawals of $108.4 million, according to data from Farside Investors. This activity wiped out much of the progress seen earlier in December, with total Bitcoin ETF assets dropping from $121.7 billion on December 17 to $109.7 billion just two days later.
The outflows didn’t stop with Bitcoin ETFs. Combined withdrawals from crypto ETFs reached a staggering $732.4 million. Despite these losses, Bitcoin managed to maintain its dominance, accounting for 57.4% of the market. However, over $1 billion in liquidations across various platforms reflected the severity of the downturn, leaving analysts scrambling to explain the sudden shift.
Economic uncertainty loomed large as investors adjusted to recent developments in U.S. monetary policy. Federal Reserve Chair Jerome Powell dampened expectations of aggressive rate cuts, suggesting only two reductions in 2025. This cautious approach impacted not only cryptocurrencies but also traditional markets, with the S&P 500 registering declines.
According to new data shared by Bitcoin Magazine Pro, publicly traded companies now collectively hold over 844,822 BTC, valued at more than $100.5 billion, marking a historic milestone for institutional Bitcoin adoption.
Trump Media and Technology Group, the parent company of Truth Social, Truth+, and Truth.Fi, has officially disclosed that it now holds approximately $2 billion in Bitcoin and Bitcoin-related securities.
Michael Saylor’s Strategy has confirmed another major Bitcoin purchase, acquiring 6,220 BTC last week for approximately $739.8 million.
Bitcoin’s derivatives market is heating up, with open interest climbing back to $42 billion while funding rates continue to surge.