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Institutional capitulation has hit the market hard. After weeks of chop, spot Bitcoin ETFs recorded a staggering $272 billion in volume-adjusted outflows.
That massive exit dragged total Assets Under Management (AUM) below the critical $100 billion mark, a psychological blow many didn’t see coming.
Trending: Peter Thiel and Galaxy-backed Citrea wants to turn idle bitcoin into a high-speed bank account
Is capital actually leaving? Not quite. While retail investors panic-sell on the headlines, on-chain data reveals a different story: rotation. Smart money is moving downstream, dumping passive ‘paper Bitcoin’ products to chase yields in the Layer 2 sector.
The logic is brutal, but it makes sense. Why hold stagnant assets in a bleeding ETF when infrastructure plays are heating up? As legacy pipes clog, liquidity is flooding
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