Institutional Outflows Signal “Extreme Bearish” Sentiment

[cryptoenthusiast]

Beyond technical pressure, institutional flows are adding to the gloom. According to market commentary from The Kobeissi Letter, crypto funds recorded $173 million in outflows last week — marking their fourth consecutive week of net withdrawals. Over the past month, cumulative outflows have reached $3.74 billion, with Bitcoin and Ethereum leading the selling.

The persistent withdrawals come as US spot Bitcoin ETFs continue to face pressure, reflecting broader caution among large investors. With crypto funds seeing outflows in 11 of the last 16 weeks, analysts describe sentiment as reaching “extreme bearish levels,” underscoring the fragile mood across digital asset markets.

[nihalsari]

To be fair, extreme bearish sentiment has historically shown up near bottoms. But catching falling knives isn’t a strategy.