JPMorgan Analysis Suggests Bitcoin Sell-Off Nearing End as ETF Outflows Slow
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Market Sentiment Shift: JPMorgan's analysis indicates that outflows from Bitcoin and Ethereum ETFs reached a nadir in January 2025, suggesting an improvement in market sentiment that may provide investors with an opportunity to re-enter the market.
- Flow Trends: Compared to the sustained outflows in Q4 2024, the significant reduction in ETF redemptions in February and March 2025 indicates a restoration of confidence among institutional investors, potentially facilitating future capital inflows.
- Derivatives Market Stability: The report also highlights that open interest and funding rates in perpetual futures and CME futures stabilized in January, suggesting that excessive leverage has been purged, supporting a healthy market correction.
- Macroeconomic Context: In early 2025, expectations around central bank interest rate policies have stabilized, reducing uncertainty for risk assets, allowing the fundamentals of Bitcoin and Ethereum to reassert their influence on prices, potentially driving a rebound.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
