Bitcoin Slips Under $110K as Retail Leverage Unwinds, Institutions Accumulate
Bitcoin (BTC) hovered just below $110,000 on Monday, down about 7% from last week’s peak above $117,000 following Powell’s Jackson Hole speech. Ethereum (ETH), which briefly tested $4,900 before retreating, held above $4,300 but showed signs of fatigue after weeks of outperformance.
Analysts say the cycle is entering a fragile phase as ETF redemptions, thin liquidity, and weak on-chain activity collide with heavy retail liquidations. Glassnode reported $1 billion in ETF outflows and realized profits sliding to breakeven.
QCP Capital traced the weekend’s crash to a 24,000 BTC sale into thin liquidity, triggering $500 million in liquidations. With ETFs bleeding $1.2 billion, whales rotated into ETH, driving the ETH/BTC ratio over 0.04.
Even so, institutions continue scaling in. Enflux highlighted a $2.55 billion ETH position and the UAE royal family’s $700 million BTC allocation as signs of sovereign buying into weakness. But falling fees and declining activity on the Bitcoin blockchain point to liquidity stress heading into September, historically BTC’s weakest month.
Version 2 – Analytical, Investor Lens
Fragility Emerges in Crypto Market as Retail Flushes, Long-Term Buyers Step In
Crypto markets extended their retreat Monday with Bitcoin trading below $110,000 and Ethereum slipping from highs near $4,900 to above $4,300. BTC is now off roughly 7% from last week’s peak, while ETH is showing signs of exhaustion.
According to Glassnode, the market is sliding from euphoria to fragility. Spot momentum has faded, ETF flows flipped to $1 billion in outflows, and realized profits have fallen to breakeven.
QCP Capital said the weekend’s sharp decline was triggered by an early holder selling 24,000 BTC into thin liquidity, sparking $500 million in liquidations. ETFs have shed $1.2 billion even as whales rotate into ETH, pushing the ETH/BTC cross through 0.04.
Not all flows are equal, however. Market maker Enflux pointed to sovereign and institutional allocations — including a $2.55 billion ETH stake and the UAE royal family’s $700 million BTC position — as evidence of long-term buying into volatility. Still, falling transaction fees and declining network activity highlight liquidity challenges as September, historically weak for BTC, approaches.
Version 3 – Punchier, Dramatic
Retail Traders Crushed as ETFs Bleed $1B, Sovereigns Buy Into Crypto Weakness
Bitcoin’s rebound collapsed again Monday, slipping below $110,000 after rejection at $113,000 and extending losses to 7% since its Jackson Hole peak. Ethereum, once near $4,900, dropped back above $4,300, signaling fatigue after weeks of strength.
Glassnode data shows fragility spreading: ETF outflows hit $1 billion, realized profits slid to breakeven, and momentum turned oversold.
QCP Capital traced the weekend crash to a 24,000 BTC dump into thin liquidity, sparking $500 million in liquidations. ETFs lost $1.2 billion, but whales rotated into ETH, lifting the ETH/BTC cross beyond 0.04.
Retail longs were wiped out, but deep-pocketed players are quietly buying. Enflux highlighted a $2.55 billion ETH position and a $700 million BTC allocation by the UAE royal family via Citadel Mining as examples of sovereign accumulation.
Still, with Bitcoin fees collapsing to decade lows and network activity thinning, liquidity remains fragile — leaving the market vulnerable to consolidation or deeper losses into September, historically BTC’s weakest month.
