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Breaking News: Ripple Launches $750 Million Share Buyback, Boosting Valuation To $50 Billion
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Breaking News: Ripple Launches $750 Million Share Buyback, Boosting Valuation To $50 Billion

Bitcoin Market Faces Structural Reset As ETF Outflows Begin To Stabilize

Semilore Faleti
Semilore Faleti
Last Updated: March 8, 2026 10:35 am
2 mins read
Bitcoin

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After reaching an all-time high of $126,100 in October 2025, Bitcoin entered a deep correction phase, pushing prices to around $60,000 in early February. According to crypto market analysis firm XWIN Research Japan, these last bearish months have marked a structural re-evaluation phase for the leading cryptocurrency. 

While the consensus market sentiment remains bearish, data from certain supply-side indicators suggest an exhaustion of selling pressure. Notably, XWIN Research Japan shares an insightful analysis of the Bitcoin market balance, based on data from two key on-chain metrics.

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Bitcoin Correction Driven By Weak Demand, ETF Inflows Show 

In their latest QuickTake post on CryptoQuant, XWIN Research Japan employs data from the Bitcoin Exchange Reserves and ETF Inflows to properly assess market demand and supply, and ascertain the current phase of the market. Using information from charts shared by CryptoQuant founder Ki Young Ju, the analysts report that Bitcoin exchange reserves have recorded a steady decline since 2024. This indicates that investors increasingly leaned towards holding their assets in private storage rather than opting for a potential sale.

In other words, market supply over the last two years has also gradually reduced. The majority of this period has been matched by an equal or higher demand, as illustrated by an observed price gain of over 200% during this period. One major factor behind this price rise is the Bitcoin Spot ETFs, with a current cumulative total net inflows of $55.37 billion and net assets of $87.07 billion within two years of launch. However, after hitting its most recent all-time high, the Bitcoin Spot ETFs began experiencing a decline in holdings.

 

Bitcoin
Source: CryptoQuant

Notably, data from SoSoValue shows these Bitcoin ETFs recorded over $6.38 billion in net outflows between November and February, indicating a drastic fall in institutional demand, which significantly influenced the Bitcoin correction. According to XWIN Research Japan, this observation further strengthens the Bitcoin Spot ETF as a structural driver in the present market cycle.

However, ETF outflows have stabilized in recent times, with large net outflows coming to a halt as most institutional investors appear to have completed rebalancing their portfolios. In particular, the last two trading weeks have resulted in combined net inflows of $1.36 billion. Nevertheless, XWIN Research Japan remains in a supply-demand rebalancing phase, and a sustained rise in ETF holdings is needed to reassess market direction.

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Bitcoin ETFs Bleed $349M In A Day As Whales Dump, Small Buyers Step In: Analysts

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Bitcoin Price Overview

At press time, Bitcoin is valued at $67,372 after a 4.34% gain in the last month.

Bitcoin
BTC trading at $67,192 on the daily chart | Source: BTCUSDT chart on Tradingview.com
Featured image from MarketWatch, chart from Tradingview.com
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Semilore Faleti
Semilore Faleti

Semilore Faleti

Semilore Faleti is a cryptocurrency writer specialized in the field of journalism and content creation. While he started out writing on several subjects, Semilore soon found a knack for cracking down on the complexities and intricacies in the intriguing world of blockchains and cryptocurrency.

Read more

Semilore is drawn to the efficiency of digital assets in terms of storing, and transferring value. He is a staunch advocate for the adoption of cryptocurrency as he believes it can improve the digitalization and transparency of the existing financial systems.

In two years of active crypto writing, Semilore has covered multiple aspects of the digital asset space including blockchains, decentralized finance (DeFi), staking, non-fungible tokens (NFT), regulations and network upgrades among others.

In his early years, Semilore honed his skills as a content writer, curating educational articles that catered to a wide audience. His pieces were particularly valuable for individuals new to the crypto space, offering insightful explanations that demystified the world of digital currencies.

Semilore also curated pieces for veteran crypto users ensuring they were up to date with the latest blockchains, decentralized applications and network updates. This foundation in educational writing has continued to inform his work, ensuring that his current work remains accessible, accurate and informative.

Currently at NewsBTC, Semilore is dedicated to reporting the latest news on cryptocurrency price action, on-chain developments and whale activity. He also covers the latest token analysis and price predictions by top market experts thus providing readers with potentially insightful and actionable information.

Through his meticulous research and engaging writing style, Semilore strives to establish himself as a trusted source in the crypto journalism field to inform and educate his audience on the latest trends and developments in the rapidly evolving world of digital assets.

Outside his work, Semilore possesses other passions like all individuals. He is a big music fan with an interest in almost every genre. He can be described as a “music nomad” always ready to listen to new artists and explore new trends.

Semilore Faleti is also a strong advocate for social justice, preaching fairness, inclusivity, and equity. He actively promotes the engagement of issues centred around systemic inequalities and all forms of discrimination.

He also promotes political participation by all persons at all levels. He believes active contribution to governmental systems and policies is the fastest and most effective way to bring about permanent positive change in any society.

In conclusion, Semilore Faleti exemplifies the convergence of expertise, passion, and advocacy in the world of crypto journalism. He is a rare individual whose work in documenting the evolution of cryptocurrency will remain relevant for years to come.

His dedication to demystifying digital assets and advocating for their adoption, combined with his commitment to social justice and political engagement, positions him as a dynamic and influential voice in the industry.

Whether through his meticulous reporting at NewsBTC or his fervent promotion of fairness and equity, Semilore continues to inform, educate, and inspire his audience, striving for a more transparent and inclusive financial future.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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