#BitcoinSpotVolumeNewLow

‍#Gate广场五月交易分享
Bitcoin ETF Flows Reverse While Stablecoin Supply Stalls

This week, the first signs of weakness in liquidity were seen in the crypto market. Spot Bitcoin ETFs experienced outflows of approximately $350 million, following three consecutive weeks of net inflows totaling around $2.6 billion. Weekly stablecoin issuance also reversed from the previous week's $2.1 billion growth to a slight net outflow. Both main funding channels are slowing simultaneously.

The picture is clearer in the derivatives market. Open interest has fallen by more than 10% from its peak of approximately $62 billion in mid-April. Funding rates have remained low and in negative territory for several days, with long leverage chasing upward movement clearly absent. Bitcoin's implied volatility continues to be squeezed towards its lowest levels of the year.

Read in the context of the previous section, the fact that Bitcoin outperformed gold over the 14-day period but lagged behind US stocks points to a single conclusion: external demand, which has supported the trend of the last two weeks, is quietly weakening.

The crypto market is in the early stages of transitioning from the “confirmation” phase to the “decoupling” phase. The macro outlook is still constrained by persistent inflation and tight interest rate conditions. However, the two channels that supported crypto’s strong performance in recent weeks—net ETF inflows and net stablecoin issuance—are simultaneously slowing down. Marginal external demand has begun to weaken.

The unwinding of leverage in derivative markets is not due to new short positions, but rather to the passive liquidation of long positions. The persistently weak funding rates indicate that long positions are reluctant to chase leveraged movement. The implied squeeze in volatility suggests that the near-term expectation is for a new catalyst rather than panic selling. A strong consensus on market direction has not yet formed. As the wave of external liquidity recedes, the beta channel for crypto is narrowing faster compared to last week. Bitcoin's resilience is shrinking.
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