Bitcoin Paradox: Why Is the Price Dropping Despite Strong Investor Demand? 🤔
Even with solid ETF inflows and real accumulation signals, #Bitcoin keeps sliding — currently hovering around $70K (down from recent highs).
The key insight from recent analysis: Most price action isn't happening on spot markets anymore.
Derivatives (perps, futures) volumes dwarf spot trading — e.g., on Binance, perps hit $23B+ vs spot ~$3B on some days → ratio up to 7-8x!
Leveraged positions, liquidations, and synthetic exposure drive short-term moves, overriding spot demand.
Bitcoin has fixed supply (21M), but derivatives let traders create/destroy massive exposure in seconds.
Result? Visible buy pressure (positive order book deltas, ETF buys) gets drowned out by what's happening in the leveraged casino.
Scarcity is real — but daily price? Decided elsewhere.
What do you think — is the derivatives tail wagging the Bitcoin dog right now? Or will spot demand eventually win out? 🚀📉