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Crypto & Stock Markets Dive Amid Bearish Sentiment and ETF Outflows

Crypto markets slump with heavy BTC/ETH ETF outflows, rising liquidations, extreme fear sentiment, while stocks face a calm VIX and key CPI data.

The crypto and equity markets entered a risk‑off phase this week, with bearish positioning across major assets and significant ETF outflows.

Crypto ETF Flows

Ethereum (ETH) recorded a net outflow of $10 million, while Bitcoin (BTC) saw a much larger net outflow of $330 million, indicating waning institutional demand for crypto exposure.

On‑Chain Positioning

Multiple wallet tiers remain in a bearish stance, with short positions outweighing longs across the board. - PnL Champions (bias -0.84): longs $1.14B vs shorts $1.96B; top perps HYPE, BTC, ETH. - Mega Wallets (bias -0.25): longs $1.78B vs shorts $2.08B; top perps BTC, ETH, HYPE. - Elite Wallets (bias -0.17): longs $0.98B vs shorts $1.08B; top perps BTC, HYPE, ETH. - Rising Stars (bias -0.30): longs $0.57B vs shorts $0.70B; top perps BTC, HYPE, ETH.

Liquidations

Medium‑severity liquidations hit both ETH and BTC, with ETH liquidations exceeding $2.5 million and BTC around $1.6 million. - ETH: $2.53M total (≈2.27M longs, 0.25M shorts) - BTC: $1.60M total (≈1.55M longs, 0.05M shorts)

Sentiment & Fear‑Greed

Crypto fear‑and‑greed index dropped to 8 (extreme fear), while the stock fear‑and‑greed gauge sits at 40 (fear), reflecting broad risk aversion.

Stock Market Snapshot

The CBOE Volatility Index (VIX) fell to 18.92, down 12.04%, suggesting easing market tension despite the fear readings. - VIX: 18.92, -2.59 points (-12.04%)

Economic Calendar Highlights

Key inflation data released this week points to modest price pressures. - Core CPI m/m: 0.5% forecast (prev 0.4%) - Core CPI y/y: 2.9% forecast (prev 2.8%) - CPI m/m: 0.3% forecast (prev 0.6%) - CPI y/y: 4.2% forecast (prev 3.8%) - Core PPI m/m: 0.5% forecast (prev 1.0%)

Notable Stock News

  • Cipher Digital Inc. announces $810 million senior secured notes offering.
  • Meta launches 'Workforce Academy' to train data‑center staff.
  • Lucky Strike Entertainment promotes new CFO Bobby Lavan.
  • Trane Technologies scales sustainability through climate innovation.
  • Sirius XM set to join S&P MidCap 400.
  • Airlines DAL, UAL, AAL, LUV slip after IATA halves 2026 profit outlook.
  • Boeing clears key 777X certification hurdle.

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