Bitcoin enters June facing significant headwinds as ETF outflows and declining stablecoin liquidity weigh on the market. Historical data from CoinGlass indicates that June is typically a weak month for Bitcoin, with an average return of -0.8%, making it the second-weakest month of the year. This follows a challenging May, which ended Bitcoin's streak of monthly gains.
Spot Bitcoin ETFs experienced over $2.43 billion in net outflows by the end of May, with $1.42 billion withdrawn in the last week alone, marking the third-largest weekly outflow on record. Concurrently, stablecoin liquidity is contracting, with the total stablecoin market capitalization decreasing by approximately $3 billion. This reduction in liquidity, highlighted by a $1 billion drop in Tether's USDT supply, suggests a challenging environment for Bitcoin, potentially limiting its ability to recover in June.
Bitcoin Faces June Pressure Amid ETF Outflows and Stablecoin Liquidity Drain
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