Bitcoin price drops 16% amid mass selling in derivatives market

The past week has been tough for Bitcoin. A wave of aggressive selling in the derivatives market has caused a sharp price drop of around 16%, while selling pressure on platforms such as Binance has risen to historic levels. The Bitcoin price currently stands at $63.100. a recovery of 0.5% over the past 24 hours after a turbulent period.

Bitcoin is available at OKX and Bybit.

Futures dominate the market entirely

The futures market is now generating a trading volume nearly ten times that of the spot market. In such an environment, derivative flows largely determine the direction of the price in the short term. This makes the market extra sensitive to sudden selling waves, which can quickly cause large price movements.

On Binance, which accounts for about 38% of total open interest in Bitcoin, selling pressure has increased significantly over the week. Aggressive sell orders, also known as taker sells, have reached exceptionally high levels. On Friday alone, Binance recorded nearly $15 billion in futures sell volume, indicating a serious capitulation among market participants. The rest of the week shows similar patterns, with daily sell volumes between $10 billion and $13 billion. As a result, the weekly average sell volume on Binance rises from $4.4 billion to almost $10 billion. The last time such concentrated selling waves were visible on Binance was in early February, when the Bitcoin price fell below $60.000.

ETF outflows worsen the situation

In addition to the pressure from the derivatives market, spot Bitcoin ETFs also show a worrying picture. Over the week, a total of approximately $1.75 billion net flows out of these ETFs, the worst weekly performance since April 2025. That combination of ETF outflows and massive futures selling significantly reinforces the downward pressure on the price.

Analysts point out that monitoring investor behaviour in the derivatives market is becoming increasingly important to assess future volatility and market developments. The losses in this bear market are now approaching a record of $211 billion, while experts discuss where the ultimate bottom lies. According to Glassnode’s founder, that bottom lies somewhere between $46.000 and $54.000.