Leverage Hangover: BITX Sees Outflows as Bitcoin Slump Tests Nerves
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The 2x Bitcoin Strategy ETF, BITX, recorded net outflows of $2,020,543 on January 22, 2026, as investors pared back leveraged exposure to the world’s largest cryptocurrency. With assets under management now standing at roughly $1.47 billion, the latest redemption wave represents about 0.14% of total AUM, a modest but notable pullback for a vehicle designed to amplify Bitcoin’s moves.
The related asset, BTC-USD, is currently trading around $88,271.69, leaving it down roughly 20.3% over the past three months. The short-term tone remains fragile, underscored by a 1-day technical signal of Sell, as traders reassess risk amid heightened volatility and macro uncertainty.
The recent drawdown in Bitcoin has put leveraged products like BITX under pressure, encouraging some holders to lock in gains from earlier rallies or cut exposure ahead of further downside. While the outflow is relatively small compared with the ETF’s overall size, it signals a cooling of speculative appetite that had been a key driver of inflows during Bitcoin’s previous uptrend. How quickly flows rebound may depend on whether Bitcoin can stabilize above key technical levels and restore confidence in the near-term trajectory of the broader crypto market.
For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.