Leveraged Bitcoin Bulls Hit the Brakes as BTCL Faces Year-End Outflows

Leveraged Bitcoin Bull Fund Sees Holiday Outflows as Traders Cut Risk

The T-Rex 2X Long Bitcoin Daily Target ETF, BTCL, recorded outflows of $1.19 million on December 24, 2025, as investors trimmed exposure to leveraged crypto risk ahead of year-end. The withdrawal, equivalent to roughly 3.2% of the fund’s $36.85 million in assets under management (AUM), underscores growing caution around amplified Bitcoin bets after a sharp pullback in the underlying token.

BTCL, which offers 2x daily long exposure to Bitcoin, is designed for short-term tactical trading rather than buy-and-hold positioning. The latest outflows suggest that some traders may be locking in gains from previous rallies or cutting losses as volatility and downside pressure in Bitcoin intensify. A single-day move of more than 3% of AUM is notable for a niche leveraged product and can signal a shift in sentiment among more speculative market participants.

The related asset, BTC-USD, is currently trading at $87,729.98, having shed about 26.2% over the past three months. Technically, the market backdrop remains fragile: the 1-day signal is flashing a bearish bias, rated as Strong Sell. That combination of a deep three-month drawdown and negative short-term technicals likely contributed to the decision by BTCL investors to scale back leverage rather than double down into weakness.

While leveraged products like BTCL can amplify upside in a rebound, they also magnify losses when downside momentum persists, making them particularly sensitive to shifts in short-term sentiment. If Bitcoin stabilizes or stages a recovery, flows could quickly reverse; for now, the latest data point highlights a defensive turn among high-octane crypto traders.

For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.